Valmont Industries, Inc.

Greetings. Welcome to Valmont Industries Incorporated third quarter 2025 earnings conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. We ask that you please limit yourself to one question and one brief follow-up question and return to the queue. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note this conference is being recorded. I will now turn the conference over to your host, Renee Campbell, Senior Vice President, Investor Relations, and Treasurer. Ms. Campbell, you may begin.

Good morning, everyone, and thank you for joining us. With me today are Abner Applebaum, President and Chief Executive Officer, and Tom Liguori, Executive Vice President and Chief Financial Officer. Earlier this morning, we issued a press release announcing our third quarter 2025 results. Both the release and the presentation for today's webcast are available on the investors page of our website at valmont.com. A replay of the webcast will be available later this morning. To stay updated with Valmont's latest news releases and information, please sign up for email alerts on our investor site. We'll begin today's call with prepared remarks and then open it up for questions. Please note that this call is subject to our disclosure on forward-looking statements, which is outlined on slide two of the presentation and will be read in full after Q&A. With that, I'd now like to turn the call over to Avner.

Thank you, Renee. Good morning, everyone, and thank you for joining us. I'd like to start with third quarter highlights and key messages summarized on slide four. This quarter's results reflect the continued strength of our diversified portfolio and disciplined execution by the Global Valmont team. We deliver net sales growth of 2.5% with double-digit growth in utility and telecom. Operating margin improved 120 basis points and diluted earnings per share improved 21%. With these results and the momentum across the organization, we are raising our full-year earnings guidance, which Tom will discuss in more detail shortly. Our strategy continues to guide our decisions and deliver results. We've simplified the business we're focusing where we lead, and we're directing resources toward best opportunities. United around our share objectives and a customer-first vision, our teams are driving innovation and executing with greater precision. We operate in attractive markets where our value proposition aligns with customer needs, positioning us to capture long-term opportunities. We have the right structure now in place, and we have a strong foundation for sustained value creation. Looking ahead, we remain committed to accelerating growth, enhancing performance, and investing in high-return initiatives that strengthen our leadership and deepen customer impact. Turning to slide five, I'd like to provide a brief update on our 2025 critical objectives. Valmont is positioned to lead the North American utility market through an unprecedented investment cycle. We have a multi-pronged approach to growth, expanding capacity, and strengthening operating capabilities. Most of our growth CapEx is directed to brownfield utility expansions that increase, upgrade, or repurpose our existing facilities, enabling strong returns. We're also increasing throughput by addressing bottlenecks, improving material flow, and implementing new technologies. In agriculture, we're building a more resilient business to improve margins through the cycle. We've aligned resources around key growth areas, aftermarket parts, technology, and international markets. Aftermarket parts sales grew year over year this quarter, driven in part by our new e-commerce system, which all North American dealers now use to provide industry-leading service and sales. An international rollout is planned in the upcoming quarters. These initiatives strengthen our leadership today and position us for faster growth and higher profitability ahead. Across the company, discipline resource allocation, a relentless focus on safety, and the dedication of our team remain central to our success. I'm proud of how our employees continue to embrace change and drive momentum with a continuous improvement mindset. Now turning to slide six for an infrastructure market update, starting with utility, our largest product line. This business continues to benefit from powerful long-term demand drivers, data center expansion, manufacturing onshoring, major oil and gas projects, and broader electrification are all contributing to significant load growth expectations. Rising energy consumption, aging infrastructure, and resiliency needs are driving multi-year increases in customer capital plans. Market forecasts call for transmission CapEx to grow at a 9% CAGR through 2029. Our customers continue to turn to Valmont to help them execute their multi-year plan across transmission, distribution, and substation as they expand and modernize the grid. We're winning projects because of the value we deliver through our scale, engineering expertise, and proven reliability. For example, we were recently awarded a $65 million extra high voltage project from a leading engineering and construction firm in partnership with a large utility. This is one of several major wins that reflect Valmont's trusted ability to execute complex, large-scale work with consistency and quality. Moving to lighting and transportation. The Asia Pacific market remains pressured alongside a softer lighting market in North America. Results were also impacted by operational factors. We know this business can perform better. and we've simplified the structure, better aligned operations and commercial teams, and strengthened leadership. The long-term fundamentals of this business remain solid, and these actions are improving focus and accountability, setting the stage for steadier performance ahead. The rest of infrastructure business is performing as expected. We're focused on what sets Valmont apart, our scale, deep engineering expertise, trusted customer partnership, and speed to market. Turning to slide seven for an update on agriculture. In North America, grower sentiment remains soft. As expected, record corn and soybean yields weigh in prices. The USDA expects 2025 crop receipts to decline about 2.5%, reflecting lower prices for both crops. In Brazil, the environment has turned more cautious. Growers are facing tighter credit, slower release of government financing, and ongoing trade uncertainty, leading many to delay large capital purchases, including pivots. These near-term pressures are part of the normal cycle following several strong years of farm profitability and investment. We know how to manage through cycles like this. That's why we're staying focused on supporting growers' immediate needs while continuing to deliver customer-centric innovation for the future. And we're demonstrating that commitment in the field. At recent farm shows, our Valley team showcased a new technology, including the Icon Plus control panel, a major addition to the Valley tech suite. It brings full Accent 365 functionality to any pivot brand, allowing growers to easily connect older or competitive machines. This expands our addressable market and drives growth in recurring revenue. In Brazil, the long-term opportunity remains exceptional. Farmers can grow two to three crops per year with mechanized irrigation, and the return on investment from pivot is meaningful. With vast, under-irrigated farmland, favorable growing conditions, and strong water availability, Brazil will continue to be a key growth market. In our other international markets, results reflect normal project timing. Several large Middle East projects shipped earlier this year, while last year's activity was more back-end loaded. Year-to-date, sales in the region are up double digits. Project demand remains strong. Government and corporate-led initiatives are longer-term and less affected by short-term crop prices. We've invested in our presence and dealer capabilities to capture this growth. Overall, the long-term fundamentals in agriculture remain strong, and the business continues to deliver solid returns even in a more challenging period. We remain focused on disciplined execution, advancing innovation, and positioning us to lead as market conditions improve. In summary, our strategy is delivering results. Execution has been strong, and decisive actions across the portfolio are improving performance even in market-facing near-term macro pressures. With momentum established and investment plans underway, our team is energized by the opportunities ahead and confident in the long-term fundamentals of the business. I'll now turn the call over to Tom to discuss our third quarter financial results and updated outlook.