VMI Valmont Industries, Inc.

Valmont Industries, Inc. engages in the manufacturing of engineered fabricated metal products. It operates through the following four segments: Engineered Support Structures, Utility Support Structures, Irrigation and Coatings. The Engineered Support Structures segment produces engineered access systems, highway safety products, and integrated structure solutions for smart cities. The Utility Support Structures segment manufactures steel and concrete pole structures for global utility transmission, distribution and generation platforms primarily in the U.S., and also produces steel energy generation structures and engineered solar tracking solutions sold outside the U.S. The Irrigation segment mechanized irrigation systems and provides water management solutions for large-scale production agriculture, and technology for precision agriculture. The Coatings segment provides global galvanizing, painting and anodizing services to preserve and protect metal products. The company was founded by Robert B. Daugherty in 1946 and is headquartered in Omaha, NE.

Company profile

Ticker

VMI

Exchange

NYSE

Website

www.valmont.com

CEO

Stephen G. Kaniewski

Incorporated in

Delaware

Location

Nebraska

Fiscal year end

Dec 26

Sector

Producer Manufacturing > Metal Fabrication

Industry (SEC)

Fabricated Structural Metal Products

HC2 • Gulf Island Fabrication • Telidyne • Techprecision • Metwood • Proto Labs • Arcosa • Innovest Global ...

SEC CIK

0000102729

Corporate docs

Articles of Incorporation & Bylaws

IRS number

470351813

VMI stock data

S&P 500

1M 1Y 2Y 5Y

Calendar

29 Apr 20

15 Jul 20

26 Dec 20

News

Company financial data Financial data

Chart VMI financial data

Quarter (USD)	Mar 20	Dec 19	Sep 19	Jun 19
Revenue	674.2M	683.63M	690.34M	700.87M
Net income	42.72M	37.4M	42.26M	42.35M
Diluted EPS	1.99	1.66	1.85	1.9
Net profit margin	6.34%	5.47%	6.12%	6.04%
Operating income	66.9M	55.04M	63.86M	63.71M
Net change in cash	-58.9M	26.34M	70.26M	45.71M
Cash on hand	294.65M	353.54M	327.2M	256.94M
Cost of revenue	487.95M	512.76M	514.25M	520.46M

Annual (USD)	Dec 19	Dec 18	Dec 17	Dec 16
Revenue	2.77B	2.76B	2.75B	2.52B
Net income	159.47M	100.31M	122.32M	178.39M
Diluted EPS	7.06	4.2	5.11	7.63
Net profit margin	5.76%	3.64%	4.45%	7.07%
Operating income	237.72M	202.28M	267.08M	245.37M
Net change in cash	40.33M	-179.6M	92.86M	50.87M
Cash on hand	353.54M	313.21M	492.81M	399.95M
Cost of revenue	2.07B	2.1B	2.06B	1.87B

Financial data from company earnings reports

Recent insider trades

VMI insider ownership history Insider history

Date	Owner	Security	Transaction	Code	10b5-1	$Price	#Shares	$Value	#Remaining
28 May 20	Laterreur Claudio	Common Stock	Payment of exercise	Dispose F	No	113.38	10	1.13K	1,047
30 Apr 20	Clark T. Jr. Randt	Common Stock	Payment of exercise	Dispose F	No	117.24	57	6.68K	8,629
30 Apr 20	den Daas Kaj	Common Stock	Payment of exercise	Dispose F	No	117.24	347	40.68K	12,478
28 Apr 20	Freye Theodor Werner	Common Stock	Grant	Aquire A	No	0	1,147	0	5,596
28 Apr 20	Lanoha Richard Andrew	Common Stock	Grant	Aquire A	No	0	573	0	573

Data from 3, 4 and 5 filings. Stock values as filed, not updated for current price.

Institutional ownership Q1 2020

VMI institutional ownership history Ownership history

85.7% owned by funds/institutions

13F holders	Current	Prev Q	Change
Total holders	235	254	-7.5%
Opened positions	29	31	-6.5%
Closed positions	48	36	+33.3%
Increased positions	84	88	-4.5%
Reduced positions	82	88	-6.8%

13F shares	Current	Prev Q	Change
Total value	5.71B	7.91B	-27.9%
Total shares	18.31M	18.67M	-1.9%
Total puts	37.8K	13.8K	+173.9%
Total calls	29.2K	13.5K	+116.3%
Total put/call ratio	1.3	1.0	+26.6%

Largest owners	Shares	Value	Change
Vanguard	2.05M	$217.08M	+4.2%
BLK BlackRock	1.91M	$202.44M	+0.3%
NEU Neuberger Berman	1.04M	$110.24M	-2.5%
IPXAF Impax Asset Management	1.01M	$107.23M	+18.3%
N Price T Rowe Associates	814.51K	$86.32M	-24.0%
Dimensional Fund Advisors	588.84K	$62.4M	-0.8%
Schroder Investment Management	552.27K	$60.2M	-2.3%
STT State Street	528.99K	$56.3M	+1.9%
Wellington Management	508.28K	$53.87M	+3.2%
King Luther Capital Management	503.16K	$53.32M	+0.0%

Largest transactions	Shares	Bought/sold	Change
Victory Capital Management	282.53K	+277.3K	+5304.2%
N Price T Rowe Associates	814.51K	-256.55K	-24.0%
Norges Bank	0	-223.69K	EXIT
Alliancebernstein	239.06K	+202.11K	+547.0%
Pictet Asset Management	332.81K	-180.93K	-35.2%
IPXAF Impax Asset Management	1.01M	+156.35K	+18.3%
IVZ Invesco	197.15K	-136.19K	-40.9%
Cramer Rosenthal MCGLYNN	447.9K	-112.12K	-20.0%
Vanguard	2.05M	+83.25K	+4.2%
Kovitz Investment Group Partners	0	-81.91K	EXIT

Data from 13F filings. Stock values as filed, not updated for current price. Long positions only.

Financial report summary

Competition

Amerityre • Telidyne

Risks

The ultimate consumers of our products operate in cyclical industries that have been subject to significant downturns which have adversely impacted our sales in the past and may again in the future.
Changes in prices and reduced availability of key commodities such as steel, aluminum, zinc, natural gas and fuel may increase our operating costs and likely reduce our net sales and profitability.
Demand for our infrastructure products and coating services is highly dependent upon the overall level of infrastructure spending.
Design patent litigation related to guardrails could reduce demand for such products and raise litigation risk.
We may lose some of our foreign investment or our foreign sales and profits may decline because of risks of doing business in foreign markets, including trade relations and tariffs.
Failure to comply with any applicable anti-corruption legislation could result in fines, criminal penalties and an adverse effect on our business.
We are subject to currency fluctuations from our international sales, which can negatively impact our reported earnings.
Our businesses require skilled labor and management talent and we may be unable to attract and retain qualified employees.
We may incur significant warranty or contract management costs.
We face strong competition in our markets.
We could incur substantial costs as the result of violations of, or liabilities under, environmental laws.
We may not realize the improved operating results that we anticipate from acquisitions we may make in the future, and we may experience difficulties in integrating the acquired businesses or may inherit significant liabilities related to such businesses.
We have, from time to time, maintained a substantial amount of outstanding indebtedness, which could impair our ability to operate our business and react to changes in our business, remain in compliance with debt covenants and make payments on our debt.
We assumed an underfunded pension liability as part of the 2010 Delta acquisition and the combined company may be required to increase funding of the plan and/or be subject to restrictions on the use of excess cash.
Regulatory and business developments regarding climate change could adversely impact our operations and demand for our products.

Management Discussion

The increase in net sales in 2019, as compared with 2018, was due to higher sales in the ESS, Utility, and Coatings segments that were substantially offset by lower sales in the Irrigation and Other segments. The changes in net sales in 2019, as compared with 2018, were as follows:
Volume effects are estimated based on a physical production or sales measure. Since products we sell are not uniform in nature, pricing and mix relate to a combination of changes in sales prices and the attributes of the product sold. Accordingly, pricing and mix changes do not necessarily directly result in operating income changes.
Average steel index prices for both hot rolled coil and plate were lower in North America and China in 2019, as compared to 2018, resulting in lower average costs of sales and improved gross profit.

Content analysis ?

Positive
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Constraining
Legalese
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Readability	8th grade Avg

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From filing 10-Q 2020 Q1