Group 1 - Valmont Industries reported revenue of $1.04 billion for the quarter ended December 2024, reflecting a 2.1% increase year-over-year [1] - The company's EPS was $3.84, up from $3.18 in the same quarter last year, exceeding the consensus estimate of $3.66 by 4.92% [1] - The reported revenue surpassed the Zacks Consensus Estimate of $1.01 billion, resulting in a surprise of 3.09% [1] Group 2 - Valmont's total sales in the Infrastructure segment were $763.64 million, below the average estimate of $776.31 million [4] - In the Agriculture segment, total sales reached $277.98 million, exceeding the average estimate of $233.80 million [4] - The company's operating income for the Infrastructure segment was $122.04 million, surpassing the average estimate of $111.75 million [4] Group 3 - Over the past month, Valmont's shares have returned -4.6%, contrasting with the Zacks S&P 500 composite's +4.7% change [3] - Valmont currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

Q4 and Full-Year 2024 Earnings Presentation February 18, 2025 Valmont® © 2025 Industries, Inc. Disclosure Regarding Forward-Looking Statements These slides (and the accompanying oral discussion) contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on assumptions made by management, considering its experience in the industries where Valmont operates, perceptions of historical trends, current conditions, expected future devel ...

Core Viewpoint - Valmont Industries reported quarterly earnings of $3.84 per share, exceeding the Zacks Consensus Estimate of $3.66 per share, and showing an increase from $3.18 per share a year ago, indicating a positive earnings surprise of 4.92% [1][2] Financial Performance - The company achieved revenues of $1.04 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 3.09% and showing a slight increase from $1.02 billion year-over-year [2] - Over the last four quarters, Valmont has consistently surpassed consensus EPS estimates and topped revenue estimates twice [2] Stock Performance - Valmont shares have increased approximately 4.6% since the beginning of the year, outperforming the S&P 500's gain of 4% [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating expectations for it to outperform the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $4.08 on revenues of $1.02 billion, while for the current fiscal year, the estimate is $17.96 on revenues of $4.15 billion [7] - The trend of estimate revisions for Valmont is favorable, which is a positive indicator for future stock performance [6] Industry Context - Valmont operates within the Steel - Pipe and Tube industry, which is currently ranked in the top 5% of over 250 Zacks industries, suggesting a strong industry outlook [8]

Financial Performance - Full-Year revenue reached $4.08 billion, a decrease of 2.4% compared to $4.17 billion in the previous year[9] - Fourth Quarter net sales increased by 2.1% to $1.04 billion, up from $1.02 billion[5] - Operating income for the Fourth Quarter rose to $120.0 million, representing 11.6% of net sales, compared to $63.5 million or 6.3% of net sales in the prior year[5] - Diluted earnings per share (EPS) for the Fourth Quarter increased to $3.84, a significant rise of 178.3% from $1.38 in the same quarter last year[5] - Operating cash flows surged by 66.9% to $193.4 million, compared to $115.9 million in the previous year[5] - Net sales for the thirteen weeks ended December 28, 2024, were $1,037,294, an increase from $1,015,526 for the same period in 2023, representing a growth of 2.7%[25] - Gross profit for the thirteen weeks ended December 28, 2024, was $313,021, compared to $282,941 in the prior year, reflecting a 10.6% increase[25] - Operating income for the thirteen weeks ended December 28, 2024, reached $119,988, significantly higher than $63,548 in the same quarter of 2023, marking an increase of 88.6%[25] - Earnings per share (EPS) for the thirteen weeks ended December 28, 2024, were $3.88, compared to $1.39 for the same period in 2023, indicating a substantial increase of 179.1%[25] - The company reported a net earnings increase to $78,435 for the thirteen weeks ended December 28, 2024, compared to $34,084 in the same quarter of 2023, a growth of 130.0%[25] - Net earnings for fiscal 2024 were $350,624 thousand, significantly up from $144,912 thousand in fiscal 2023, indicating a year-over-year increase of approximately 142.5%[36] Segment Performance - Infrastructure segment sales grew by 2.1% to $763.6 million, while Agriculture segment sales increased by 2.3% to $278.0 million[8][12] - The Infrastructure segment reported net sales of $760,848 for the thirteen weeks ended December 28, 2024, up from $745,713 in the prior year, a growth of 2.3%[27] - The Agriculture segment's net sales were $276,446 for the thirteen weeks ended December 28, 2024, compared to $269,813 in the same period of 2023, reflecting a 2.4% increase[27] - Year-over-year net sales change shows a decline of 1.8% in Infrastructure and an increase of 5.4% in Agriculture, resulting in a consolidated change of (3.4)% to 3.1%[58] Future Outlook - The company projects 2025 net sales between $4.0 billion and $4.2 billion, with Agriculture net sales expected to decline by approximately 9.5% to 3.5%[16] - The company forecasts a net sales outlook midpoint of $4,100 million for fiscal 2025, reflecting an expected increase of about 0.6% compared to fiscal 2024[38] - Fiscal 2025 net sales outlook ranges from $4,000,000 to $4,200,000, with a low end of $3,025,000 in Infrastructure and $975,000 in Agriculture[58] Capital and Investment - Capital expenditures for 2025 are estimated to be between $140 million and $160 million[16] - The company achieved a return on invested capital of 16.4%[9] - Return on invested capital stands at 16.4%, calculated from an average invested capital of $2,396,436[60] - Average invested capital decreased from $2,513,477 to $2,396,436 during the reporting period[60] Cash Flow and Assets - The company reported a net cash flow from operating activities of $572,678 thousand for fiscal 2024, up from $306,775 thousand in fiscal 2023, indicating an increase of approximately 86.6%[36] - Cash and cash equivalents decreased to $164,315 thousand in fiscal 2024 from $203,041 thousand in fiscal 2023, a decline of about 19.1%[34] - Total current assets decreased from $1,787,629 thousand in fiscal 2023 to $1,683,392 thousand in fiscal 2024, a reduction of approximately 5.8%[34] - The company’s total assets decreased from $3,477,448 thousand in fiscal 2023 to $3,329,972 thousand in fiscal 2024, a reduction of approximately 4.3%[34] Liabilities and Equity - Total liabilities decreased from $2,060,376 thousand in fiscal 2023 to $1,736,359 thousand in fiscal 2024, a decline of about 15.7%[34] - The leverage ratio as of December 28, 2024, was 0.99, indicating a strong balance sheet position[52] Dividends and Shareholder Returns - Cash dividends per share remained stable at $0.60 for both the thirteen weeks ended December 28, 2024, and December 30, 2023[25] - Diluted earnings per share for fiscal 2024 were $17.19, with an anticipated increase to $18.00 for fiscal 2025, representing a growth of approximately 4.7%[38] Miscellaneous - Moody's upgraded the company's credit rating to Baa2, reflecting improved financial performance[5] - The company incurred realignment charges of $31,030 thousand for the thirteen weeks ended December 30, 2023, impacting future stock compensation[47] - Impairment of goodwill and other intangible assets amounted to $140,844 thousand for the fifty-two weeks ended December 30, 2023[46] - The company has ceased considering historical adjustments related to Prospera as relevant for understanding the Agriculture segment's performance moving forward[47] - The effective tax rate for the period is reported at 25.2%, leading to an after-tax operating income of $392,534[60] - The impact of foreign exchange on net sales is estimated at $60,000 for both low and high ends in Infrastructure and Agriculture[58] - Net sales in constant currency show a year-over-year change of (0.4)% in Infrastructure and 6.6% in Agriculture, indicating a consolidated change of (1.1)% to 4.5%[58]

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Valmont Industries despite lower revenues, with a focus on how actual results will compare to estimates [1][2]. Earnings Expectations - Valmont is expected to report quarterly earnings of $3.66 per share, reflecting a year-over-year increase of +15.1%, while revenues are projected to be $1.01 billion, a decrease of 0.9% from the previous year [3]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating that analysts have not significantly altered their outlook for the company [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that the Most Accurate Estimate for Valmont is lower than the consensus estimate, resulting in an Earnings ESP of -0.27%, suggesting a bearish sentiment among analysts [10]. Historical Performance - Valmont has consistently beaten consensus EPS estimates in the past four quarters, with a notable surprise of +3.79% in the last reported quarter [12][13]. Zacks Rank - The company currently holds a Zacks Rank of 2 (Buy), but the negative Earnings ESP makes it challenging to predict a beat against the consensus EPS estimate [11]. Conclusion - While Valmont may not be a strong candidate for an earnings beat, investors should consider other factors influencing stock performance ahead of the earnings release [16].

Water is the lifeblood of our planet, and it is increasingly under pressure. Growing populations, expanding industrial activities, and the looming effects of climate change are converging to create a global water scarcity crisis. This growing challenge has placed a spotlight on the critical role of water technology in ensuring sustainable water management for the future. For investors, this presents a compelling opportunity. This fledgling sector offers a chance to invest in companies at the forefront of in ...

A month has gone by since the last earnings report for Valmont Industries (VMI) . Shares have added about 4.5% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Valmont due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts. Valmont's Earnings and Revenues Surpass Estimates ...

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Group 1 - Valmont Industries (NYSE: VMI) is expected to see positive revenue growth next year, driven by strong demand in the Infrastructure segment [1] - The Infrastructure segment is benefiting from healthy capital expenditures in Utility and Telecom sectors, as well as IIJA funding supporting the Transportation end market [1] - There is a noted reversal in trends that is contributing to the anticipated growth in revenue for Valmont Industries [1]

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.While many investors like to look for moment ...