stockrowWhat it does
Valmont Industries manufactures products and provides services for infrastructure and agriculture. Founded in 1946, it is headquartered in Omaha, Nebraska, and led by President and Chief Executive Officer Avner M. Applbaum.
Its Infrastructure business makes structures that carry electricity, support streetlights and traffic signs, and hold wireless communications equipment. For electric utilities, these include steel, concrete and composite structures used in transmission, substations and distribution. It also provides coatings that protect metal from corrosion and makes trackers that adjust the position of solar panels.
Its Agriculture business makes mechanized irrigation equipment under the Valley brand. A center-pivot system carries water through a pipeline supported by wheeled towers and rotates across a field; a linear system moves across a field instead. Valmont also sells replacement parts and technology that lets growers monitor and control irrigation equipment remotely.
Customers include electric utilities, developers, wireless carriers, contractors and farmers. Valmont sells infrastructure products directly and through agents, while independent dealers sell, install and support its irrigation systems. Its coatings operations serve outside customers as well as other Valmont product lines.
The company had 10,791 employees as of December 27, 2025. Its sales can follow seasonal patterns: irrigation equipment sales typically peak in spring and fall, while infrastructure sales tend to increase in summer and fall.
How it makes money
Valmont earns revenue from products and services in two reportable segments. Infrastructure generated $3.1 billion in fiscal 2025, while Agriculture generated $1.0 billion. In the third quarter of 2026, consolidated net sales were $1.1 billion.
Infrastructure includes utility structures, lighting and transportation products, telecommunications equipment, solar trackers and metal coatings. Utility revenue was $1.5 billion in fiscal 2025. Valmont designs and manufactures structures for individual project requirements, including environmental conditions and the loads they must carry. Infrastructure contracts are often awarded through competitive bids, sometimes to the lowest bidder meeting the required qualifications. Some utility customers have preferred-provider arrangements that typically last between three and five years and are often renewed.
Agriculture revenue comes from irrigation machines, aftermarket parts, tubular products and technology services. Growers buy irrigation systems as capital investments, and their decisions depend in part on expected returns, financing, crop prices and water regulations. Dealers customize and install systems and provide ongoing support. Parts and technology services give Valmont ways to sell to customers after an initial equipment purchase, although equipment demand also includes replacement of older machines.
Coatings revenue comes from services such as galvanizing and painting. Galvanizing applies zinc to steel to protect against corrosion; some demand comes from Valmont’s own operations. High freight costs generally limit the distance over which a galvanizing location can serve customers.
Utility contracts can include steel-cost pass-throughs. Valmont says the size and duration of its utility backlog mean higher material costs can affect results before the related pricing adjustments reach revenue.
| Product or service | Revenue, FY2025 | Share | Change on the year |
|---|---|---|---|
| Utility | $1.5 billion | 33.3% | 10.4% |
| Irrigation Equipment and Parts | $919.9 million | 20.3% | −6.02% |
| Lighting and Transportation | $830.3 million | 18.3% | −6.09% |
| Service sales | $433.5 million | 9.55% | 4.65% |
| Coatings | $353.0 million | 7.78% | 2.71% |
| Telecommunications | $313.9 million | 6.92% | 25.2% |
| Technology Products and Services | $94.5 million | 2.08% | −3.47% |
| Solar | $81.5 million | 1.80% | −46.2% |
Customers and how it sells
Valmont serves electric utilities, energy developers, wireless carriers, cell-site operators, government agencies, contractors, industrial customers and growers. Solar customers include engineering, procurement and construction firms, independent power producers and utilities. Coatings customers come from several industries, and Valmont’s own operations also use those services.
The company does not depend on a single customer or a limited number of customers for a significant portion of revenue in either segment. It does not expect the loss of any one customer to materially affect its financial condition, results or liquidity.
Infrastructure products reach customers through a direct sales force and commissioned agents. Utility and solar products are typically sold directly to utilities, developers or energy providers. Agents also work with end users and distributors to supply combinations of poles, fixtures and other equipment.
Agriculture equipment, technology and parts are marketed through independent dealers. Approximately 250 dealer locations serve North America, and around 400 locations cover international markets across more than 60 countries. Dealers assess growers’ needs, arrange installations and provide ongoing support. Regional operations help support dealers in South America, South Africa, Western Europe, Australia, China and the United Arab Emirates.
Valmont recorded $3.0 billion of United States revenue and $1.1 billion of international revenue in fiscal 2025. North America is a significant utility market, while Agriculture serves growers in both North American and international markets.
| Region | Revenue, FY2025 | Share | Change on the year |
|---|---|---|---|
| North America | $3.0 billion | 36.6% | 3.61% |
| United States | $3.0 billion | 36.0% | 3.54% |
| International | $1.1 billion | 13.4% | −6.44% |
| Other | $705.6 million | 8.60% | −0.34% |
| Australia | $282.3 million | 3.44% | −8.98% |
| Brazil | $159.1 million | 1.94% | −20.8% |
Suppliers and costs
Valmont’s primary raw materials include hot-rolled steel coil and plate, zinc and other carbon steel products. It buys them from steel mills, steel service centers and zinc producers. The company says these materials are generally readily available, although prices and lead times can change. It has sourced steel on the same continent as its manufacturing locations and does not anticipate extended shortages of steel, zinc or natural gas.
Trade policy and tariffs can raise costs or disrupt availability. Valmont also needs skilled employees for engineering, welding, equipment maintenance and operation of manufacturing machinery. Freight is a consideration for coatings: galvanizing services are generally limited to a radius of about 300 to 500 miles because of shipping costs.
In the third quarter of 2026, the steel price index used for contractual pass-throughs averaged approximately 50% above prior-year levels. Valmont says material costs can affect utility results before contract pricing adjustments reach revenue. It expects pricing to catch up when input costs stabilize, typically over 2 to 3 quarters.
Fiscal 2025 operating income was affected by asset impairment and realignment charges, while selling, general and administrative expenses included legal contingency reserves and expected credit losses in Brazil.
- Revenue$4.1B
- Cost of revenue−$2.9B
- Selling, general and administrative−$717.6M
- Other operating costs−$106.7M
- Operating income$415.6M
Competitive position
Valmont competes with manufacturers and service providers across its infrastructure and agriculture markets. Infrastructure work is frequently bid competitively, and pricing can become intense when demand is weak or currency movements favor imports. Coatings competition is fragmented, with many smaller private companies competing on price and customer relationships. Solar competitors are primarily mid-sized market participants.
Nucor competes in the utility infrastructure market and has announced plans to add capacity. Valmont says industry demand still exceeds supply despite capacity additions. In irrigation, competitors include other major U.S. companies and privately owned local businesses; price can play a larger role in international markets. Irrigation competitors also differentiate on durability, reliability, quality and local dealer service.
Valmont’s competitive approach emphasizes engineering, product quality, service and delivery. Some infrastructure customers have preferred-provider arrangements, and utility customers consult Valmont on structural alternatives and installation costs. Its dealer network helps configure, install and service irrigation systems. The company also holds patents and trademarks, although it does not believe losing any single one would materially affect its financial condition, results or liquidity.
Our reading: Engineering capabilities and customer relationships can support Valmont’s position in utility projects, but competitive bidding limits how much protection they provide. Our reading: The irrigation dealer network can make local service a useful advantage, while price competition and rival dealer capabilities constrain it. Our reading: Individual patents appear to provide limited protection on their own, given the company’s assessment of their potential loss.
| Competitor | Where they compete | Threat (our reading) |
|---|---|---|
| Nucor | Utility infrastructure capacity | Medium |
Growth opportunities
Valmont identifies electrical grid investment as a source of utility demand. Utilities are upgrading aging infrastructure, adding transmission capacity and responding to increased electricity consumption, including demand associated with data centers. The company is investing in manufacturing capacity to serve that market.
By the end of the third quarter of 2026, Valmont had installed and commissioned approximately 20% of the incremental utility steel production capacity required for its 2029 plan. It expects to double growth capital investment in 2027 compared with 2026 to support utility and coatings expansion. The company says utility orders are being booked well into 2028, and it secured a contract to supply distribution poles to a European utility.
Agricultural growth opportunities include conversion from flood irrigation, replacement of older equipment and irrigation of previously unirrigated land. Water scarcity and government food-security initiatives can influence demand. Valmont is also investing in aftermarket parts and technology services, including remote monitoring and control.
The company was awarded a $100 million food-security project in North Africa that includes technology and water-management solutions. It expects shipments to begin in the first half of 27. Valmont also expects to shift more existing galvanizing capacity toward its own growing internal volumes as expansion projects come online.
Demand varies by market: Valmont says lower grain prices and higher input costs are constraining North American farm spending, while several telecommunications carriers have delayed site modifications following the peak of the 5G build-out.
- $3.5BFY2021
- $4.3BFY2022
- $4.2BFY2023
- $4.1BFY2024
- $4.1BFY2025
- $900.0MFY2026 guidance
Structural risks
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Cyclical customer demand: Valmont’s customers operate in industries that have experienced downturns. Irrigation purchases depend on farm income, commodity prices, financing and weather. Lower grain prices and higher input costs are constraining North American farm capital spending.
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Materials and pricing timing: Steel, zinc and other input prices can rise, and supply constraints can extend lead times. For utility orders, costs can affect results before contractual pricing adjustments reach revenue.
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Trade and international operations: Tariffs, trade restrictions, currency movements and political or economic instability can increase costs or reduce sales. Conflict in the Middle East is affecting Valmont’s operations and the timing of some customer projects.
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Construction and carrier spending: Weaker economic conditions can limit funds for construction, while higher interest rates raise financing costs. Several telecommunications carriers have delayed site modifications, affecting demand.
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Credit and charges: Fiscal 2025 expenses included expected credit losses and legal contingency reserves in Brazil, as well as asset impairment charges. Valmont’s international agricultural sales can also be affected by grower credit conditions.
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Labor and debt: The business relies on skilled labor and management talent and may have difficulty attracting or retaining employees. Indebtedness can constrain its ability to respond to changes, comply with covenants and make debt payments.
Bottom line
Our reading
Our reading: Valmont combines project-based infrastructure manufacturing with an irrigation equipment business that also earns revenue from parts and services; utility demand is currently supporting capacity investment while farm purchasing remains constrained (item1; call_prepared). Our reading: Customer relationships, engineering and dealers matter, but competitive bidding, cyclical markets and delays between material-cost increases and pricing adjustments leave results exposed to changes in demand and costs (item1; item1a; call_prepared).