The chart below shows how VMI performed 10 days before and after its earnings report, based on data from the past quarters. Typically, VMI sees a -0.55% change in stock price 10 days leading up to the earnings, and a +0.06% change 10 days following the report. On the earnings day itself, the stock moves by -0.11%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Profit Growth Amid Sales Decline: Operating profit increased year-over-year despite lower sales, showcasing effective commercial execution and improved cost structure.
Strong Operating Cash Flows: Generated strong operating cash flows of $225 million, strengthening the balance sheet.
Operating Income Increase: Operating income increased by $4.9 million to $125.7 million in the quarter, reflecting solid performance.
Operating Margin Improvement: Operating margin improved by 80 basis points to 12.3% of net sales, driven by disciplined pricing and cost control.
Shareholder Capital Return: The company returned $91 million of capital to shareholders through dividends and share repurchases, demonstrating commitment to shareholder value.
Negative
Net Sales Decline: Net sales of $1 billion decreased 2.9% compared to last year.
Agricultural Sales Decline: Agricultural sales of $265.3 million decreased 11.1% year-over-year and operating income decreased 25% to $28.9 million.
Solar Revenue Decline: Solar revenues declined $21.3 million or 38.1% year-over-year due to a large international utility scale project in 2023 that did not repeat this year.
Lighting Revenue Decline: Lighting and transportation revenues of $229.2 million declined 9.3% year-over-year, impacted by market softness in lighting and the strategic exit of some lower-margin products.
International Sales Decline: International sales decreased, primarily in agriculture due to lower sales in Brazil and also in our infrastructure segment, mostly due to lower solar sales.
Valmont Industries, Inc. (VMI) Q3 2024 Earnings Call Transcript
VMI.N
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