Valmont Industries, Inc. (VMI): Business Model Canvas [Dec-2025 Updated]

You're looking at a company that's quietly powering two massive trends-the grid upgrade and feeding the world-and trying to figure out how they make their money work. Honestly, Valmont Industries, Inc. is more than just steel; their 2025 model, projecting about $4.1 billion in net sales, splits neatly between critical infrastructure sales, which hit roughly $3.1 billion, and their growing precision agriculture tech, bringing in about $1 billion. It's a fascinating dual engine, balancing heavy capital expenditures for utility capacity with high-margin Ag-Tech like their Prospera platform. So, if you want to see the exact nine building blocks that make this industrial giant tick-from their strategic steel suppliers to their emerging Software-as-a-Service revenue-dive into the full Business Model Canvas below.

Valmont Industries, Inc. (VMI) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that keep Valmont Industries, Inc. running smoothly, especially as they navigate the infrastructure build-out and agricultural technology shifts. Honestly, these partnerships are what translate their engineering prowess into real-world revenue.

Technology partners for AI-driven precision agriculture (Prospera)

The integration of Prospera Technologies is a prime example of a deep partnership, though it's now fully owned following the acquisition. Valmont Industries, Inc. bought Prospera for a headline price of $300 million, which closed in the second quarter of 2021. This move established what the partners claimed was the largest global, vertically-integrated artificial intelligence company in agriculture. Before the acquisition, the joint technology was already monitoring five million acres during 2020. This technology uses machine learning-backed tools to continuously monitor and analyze plant development, health, and stress, feeding insights to growers via dashboards.

Strategic steel and aluminum suppliers to manage commodity price volatility

Managing raw material costs is defintely a constant battle, especially with steel and aluminum prices fluctuating. Valmont Industries, Inc. has put specific plans in place to counter these pressures. The company stated that its mitigation plans are designed to enable them to be cost neutral on a dollar basis in the second half of fiscal 2025 under the existing tariff regime. Furthermore, for their fiscal 2025 outlook, steel cost assumptions are aligned with futures markets as of October 20, 2025. This shows a very active, near-term management of supply chain costs.

Global network of independent dealers for Valley irrigation equipment sales

The dealer network is a core asset for the Agriculture segment, which generated just over $1 billion in sales last year (FY2024). Valmont Industries, Inc. considers this network the strongest and most trusted in the industry, providing crucial local support, installation, and aftermarket parts sales. The scale of this distribution channel is significant, even if the most recent comprehensive count is from early 2024.

Geographic Area	Approximate Number of Dealer Locations	Notes
North America	250	Supports irrigation machine sales, technology offerings, and service parts.
International Markets	Approximately 400	Serving customers in over 60 countries.

The international dealer support relies on regional operations in South America, South Africa, Western Europe, Australia, China, and the UAE, alongside the manufacturing facility in Valley, Nebraska.

Utility and telecommunication carriers for large-scale infrastructure projects

This partnership group drives the Infrastructure segment, which is Valmont Industries, Inc.'s largest, accounting for nearly $3 billion in sales last year (FY2024). Demand from this sector remains robust, evidenced by double-digit sales growth in Utility and Telecommunications during the third quarter of 2025. The Infrastructure segment posted sales of $765.5 million in the second quarter of 2025 alone. These carriers and developers are key customers for Valmont Industries, Inc.'s manufactured steel, concrete, and composite structures used for transmission, distribution, and substations.

• The company is capacity constrained due to strong demand in the utility business.
• The Infrastructure segment delivered an adjusted operating margin of 16.3% in Q2 2025.
• Sales to wireless carriers for structures and components are historically cyclical.

Specialized contractors for installation of engineered products

While Valmont Industries, Inc. sells directly to utilities and developers for many infrastructure products, the installation aspect is often handled through specialized channels. For irrigation equipment, the independent dealers handle the installation, including ancillary products for water and electrical power delivery. For other engineered products, sales are normally made through the company's own sales employees, though some utilize independent commissioned sales agents. The company is making focused capacity investments to meet the long-term growth in infrastructure demand.

Finance: draft 13-week cash view by Friday.

Valmont Industries, Inc. (VMI) - Canvas Business Model: Key Activities

You're looking at the core actions Valmont Industries, Inc. (VMI) is taking right now to drive value, especially as they push hard on infrastructure modernization. It's all about building and upgrading the physical backbone of the economy.

Manufacturing engineered steel and aluminum products for infrastructure remains central. The Infrastructure segment, which is the bulk of the business, posted sales of $808.3 million in the third quarter of 2025. Within that, the Utility business, which accounts for about 37% of total revenue, saw sales jump 12.3% year-over-year in Q3 2025, thanks to strong demand and pricing actions.

The company is actively executing its capacity expansion plan to meet this utility demand. Management indicated that $100 million in capex could support more than $100 million in additional revenue per year with incremental margins over 20%. You saw them invest approximately $78 million in North American infrastructure capacity through the third quarter of 2025, which already increased revenue capacity by about $95 million. For context, Q3 2025 CapEx was $42 million, mostly directed toward Utility capacity.

Key Activity Metric	Value (Q3 2025 or Specific Period)	Context
Infrastructure Segment Sales	$808.3 million	Q3 2025 Net Sales
Utility Sales Growth (Y/Y)	+12.3%	Q3 2025
Telecommunications Sales Growth (Y/Y)	+37%	Q3 2025
Coatings Segment Revenue Share (Approximate)	12%	Of Infrastructure Revenue

Valmont Industries, Inc. is also heavily involved in developing and integrating advanced Ag-Tech and AI solutions. They consolidated their four main irrigation management platforms into the unified AgSense 365 app, which officially launched to the public in March 2025. This move is designed to improve scalability and reduce operational redundancies. The results are starting to show; AgSense revenues specifically grew 8% in Q3 2025. Plus, the company is investing in operational areas that leverage AI for better efficiency and throughput.

The strategic realignment is a major ongoing activity. This involves executing strategic realignment to exit low-margin businesses like certain solar projects. Valmont is consolidating the Solar reporting line into another product line for 2026 following the exit decision. In Q2 2025, this restructuring involved $91.3 million in non-cash asset impairments, primarily from the Solar and Access Systems businesses. The goal is clear: Solar sales declined significantly, and the segment is now expected to represent only 2% of company revenues going forward.

This realignment is also about cost discipline, aiming for $8.0 million in SG&A cost savings in 2025, with a target of $22.0 million in annualized savings by 2026. You should track these savings as they directly impact profitability.

Finally, a persistent activity is providing metal coatings services (galvanizing) to preserve assets. This segment is more tied to general GDP trends, but it saw higher sales in Q3 2025 due to healthy infrastructure demand.

Here's a quick look at the planned utility capacity CapEx you mentioned, which is a key driver for the manufacturing activity:

• Targeted North American Utility Capacity CapEx for 2025: $140M to $160M
• Actual Q2 2025 Utility Capacity CapEx: $32.0 million
• Actual YTD (through Q3 2025) Infrastructure CapEx: $78 million
• Actual Q3 2025 Utility Capacity CapEx: $42 million

Finance: draft the 13-week cash flow view incorporating the Q4 CapEx run-rate by Friday.

Valmont Industries, Inc. (VMI) - Canvas Business Model: Key Resources

You're looking at the core assets Valmont Industries, Inc. (VMI) relies on to execute its strategy as of late 2025. These aren't just line items; they're the physical, intellectual, and financial engines driving the business.

Global manufacturing footprint and specialized fabrication facilities

Valmont Industries, Inc. maintains a significant physical presence to serve its global customer base. This footprint allows for localized production and better lead times, which is critical in infrastructure projects.

As of mid-2025, Valmont Industries, Inc. operated across more than 100 countries with 83 manufacturing facilities worldwide. The global workforce supporting this operation was approximately 11,000 people.

The Infrastructure segment, which is the largest, has been actively expanding its physical assets to meet demand. Brownfield capacity additions year-to-date in 2025 increased annual infrastructure revenue capacity by ~$95 million.

Proprietary intellectual property in center pivot irrigation (Valley brand)

The Valley brand represents the foundational intellectual property for Valmont Industries, Inc. in agriculture. The company founded the center pivot irrigation industry in 1954 and maintains a leading position through continuous innovation, protected by patents.

Valmont-built equipment annually irrigates approximately 25 million acres around the world. The company holds numerous patents, including Patent no. 10,440,905 for Variable Rate Irrigation (VRI) technology using ray casting algorithms. Valmont Industries, Inc. is reported to enjoy about 50 percent of the world market for center pivot systems.

Advanced AI and IoT platforms for crop monitoring (Prospera acquisition)

The acquisition of Prospera Technologies in May 2021 for approximately $300 million brought advanced machine learning and computer vision capabilities in-house. This resource is key to the subscription-based data analytics offering.

The technology, which uses AI-based sensors and cameras, helps farmers monitor plant health and yields. Prior to the acquisition, the partnership was already monitoring over 5 million acres in 2020. In the third quarter of 2025, the associated aftermarket parts grew by approximately 15% to ~$52 million, and AgSense revenues rose by about 8%.

Highly engineered product designs for utility and telecom structures

Valmont Industries, Inc.'s engineering expertise is a core resource for its Infrastructure segment, which saw Telecommunications sales grow 41% year-over-year in Q2 2025. The company fields over 100 professional engineers globally to support these complex designs.

This engineering capability covers a broad range of needs, from utility transmission and distribution to wireless communications. For utility substations, Valmont Utility engineers custom solutions for voltages spanning from 12kv to 765kv.

Strong balance sheet with net leverage ratio of approximately 0.9x as of Q3 2025

Financial strength provides the flexibility for capital deployment, such as capacity expansions and share repurchases. The disciplined capital structure is a clear asset.

The Infrastructure segment backlog stood at $1.73 billion as of Q3 2025, providing visibility. The company's net leverage ratio was approximately 0.9x at the end of Q3 2025. Cash and cash equivalents were reported at $226.1 million in Q3 2025.

Here's a quick look at some key operational and financial metrics that represent these resources:

Resource Metric	Value/Amount	Period/Context
Net Leverage Ratio	0.9x	Q3 2025
Global Manufacturing Facilities	83	Mid-2025
Global Workforce	Approximately 11,000	Mid-2025
Infrastructure Backlog	$1.73 billion	Q3 2025
Prospera Acquisition Cost	Approximately $300 million	May 2021
Valley Irrigated Acres (Cumulative)	Approximately 25 million acres	Historical/Current Scale
Utility Capacity Expansion (YTD)	~$95 million in annual revenue capacity	YTD Q3 2025
Telecom Sales Growth	41%	Q2 2025 YoY

The intellectual property is further evidenced by the continuous development of new solutions, such as the ICON+ control panel rollout and e-commerce platform, which broaden recurring revenue potential.

• Proprietary VRI technology patent number: 10,440,905.
• Utility structure voltage range engineered: 12kv to 765kv.
• Aftermarket parts revenue (Q3 2025): Approximately $52 million.
• Total 2025 revenue guidance midpoint: $19.10 per share (Adjusted EPS outlook midpoint).
• Total 2025 revenue guidance range: $4.0 billion to $4.2 billion (Initial 2025 outlook).

Valmont Industries, Inc. (VMI) - Canvas Business Model: Value Propositions

You're looking at the core value Valmont Industries, Inc. delivers across its key markets as of late 2025. It's about providing essential physical assets and efficiency tools that keep critical systems running and growing.

Infrastructure: Critical products for grid hardening and 5G network expansion

The value here is in enabling the backbone of modern connectivity and power. The Infrastructure segment was a growth engine, with Q3 2025 sales increasing $\text{6.6}\%$ to $\$808.3\text{M}$. This strength drove the segment's operating margin to $\text{17.8}\%$ in Q3 2025, up $\text{150}\text{ bps}$ year-over-year, thanks to pricing and volume. The visibility is strong; the total backlog approached $\$1.73\text{B}$ at the end of Q3 2025, with Utility demand extending well into 2026. Management is backing this with action, planning to expand Utility infrastructure capacity by a targeted $\$700\text{M}$ over the next three to four years.

Agriculture: Water-use efficiency and resource conservation via precision irrigation

For agriculture customers, Valmont Industries, Inc. provides solutions that directly combat water scarcity and improve yields. The company is a major player; in the Precision Irrigation Market, the top three manufacturers, including Valmont Industries, Inc., collectively hold about $\text{60}\%$ global market share. The center pivot segment, where Valmont Industries, Inc. is prominent, commands over $\text{65}\%$ of the market. The value proposition centers on efficiency, as subsurface drip irrigation can reduce water use by up to $\text{60}\%$ compared to sprinklers. However, the North America market showed softness, leading to a $\text{9}\%$ sales decrease in the Agriculture segment in Q3 2025, with segment sales at $\$241.3\text{M}$. International performance, especially in EMEA and Brazil, helped offset this, with the segment expected to contribute $\$0.98\text{B} - \$1.04\text{B}$ in 2025 sales.

Coatings: Extended asset life and corrosion protection for metal products

The value proposition for Coatings is asset longevity and protection. While specific 2025 revenue for this standalone service isn't broken out in recent earnings summaries, the segment's performance is implicitly tied to the broader infrastructure and utility product lines. Coatings sales were noted as softer internationally in Q1 2025. The value is in the protective layer applied to steel products, ensuring long-term durability for critical infrastructure components.

Here's a look at how the primary revenue-generating segments stacked up in Q3 2025, based on reported sales figures:

Segment	Q3 2025 Net Sales (Approximate)	Key Growth Driver/Metric	Year-over-Year Sales Change (Q3 2025)
Infrastructure (Total)	$\$808.3\text{M}	Infrastructure Backlog of $\$1.73\text{B} (Q3 end)	$+\text{6.6}\%$
Agriculture (Total)	$\$241.3\text{M}	International Sales Momentum Offset NA Softness	$-\text{9.0}\%$
Coatings (Part of Total)	Not Separately Reported	Benefit from healthy infrastructure demand	Not Specified

Utility: Increased capacity and throughput to meet rising electrification demand

For utility customers, the value is in reliable, scalable infrastructure to handle growing power needs, including those driven by data centers and electrification. Utility sales showed strong momentum, growing $\text{12.3}\%$ in Q3 2025 due to favorable pricing and higher volumes. This demand supports the company's capital plan to invest $\$700\text{M}$ in expanding Utility capacity over the next few years. Management noted that they see $>\text{20}\%$ incremental operating margin on added Utility capacity.

Telecommunications: Concealment and structural solutions for rapid 5G rollout

The value proposition for Telecommunications is providing the necessary structural support for network upgrades. This area saw significant acceleration, with sales increasing by $\text{37}\%$ in Q3 2025, supported by strong carrier spending programs. This growth is a direct result of the company's focus on providing solutions for the ongoing 5G rollout.

The overall company context shows a focus on high-return areas:

• FY2025 Net Sales Guidance range is $\$4.0\text{B} - \$4.2\text{B}.
• FY2025 Adjusted Diluted EPS Guidance midpoint is $\$18.50$.
• Operating Cash Flows reached $\$167.6\text{M}$ in Q2 2025.
• Net leverage stood at approximately $\text{0.9x}$ at the end of Q3 2025.

Finance: draft 13-week cash view by Friday.

Valmont Industries, Inc. (VMI) - Canvas Business Model: Customer Relationships

You're looking at how Valmont Industries, Inc. manages its relationships with its diverse customer base, which spans utilities, telecom providers, and farmers. It's a mix of high-touch engineering support and scalable digital tools.

Dedicated sales and engineering teams for large, complex utility projects are central to securing major infrastructure work. The Infrastructure segment, which includes Utility, is Valmont Industries, Inc.'s largest, accounting for sales of $765.5 million in the second quarter of 2025. Utility sales specifically showed growth of over 5% year-over-year in Q2 2025, and by the third quarter of 2025, Utility sales grew 12.3%, reflecting strong demand and successful execution on these large-scale projects. The overall infrastructure backlog stood at $1.5 billion as of the second quarter of 2025, indicating significant committed future work driven by these relationships.

For long-term contracts and service agreements with major telecom carriers, the relationship is characterized by deep alignment with carrier spending programs. Telecommunications sales increased meaningfully in Q3 2025, following a 41% year-over-year growth in Q2 2025. These custom-engineered steel and concrete structures mean revenue recognition often happens over time, based on progress, as control transfers continuously. For instance, during the thirteen weeks ended June 28, 2025, Valmont Industries, Inc. recognized $32,560 thousand in revenue from amounts that were previously recorded as contract liabilities (advance payments).

The dealer-supported sales model for personalized farmer relationships is most visible in the Agriculture segment. While this model relies on local dealer expertise for personalized service, the market conditions show variability. In the third quarter of 2025, Agriculture segment sales decreased 9.0% to $241.3 million, compared to $265.3 million in the prior year, largely due to softness in the North American market. International sales in this segment were also lower, primarily due to the timing of project sales in the Middle East.

Digital self-service via the AgSense 365 app for aftermarket parts and system management is a growing component. Valmont Industries, Inc. consolidated its irrigation management platforms into the unified AgSense 365 app, which officially launched in March 2025. This move aims to reduce development and operational redundancies and improve scalability. One customer operation using the predecessor platform, Valley 365, monitored and controlled all 24 of their Valley center pivots, simplifying life and saving time and labor.

The direct, consultative approach for custom-engineered solutions is embedded in the Infrastructure segment. The steel and concrete structures for Utility and Telecommunications are custom-engineered to customer specifications, limiting resale potential. Contractual termination clauses often require payment for work completed plus a reasonable profit, supporting revenue recognition based on progress toward completion. This deep engineering involvement suggests a high level of direct interaction to meet specific project needs.

Here's a quick look at the segment sales performance reflecting customer demand as of late 2025:

Segment/Metric	Reporting Period	Value	Comparison/Context
Infrastructure Segment Sales	Q2 2025	$765.5 million	72 percent of total net sales
Utility Sales Growth	Q3 2025 vs. Q3 2024	12.3% increase	Due to favorable pricing and higher volumes
Telecommunications Sales Growth	Q2 2025 vs. Q2 2024	41% increase	Fastest growing segment in Q2 2025
Agriculture Segment Sales	Q3 2025	$241.3 million	9.0% decrease from $265.3 million in Q3 2024
Total Infrastructure Backlog	End of Q2 2025	$1.5 billion	Driven primarily by Utility market demand

The company also manages customer relationships through its Coatings business, which serves diverse markets and is not reliant on any single external customer for profitability. Revenue for Coatings services is recognized upon service completion when goods are ready for pickup or delivery.

Valmont Industries, Inc. (VMI) - Canvas Business Model: Channels

You're looking at how Valmont Industries, Inc. gets its products and services to the customer base, which spans critical infrastructure and global agriculture. The channel strategy is clearly bifurcated, leaning heavily on direct engagement for large infrastructure projects and a dealer network for farm equipment.

Direct sales force for Utility and Telecommunications infrastructure

The direct sales approach targets major infrastructure players. This channel is responsible for the bulk of the Infrastructure segment, which is projected to generate roughly $3.1 billion in revenue for fiscal year 2025, out of a total company guidance of about $4.1 billion in net sales. The direct team capitalizes on strong secular trends, evidenced by the Telecommunications business posting nearly 30% sales growth in the second quarter of 2025. Utility sales also saw growth, increasing 12.3% in the third quarter of 2025 due to favorable pricing and higher volumes.

Global network of authorized, independent Valley dealers for irrigation systems

For the Agriculture segment, Valmont Industries, Inc. relies on its established, independent dealer network under the Valley Irrigation brand. This network is quite extensive, featuring around 270 dealers in North America and another 270 dealers across over 60 countries internationally. This channel handles the grower consultation, machine configuration, installation, and after-sales service for their advanced irrigation equipment.

E-commerce platform launched in late 2024 for aftermarket parts sales

To better serve the existing customer base and capture more service revenue, Valmont Industries, Inc. started an e-commerce platform in late 2024. This digital channel is specifically aimed at aftermarket parts sales, supporting the installed base of irrigation systems.

Company-owned galvanizing plants for coatings services

Coatings services are delivered through company-owned facilities, which also support the production of infrastructure components. The Coatings sales line saw higher revenue in the third quarter of 2025. Overall, Valmont Industries, Inc. maintains a significant manufacturing footprint, operating 83 manufacturing facilities across more than 100 countries.

Direct-to-customer delivery from expanded manufacturing facilities

Delivery is managed directly from manufacturing sites, supported by ongoing capital investment to increase throughput for high-demand products. The company is investing in capital expenditures in the range of $140 million to $160 million for 2025, focusing on capacity expansion to meet infrastructure demand.

Here's a look at the segment sales performance that these channels drove in the third quarter of 2025:

Channel/Segment Focus	Q3 2025 Sales (Millions USD)	Year-over-Year Growth	Key Channel Driver
Utility (Direct Sales)	Not explicitly broken out, but part of Infrastructure growth	12.3%	Direct sales force capturing infrastructure demand
Telecommunications (Direct Sales)	Not explicitly broken out, but part of Infrastructure growth	Double-digit growth	Direct sales force alignment with carrier spending
North America Agriculture (Dealer Network)	Part of total Agriculture sales, which were lower overall	Declined	Independent dealer network sales
International Agriculture (Dealer Network)	Part of total Agriculture sales, which were lower overall	Lower	Independent dealer network sales, strong in EMEA/Brazil
Coatings (Company-Owned Plants)	Not explicitly broken out	Higher	Direct service from company-owned galvanizing plants

The overall consolidated net sales for the third quarter of 2025 reached $1.05 billion.

Valmont Industries, Inc. (VMI) - Canvas Business Model: Customer Segments

You're looking at the core groups Valmont Industries, Inc. sells to, based on their latest reported figures as of late 2025. It's a mix of heavy infrastructure build-out and agricultural technology.

The Infrastructure segment is the larger piece of the pie, with full-year 2025 net sales guided to be between $3.02 billion and $3.16 billion. The Agriculture segment is projected for $0.98 billion to $1.04 billion for the full year 2025.

Here's a look at the customer groups and the most recent quarterly performance data from the third quarter of 2025:

• North American and international utility companies modernizing power grids
• Major wireless carriers investing in 5G and fixed wireless infrastructure
• Large-scale international agriculture projects (e.g., EMEA, Brazil)
• Commercial and industrial customers needing metal coatings services
• North American row-crop farmers purchasing irrigation equipment

The third quarter of 2025 saw total net sales reach $1.05 billion, with Infrastructure sales at $808.3 million and Agriculture sales at $241.3 million.

Customer Segment / Product Area	Q3 2025 Sales Amount	Year-over-Year Growth (Q3)
Utility Companies (Power Grid Modernization)	$391.9 million	Grew 12.3%
Major Wireless Carriers (Telecommunications)	$88.1 million	Increased meaningfully
Commercial/Industrial (Coatings Services)	$88.0 million	Were higher
North American Row-Crop Farmers (Irrigation Equipment)	Portion of $241.3 million (Agriculture)	Declined amid market softness
Large-Scale International Agriculture Projects	Portion of $241.3 million (Agriculture)	Were lower

You see the utility business is driving significant top-line growth, up 12.3% in the third quarter. Telecommunications sales also increased meaningfully, supported by strong execution and alignment with carrier spending programs. For context, in the first quarter of 2025, Telecommunications sales had increased 29.6% year-over-year.

For the agriculture side, the North American market is definitely showing softness; in the first quarter of 2025, irrigation equipment sales in North America were down 14.0%. Still, international sales, particularly from the Europe, Middle East, and Africa (EMEA) region and Brazil, are a key driver for that segment, even if overall international sales were lower in Q3 2025 due to project timing.

Metal coatings customers are part of the Infrastructure segment, where Coatings sales in Q3 2025 were $88.0 million, benefiting from healthy infrastructure demand. That segment also includes Lighting & Transportation sales, which were $222.5 million in Q3 2025, and Solar sales, which were $16.7 million, reflecting a significant decline following strategic market exits.

Finance: draft 13-week cash view by Friday.

Valmont Industries, Inc. (VMI) - Canvas Business Model: Cost Structure

You're looking at the expenses Valmont Industries, Inc. (VMI) manages to deliver its products and services. It's a capital-intensive structure, heavily reliant on commodity pricing and operational scale.

Significant raw material costs, primarily steel and aluminum

The cost of revenue, which captures the primary material inputs like steel and aluminum, is a major component. For the fiscal year ending December 28, 2024, the Total Cost of Revenue was reported as $2,834 million. Looking at a more recent snapshot, the Cost of Sales for the fiscal quarter ending in September of 2025 was $727.73 million. Management has been actively mitigating commodity price volatility, stating confidence in achieving cost neutrality regarding tariffs for fiscal 2025 through pricing actions and local sourcing strategies.

Manufacturing and operational expenses, including labor and energy

These costs are embedded within the Cost of Revenue and the broader Operating Expenses. In Q4 2024, Valmont Industries noted that operating income benefited from reduced Selling, General, and Administrative (SG&A) expenses. The Total Operating Expenses for fiscal year 2024 were $717.27 million.

Research and Development (R&D) investment in Ag-Tech and automation

Valmont Industries, Inc. continues to invest in innovation, particularly for its Agriculture segment and operational automation. For the trailing twelve months (TTM) ending September 2025, Research & Development expenses were $59 million. This compares to $59 million for the full fiscal year 2024 and $55 million for fiscal year 2023. The company is aligning cost structure with growth opportunities, which includes technology in agriculture.

Selling, General, and Administrative (SG&A) expenses, targeting $22M in annualized savings by 2026

The company has been actively streamlining its overhead. Selling, General & Admin expenses for the TTM ending September 2025 were $665.92 million. This is down from $713.67 million in fiscal year 2023. A key part of the strategic realignment is the goal to deliver $22 million in annualized SG&A cost savings by 2026. For the second half of 2025, $8.0 million of these savings are expected to be realized.

Capital expenditures for capacity expansion and operational efficiency

Capital spending is focused on supporting growth megatrends, especially in the Utility sector. Management's guidance for fiscal year 2025 capital expenditures (CapEx) is a range of $140.0 million to $160.0 million. In Q1 2025, CapEx totaled $30.3 million. The company announced an annual CapEx target of $150 million, with $100 million specifically earmarked for growth initiatives. Through the third quarter of 2025, $78 million of CapEx was deployed in North America Infrastructure, which has already increased annual revenue capacity by $95 million.

Here's a look at the recent expense profile:

Expense Category	Latest Reported Amount (Millions USD)	Period/Context
Total Cost of Revenue	$2,834	FY 2024
Selling, General & Admin (SG&A)	$665.92	TTM (as of Sep '25)
Research & Development (R&D)	$59	FY 2024 / TTM (as of Sep '25)
Total Operating Expenses	$724.92	TTM (as of Sep '25)
Planned FY 2025 Capital Expenditures	$140 to $160	FY 2025 Guidance

Valmont Industries, Inc. (VMI) - Canvas Business Model: Revenue Streams

You're looking at the core ways Valmont Industries, Inc. brings in cash as of late 2025. Honestly, the business model is heavily weighted toward large-scale infrastructure projects, but agriculture remains a key, albeit more cyclical, component.

The full-year 2025 net sales guidance for Valmont Industries, Inc. is pegged around $4.1 billion, with the Infrastructure segment driving the majority of that total. Here's how the major revenue buckets are shaping up based on the latest projections and reported quarterly performance.

Revenue Stream Category	2025 Full-Year Projection (Range)	Latest Reported Quarterly Sales (Q3 2025)
Infrastructure Segment Sales	$3.02 billion to $3.16 billion	$765.5 million
Agriculture Segment Sales	$0.98 billion to $1.04 billion	$241.3 million
Total Net Sales Guidance (Reaffirmed)	~$4.1 billion	N/A

The Infrastructure product sales, which include poles, towers, and lighting solutions for utility, telecommunications, and transportation, are expected to land near the $3.1 billion mark for the full year. This segment saw Q2 2025 sales of $765.5 million, showing the scale of these projects. The Agriculture segment, which covers irrigation equipment and technology, is projected to be approximately $1 billion, though Q3 2025 sales came in at $241.3 million, reflecting North American softness.

Beyond the main product sales, Valmont Industries, Inc. captures revenue through several other important avenues. These streams add stability and recurring elements to the overall revenue profile, even if they are smaller in absolute terms compared to the massive tower and pivot sales. You'll want to track these for recurring revenue quality:

• Aftermarket parts and service revenue from the global irrigation installed base.
• Fees from metal coating and galvanizing services, which benefit from healthy infrastructure demand.
• Software-as-a-Service (SaaS) revenue from precision agriculture platforms like AgSense.

To be fair, the specific dollar amounts for aftermarket services, coatings fees, and the AgSense SaaS component aren't broken out separately in the guidance, so we rely on the segment totals. Still, the Infrastructure segment's Coatings sales were higher in Q3 2025, partially due to that infrastructure market demand. The Agriculture segment's Q2 2025 sales were $289.4 million, showing some variability quarter-to-quarter.

Finance: draft 13-week cash view by Friday.