Revenue Recognition

9 Months Ended

May 31, 2022

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 and nine months ended May 31, 2022 and 2021 is as follows:

	Three months ended						Three months ended
	May 31, 2022						May 31, 2021
($ in thousands)	Irrigation		Infrastructure		Total		Irrigation		Infrastructure		Total
Point in time	$	183,085	$	22,083	$	205,168	$	131,032	$	16,790	$	147,822
Over time		5,608		1,750		7,358		9,143		1,383		10,526
Revenue from the contracts with customers		188,693		23,833		212,526		140,175		18,173		158,348
Lease revenue		—		1,733		1,733		—		3,588		3,588
Total operating revenues	$	188,693	$	25,566	$	214,259	$	140,175	$	21,761	$	161,936
	Nine months ended						Nine months ended
	May 31, 2022						May 31, 2021
($ in thousands)	Irrigation		Infrastructure		Total		Irrigation		Infrastructure		Total
Point in time	$	498,468	$	52,806	$	551,274	$	321,960	$	53,060	$	375,020
Over time		16,892		3,959		20,851		24,144		4,557		28,701
Revenue from the contracts with customers		515,360		56,765		572,125		346,104		57,617		403,721
Lease revenue		—		8,422		8,422		—		10,277		10,277
Total operating revenues	$	515,360	$	65,187	$	580,547	$	346,104	$	67,894	$	413,998

Further disaggregation of revenue is disclosed in the Note 13 – Industry Segment Information.

For contracts with an initial length longer than twelve months, the unsatisfied performance obligations were $2.1 million at May 31, 2022.

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 May 31, 2022, May 31, 2021, and August 31, 2021, contract assets amounted to $1.0 million, $1.5 million, and $1.3 million, respectively. These amounts are included within other current assets on the condensed consolidated balance sheet.

Contract liabilities include advance payments from customers and billings in excess of delivery of performance obligations. At May 31, 2022, May 31, 2021, and August 31, 2021, contract liabilities amounted to $35.0 million, $35.5 million, and $37.4 million, respectively. Contract liabilities are included within other current liabilities on the condensed consolidated balance sheets. During the Company’s nine months ended May 31, 2022 and 2021, the Company recognized $32.7 million and $16.7 million of revenue that were included in the liabilities as of August 31, 2021 and 2020 respectively. The revenue recognized was due to applying advance payments received for the performance obligations completed during the quarter.