NYSE$VMI

Valmont Industries Inc. · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Valmont reported record sales and earnings driven by strong demand in infrastructure and agriculture markets.

Valmont Industries reported record third quarter net sales of $1.1 billion, a 26.3% increase compared to the same period last year. Operating income increased by 44.3% to $110.0 million, and diluted earnings per share reached a record $3.34.

  • Record third quarter net sales of $1.1 billion, up 26.3% year-over-year.
  • Operating income increased 44.3% to $110.0 million, representing 10.0% of net sales.
  • Record third quarter diluted earnings per share (EPS) of $3.34.
  • Generated $116 million in operating cash flows, driven by better working capital management and reduced inventory compared to the second quarter of 2022.

Headline financials

Total Revenue

$1.1B

Previous: $869M+26.3%
EPS (adj)

$3.49

Previous: $2.57+35.8%
Operating Income as % of Net Sales

10.0%

Previous: 8.8%+13.6%
Capital Expenditures

-$67.1M

Previous: -$80.5M+16.6%
Free Cash Flow

$5.81M

Previous: -$28.3M+120.6%
Net Income

$72.9M

Previous: $52.3M+39.6%
Operating Income

$110M

Previous: $76.2M+44.3%
Gross Profit

$285M

Previous: $227M+25.5%
Cash & Equivalents

$166M

Previous: $170M-2.1%
Total Assets

$3.62B

Previous: $3.41B+6.2%
Stock-Based Comp

$10.4M

Previous: $8.95M+16.4%

Revenue & EPS history

Valmont · Revenue · Quarterly

$1.1B

Q3 2022+26.3%vs Q3 2021
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Forward guidance

Valmont anticipates favorable market conditions and strong demand to continue into 2023. They expect sales growth of 6% to 9% and earnings per share growth of 11% to 15%.

Tailwinds

  • Favorable market conditions are expected to continue.
  • Strong demand is anticipated to continue.
  • Robust backlog supports future revenue.
  • Ongoing pricing strategies across the portfolio.
  • Diversified business portfolio allows for flexibility.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

+1.2%

Avg return

Earnings day

+1.7%

Avg return

5 days after

+2.1%

Avg return

30 days after

53%

36 / 68 earnings

Positive

+19.4%

Q1 2024

Best reaction

-13.5%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+11.9%+21.7%+23.4%
Q4 2025-6.6%-0.9%-16.6%
Q3 2025+1.6%+2.2%-7.3%
Q2 2025+3.1%+1.6%+5.1%
Q1 2025+3.2%+8.7%+16.0%
Q4 2024+17.5%+8.8%+1.8%
Q3 2024+7.8%+5.0%+12.2%
Q2 2024+8.3%+8.0%+4.5%
Q1 2024+19.4%+21.0%+22.8%
Q4 2023-3.0%-4.9%-2.4%
Q3 2023-13.5%-16.1%-7.9%
Q2 2023-8.0%-6.4%-12.7%
Q1 2023+3.3%-0.7%-3.4%
Q4 2022-6.7%-2.8%-3.7%
Q3 2022+1.9%+4.1%+11.0%
Q2 2022+7.9%+8.2%+22.8%
Q1 2022+7.5%+7.1%+0.7%
Q4 2021-1.2%-3.4%+8.3%
Q3 2021-5.3%-4.9%+4.5%
Q2 2021+0.8%+1.0%+4.5%
Q1 2021+1.1%+5.7%+6.1%
Q4 2020-1.0%+1.6%+5.9%
Q3 2020+6.8%+6.4%+16.6%
Q2 2020+6.1%+6.7%+6.2%
Q1 2020+11.5%+12.1%+1.2%
Q4 2019-11.1%-20.9%-40.4%
Q3 2019-4.4%-2.1%+0.8%
Q2 2019+8.7%+8.2%+6.1%
Q4 2018-0.8%-1.2%-6.3%
Q3 2018-10.8%-9.8%-2.7%
Q2 2018-0.6%-1.7%+0.5%
Q1 2018+1.7%+0.9%+0.8%
Q4 2017-3.4%-4.5%-9.2%
Q3 2017+1.5%+0.0%+2.4%
Q2 2017+4.7%+2.6%-1.6%
Q1 2017+2.3%-0.6%-1.6%
Q4 2016+8.8%+10.2%+5.5%
Q3 2016-1.0%+0.7%+9.2%
Q2 2016-3.5%-5.2%-3.1%
Q1 2016+11.1%
Q4 2015+1.7%
Q3 2015+11.8%
Q2 2015-3.0%
Q1 2015+4.0%
Q4 2014-2.1%
Q3 2014-1.8%
Q2 2014-1.0%
Q1 2014-5.8%
Q4 2013-3.6%
Q3 2013+1.3%
Q2 2013+1.9%
Q1 2013+2.5%
Q4 2011+3.1%
Q4 2012+5.7%
Q3 2012+2.3%
Q2 2012-5.8%
Q1 2012+0.6%
Q3 2011+3.4%
Q2 2011-1.0%
Q1 2010+0.2%
Q1 2011-0.3%
Q4 2008-2.9%
Q4 2010-2.9%
Q3 2009-1.3%
Q3 2010-1.3%
Q2 2010-1.6%
Q2 2009-1.6%
Q4 2009-1.6%

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