Vision / Mission
The Best Company in Town
Our goal is to be the best company in town – in all of our locations. We strive toward that by focusing on our mission and living out our principles every day.
We develop innovative precast solutions that enhance the infrastructure, quality of life and safety for consumers. Our values include safety, innovation, development of our Associates, a work/life balance, integrity, ownership, community, and learning/teaching/coaching.
Respect for people, lead with humility, Kaizen Spirit – “There must be a better way,” focus on process, seek perfection, assure quality at the source, create consistency of purpose, embrace scientific thinking, think systemically, create value for the CUSTOMER.
CEO’s Annual Letter
Record Financial Performance
2021 saw a record financial performance for Smith-Midland Corporation, attributable to the hard work of our associates, the consistent execution of our strategic plan, and the continued focus on our ongoing initiatives to improve business performance and long-term shareholder value. Revenues and net income set records in 2021, with revenues of $50.6 million compared to $43.8 million in 2020, and net income of $7.6 million compared to $2.7 million in 2020. The Company achieved 2021 STEP Platinum Status recognition from Associated Builders and Contractors, Inc. (ABC). ABC recognizes companies based on 25 key elements of a contractor’s safety program including safety policies, employee commitment and training, management commitment, and budgeting. We also gained approval for our patented interlocking J-J Hooks highway barrier system in multiple states including California, the second largest highway barrier market in the country. We expanded our licensee base to support our geographies, and we announced Smith-Midland’s first-time inclusion in the Russell Microcap Index.
Precast Concrete Manufacturing Operations and Product Sales
Precast concrete product revenues for fiscal 2021 improved six percent to $28.5 million. Soundwall sales were the most significant revenue contributor for 2021 as we fulfilled the largest soundwall contract in Company history. Notable increases in SlenderWall sales, up 89 percent year over year, and utility sales up 88 percent over the prior year contributed to our overall results as well. Investments in our sales initiatives for our proprietary, lightweight SlenderWall cladding system are paying off with the strongest bidding activity in Company history. Backlog is steadily increasing as our team works to meet customer demand. Labor constraints impacted manufacturing facility utilization rates during 2021, and we have elevated recruiting efforts to add to our labor force. Lean manufacturing methods and practices are continuously reinforced to optimize operational efficiencies.
Easi-Set Worldwide Precast Concrete Licensing
Smith-Midland’s royalty revenues grew 31 percent to $2.2 million for fiscal 2021, marking the Company’s most successful year to date while our licensee network grew to over 70 licensees across our portfolio of products. Following approval from CALTRANS, the Company added J-J Hooks licensees in California to produce MASH TL3 compliant J-J Hooks self-aligning, interlocking highway barrier systems. 2021 results do not reflect contributions from California which are anticipated to begin in the second half of 2022. Growing our licensee base remains fundamental to our strategic initiatives to continuously improve our bottom-line results.
Concrete Safety Barrier Rentals
Barrier rental revenue for fiscal 2021 was approximately $10 million for the full year, a 44 percent increase compared to fiscal 2020. The year-over-year increase was positively impacted by multiple short-term, high-margin, nonrecurring special projects in the first quarter of 2021. Core rental fleet revenues increased by 51 percent during 2021 compared to 2020. Over the past years the Company has made significant progress in building out the rental fleet, and remains on track to expand the fleet to approximately 575,000 linear feet by the end of 2022. The high-margin rental business model drives a strong recurring revenue stream and has seen growing demand.
Macro Environment and Outlook
Smith-Midland’s long-term outlook is the strongest in Company history. With a growing backlog, increasing bidding activity, elevated adoption of our barrier rental model, and expanding licensee network, we anticipate sustainable growth for our business over the coming years. We are experiencing labor and material cost increases and expect similar inflationary factors moving through 2022. Infrastructure initiatives and regulatory tailwinds across the United States are anticipated to drive demand across the Company’s portfolio of patented, proprietary, and customized products. We strive to deliver value to our stakeholders through deliberate execution of our sustainable long-term growth strategy.
- Smith-Midland, founded in 1960, serves as the corporate headquarters and flagship manufacturing plant from its base in Midland, Virginia.
- Smith-Carolina, opened in 1979 to cover North Carolina and the surrounding region, has recently constructed a new plant, giving it expanded capacity to meet growing market demand.
- Smith-Columbia, located in Hopkins, South Carolina, continued the company’s expansion, opening a large manufacturing facility in 2016.
Smith-Midland’s manufacturing plants are nationally certified by the Precast/Prestressed Concrete Institute and National Precast Concrete Association. Together, these three manufacturing plants produce a vast suite of precast concrete products, such as:
- Precast Buildings, prefabricated in the plant and transported to the site, including Easi-Set, Easi-Span, HazMat Models and Restroom Buildings.
- Architectural Precast, including our revolutionary SlenderWall modular building panels and traditional architectural precast panel systems.
- Custom Transportation products, such as SoftSound Absorptive Sound Wall , J-J Hooks Barrier, Post and Panel Sound Wall, Retaining Walls, and Parkway Stonewall.
- Utility Products, including a complete line of vaults and manholes for underground infrastructure, junction boxes and pad mounts.
- Erosion Control, protecting the shoreline with Beach Prisms, a proprietary precast concrete breakwater structure.
- Legacy Products, such as the Smith-Cattleguard, and wash racks.
- Easi-Set and Easi-Span Buildings, a suite of all-precast utility buildings, completely fabricated in the plant and transported to the site.
- J-J Hooks Security Barriers, the barrier that revolutionized the industry with its simple, effective connection system that speeds installation and improves safety.
- SlenderWall architectural precast concrete steel stud building panels, a cost-effective exterior cladding system for medium-to-large commercial, institutional and multi-family buildings.
- SoftSound precast concrete sound walls, featuring sound absorptive technology with nearly unlimited aesthetic possibilities through the use of color and intricately textured form liners.
- Beach Prisms, a permeable precast concrete wave attenuation structure for shoreline protection and renewal.
- 1960 – David G. Smith built the first concrete cattleguard for his father-in-law because he was tired of having to open and close the gate. The new product development caught on with the neighbors, who placed orders. Smith formed Smith-Cattleguard Co. with his son Rodney. The business started out as supplemental income to the 95-acre family farm, with the Smiths as the only employees. They invested in a cattleguard delivery truck and advertisements in the local farming journals. Twelve cattleguards were sold their first year. Read Article
- 1961 – Business increased to 60 cattleguards sold in a year’s time.
- 1963 – An electrically heated automatic stock waterer was developed to supplement the cattleguard sales. The new product was a success.
- 1964 – The Smith-Cattleguard Co. had so much business that the Smiths hired full time employees. The cattleguards were sold in seven states at this time. Cattleguards were now produced in metal forms instead of wood, which greatly improved production time.
- 1965 – The Virginia Electric Power Co. asked the Smith-Cattleguard Co. to make a concrete utility manhole for them, which was traditionally done using masonry. The concrete manhole caught on and other concrete utility products were added shortly thereafter. The newly developed concrete fence was also added to the existing product lines.
- 1966 – Centerline and fenceline concrete feedbunks were introduced to the farm products lines.
- 1967 – Smith-Cattleguard’s innovations continued with the development of a concrete trash incinerator. Read Article
- 1968 – The array of products had grown so extensive, that the first farm products brochure was published.
- 1980 – Rodney Smith was named “Small business Person of the Year” for Virginia by the US Small Business Administration. Ad Design was formed to oversee the co-op advertising programs created for the network of Easi-Set Industries’ licensed producers. Read Rodney Article, Read Company Article
- 1981 – The Sierra Wall post-and-panel sound wall system was purchased from Sierra Precast and added to Smith-Cattleguard and Easi-Set. The system was later redesigned due to changing state regulations, resulting in a generic sound wall design.
- 1982 – The Liberty Bank in Warrenton, VA was erected using the first architectural precast produced by Smith-Cattleguard Co. The Horizon crop/manure storage system was developed.
- 1985 – Smith-Cattleguard Co. was renamed Smith-Midland Corporation to reflect the diversity of products now offered by the company. Smith-Midland provided tongue-and-groove barrier to their first presidential inauguration.
- 1987 – Ad Design was reformed under the name Ad Ventures.
- 1988 – The Easi-Brick finish was developed for use on the Easi-Set buildings.
- 1989 – Smith-Midland Corp. (VA) earned plant certification from the NPCA. SMC was the one of the first 14 plants to earn certification. Smith-Midland Corp. (VA) produced architectural precast panels for the National Rifle Association headquarters in Northern Virginia. This project was the first large scale building using SMC’s architectural precast. Easi-Set hazardous materials storage buildings were developed. The first Smith-Midland installation of Beach Prisms test sites occurred following the purchase of the existing technology. The orignial design was improved in the early ’90s. SMC provides highway safety barrier rental to the presidential inauguration.
- 2010 – Smith-Midland Celebrates it’s 50th Anniversary. Smith-Midland wins Precast/Prestressed Concrete Institute award for Virginia Tech Basketball facility Architectural Precast project.
- 2011 – Federal Goverment Services Administration approves SMC for Easi-Set Buildings Advantage contract.
- 2012 – Successful invention and test demonstration of Sierra Wall II post-and-panel sound wall system. Concrete Safety Systems provides logistic services for security barrier implementation at the NATO Summit in Chicago. Next generation J-J Hooks MASH level 3 bolt-down, pin-down barrier developed, crash tested and installed on first bridge project. Easi-Set licensed producers surpass the 1,000,000 sq. ft. milestone of SoftSound absorptive sound wall production. CSS contracts for deployment of safety barrier systems at both the RNC and DNC national conventions.
- 2013 – ETS SlenderWall project in Montreal by licensed producer BPDL is first with factory installed windows and insulation, wins prestigious PCI award. Smith-Midland Virginia plant achieves ABC safety award Gold status.
- 2014 – First installation of proprietary H2Out advanced rainscreen caulking system on Johns Hopkins hospital project. SMC receives 1st Place award in annual National Precast Concrete Association CUP competition for the Edgewater, NJ SlenderWall project “The Alexander.” J-J Hooks production for reaches 12,000,000 linear feet milestone worldwide. Enough to reach across the United States from Washington, DC to Los Angeles. Concrete Safety Systems expands its barrier rental service centers to eight locations across the mid-Atlantic. Concrete Safety Systems supplies J-J Hooks barrier for the US/Africa Summit in Washington, D.C.
- 2015 – Smith-Midland completes custom designed retaining wall project for Smithsonian National Zoo in Washington, D.C. Smith-Midland contracts $4 million deal with Dulles Metro Rail expansion. Johns Hopkins SlenderWall project receives American Concrete Institute Award. Smith-Midland Corporation announces stocks move to premier OTCQX Best securities marketplace.
- 2016 – Third precast plant is added in South Carolina, Smith-Columbia. SlenderWall architectural panels chosen for Landmark Tysons Corner project. J-J Hooks freestanding precast concrete safety barrier now MASH TL-3-compliant. 300,000 sq. ft. of SoftSound noise walls to be installed on 2 major Virginia DOT projects. Smith-Midland achieves Gold Status in ABC Safety Award Program. Smith-Midland becomes an OTCQX Best 50 Company.
- 2017 – CSS supplies J-J Hooks security barrier for presidential inauguration in Washington D.C. CSS largest project to date, 39,000 LF of J-J Hooks Barrier will be rented for a $105 million I-81 Corridor MD/WVDOT project. Smith-Midland contracted to produce over 23 Miles of J-J Hooks Safety Barrier for I-395 express lanes in Northern Virginia. SMC President Ashley Smith appointed Chair of National Precast Concrete Association. Smith-Midland wins AGC of DC award for Smithsonian National Zoo wall project. J-J Hooks Freestanding precast concrete safety barrier tested fully MASH TL3-compliant. Smith-Midland announced an OTCQX Best 50 Company for second year.
- 2018 – Smith-Midland wins $9 million J-J Hooks safety barrier contract for I-66 Express Lanes Project. Smith-Midland wins $3.2 million I-395 SoftSound project in Northern Virginia. Smith-Midland signs largest contract in company’s history, 900,000 square feet of SoftSound noise absorptive precast concrete sound wall panels for the I-66 Outside the Beltway Express Lanes project in Northern Virginia. Smith-Carolina Plant Announces new location and major expansion. Ashley B. Smith elected as Smith-Midland Chief Executive Officer. Smith-Columbia plant gains PCI Certification. Smith-Midland adds Global Executive Russell Bruner (former CEO and President of Maersk Line) to its Board of Directors. Smith-Midland achieves Gold Status in ABC Safety Award Program. J-J Hooks production reaches 14,000,000 linear feet milestone worldwide. Precast powerhouse Wells Concrete added as newest Easi-Set SlenderWall licensed producer.
- 2019 – Smith-Midland lands largest SlenderWall project ever produced and the company’s largest contract in its history, 800 Harbor Boulevard project at Lincoln Harbor in Weehawken, NJ. Smith-Midland provides secure permanent barrier for White House perimeter security project. Smith-Carolina opens new manufacturing facility. Smith-Midland makes it an OTCQX Top 50 three-peat.