Martin Marietta touts record third-quarter results

Martin Marietta Materials Inc. reports achieving record consolidated net sales of $1.0 billion in the third quarter, as well as an aggregates product line volume increase of 5.4 percent.

The company made these announcements upon releasing its third-quarter report.

“Our record third-quarter results reflect the company’s considerable earnings power resulting from the continued successful execution of our strategic plan,” says Ward Nye, chairman, president and CEO of Martin Marietta. “We believe that a construction-centric recovery is underway in our geographic markets, as evidenced by the growing demand for construction materials and favorable pricing that led to consolidated net sales of more than $1 billion – a milestone for our shareholders and employees.”

According to Martin Marietta, its Southeast group led the increase in aggregates product line volume growth with a 9 percent volume increase of its own. The company says its Mid-America group, which includes North and South Carolina, generated a 5 percent increase in aggregates volume growth.

Aggregates product line shipments to the infrastructure market comprised 43 percent of Martin Marietta’s quarterly volumes and increased 5 percent, the company says. Each group achieved an increase, led by growth of 8 percent in the West group. Major project activity in Florida, Georgia, North Carolina and Texas continues to accelerate, the company adds, as states take increased responsibility for funding infrastructure investments.

According to Martin Marietta, the nonresidential market represented 30 percent of its quarterly aggregates product line shipments and was relatively flat. The residential end-use market accounted for 18 percent of quarterly aggregates product line shipments, and volumes within this market increased 15 percent.

Martin Marietta also experienced aggregates product line price increases of 5.4 percent. Aggregates product line pricing grew in all reportable groups, led by a 6.6 percent increase in the West group.

“Looking beyond the third quarter, we are extremely pleased with our contractor backlogs, including future deliveries of weather-related delays from the first half of the year,” Nye says. “Absent the early onset of winter weather, our outlook for the fourth quarter remains strong. Additionally, growing state Department of Transportation initiatives, plus the increasing likelihood that a multi-year federal highway bill will pass, make us highly optimistic that the construction-centric momentum will continue to grow our sales and profits in 2016 and beyond.”