Avner Applbaum on telecom
From Valmont Industries, Inc. - Gabelli 16th Annual Omaha Value Investor Conference · · GabelliTV
“Our telecom business grew 30% year-over-year last quarter and is one of our highest margin businesses because we invest capital behind inventory and distribution, enabling us to deliver parts in two to three days, which customers are willing to pay a premium for.”
On , Avner Applbaum, Chief Executive Officer, President & Director at VALMONT INDUSTRIES INC, spoke about telecom during Valmont Industries, Inc. - Gabelli 16th Annual Omaha Value Investor Conference on GabelliTV.
About Avner Applbaum
At the Gabelli 16th Annual Omaha Value Investor Conference on May 17, 2025, Applbaum stated that his initial focus as CEO was renewing the company's emphasis on its core business, embedding commercial and operational excellence. He said the company is now moving into a phase of accelerating growth by investing in plants to capitalize on what he described as "undeniable mega trends." Applbaum noted that the utility infrastructure market is "booming" and that Valmont is on a three-year program to invest about $100 million in capital expenditures for growth, which he said would generate over $100 million in annual new revenue. Applbaum discussed the company's approach to tariffs and trade uncertainty, stating that Valmont is "cost neutral and earnings neutral" due to localized supply chains and sourcing US steel. He highlighted that the telecom business grew 30% year-over-year in the prior quarter and is one of the company's highest margin businesses. Regarding capital allocation, Applbaum said the company is disciplined and focused on return on invested capital (ROIC), with a $700 million share repurchase authorization planned over three to five years, of which $75 million had been purchased in the first few weeks of the first quarter. He expressed optimism about the company's future, citing potential for mid-single-digit growth over several years and operating margins approaching 15%.