Valmont Industries, Inc. (VMI) 2026 Q1 法說會逐字稿

Greetings. Welcome to Valmont Industries first quarter 2026 earnings conference call. (Operator Instructions). Please note this conference is being recorded. I will now turn the conference over to your host, Renee Campbell, Senior Vice President, Capital Markets and Risk. Ms. Campbell, you may begin.

各位好。歡迎參加 Valmont Industries 2026 年第一季財報電話會議。(接線員指示)。請注意，本次會議將被錄音。現在我將把會議交給今天的主持人——資本市場與風險資深副總裁 Renee Campbell。Campbell 女士，您可以開始。

Good morning, everyone, and thank you for joining us. With me today are Avner Applbaum, President and Chief Executive Officer; John Schwietz, Executive Vice President and Chief Financial Officer; and Eric Johnson, Chief Accounting Officer.

各位早安，感謝各位加入我們。今天與我一同出席的有：總裁兼執行長 Avner Applbaum；執行副總裁兼財務長 John Schwietz；以及會計長 Eric Johnson。

Earlier this morning, we issued a press release announcing our first quarter 2026 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 e-mail alerts on our Investor site.

今天稍早，我們發布新聞稿，公布 2026 年第一季業績。新聞稿與今日網路直播的簡報皆可於 valmont.com 官網的投資人頁面取得。網路直播的重播將於今日稍晚提供。若要掌握 Valmont 最新新聞稿與資訊，請在我們的投資人網站訂閱電子郵件通知。

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 2 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.

今天的電話會議將先由管理層進行準備好的發言，接著開放提問。請注意，本次電話會議受我們對前瞻性陳述之揭露所規範，相關內容載於簡報第 2 頁，並將於問答結束後完整宣讀。接下來，我想把電話會議交給 Avner。

Thank you, Renee. Good morning, everyone, and thank you for joining us. Turning to slide 4. I'll start with a few key messages for the quarter. First, we delivered a strong start to the year with sales growth, record first quarter earnings per share and progress against our strategic priorities.

謝謝你，Renee。各位早安，感謝各位加入我們。請看第 4 頁。我先分享本季幾項重點訊息。第一，我們以銷售成長、創下第一季每股盈餘新高，以及在策略優先事項上的進展，為今年帶來強勁開局。

This reflects our discipline and focused execution across the business. We remain committed to serving customers, managing what we can control and advancing our value drivers. Our performance reflects the execution of our strategy. We're prioritizing high-value offerings, strengthening our core businesses and improving operational performance.

這反映了我們在全公司範圍內的紀律與聚焦執行。我們仍致力於服務客戶、管理我們可控的事項，並推進我們的價值驅動因素。我們的表現反映了策略的落實。我們正優先推動高價值產品與服務、強化核心業務，並提升營運績效。

Our strategy is anchored in markets with durable demand drivers, most notably utility while continuing to improve the quality and resiliency of our earnings. Second, infrastructure is performing well, supported by a growing demand for energy.

我們的策略以具備長期需求驅動因素的市場為核心，尤其是公用事業，同時持續提升獲利品質與韌性。第二，基礎建設業務表現良好，受能源需求成長所支撐。

This includes the need to expand the electrical grid to support data centers and the need to replace aging assets. Our capacity expansion plans are on track, and these actions are driving improvements in throughput and overall operational performance as reflected in the 27% sales growth in North America Utility.

這包括為支援資料中心而擴建電網的需求，以及汰換老舊資產的需求。我們的產能擴張計畫按進度推進，這些行動正帶動產出效率與整體營運績效的改善，並反映在北美公用事業業務 27% 的銷售成長上。

Third, in agriculture, we were able to grow in North America year-over-year due to favorable pricing. I also want to recognize our teams in Middle East who continue to navigate a very challenging environment. The safety and well-being of our employees remain our top priority. We are focused on supporting them as they manage through the ongoing situation. We appreciate their commitment to one another and to our customers during this time.

第三，在農業方面，我們受惠於有利的定價，使北美業務年增成長。我也想肯定我們在中東的團隊，他們持續在極具挑戰的環境中前行。員工的安全與福祉仍是我們的首要任務。我們專注於在持續的情勢下支持他們度過難關。我們感謝他們在此期間彼此扶持並對客戶展現承諾。

Turning to slide 5 for a review of our current market dynamics, starting with North America Utility. Our customers are implementing multiyear increases in capital spending, driving strong demand in utility infrastructure.

接著請看第 5 頁，回顧目前的市場動態，先從北美公用事業開始。我們的客戶正在推動多年期的資本支出增加，帶動公用事業基礎建設的強勁需求。

US utilities are planning roughly $1.4 trillion of investment through 2030, up meaningfully from prior expectations driven by load growth, grid modernization and increasingly data center demand. This environment supports our growth outlook and the capacity expansions we have underway.

美國公用事業公司規劃至 2030 年約 1.4 兆美元的投資，較先前預期大幅上修，主要由負載成長、電網現代化，以及日益增加的資料中心需求所驅動。此一環境支持我們的成長展望，以及我們正在進行的產能擴張。

Industry supply remains constrained with extended lead times and favorable pricing and margins. North America Coatings is also capturing growth from infrastructure activity and increasing exposure to data center construction. Our galvanizing services play a critical role in protecting and extending the life of steel structures.

產業供給仍然吃緊，交期延長，且定價與毛利率環境有利。北美塗裝業務也正受惠於基礎建設活動帶來的成長，並提高對資料中心建設的曝險。我們的鍍鋅服務在保護並延長鋼結構使用壽命方面扮演關鍵角色。

In North America Lighting and Transportation, market conditions remain mixed. In Lighting, demand continues to be impacted by softer housing activity and commercial development. In Transportation, the market is supported by stable infrastructure spending.

在北美照明與運輸方面，市場狀況仍然分歧。照明需求持續受到住宅活動轉弱與商業開發放緩的影響。運輸市場則受到穩定的基礎建設支出所支撐。

From an operational standpoint, we have made progress, but we are not yet where we want to be in terms of consistency. Our priority is improving performance to deliver reliably for our customers. Turning to International Infrastructure. Market conditions across Europe and Asia Pacific remained soft, but stable. We are advancing commercial discipline and improving operational performance.

從營運角度來看，我們已取得進展，但在一致性方面仍未達到我們期望的水準。我們的優先事項是提升績效，以便能穩定可靠地為客戶交付。接著談國際基礎建設。歐洲與亞太地區的市場狀況仍偏疲弱，但保持穩定。我們正推進商業紀律並改善營運績效。

Turning to slide 6. Agriculture markets are navigating a dynamic environment as we begin the year. In North America, grower sentiment remains cautious, reflecting tighter farm economics supported by USDA data. Seasonal order patterns have been more muted with no meaningful acceleration in the spring selling season.

請看第 6 頁。進入新年度之際，農業市場正處於動態變化的環境中。在北美，種植戶情緒仍偏謹慎，反映 USDA 數據所顯示、在農場經濟更為吃緊的情況下。季節性訂單型態較為平淡，春季銷售旺季並未出現明顯加速。

Taken together, current indicators, including input costs and overall farmer profitability, suggests the market will remain under pressure in the near term.

綜合而言，目前指標（包括投入成本與整體農民獲利能力）顯示，短期內市場仍將承受壓力。

International markets are seeing variability in demand, ongoing challenges in the Middle East, including logistic constraints and reduced operating capacity are impacting activity and the pace of execution. At the onset of the conflict, our Dubai facility operated at a minimal level, prioritizing employee safety in alignment with local government guidance.

國際市場的需求呈現不均，中東地區持續面臨挑戰，包括物流限制與營運產能下降，正影響活動量與執行進度。衝突爆發之初，我們的杜拜廠以最低限度運作，並依循當地政府指引，將員工安全置於首位。

The plant has currently paused operations until conditions stabilize. We have mitigated some of this impact through our global manufacturing footprint, leveraging other facilities to support demand in the region. Long-term demand is supported by investment in food security and water infrastructure.

目前該工廠已暫停營運，直至情勢穩定。我們透過全球製造布局已緩解部分影響，運用其他廠區支援該地區需求。長期需求則受食品安全與水利基礎建設投資所支撐。

In Brazil, tight credit availability and delays in government-backed financing continue to weigh on near-term demand. Over the longer-term, Brazil remains an attractive growth market, supported by favorable agronomics, multiple crop cycles and compelling returns on irrigation equipment.

在巴西，信貸供給緊縮以及政府支持融資的延遲，持續壓抑短期需求。從長期來看，巴西仍是具吸引力的成長市場，受惠於有利的農藝條件、多作期種植，以及灌溉設備具吸引力的投資報酬。

We continue to advance our priorities in technology and aftermarket positioning agriculture to perform through the cycle.

我們持續推進技術與售後市場的優先事項，使農業業務能在景氣循環中保持表現。

Turning to slide 7. I'd now like to welcome and introduce John Schwietz as Valmont's Chief Financial Officer. John has been with Valmont for more than 16 years with leadership roles across both our Infrastructure and Agriculture segments. He brings deep knowledge of the business and a strong track record of financial discipline and execution.

請看第 7 頁。接下來，我想歡迎並介紹 John Schwietz 擔任 Valmont 的財務長。John 在 Valmont 服務超過 16 年，曾在我們的基礎建設與農業兩大事業部擔任多項領導職務。他對業務具備深厚理解，並在財務紀律與執行方面有卓越的實績。

John leads with integrity and accountability, brings a passion for serving our customers and is deeply committed to continuous improvement and delivering results. This is a seamless transition as our strategy, value drivers and capital allocation priorities remain unchanged. We're confident in John's leadership as we continue to build on our momentum. I'll now turn the call over to John to review our first quarter financial results and updated 2026 outlook.

John 以正直與負責的態度領導，對服務客戶充滿熱忱，並深度投入持續改善與成果交付。這是一項無縫交接，因為我們的策略、價值驅動因素與資本配置優先順序皆維持不變。我們對 John 的領導充滿信心，並將持續在既有動能上再接再厲。接下來我把電話會議交給 John，請他回顧第一季財務結果以及更新後的 2026 年展望。

Thank you, Avner. Good morning, everyone, and thank you for joining us today. I'd like to start by thanking Avner and the Board for their confidence in me as I step into the CFO role. I appreciate the opportunity to build upon the strong foundation already in place.

謝謝你，Avner。各位早安，感謝大家今天加入我們。我想先感謝 Avner 與董事會在我接任財務長（CFO）一職時對我的信任。我很珍惜這個機會，能在既有的堅實基礎上再接再厲。

I look forward to working closely with our teams across Valmont to reinforce financial discipline, support our strategy, and deliver long-term value for our customers, employees and shareholders.

我期待與 Valmont 各團隊緊密合作，強化財務紀律、支持我們的策略，並為客戶、員工與股東創造長期價值。

Turning to slide 9. Net sales of $1.03 billion increased 6.2% year-over-year driven by sales growth and infrastructure, particularly North America Utility. Operating income increased to $155.6 million and operating margins improved 190 basis points to 15.1%, reflecting stronger performance in both segments.

接著看第 9 頁投影片。淨銷售額為 10.3 億美元，年增 6.2%，主要由基礎建設業務的銷售成長帶動，尤其是北美公用事業（North America Utility）。營業利益提升至 1.556 億美元，營業利益率改善 190 個基點至 15.1%，反映兩大事業部門表現皆更為強勁。

Our tax rate remained steady at approximately 26%. Diluted earnings per share was $5.51, a 27.5% increase from prior year. Moving to our segment results on slide 10. I want to start by highlighting a change to our infrastructure product line revenue reporting beginning this quarter. We have realigned to better reflect the markets that we serve and how we manage them.

我們的稅率維持穩定，約為 26%。稀釋後每股盈餘為 5.51 美元，較去年同期成長 27.5%。接著看第 10 頁投影片的事業部門結果。我先強調，自本季起我們對基礎建設產品線的營收揭露方式有所調整。我們已重新調整架構，以更貼近我們所服務的市場以及我們的管理方式。

We are now reporting our North America Infrastructure businesses separately and have consolidated international infrastructure and global solar into one product line. A quarterly recast for 2025, reflecting these updates is included in the appendix of today's presentation.

我們現在將北美基礎建設業務分開揭露，並將國際基礎建設與全球太陽能整併為同一產品線。本次簡報附錄中包含 2025 年按季重編（recast）資料，以反映上述更新。

Now moving to Infrastructure results. Sales of $806 million grew 14.1% year-over-year. North America Utility sales increased 27.4% driven by pricing and higher volumes. Sales in North America Lighting and Transportation declined 4.4% due to the production challenges as noted by Avner.

接著看基礎建設（Infrastructure）部門的結果。銷售額為 8.06 億美元，年增 14.1%。北美公用事業銷售額年增 27.4%，主要受惠於定價與出貨量提升。北美照明與運輸（North America Lighting and Transportation）銷售額下滑 4.4%，原因是 Avner 提到的生產挑戰。

North America Coatings sales increased 13.3% supported by healthy infrastructure and data center demand. North America Telecommunications sales decreased 3.9% as volume softened due to a shift in carrier spending allocation.

北美塗裝（North America Coatings）銷售額年增 13.3%，受惠於穩健的基礎建設與資料中心需求。北美電信（North America Telecommunications）銷售額下滑 3.9%，因電信業者支出配置轉移導致出貨量走弱。

International Infrastructure sales increased 6.9% due to favorable foreign exchange impacts. Operating income was $143 million or 17.8% of net sales an increase of 110 basis points as a result of our pricing actions and fixed cost leverage.

國際基礎建設（International Infrastructure）銷售額年增 6.9%，主要來自有利的匯率影響。營業利益為 1.43 億美元，占淨銷售額 17.8%，提升 110 個基點，主要受惠於我們的定價措施與固定成本槓桿效益。

Turning to slide 11. First quarter Agriculture sales decreased 15.1% year-over-year to $227 million, driven by lower international sales. North America Agriculture increased 1.5% year-over-year. Importantly, operating margin improved to 14.8% in the quarter, returning to double-digit levels. This reflects the benefits of our continued focus on pricing, cost management, and risk mitigation.

接著看第 11 頁投影片。第一季農業（Agriculture）銷售額年減 15.1% 至 2.27 億美元，主要由國際銷售下滑所致。北美農業銷售額年增 1.5%。更重要的是，本季營業利益率改善至 14.8%，回到雙位數水準。這反映我們持續聚焦於定價、成本管理與風險緩解所帶來的效益。

Following up on last quarter, we reached a settlement on the material Brazil legal matter we previously discussed, and it was resolved within our existing accrual. Moving to slide 12. For Cash, liquidity and capital allocation. We had another quarter of healthy operating cash flows, generating $103.5 million. We ended the quarter with $160.2 million of cash and our net debt leverage is approximately 1 times.

延續上季，我們已就先前提及的巴西重大法律案件達成和解，且在既有提列的準備（accrual）範圍內完成解決。接著看第 12 頁投影片。關於現金、流動性與資本配置。我們本季營運現金流依然健康，創造 1.035 億美元。季末現金為 1.602 億美元，淨負債槓桿約為 1 倍。

During the quarter, we invested $35 million in CapEx, primarily for utility capacity expansion. As previously discussed, we finalized the acquisition of Rational Minds and the purchase of the remaining minority shares of ConcealFab for a combined $20 million.

本季我們投入 3,500 萬美元資本支出（CapEx），主要用於公用事業產能擴充。如先前所述，我們完成收購 Rational Minds，並買下 ConcealFab 剩餘的少數股權，合計 2,000 萬美元。

We returned $71 million to shareholders, including $13 million through dividends and $58 million through share repurchases. In February, we also increased our quarterly dividend by 13% to $0.77 per share or $3.08 on an annualized basis.

我們向股東回饋 7,100 萬美元，其中 1,300 萬美元為股利，5,800 萬美元為庫藏股買回。此外，我們在 2 月將季度股利提高 13% 至每股 0.77 美元，年化為每股 3.08 美元。

Turning to our 2026 outlook on slide 13. We are increasing our full year EPS guidance. Net sales are projected to be between $4.2 billion to $4.4 billion. We are increasing infrastructure sales to be between $3.3 billion to $3.45 billion. This is offset by a decline in Agriculture with sales to be between $0.9 billion to $0.95 billion.

接著看第 13 頁投影片的 2026 年展望。我們上調全年每股盈餘（EPS）指引。預估淨銷售額介於 42 億至 44 億美元。我們將基礎建設銷售額上調至 33 億至 34.5 億美元。此上調將被農業業務下滑所部分抵銷，農業銷售額預估介於 9 億至 9.5 億美元。

In Infrastructure, the increase is driven by North America Utility. We expect pricing and volumes to remain elevated throughout the year.In Agriculture, given recent changes in market conditions and project economics, primarily related to the Middle East conflict, we have become more selective in our pipeline aligning with our disciplined approach and focus on long-term value.

在基礎建設方面，上調主要由北美公用事業帶動。我們預期定價與出貨量將在全年維持高檔。在農業方面，鑑於近期市場狀況與專案經濟性變化（主要與中東衝突相關），我們在管線（pipeline）上變得更為審慎篩選，並與我們一貫的紀律作法及長期價值聚焦保持一致。

Diluted earnings per share are projected to be in the range of $21.50 to $23.50. At midpoint, this represents a 4.8% growth in revenue and a 17.9% growth in adjusted EPS. Higher pricing and volumes in North America Utility are driving the increase in our EPS target. Also included in our EPS guidance is the impact of the tariff changes that went into effect on April 6.

稀釋後每股盈餘預估介於 21.50 至 23.50 美元。以中位數計算，代表營收成長 4.8%，調整後 EPS 成長 17.9%。北美公用事業較高的定價與出貨量推動我們 EPS 目標上調。我們的 EPS 指引亦納入 4 月 6 日生效的關稅變更所帶來的影響。

These primarily affect a portion of our North America Utility production sourced from Mexico. Importantly, we are mitigating much of this exposure by using primary US melt and poured steel which limits the incremental Section 232 tariff to 10%.

這些變更主要影響我們北美公用事業中一部分由墨西哥採購來源的產出。重要的是，我們透過使用美國本土初級熔煉並澆鑄（primary US melt and poured）的鋼材來緩解多數曝險，使新增的 232 條款（Section 232）關稅增量限制在 10%。

Looking ahead, we remain focused on what we can control and prioritizing opportunities that support sustainable, higher-quality earnings. With that, I'll turn the call back to Avner to review our value drivers.

展望未來，我們仍專注於可控事項，並優先推動能支持可持續、品質更高獲利的機會。接下來我把電話會議交回 Avner，請他回顧我們的價值驅動因素。

Thank you, John. Moving to slide 14. We continue to advance our three core value drivers, catching the infrastructure wave, positioning agriculture for growth and executing disciplined resource allocation. These priorities are guiding how we invest in capacity, strengthen our product and technology offerings and align our cost structure supporting improved performance and more consistent profitable growth over time.

謝謝你，John。接著看第 14 頁投影片。我們持續推進三大核心價值驅動因素：掌握基礎建設浪潮、為農業成長做好布局，以及執行具紀律的資源配置。這些優先事項正引導我們如何投資產能、強化產品與技術組合，並調整成本結構，以支持績效改善，並在時間推移下帶來更一致的獲利成長。

We continue to drive above-market growth in Infrastructure through targeted investments in capacity and operational efficiency, and we're seeing the benefits reflected in our sales volume.

我們透過對產能與營運效率的精準投資，持續在基礎建設領域推動高於市場的成長，並已在銷售量上看到效益反映。

In Agriculture, we are growing our presence in emerging markets and investing in aftermarket and technology to improve the mix of higher-margin business. Finally, our disciplined resource allocation initiatives are on track.

在農業方面，我們正擴大在新興市場的布局，並投資售後市場與技術，以改善高毛利業務的組合占比。最後，我們具紀律的資源配置計畫正按進度推進。

Overall, we are confident in our 2026 performance and achieving our long-term value driver targets. We look forward to sharing more details at our upcoming Investor Day on June 16. Before we close, I want to thank the entire Valmont team for their efforts navigating a dynamic first quarter. With that, I will now turn the call over to Renee.

總體而言，我們對2026年的表現以及達成長期價值驅動因素目標充滿信心。我們期待在6月16日即將舉行的投資人日分享更多細節。在結束之前，我想感謝整個Valmont團隊在充滿變動的第一季中所付出的努力。接下來，我將把電話會議交給Renee。

Thank you, Avner. At this time, the operator will open up the call for questions.

謝謝你，Avner。此時，接線員將開放提問。

(Operator Instructions)

(接線員指示)

Nathan Jones, Stifel.

Nathan Jones，Stifel。

Good morning, everyone. I guess I'll start with a question on the 232 tariffs. We've been getting a lot of questions from investors, as I'm sure you guys have as well. I think the anticipation was probably that these new tariffs were going to be more impactful to Valmont than you guys are talking about them being.

各位早安。我想先從232關稅的問題開始。我們收到投資人很多提問，我相信你們也一樣。我認為市場原本預期這些新關稅對Valmont的影響會比你們目前所談到的更大。

Can you maybe just provide a little bit more color on -- I know John said using poured and melted U.S. steel helps protect from that. But can you just -- any more color you can give us around that? And then how you plan to mitigate that with customers?

你們能否再補充一些背景說明——我知道John提到使用在美國澆鑄並熔煉（poured and melted）的鋼材有助於降低影響。但你們能否就此再提供更多細節？另外，你們打算如何與客戶一起因應、緩解這個影響？

John, do you want to take that one?

John，你要回答這題嗎？

Thank you. So Nathan, first, of course, we welcome the clarity that we got on April 6 with the updated regulations. So our understanding of these rules are incorporated in our guidance. As you mentioned, really, the upside of this guidance is that we need to maximize US poured and melted steel.

謝謝。Nathan，首先，當然，我們歡迎4月6日更新法規所帶來的明確性。我們對這些規則的理解已納入我們的財測指引之中。如你所提到的，這份指引的上行空間，主要在於我們需要最大化使用美國澆鑄並熔煉的鋼材。

So that's what we've been doing for the last few quarters is maximizing that, and that's what we'll continue to do of course, tariffs are changing, they adjust and as they adjust, we adjust our pricing and also our supply chains. This takes a little bit of time to take hold. But overall, we feel comfortable with it. And as we've mentioned on prior calls, the objective for us is to be tariff-cost-profit neutral. And so -- and that's what's incorporated in our guidance.

因此，過去幾個季度我們一直在最大化這一點，未來也會持續這麼做；當然，關稅會變動、會調整，而隨著調整，我們也會調整定價以及供應鏈。這需要一些時間才能完全反映出來。但整體而言，我們對此感到安心。而且如同我們在先前的電話會議中提到，我們的目標是做到關稅—成本—利潤中性（tariff-cost-profit neutral）。因此——這也已納入我們的指引之中。

That's helpful. I guess my second question is around the US Utility business. Through the last 12 to 18 months, I think the company has been talking about effectively being out of capacity and having to increase CapEx to add capacity which it's been doing. But I think the story was kind of that $1 of CapEx was going to increase capacity by $1 and the business is clearly outperforming the level of CapEx that's going into it.

這很有幫助。我第二個問題是關於美國公用事業（US Utility）業務。在過去12到18個月，公司一直在談基本上產能已滿、需要提高資本支出來擴充產能，而你們也確實在做。但我認為原本的說法有點像是每投入1美元的資本支出就能增加1美元的產能，而這項業務的表現顯然超過了投入的資本支出水準。

Can you talk a little bit about where the additional productivity is coming from or how we should think about $1 of CapEx now translating into maybe more than $1 of capacity? And thanks for taking my questions.

你能否談談額外的生產力提升是從哪裡來的，或我們應如何看待現在每1美元的資本支出可能轉化為超過1美元的產能？謝謝你回答我的問題。

Sure. So we are -- let me start up, we're very pleased with our quarterly results. I mean, we've grown Utility by more than 27%. And to your point, a lot of the growth is driven by the strength in the environment with -- coupled with our investment in capacity. Capital is clearly one of the areas that we're investing to increase our capacity, and we're going to invest between $170 million to $200 million this year, with the majority of that going into Utility.

當然。我先說，我們對本季業績非常滿意。我們的Utility業務成長超過27%。如你所說，成長很大一部分來自於外部環境的強勁——再加上我們對產能的投資。資本支出顯然是我們用來提升產能的其中一個重點投資領域；今年我們將投資1.7億至2億美元，其中大部分將投入Utility。

So capital is one lever, but let me just address it a little broader, right? It's a whole system of capacity increases. So we have our capital. We have our operational capacity, and we have our commercial capacity. So just to give a little bit more flavor to that, while we're adding capital, every day, our employees go into the shop and look for opportunities to increase our throughput.

所以資本是一個槓桿，但我想更廣泛地回應一下，對吧？這是一整套提升產能的系統。我們有資本投入。我們有營運產能。我們也有商務端的產能。

And we are getting a lot of innovation, continuous improvement to drive the increased output. So as an example, in one of our plants, we're looking at bottlenecks, and we noticed that in some cases, if we add some labor, we will increase our output. And we did a quick, very successful hiring event, and we were able to increase the capacity at that site.

我們獲得了大量創新與持續改善，以推動產出提升。例如，在我們其中一座工廠，我們檢視瓶頸後發現，在某些情況下，如果增加一些人力，就能提高產出。我們快速舉辦了一場非常成功的招募活動，並得以提升該據點的產能。

We had another site where we saw that the flow was not perfect. We did a couple of Kaizen events. We got the flow significantly improved, just to name another example. So we have over -- we have 24 facilities in the US each one of them, we are taking many actions to drive the increased output.

我們在另一個據點則看到流程不夠順暢。我們做了幾場Kaizen（改善）活動。流程獲得顯著改善，這只是另一個例子。因此，我們在美國有24個據點，每一個據點我們都採取多項行動來推動產出提升。

And we should see this trend continued into Q2. We're expecting to see a very strong similar type growth or even better in the second quarter. And in fact, we should expect to see a very strong year in Utility as well.

而我們應該會看到這個趨勢延續到第二季。我們預期第二季將看到非常強勁、類似型態的成長，甚至可能更好。事實上，我們也預期Utility今年會是非常強勁的一年。

So just to sum it up, we're taking many initiatives, capital being one of them. We are seeing that with capital, we're driving more than one for one. So that is another area of an improvement. And we look forward to keep on capitalizing on the strength of this market.

總結來說，我們正在推動許多措施，資本投入只是其中之一。我們看到資本投入帶來的效果超過一比一。因此，這也是另一個改善的面向。我們也期待持續把握這個市場的強勁動能。

Chris Moore, CJS Securities.

Chris Moore，CJS Securities。

Hey, good morning, guys. Thanks for taking a couple. Yeah, recognizing you don't necessarily provide backlog on a quarterly basis. Can you give any big picture thoughts in terms of kind of what it looks like today versus kind of year-over-year or sequentially?

嘿，各位早安。謝謝讓我問幾個問題。我知道你們不一定會按季提供在手訂單（backlog）。你能否從宏觀角度談談，目前的情況相較於去年同期或相較於上一季大概是什麼樣子？

Yeah, sure. So we are seeing -- sequentially, our backlog is relatively flat, but it has been up year-over-year. And I think it's important to note, the backlog reflects the strength of our business, but it is only a data point, reflecting the strength in that market. So just to give a little bit more color, we do take an approach to managing our lead times.

好的，當然。就季比而言，我們的在手訂單大致持平，但年比則有所增加。我認為需要強調的是，在手訂單反映了我們業務的強勁，但它只是其中一個數據點，用來反映該市場的強度。再補充一些背景，我們確實採取一種方式來管理交期（lead times）。

We're currently improved our lead times. We have best lead times in the industry right now between 42 to 44 weeks on our bid market. We have a lot of projects in the pipeline that don't show up in the backlog with a lot of our alliance customers. It actually -- it's an advantage to us not to have them in the backlog. So you don't have to take too much risk as it relates to the pricing of steel, et cetera.

我們目前已改善交期。就投標市場（bid market）而言，我們現在的交期是業界最佳，約42到44週。我們與許多聯盟客戶（alliance customers）有大量仍在管線中的專案，這些不會反映在在手訂單中。實際上，對我們而言，不把它們放進在手訂單反而是一項優勢。如此一來，在鋼材定價等相關事項上，你就不必承擔過多風險，等等。

But overall, I think the most important point is we are seeing unprecedented demand in this market. We are -- I mentioned that the IOUs are planning to spend $1.4 trillion through 2030, which is significantly higher than we've seen just recently. So that's -- which was about $1.1 trillion. So call that about 27% increase in their projections.

但整體而言，我認為最重要的一點是，我們正看到這個市場出現前所未有的需求。我們——我提到過，投資人持有的公用事業公司（IOU）計畫在2030年前投入1.4兆美元，這顯著高於我們最近看到的水準。也就是——先前大約是1.1兆美元。因此可視為其預估增加約27%。

So going into the year, we were thinking we're going to grow 8% to 10% on our Utility. Well, right now, this year, it's going to be much stronger than that. We're probably going to see growth between mid-teens to high teens in the Utility space. So overall, all indications are this market is robust, we have not seen it like this for decades, and we're very pleased on where we are positioned with our backlog, our lead time and our alliance with our customers.

所以在進入今年時，我們原本認為公用事業（Utility）業務將成長8%到10%。但就目前來看，今年的表現會強勁得多。我們很可能會看到公用事業領域的成長介於中十位數到高十位數百分比。總體而言，各項跡象都顯示這個市場非常強勁，我們已經數十年沒見過這樣的情況；而且我們對自身在訂單積壓、交期以及與客戶的策略聯盟上的布局位置感到非常滿意。

Very helpful. And maybe just one on Ag. So maybe can you talk a little bit about rising fertilizer prices, potential impact on pivot demand, not necessarily for '26. It sounds like there could be kind of a lag in demand, but what might be felt in '27? And just how much visibility do you have on that front?

非常有幫助。另外也想問一下農業（Ag）。能否談談肥料價格上漲，對樞軸灌溉設備（pivot）需求的潛在影響——不一定是針對2026年。聽起來需求可能會有些滯後，但在2027年可能會感受到什麼？以及在這方面你們有多少能見度？

So there's not great visibility into 2027. But the way we look at it, fertilizer is an input cost -- significant input cost, and it will have impact on farmers, will put more pressure on their profitability, and they have been under pressure. So at this point, we continue to expect to have a challenging environment in 2026.

對2027年的能見度並不高。但我們的看法是，肥料屬於投入成本——而且是重要的投入成本，會影響農民，對其獲利能力造成更大壓力，而他們一直都承受壓力。因此在目前這個時間點，我們仍預期2026年的環境會相當具挑戰性。

And we're focused on areas where we could drive farmer profitability. We're supporting our farmers with our aftermarket, our technology, enabling our dealers to ensure they can improve their profitability. And as we know, these markets have strong long-term fundamentals. And as the market will improve, we'll be ready to capitalize.

我們聚焦在能夠提升農民獲利能力的領域。我們透過售後市場服務與技術來支持農民，並協助經銷商，確保他們能改善自身的獲利能力。而且我們也知道，這些市場具備強勁的長期基本面。當市場改善時，我們將準備好把握機會。

Tomohiko Sano, JPMorgan.

Tomohiko Sano，摩根大通（JPMorgan）。

Hello, everyone, and John, congrats on your new role.

各位好，John，恭喜你擔任新職務。

Thank you.

謝謝。

Thank you. And for North America Utility, could you comment on any changes in pricing or the competitive landscape on pricing power infrastructures? What gives you confidence in your ability to sustain or enhance pricing, especially as competitive dynamics evolve, please?

謝謝。關於北美公用事業（Utility）業務，你能否評論一下定價或競爭格局在定價權／基礎建設方面是否有任何變化？尤其是在競爭動態演變之際，是什麼讓你對維持或提升定價能力有信心？謝謝。

Well, thank you for the question. The market environment continues to be extremely strong right now. We always focus on value pricing. We are the leader in the market with the highest market share. And we provide the utilities with mission-critical products and solutions supported by our strength in our engineering, our reliability, quality, on-time delivery.

謝謝你的問題。目前市場環境仍然非常強勁。我們一向專注於價值定價（value pricing）。我們是市場領導者，擁有最高的市占率。我們為公用事業客戶提供任務關鍵（mission-critical）的產品與解決方案，並以我們在工程能力、可靠性、品質與準時交付方面的優勢作為支撐。

And in this environment, there's very strong value in our offering, especially in a constrained environment. And the entire industry has been very disciplined around pricing. So while there will continue to be growth in this area and our competitors will continue to invest, we remain very disciplined, taking pricing leadership and as evident by our Q1 performance, which had significant pricing in our performance pretty much demonstrates that there's no concern regarding pricing in this environment.

在這樣的環境下，尤其是在供給受限的情況中，我們的產品與服務具備非常強的價值。而整個產業在定價方面也一直非常自律。因此，儘管這個領域仍會持續成長、競爭對手也會持續投資，我們仍保持高度自律並採取定價領導；從我們第一季的表現也可看出，定價對業績有顯著貢獻，這基本上證明在此環境下對定價並無疑慮。

Thank you, Avner. And follow-up on Ag margins, have you hold up well despite lower sales. If the sales headwinds persist what structure -- structural mix factors do you see as most critical for sustaining or even expanding margins in this segment, please?

謝謝你，Avner。再追問一下農業（Ag）部門的毛利率：儘管銷售下滑，你們的毛利率仍維持得不錯。如果銷售逆風持續，你認為哪些結構性／產品組合因素對於維持甚至擴大此部門毛利率最為關鍵？謝謝。

Thank you, Tomo. So as you mentioned, Ag margins did well this quarter. We're pleased with the result at 14.8%. So that was driven, as you know, by favorable pricing and also an improved product mix and regional mix. As we look through the rest of the year, as you mentioned, there are some headwinds.

謝謝你，Tomo。如你所提，農業部門本季毛利率表現不錯。我們對14.8%的結果感到滿意。如你所知，這主要由有利的定價，以及更佳的產品組合與區域組合所帶動。展望今年剩餘時間，如你所提，仍有一些逆風因素。

And so if we look at our margins for the rest of the year in Ag, we have the seasonality impact of moving more towards international, less in North America, that will put some pressure on our margins for the rest of the year.

因此，若看今年剩餘時間農業部門的毛利率，我們會受到季節性影響：出貨將更偏向國際市場、北美占比降低，這會在今年剩餘時間對毛利率造成一些壓力。

Also, the impact of the fixed cost deleverage in our Dubai facility will also add pressure to our margins. So I'd say that we'll -- certainly, this year, we will be in the mid-teens to low teens for margins in Ag this year.

此外，杜拜廠固定成本去槓桿（fixed cost deleverage）的影響也會對毛利率帶來壓力。所以我會說——今年農業部門的毛利率大致會落在中十位數到低十位數百分比的區間。

Brian Drab, William Blair.

Brian Drab，William Blair。

Frank, thanks for taking the questions. Like Nathan, most of the questions lately have been around the Section 232. So I just wanted to ask one -- maybe the same question just in a little bit different way. But -- you have in the 10-K, I think that there's about $220 million worth of product in the Utility business coming in from Mexico.

Frank，謝謝你回答問題。和Nathan一樣，最近大多數問題都圍繞在《232條款》（Section 232）。所以我想問一個——也許是同樣的問題，只是換個方式問。不過——我在10-K裡看到，我想公用事業（Utility）業務大約有2.2億美元的產品是從墨西哥進口。

And I haven't found that 10% figure anywhere. So I'm just curious, is that part of the new structure? Is it stated that it's 10% if you're using melted and poured US steel for finished product coming in from Mexico? Or is that just kind of how your assessment after looking through everything and if so, given it's 10%, is this -- and you put that on the $220 million or so it's an incremental roughly $20 million in costs that you have to absorb?

但我在任何地方都沒找到那個10%的數字。所以我很好奇，這是新架構的一部分嗎？是否有明確規定：若從墨西哥進口的成品使用的是在美國「熔煉並澆鑄」（melted and poured）的鋼材，就適用10%？或者這只是你們在全面檢視後的評估？若是如此，既然是10%，那是否表示——把10%套用在約2.2億美元上，等於你們需要吸收約2,000萬美元的新增成本？

So thank you for the question. So yes, 10% is part of the new regulation, and you're thinking about this the right way. So that's approximately the number from Mexico from our output for Mexico and exports to the United States, that varies year-by-year.

謝謝你的問題。是的，10%是新規定的一部分，而你的理解方向是對的。所以，從墨西哥來的金額大約就是這個數字，來自我們在墨西哥的產出並出口到美國；這個數字會因年度而有所變動。

As I mentioned earlier about the transition of our supply chain. So -- the goal here is to maximize the US melt and pour steel, and that will reduce our tariff exposure and cost over time. That's what the teams are doing. And that will take some time.

如我先前提到供應鏈轉換的部分。因此——這裡的目標是最大化使用美國「熔煉並澆鑄」的鋼材，這將隨時間降低我們的關稅曝險與成本。團隊正在做的就是這件事。而這需要一些時間。

But we're making rapid progress in making sure that we adjust that to maximize our US melt and pour steel. That will bring us closer to the incremental 10%.

但我們正在快速推進，確保我們調整到能最大化我們在美國的熔煉與澆鑄鋼材使用量。這將使我們更接近額外的10%。

Okay. But you can't size the incremental cost for us at all. You don't want to quantify that today. I don't want to press you too much on it, but that's what we're looking for?

好的。但你完全無法替我們估算這部分的增量成本。你今天不想量化它。我不想在這點上逼你太緊，但這就是我們想了解的？

Yeah. So I'd say your general range, how you're thinking about it is approximately right.

是的。所以我會說，你所提的一般區間、你目前的思考方式大致是對的。

And I'll just add, right, we're seeing strong growth, right? So that $220 million is going to easily be $250 million. So as we grow and capitalize on the market, well, we'll pay more tariffs. But of course, we make very strong margins out of our plant in Mexico. So no concerns on our end.

我再補充一下，我們確實看到強勁成長。所以那2.2億美元很容易就會到2.5億美元。因此，隨著我們成長並把握市場機會，我們會支付更多關稅。但當然，我們在墨西哥的工廠有非常強勁的利潤率。所以我們這邊沒有任何疑慮。

Right. Well, and it all just seems like my conclusion at the moment is it is kind of negligible given the size of that business and given the pricing power and given the pricing dynamics across the industry and what you're doing operationally. So -- but thanks for the clarification.

對。嗯，就目前看來，我的結論是：考量到該業務的規模、你們的定價能力、全產業的定價動態，以及你們在營運上的作為，這影響似乎可以說是微不足道。所以——但謝謝你的釐清。

On the Utility business, also you mentioned that the price and volume drove the growth. You mentioned in the press release, you listed price first in the description of that strength.

關於公用事業（Utility）業務，你也提到成長是由價格與銷量帶動。你在新聞稿中描述這項強勁表現時，先列了價格。

Can you just talk about the breakdown of price versus volume driving the business? And then also is the price being supported more just by steel kind of skyrocketing. Or is it -- and secondarily by the market demand?

你能談談價格與銷量各自對業務成長的貢獻拆分嗎？另外，價格的支撐是否主要只是因為鋼價大幅飆升？還是——其次才是市場需求？

Okay. So thanks for the question. So if we look at Q1, the 27% increase was driven primarily by price, as you know. It's important to note, though, that volume was an important contributor as well for Q1, that was in the double digits. As we look through the rest of the year, Avner noted mid-teens to upper teens and growth rate expectations for Utility, we expect that, Brian, to be a balance between price and volume for 2026.

好的。謝謝你的問題。如果看第一季，27%的成長主要是由價格帶動，這點你也知道。不過也要注意，第一季的銷量同樣是重要貢獻者，增幅達到兩位數。展望今年剩餘時間，Avner 提到公用事業的成長率預期為中十位數到高十位數；我們預期到2026年，Brian，價格與銷量將會更為均衡地共同驅動。

As it is to your question about the price environment, Avner gave some good comments on what we're seeing in the price environment. To Avner's comments, we are pricing to market. We're constantly testing the top of that market. But yes, some of that is passed through contract pricing with regards to material escalations and then also logistics escalation.

至於你問到的價格環境，Avner 已就我們所看到的價格環境做了很好的說明。呼應 Avner 的評論，我們是依市場定價。我們也持續測試市場可接受的最高價位。但沒錯，其中一部分是透過合約定價機制轉嫁材料成本上升，另外也包括物流成本上升。

So yes, that's a component of it. But as Avner mentioned, we have confidence in the overall pricing environment for Utility.

所以是的，這是其中一個組成部分。但如 Avner 所提，我們對公用事業整體的定價環境有信心。

Perfect. Thank you very much.

很好。非常感謝。

We have reached the end of our question-and-answer session. I will now turn the call over to Renee Campbell for closing remarks.

我們的問答環節到此結束。接下來我將把電話會議交給 Renee Campbell 做結語。

Thanks, everyone, for joining us today. A replay of this call will be available for playback on our website and by phone for the next seven days. We look forward to speaking with you again next quarter.

謝謝各位今天參與。本次電話會議的重播將在未來七天可於我們的網站及電話回放收聽。期待下個季度再與各位交流。

These slides and the accompanying oral discussion contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on assumptions made by management considering its experience in the industries where Valmont operates, perceptions of historical trends, current conditions, expected future developments and other relevant factors.

本簡報及其口頭說明包含《1995年私人證券訴訟改革法》所定義的前瞻性陳述。這些陳述係基於管理層所作之假設，並考量其在 Valmont 所營運產業中的經驗、對歷史趨勢的認知、目前狀況、預期的未來發展及其他相關因素。

It is important to note that these statements are not guarantees of future performance or results. They involve risks, uncertainties, some of which are beyond Valmont's control and assumptions. While management believes these forward-looking statements are based on reasonable assumptions, numerous factors could cause actual results to differ materially from those anticipated.

需要特別指出的是，這些陳述並非對未來績效或結果的保證。其中涉及風險、不確定性（部分超出 Valmont 的控制範圍）以及各項假設。雖然管理層相信這些前瞻性陳述係基於合理假設，但仍有眾多因素可能導致實際結果與預期存在重大差異。

These factors include, among other things, risks described in Valmont's reports to the Securities and Exchange Commission, SEC, the company's actual cash flows and net income, future economic and market circumstances, industry conditions, company performance and financial results, operational efficiencies, availability and price of raw material, availability and market acceptance of new products, product pricing, domestic and international competitive environments, geopolitical risks and actions and policy changes by domestic and foreign governments, including tariffs.

這些因素包括但不限於：Valmont 向美國證券交易委員會（SEC）提交之報告中所描述的風險、公司實際現金流與淨利、未來經濟與市場情勢、產業狀況、公司營運表現與財務結果、營運效率、原材料供應與價格、新產品的供應與市場接受度、產品定價、國內外競爭環境、地緣政治風險，以及國內外政府的行動與政策變動（包括關稅）。

The company cautions that any forward-looking statements in this release are made as of its publication date and does not undertake to update these statements, except as required by law.

公司提醒，本新聞稿中的任何前瞻性陳述均以發布日為準，除法律要求外，公司不承擔更新這些陳述的義務。

The company's guidance includes certain non-GAAP financial measures, adjusted diluted earnings per share and adjusted effective tax rate presented on a forward-looking basis. These measures are typically calculated by excluding the impact of items such as foreign exchange, acquisitions, divestitures, realignment or restructuring expenses, goodwill or intangible asset impairment, changes in tax law, change in redemption value of redeemable noncontrolling interests and other nonrecurring items.

公司的指引包含若干非GAAP財務衡量指標，包括以前瞻性基礎呈列的調整後稀釋每股盈餘及調整後有效稅率。這些指標通常透過排除外匯、併購、處分、組織調整或重組費用、商譽或無形資產減損、稅法變更、可贖回非控制性權益之贖回價值變動，以及其他非經常性項目的影響來計算。

Reconciliations to the most directly comparable GAAP financial measures are not provided, as the company cannot do so without unreasonable effort due to the inherent uncertainty and difficulty in predicting the timing and financial impact of such items. For the same reasons, the company cannot assess the likely significance of unavailable information, which could be material to future results.

由於此類項目在時間點與財務影響上具有內在不確定性且難以預測，公司若要提供與最直接可比的GAAP財務衡量指標之調節表將需付出不合理的努力，因此未予提供。基於相同原因，公司亦無法評估目前無法取得之資訊的可能重要性，而該等資訊可能對未來結果具有重大影響。