Valmont Industries, Inc., a global leader that provides vital infrastructure and advances agricultural productivity while driving innovation through technology, reported Oct. 22, 2024, the financial results for the third quarter ended September 28, 2024.
President and Chief Executive Officer Avner M. Applbaum commented, “Our team delivered another solid quarter, expanding operating margins and generating strong operating cash flows despite lower sales. The Infrastructure segment benefited from strong utility market demand and an improving telecommunications market in North America. Pricing discipline, a more favorable product mix, and a leaner cost structure contributed to margin improvement. In Agriculture, while North American and Brazilian markets remain muted, I’m proud of our swift response in supplying replacement equipment to support our dealers following the Midwest U.S. storms earlier this year. I want to thank the Valmont team for their hard work and execution in delivering higher operating margins and cash flows. Overall, I’m pleased with our continued progress towards our strategic priorities and creating long-term value for our stakeholders.”
Third Quarter 2024 Highlights (all metrics compared to Third Quarter 2023 unless otherwise noted):
- Net sales of $1.0 billion decreased 2.9%, as strong growth in Transmission, Distribution, and Substation (“Utility”) and Telecommunications was offset by lower sales in Solar and international Agriculture, specifically Brazil
- Operating income increased to $125.7 million or 12.3% of net sales compared to an operating loss of ($24.2) million [adjusted 1 operating income of $120.8 million or 11.5% of net sales]
- Diluted earnings per share (“EPS”) of $4.11 compared to diluted loss per share of ($2.34) [$4.12 EPS adjusted 1 ]
- Generated operating cash flows of $225.1 million; cash and cash equivalents at the end of the third quarter were $200.5 million
- Returned $52.2 million to shareholders through share repurchases and dividends
- Reduced revolving credit facility borrowings by approximately $120.0 million
- Reaffirming 2024 full-year financial outlook
To view the full Q3 results, click here.
