Driving Growth and Transformation in Agriculture Technology slide image

Driving Growth and Transformation in Agriculture Technology

2013-2022 Historical Free Cash Flow 1,2 ($M) Net cash flows from operating activities Net cash flows from investing activities Net cash flows from financing activities Net cash flows from operating activities Purchase of plant, property, and equipment Free cash flows Net earnings attributed to Valmont Industries, Inc. Adjusted free cash flow net earnings attributed to Valmont Industries, Inc. Free Cash Flow Conversion-GAAP 2019 2020 2021 2022 $ 307.6 $ 316.3 $ 65.9 $ (168.1) (104.0) (98.9) (173.8) (417.3) 133.5 326.3 (132.1) (181.9) $ 307.6 $ 316.3 $ 65.9 $ 326.3 (97.4) 210.2 (106.7) 209.6 (107.8) (93.3) (41.9) 233.0 $ 146.4 $ 140.7 $ 195.6 $ 250.9 N/A $ 159.8 $ 222.3 $ 284.2 1.44 1.49 (0.21) 0.93 N/A 1.31 (0.19) 0.82 Free Cash Flow Conversion - Adjusted 1) Reconciliation of Net Earnings to Adjusted Figures Net earnings attributed to Valmont Industries, Inc. Loss from divestiture of offshore wind energy structures business Change in valuation allowance against deferred tax assets Impairment of long-lived assets $ 146.4 $ 140.7 $ 195.6 $ 250.9 33.3 19.1 5.0 21.7 Adjusted free cash flow net earnings attributed to Valmont Industries, Inc. $ 146.4 $ 159.8 $ 222.3 $ 284.2 CONSERVING RESOURCES. IMPROVING LIFE: Valmont 1 Adjusted earnings for purposes of calculating FCF conversion may not agree to the adjusted net earnings. The difference is due to non-recurring expenses which were settled in cash in the year of occurrence as part of net cash flows from operating activities. 2 We use the non-GAAP measure of FCF, which we define as GAAP net cash flows from operating activities reduced by capex. We believe that FCF is a useful performance measure for management and useful to investors as the basis for comparing our performance with other companies. Our measure of FCF may not be directly comparable to similar measures used by other companies. 109
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