Third Quarter 2026
Filed Oct 20, 2026Valmont Reports Third Quarter 2026 Results and Raises Full-Year 2026 Adjusted EPS Guidance
Third-quarter net sales increased 5.5%, GAAP operating income increased 22.2%, and diluted earnings per share increased 25.3%. Infrastructure growth and Agriculture operating-income improvement offset declining Agriculture sales, while the company raised adjusted diluted EPS guidance and reaffirmed sales outlook.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 2026 net salesGAAP | $1.10B | – | 5.5% |
| Q3 2026 gross profitGAAP | $331.4M | – | 4.1% |
| Q3 2026 gross profit as a % of net salesGAAP | 30.0% | – | – |
| Q3 2026 operating incomeGAAP | $172.8M | – | 22.2% |
| Q3 2026 operating income as a % of net salesGAAP | 15.7% | – | – |
| Q3 2026 net earnings attributable to Valmont Industries, Inc.GAAP | $121.1M | – | 22.2% |
| Q3 2026 diluted earnings per shareGAAP | $6.24 | – | 25.3% |
| Q3 2026 weighted average shares outstanding - dilutedGAAP | 19,391 | – | – |
| Q3 2026 weighted average shares outstanding - basicGAAP | 19,232 | – | – |
| Q3 2026 earnings per share - basicGAAP | $6.29 | – | – |
| Q3 2026 cash dividends per shareGAAP | $0.77 | – | – |
| Year-to-date 2026 net salesGAAP | $3.25B | – | 6.1% |
| Year-to-date 2026 gross profitGAAP | $989.1M | – | 6.3% |
| Year-to-date 2026 gross profit as a % of net salesGAAP | 30.4% | – | – |
| Year-to-date 2026 adjusted gross profitnon-GAAP | $989.1M | – | 6.1% |
| Year-to-date 2026 adjusted gross profit as a % of net salesnon-GAAP | 30.4% | – | – |
| Year-to-date 2026 operating incomeGAAP | $494.6M | – | 65.4% |
| Year-to-date 2026 operating income as a % of net salesGAAP | 15.2% | – | – |
| Year-to-date 2026 adjusted operating incomenon-GAAP | $494.6M | – | 20.3% |
| Year-to-date 2026 adjusted operating income as a % of net salesnon-GAAP | 15.2% | – | – |
| Year-to-date 2026 net earnings attributable to Valmont Industries, Inc.GAAP | $349.0M | – | 123.7% |
| Year-to-date 2026 adjusted net earnings attributable to Valmont Industries, Inc.non-GAAP | $349.0M | – | 23.1% |
| Year-to-date 2026 diluted earnings per shareGAAP | $17.88 | – | 129.2% |
| Year-to-date 2026 adjusted diluted earnings per sharenon-GAAP | $17.88 | – | 26.2% |
| Year-to-date 2026 weighted average shares outstanding - dilutedGAAP | 19,516 | – | – |
| Year-to-date 2026 weighted average shares outstanding - basicGAAP | 19,357 | – | – |
| Year-to-date 2026 earnings per share - basicGAAP | $18.03 | – | – |
| Year-to-date 2026 cash dividends per shareGAAP | $2.31 | – | – |
| Q3 2026 operating cash flowGAAP | $100.5M | – | – |
| Year-to-date 2026 net cash flows from operating activitiesGAAP | $352.1M | – | – |
| Year-to-date 2026 purchases of property, plant, and equipmentGAAP | −$116.1M | – | – |
| Q3 2026 capital expendituresother | $45.6M | – | – |
| Cash and cash equivalents as of September 26, 2026GAAP | $122.0M | – | – |
| Long-term debt, excluding current installments, as of September 26, 2026GAAP | $756.1M | – | – |
| Current installments of long-term debt as of September 26, 2026GAAP | $152 | – | – |
| Leverage ratio as of September 26, 2026non-GAAP | 0.94 | – | – |
| Adjusted EBITDA, four fiscal quarters ended September 26, 2026non-GAAP | $753.0M | – | – |
| Total backlog as of September 26, 2026other | $2,007.8 | – | – |
| Infrastructure backlog as of September 26, 2026other | $1,808.2 | – | – |
| Agriculture backlog as of September 26, 2026other | $199.6M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| InfrastructureNorth America Utility sales increased 23.0% on higher pricing and volumes supported by strong market demand. North America Coatings sales grew 13.8% on broader infrastructure demand. International sales increased primarily due to pricing actions and favorable foreign currency impacts, partly offset by significantly lower North America Telecommunications volumes. | $882.1M | – | 9.1% |
| AgricultureNorth America sales increased 15.8% on higher volumes, including storm replacement activity, and favorable pricing. International sales decreased 25.3%, primarily due to lower volumes in the Middle East and Brazil. | $226M | – | (6.4%) |
Full-Year 2026 outlook
- Revenue$4.3 to $4.45 billion
- Tax rate~26.0%
- NoteInfrastructure Net Sales: $3.4 to $3.5 billion
- NoteAgriculture Net Sales: $0.9 to $0.95 billion
- NoteAdjusted Diluted Earnings per Share: $22.75 to $23.75
- NoteCapital Expenditures: $170 to $200 million
- NoteSteel cost assumptions are aligned with markets as of October 16, 2026
- NoteForeign currency assumptions are based on FX rates as of October 16, 2026
- NoteThis outlook includes the current tariffs as of October 16, 2026 and assumes no material change to the current trade or tariff environment
Capital returns
- Returned $97.2 million to shareholders through $82.3 million in share repurchases and $14.9 million in dividends during Q3 2026.
- Year-to-date 2026 repurchases of common stock were $(199,859), compared to $(125,839).
- Year-to-date 2026 dividends paid were $(43,091), compared to $(39,085).
What drove it
- Higher pricing and volumes in North America Utility and Coatings supported Infrastructure growth.
- North America Utility capacity ramp costs, higher steel and zinc costs, and lower North America Telecommunications volumes partly offset Infrastructure profit drivers.
- Agriculture operating income benefited from lower credit losses in Brazil and higher North America volumes.
- The company is taking pricing actions and applying contractual pass-throughs to recover higher steel and zinc costs.
- The company invested $45.6 million in capital expenditures primarily to support growth-related capacity expansion in the North America Utility product line.
Concerns
- Agriculture sales decreased 6.4% due to lower international volumes in the Middle East and Brazil.
- North America Telecommunications volumes were significantly lower as customers shifted capital allocation priorities.
- Infrastructure operating income margin was 17.6%, compared to 17.8%, with higher material costs and Utility capacity-ramp costs cited as offsets.
- Management stated that the pace of margin expansion depends in part on how quickly input costs stabilize.
- The outlook assumes no material change to the current trade or tariff environment.
What to watch
- Conversion of capacity investments into higher throughput and productivity across Infrastructure.
- Pricing actions and contractual pass-throughs intended to recover higher steel and zinc costs.
- North America Utility and Coatings demand versus continued lower North America Telecommunications volumes.
- International Agriculture volumes, particularly in the Middle East and Brazil.
- Progress against the $170 to $200 million full-year capital-expenditure outlook and the $22.75 to $23.75 adjusted diluted EPS outlook.
Balance sheet and cash flow
- Cash and cash equivalents were $122,045 as of September 26, 2026, compared to $187,140 as of December 27, 2025.
- Long-term debt, excluding current installments, was $756,141 as of September 26, 2026, compared to $795,150 as of December 27, 2025.
- Net indebtedness was $708,583 and the leverage ratio was 0.94 as of September 26, 2026.
- Year-to-date net cash flows from operating activities were $352,075, compared to $345,243.
- Year-to-date purchases of property, plant, and equipment were $(116,077), compared to $(104,230).
- Year-to-date acquisitions, net of cash acquired, were $(11,470).
Analysis
Valmont reported third-quarter net sales of $1,103,801, up 5.5%, while GAAP operating income increased 22.2% to $172,834. GAAP operating margin increased to 15.7% from 13.5%, and net earnings attributable to Valmont Industries, Inc. increased 22.2% to $121,053. Diluted earnings per share increased 25.3% to $6.24. Gross profit increased 4.1% to $331,384, but gross profit as a percentage of net sales was 30.0%, compared with 30.4%.
Infrastructure was the principal growth engine. Segment sales increased 9.1% to $882.1 million, led by a 23.0% increase in North America Utility sales and a 13.8% increase in North America Coatings sales. The company cited higher pricing, higher volumes, strong market demand, pricing actions, and favorable foreign currency impacts. Infrastructure operating income increased to $154.8 million, although the operating margin was 17.6%, compared with 17.8%, as higher steel and zinc costs, Utility capacity-ramp costs, and lower North America Telecommunications volumes offset pricing and volume gains.
Agriculture produced a mixed top-line and profit result. Segment sales decreased 6.4% to $226.0 million, as a 25.3% decline in international sales, primarily from lower Middle East and Brazil volumes, outweighed 15.8% North America sales growth. Segment operating income nonetheless increased to $40.1 million from $23.2 million and margin increased to 17.9% from 9.7%, supported by lower credit losses in Brazil and higher North America volumes.
For the first thirty-nine weeks, GAAP net sales increased 6.1% to $3,251,687 and adjusted operating income increased 20.3% to $494,571. GAAP year-to-date earnings comparisons include prior-year impairment, realignment, other non-recurring charges, and a change in redemption value of redeemable noncontrolling interests. The company reported year-to-date operating cash flow of $352,075, capital expenditures of $(116,077), and common-stock repurchases of $(199,859). Cash and cash equivalents were $122,045, while long-term debt excluding current installments was $756,141.
Management reaffirmed full-year net sales guidance of $4.3 to $4.45 billion, including $3.4 to $3.5 billion for Infrastructure and $0.9 to $0.95 billion for Agriculture. It raised adjusted diluted EPS guidance to $22.75 to $23.75 from $22.25 to $23.50. The company retained its $170 to $200 million capital-expenditure outlook and approximately 26.0% adjusted effective tax-rate assumption. The guide embeds steel-cost, foreign-exchange, tariff, and trade-environment assumptions as of October 16, 2026.
Management, verbatim
We delivered another quarter of sales and earnings growth. Higher sales in North America Utility and Coatings reinforce our confidence in the strength and durability of the infrastructure market.
Avner M. Applbaum, President and Chief Executive Officer
Given our results, we are raising our adjusted earnings per share guidance range.
Avner M. Applbaum, President and Chief Executive Officer
The pace of margin expansion depends in part on how quickly input costs stabilize.
Avner M. Applbaum, President and Chief Executive Officer
Not in the filing
stated, not guessed- Prior-quarter comparisons for third-quarter revenue, profit, margins, EPS, and segment sales were not reported.
- Quarterly free cash flow was not reported.
- A full-year 2026 GAAP EPS outlook and reconciliation of forward-looking adjusted diluted EPS to GAAP were not provided.
- Full-year 2026 gross-margin and operating-expense guidance were not provided.
- Prior-release outlook was not provided; therefore, no actual-versus-prior-guidance comparison is included.
- Year-over-year changes for balance-sheet balances, operating cash flow, capital expenditures, backlog, capital returns, and cash dividends per share were not explicitly reported on their respective rows.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.