Aggregates volume, pricing growth drive Martin Marietta’s first quarter

By |  April 30, 2015

Martin Marietta Materials Inc. experienced improved margins and increased profitability during the first quarter of 2015.

In fact, Martin Marietta reports it achieved a first-quarter profit for the first time in seven years. Ward Nye, Martin Marietta’s chairman, president and CEO, attributes the first-quarter profitability to volume growth and double-digit pricing increases in aggregates.

“We view this volume and pricing momentum as an indication of a more construction-centric phase of economic recovery,” Nye says. “Our first-quarter results and outlook for the full year have led us to increase our annual aggregates product line pricing guidance from an increase of 4 percent to 6 percent to an increase of 7 percent to 9 percent over 2014.”

According to Martin Marietta, its aggregates shipments reflect growth in all end-use markets. Shipments to the infrastructure market comprised 40 percent of quarterly volumes, the company says. Shipments increased 8 percent compared with the first quarter of 2014.

The nonresidential market represented 34 percent of Martin Marietta’s quarterly aggregates shipments, increasing slightly compared with the first quarter of 2014. The residential market accounted for 15 percent of Martin Marietta’s quarterly aggregates shipments. Volumes to this market increased 4 percent compared with the first quarter of 2014.

“We continue to see indicators of further recovery in the eastern half of the United States, where Martin Marietta has leading market positions,” Nye says.

Kevin Yanik

About the Author:

Kevin Yanik is editor-in-chief of Pit & Quarry. He can be reached at 216-706-3724 or kyanik@northcoastmedia.net.

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