BUSINESS SEGMENTS & RELATED REVENUE INFORMATION

12 Months Ended

Dec. 28, 2024

BUSINESS SEGMENTS [Abstract]

BUSINESS SEGMENTS & RELATED REVENUE INFORMATION

(20) BUSINESS SEGMENTS

The Company’s chief operating decision maker (“CODM”) is the President and Chief Executive Officer. The CODM uses operating income as the profit measure to evaluate segment performance and allocate resources across segments. Segment selling, general, and administrative expenses include certain corporate expense allocations, typically based on employee headcounts and sales volumes. For segment reporting purposes, the Company excludes unallocated corporate general and administrative expenses, interest expenses, non-operating income and deductions, and income taxes from operating income. The accounting policies for the reportable segments are consistent with those described in Note 1.

The reportable segments are as follows:

Infrastructure: This segment consists of the manufacture and distribution of products and solutions to serve the infrastructure markets of utility, solar, lighting and transportation, and telecommunications, along with coatings services to protect metal products.

Agriculture: This segment consists of the manufacture of center pivot and linear irrigation equipment components for agricultural markets, including aftermarket parts and tubular products, and advanced technology solutions for precision agriculture.

Included in the “Other” segment are the activities of the offshore wind energy structures business, which was divested in the fourth quarter of fiscal 2022.

In the fourth quarter of fiscal 2024, the Company renamed its Transmission, Distribution, and Substation product line to the Utility product line.

In fiscal 2024, the Company realigned management's reporting structure for certain composite structure sales and, accordingly, revised its presentation of sales across product lines to reflect how the product is currently managed. The reporting for fiscal years 2023 and 2022 was adjusted to conform to the 2024 presentation. As a result, Utility product line sales increased and Lighting and Transportation product line sales decreased by $47,902 and $32,533 for fiscal 2023 and fiscal 2022, respectively.

Summary by Business Segment

	Fiscal year ended December 28, 2024
	Infrastructure		Agriculture		Consolidated
Sales	$	3,008,576	$	1,083,708	$	4,092,284
Intersegment sales		(10,195)		(7,055)		(17,250)
Net sales		2,998,381		1,076,653		4,075,034
Cost of sales		2,094,645		739,177		2,833,822
Gross profit		903,736		337,476		1,241,212
Selling, general, and administrative expenses (a)		406,596		199,140		605,736
Segment operating income	$	497,140	$	138,336		635,476
Unallocated corporate expenses						110,892
Total operating income					$	524,584

	Fiscal year ended December 30, 2023
	Infrastructure		Agriculture		Consolidated
Sales	$	3,010,067	$	1,182,223	$	4,192,290
Intersegment sales		(10,430)		(7,262)		(17,692)
Net sales		2,999,637		1,174,961		4,174,598
Cost of sales		2,157,556		781,008		2,938,564
Gross profit		842,081		393,953		1,236,034
Selling, general, and administrative expenses (a)		424,997		230,729		655,726
Impairment of goodwill and other intangible assets		3,571		137,273		140,844
Realignment charges		17,260		9,101		26,361
Segment operating income	$	396,253	$	16,850		413,103
Unallocated corporate expenses						112,697
Corporate realignment charges						8,849
Total operating income					$	291,557

	Fiscal year ended December 31, 2022
	Infrastructure		Agriculture		Other		Consolidated
Sales	$	2,928,419	$	1,346,672	$	100,219	$	4,375,310
Intersegment sales		(18,673)		(11,387)		—		(30,060)
Net sales		2,909,746		1,335,285		100,219		4,345,250
Cost of sales		2,173,135		953,492		92,399		3,219,026
Gross profit		736,611		381,793		7,820		1,126,224
Selling, general, and administrative expenses (a)		382,112		202,530		5,561		590,203
Segment operating income	$	354,499	$	179,263	$	2,259		536,021
Unallocated corporate expenses								102,772
Total operating income							$	433,249

(a) Selling, general, and administrative expenses for each reportable segment includes compensation, certain allocated overhead expenses including information technology and enterprise resource planning, commissions, incentives, depreciation and amortization expense, and research and development.

	Fiscal year ended December 28, 2024
	Infrastructure		Agriculture		Intersegment		Consolidated
Geographical market:
North America	$	2,348,250	$	570,517	$	(17,045)	$	2,901,722
International		660,326		513,191		(205)		1,173,312
Total sales	$	3,008,576	$	1,083,708	$	(17,250)	$	4,075,034
Product line:
Utility	$	1,368,333	$	—	$	—	$	1,368,333
Lighting and Transportation		884,128		—		—		884,128
Coatings		353,739		—		(9,992)		343,747
Telecommunications		250,770		—		—		250,770
Solar		151,606		—		(203)		151,403
Irrigation Equipment and Parts		—		985,840		(7,055)		978,785
Technology Products and Services		—		97,868		—		97,868
Total sales	$	3,008,576	$	1,083,708	$	(17,250)	$	4,075,034

	Fiscal year ended December 30, 2023
	Infrastructure		Agriculture		Intersegment		Consolidated
Geographical market:
North America	$	2,318,801	$	587,056	$	(16,282)	$	2,889,575
International		691,266		595,167		(1,410)		1,285,023
Total sales	$	3,010,067	$	1,182,223	$	(17,692)	$	4,174,598
Product line:
Utility	$	1,291,670	$	—	$	—	$	1,291,670
Lighting and Transportation		916,170		—		—		916,170
Coatings		354,330		—		(9,020)		345,310
Telecommunications		252,165		—		—		252,165
Solar		195,732		—		(1,410)		194,322
Irrigation Equipment and Parts		—		1,069,425		(7,262)		1,062,163
Technology Products and Services		—		112,798		—		112,798
Total sales	$	3,010,067	$	1,182,223	$	(17,692)	$	4,174,598

	Fiscal year ended December 31, 2022
	Infrastructure		Agriculture		Other		Intersegment		Consolidated
Geographical market:
North America	$	2,234,339	$	766,929	$	—	$	(26,248)	$	2,975,020
International		694,080		579,743		100,219		(3,812)		1,370,230
Total sales	$	2,928,419	$	1,346,672	$	100,219	$	(30,060)	$	4,345,250
Product line:
Utility	$	1,217,193	$	—	$	—	$	—	$	1,217,193
Lighting and Transportation		907,929		—		—		—		907,929
Coatings		356,707		—		—		(15,327)		341,380
Telecommunications		320,342		—		—		—		320,342
Solar		126,248		—		—		(3,346)		122,902
Irrigation Equipment and Parts		—		1,231,587		—		(11,387)		1,220,200
Technology Products and Services		—		115,085		—		—		115,085
Other		—		—		100,219		—		100,219
Total sales	$	2,928,419	$	1,346,672	$	100,219	$	(30,060)	$	4,345,250

	Fiscal Year Ended
	December 28,		December 30,		December 31,
	2024		2023		2022
EARNINGS BEFORE INCOME TAXES AND EQUITY IN LOSS OF NONCONSOLIDATED SUBSIDIARIES:
Infrastructure	$	497,140	$	396,253	$	354,499
Agriculture		138,336		16,850		179,263
Other		—		—		2,259
Total segment operating income		635,476		413,103		536,021
Unallocated corporate expenses		(110,892)		(121,546)		(102,772)
Total operating income		524,584		291,557		433,249
Net interest expense		(51,539)		(50,578)		(45,519)
Other income (expenses)		(4,364)		(4,527)		(23,842)
Earnings before income taxes and equity in loss of nonconsolidated subsidiaries	$	468,681	$	236,452	$	363,888

	December 28,		December 30,
	2024		2023
ASSETS:
Infrastructure	$	2,181,345	$	2,249,132
Agriculture		876,486		978,590
Total segment assets		3,057,831		3,227,722
Unallocated corporate assets		272,141		249,726
Total assets	$	3,329,972	$	3,477,448

	Fiscal Year Ended
	December 28,		December 30,		December 31,
	2024		2023		2022
CAPITAL EXPENDITURES:
Infrastructure	$	65,017	$	68,295	$	53,228
Agriculture		11,537		10,890		32,886
Total segment capital expenditures		76,554		79,185		86,114
Unallocated corporate capital expenditures		2,897		17,586		7,174
Total capital expenditures	$	79,451	$	96,771	$	93,288

	Fiscal Year Ended
	December 28,		December 30,		December 31,
	2024		2023		2022
DEPRECIATION AND AMORTIZATION:
Infrastructure	$	65,717	$	64,654	$	62,398
Agriculture		20,606		23,409		23,681
Other		—		—		1,393
Total segment depreciation and amortization expense		86,323		88,063		87,472
Unallocated corporate depreciation and amortization expense		9,072		10,645		9,695
Total depreciation and amortization expense	$	95,395	$	98,708	$	97,167

Summary by Geographical Area by Location of Valmont Facilities

	Fiscal Year Ended
	December 28,		December 30,		December 31,
	2024		2023		2022
NET SALES:
United States	$	2,856,033	$	2,860,951	$	2,965,673
Australia		310,096		313,075		292,072
Brazil		200,946		311,367		354,497
Other		707,959		689,205		733,008
Total net sales	$	4,075,034	$	4,174,598	$	4,345,250

	December 28,		December 30,
	2024		2023
LONG-LIVED ASSETS:
United States	$	1,117,631	$	1,116,962
Australia		89,415		103,847
Other		439,534		469,010
Total long-lived assets	$	1,646,580	$	1,689,819

No single customer accounted for more than 10% of net sales in fiscal 2024, 2023, or 2022. Geographical net sales are based on the location of the facility generating them and excludes sales to other operating units within the Company. In fiscal 2024, Australia contributed approximately 8% of the Company’s net sales, Brazil contributed approximately 5%, and no other foreign country accounted more than 4%.

Operating income by business segment is calculated as net sales minus identifiable operating expenses and allocations, and it includes profits from sales to other operating units of the Company. Long-lived assets include property, plant, and equipment (net of depreciation), goodwill, other intangible assets (net of amortization), and other non-current assets. Long-lived assets by geographical area are based on the location of the facilities.