What Atkore Inc. told the SEC could break it.

Atkore sells primarily through a concentrated set of large electrical distributors. Its top ten customers accounted for approximately 40% of net sales in fiscal 2025, with a single customer — Sonepar USA — exceeding 10% of sales in each of fiscal 2025, 2024 and 2023 (and representing 17% of accounts receivable), and CED (Consolidated Electrical Distributors) representing 11% of receivables. Its named distributor customers also include Graybar Electric, Rexel and Wesco International. This channel concentration means the loss, insolvency, or in-sourcing/destocking by a top distributor would materially affect sales and receivables collection. Sonepar and CED are captured as edges; the aggregate distributor concentration registers here as a risk.

“In fiscal 2025, our top ten customers accounted for approximately 40% of net sales.”

Atkore's demand is concentrated in the United States and in one end-market: 88% of fiscal 2025 net sales were to U.S. customers, and its products are primarily used by trade contractors in non-residential construction (commercial offices, healthcare facilities, manufacturing plants). It states its business is heavily dependent on the health of the U.S. economy in general and U.S. non-residential construction activity in particular, with results also seasonally weather-sensitive. A downturn in U.S. construction spending or the broader economy would directly reduce volumes across its conduit, cable and framing products. A combined single-country / single-end-market demand concentration.

“In fiscal 2025, 88% of our net sales were to customers located in the United States. As a result, our business is heavily dependent on the health of the United States economy, in general, and on United States non-residential construction activity, in particular.”

As a domestic manufacturer of electrical conduit, cable and metal products, Atkore is exposed to trade policy on both sides. Increased imports of products similar to those it makes can reduce domestic sales volumes and depress selling prices, so its results depend on U.S. trade practices — quotas, tariffs, anti-dumping measures and government enforcement against foreign producers (and foreign government subsidies cut the other way). At the same time, demand for certain products is shaped by U.S. industrial/infrastructure policy (CHIPS Act, the Inflation Reduction Act, Buy America regulations). Shifts in tariff protection or infrastructure incentives would materially affect both its pricing power and its volumes. A two-sided trade/industrial-policy exposure.

“Increased imports of products similar to those manufactured by us in the United States could materially and adversely effect our business, financial position, results of operations or cash flows.”