July 27, 2024
5 Things to Know: July 27
Sales decline again at Current™. Plus, church defies court, incurs daily fines for light trespass.
Here's a roundup of some of the week's happenings curated to help lighting people stay informed.
1. Current™ Revenues Dip to $874 Million
The parent company of Current, American Industrial Partners (AIP), disclosed that Current's annual revenue has fallen to $874 million, marking another decrease. This update, published by AIP in late April, was only recently noticed by the Inside Lighting I-Team, which has been properly admonished for the delay in reporting.
Above: Current's organic sales decline over 5-year span
Current, formerly known as GE Current, a Daintree Company, has experienced a consistent organic decline in revenue since its acquisition by AIP in 2019. At the time of acquisition, revenue was reported to be $940 million. The downward trend continued despite acquiring Hubbell Lighting in February 2022, when combined revenues peaked at over $1.1 billion. The latest revenue figure of $874 million reflects a significant drop from $922 million reported in December 2023.
Earlier this year, Current sold its horticultural lighting business to rival Acuity Brands, in a transaction described as non-material by both parties. The company cites an employee headcount of 2,683, down approximately 8% from 2,910 in December.
2 . Immaculate Correction: Church Fined $100/Day for Lighting Violations
As previously reported in our feature called "Thou Shalt Not Light Trespass" in June, a Michigan court has ordered the Immaculate Conception Catholic Church of Traverse City to shield its exterior lights following complaints from resident Amelia Hasenohrl about light intrusion. The church, part of the Grand Traverse Area Catholic Schools, is now paying $100 daily fines for non-compliance with the court's ruling. as reported by The Traverse City Record-Eagle, Cathy Nelson, the director of marketing and communications for the Grand Traverse Area Catholic Schools explained, "We are leaving our campus lights on — not out of disregard for the court’s ruling or our neighbor, but because we believe the most important consideration is campus safety.”
As reported by local NBC affiliate, UpNorthLive, the court's decision came after it found that the school’s lighting violated Traverse City's outdoor lighting ordinance, which requires 100% cut-off shielding and limits light levels at property lines to 0.2 footcandles. Despite attempts to dim the lights, measurements showed the lighting still exceeded these limits. Fixtures that initially emitted up to 3,600 lumens were progressively dimmed to 1,125 lumens, but the court mandated further reductions and installation of cut-off shielding within 60 days. The ongoing daily fines reflect the school's delay in meeting these requirements, aimed at reducing glare and light trespass.
Above: 3-minute news report from WPBN, UpNorthLive
The lighting dispute dates back to 2019 when the Grand Traverse Area Catholic Schools completed a $17 million renovation, including new lighting fixtures. Persistent complaints from neighbors, particularly Hasenohrl, led to prolonged legal battles and city commission meetings. Nelson noted that the school is working to replace the non-compliant lights with new fixtures, costing an additional $20,000. Until these replacements arrive, the school will continue paying the fines, maintaining that keeping the lights on is essential for campus safety. The school hopes to resolve the issue before the new academic year begins.
3. Interior Designers Embrace Lighting Designers
A recent article in Business of Home emphasizes the need for interior designers to engage lighting specialists, highlighting insights from leading New York City lighting designers. Matthew Tirschwell of Tirschwell & Co. advises understanding clients' daily routines to create tailored lighting plans, emphasizing the importance of concealing lights to focus on the lighting effect. Tirschwell suggests early discussions to cover wake-up and sleep times, work-from-home needs, and meal routines to inform the lighting design.
Brett Andersen from Focus Lighting recommends layering lighting in rooms like bedrooms to enhance functionality and ambiance. Andersen explains using accent lights, dimming capabilities, and reading lights to achieve a well-rounded lighting scheme. Staci Ruiz, a New York lighting consultant, emphasizes the importance of concept meetings and mock-ups to communicate lighting schemes effectively to clients. Ruiz advises discussing architecture, style, and budget early on, then using sample fixtures to demonstrate potential designs.
4. Lighting Controls Association Updates Education Express
The Lighting Controls Association has revamped Education Express, a free online series offering comprehensive courses on lighting control technology and applications. The update introduces faster loading speeds and video versions of many courses.
Launched in 2006, Education Express has grown to 32 learning modules and has seen 47,000 students complete over 450,000 modules. Courses cover topics from basic lighting control to advanced systems and offer education credits recognized by various professional organizations. The updated platform aims to enhance learning experiences and keep pace with evolving technology and best practices.
5. ams OSRAM & Valmont Announce Quarterly Results
At Inside Lighting, we often wonder how much our audience cares about publicly traded companies with only a small portion of revenue tied to the North American lighting industry. Two such companies are ams Osram and Valmont Industries. While ams Osram primarily focuses on sensor-related products and industries outside of lighting, Valmont is well-known for its infrastructure products for utilities, telecom and substations -- in addition to poles for street area lighting applications.
Valmont delivers $1 billion in Q2
Valmont's Lighting and Transportation segment, which makes up about 30% of its total revenues, combines lighting poles and structures for urban, roadway, and commercial applications with other non-lighting products that encompasses traffic and transportation infrastructure, overhead signage support structures, custom-engineered urban landscape structures, electric bus charging infrastructure, innovative bridge solutions, and vibration damping solutions to extend the life of traffic structures.
In its Q2 results, Valmont reported a 12% increase in net sales, reaching $1.05 billion. The Lighting and Transportation segment contributed significantly, with revenues climbing 10% to $315 million. The company's overall growth was bolstered by strong performances in its infrastructure and utility support divisions.
Slight dip in ams OSRAM revenues
ams OSRAM's primary business is intelligent sensors and emitter components, which are significant aspects of their operations. The Americas region comprises only approximately 20% of their overall business. Additionally, ams OSRAM produces LED components primarily for the automotive industry, though they also serve the lighting sector. This dual focus allows them to leverage their expertise in both sensors and LEDs to meet the demands of the automotive segment extensively.
In the second quarter of 2024, ams OSRAM reported revenues of EUR 819 million, reflecting a slight decrease from EUR 851 million in the same quarter of the previous year. Adjusted EBITDA for Q2 2024 was EUR 135 million, equating to a margin of 16.5%. The LED segment, particularly within the automotive market, showed resilience despite overall market challenges. The company continues to focus on its 'Re-establish-the-Base' program to drive profitability and efficiency improvements.
