v3.25.4
Revenue Recognition
 3 Months Ended
Nov. 30, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition

Note 2 – Revenue Recognition

 

Disaggregation of Revenue

 

A breakout by segment of revenue recognized over time versus at a point in time for the three months ended November 30, 2025 and 2024 is as follows:

 

 

Three months ended

 

 

November 30, 2025

($ in thousands)

 

Irrigation

 

Infrastructure

 

Total

Point in time

 

$

124,816

 

$

15,940

 

$

140,756

Over time

 

 

8,621

 

 

1,301

 

 

9,922

Revenue from contracts with customers

 

 

133,437

 

 

17,241

 

 

150,678

Lease revenue

 

 

—

 

 

5,140

 

 

5,140

Total operating revenues

 

$

133,437

 

$

22,381

 

$

155,818

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three months ended

 

 

 

November 30, 2024

($ in thousands)

 

Irrigation

 

Infrastructure

 

Total

Point in time

 

$

139,368

 

$

12,102

 

$

151,470

Over time

 

 

7,719

 

 

1,358

 

 

9,077

Revenue from contracts with customers

 

 

147,087

 

 

13,460

 

 

160,547

Lease revenue

 

 

—

 

 

5,734

 

 

5,734

Total operating revenues

 

$

147,087

 

$

19,194

 

$

166,281

 

Further disaggregation of revenue is disclosed in Note 13 – Business Segments.

 

For contracts with an initial length longer than 12 months, the unsatisfied performance obligations were $78.8 million at November 30, 2025, almost all of which is expected to be satisfied within the next 12 to 18 months.

 

Contract Balances

 

Contract assets arise when recorded revenue for a contract exceeds the amounts billed under the terms of such contract. Contract liabilities arise when billed amounts exceed revenue recorded. Amounts are billable to customers upon various measures of performance, including achievement of certain milestones and completion of specified units of completion of the contract. At November 30, 2025, November 30, 2024, and August 31, 2025, contract assets amounted to $2.0 million, $3.1 million, and $1.1 million, respectively. These amounts are included within other current assets on the condensed consolidated balance sheets.

Contract liabilities include advance payments from customers and billings in excess of delivery of performance obligations. At November 30, 2025, November 30, 2024, and August 31, 2025, contract liabilities amounted to $16.0 million, $18.6 million, and $14.2 million, respectively. Contract liabilities are included within other current liabilities and other noncurrent liabilities on the condensed consolidated balance sheets. During the Company’s three months ended November 30, 2025 and 2024, the Company recognized $4.8 million and $9.6 million of revenue that were included in the liabilities as of August 31, 2025 and 2024, respectively. The revenue recognized was due to applying advance payments received for the performance obligations completed during the quarter.