Valmont's Earnings and Revenues Surpass Estimates in Q3

Core Insights - Valmont Industries, Inc. (VMI) reported a third-quarter profit of $83 million or $4.11 per share, a significant improvement from a loss of $49 million or $2.34 per share in the same quarter last year, and beat the Zacks Consensus Estimate of $3.96 [1] - The company's revenues for the quarter were $1,020.2 million, down 2.9% year over year, but exceeded the Zacks Consensus Estimate of $1,019.1 million [1] Segment Review - The infrastructure segment's revenues increased by approximately 0.4% year over year to $756.4 million, although it fell short of the estimate of $759.3 million; utility sales surged around 15% due to a favorable project mix and higher volumes [2] - Agriculture segment revenues totaled $263.8 million, down 11.1% year over year, but surpassed the estimate of $261.8 million; international sales declined, particularly in Brazil, while growth was noted in the EMEA region [3] Financials - Operating cash flows amounted to $225.1 million, with cash and cash equivalents at $200.5 million at the end of the third quarter; the company paid $12.1 million in dividends and repurchased $40.1 million of its stock [4] - VMI reduced borrowings on its revolving credit facility by approximately $120 million this quarter, totaling a year-to-date net reduction of around $210 million [4] 2024 Outlook - Valmont anticipates a net sales decline of 1.5-3.5% and expects earnings per share to be in the range of $16.50 to $17.30; capital expenditures are projected to be between $85 million and $95 million to support strategic growth initiatives [5] Stock Performance - VMI shares have increased by 28.2% over the past year, outperforming the industry's rise of 8.9% during the same period [6]