Heritage aggregates volume up at Martin Marietta

Martin Marietta Materials released its fourth-quarter results Tuesday, noting growth in heritage aggregates and an increase in average selling price.

“Heritage volume growth in the fourth quarter was achieved in each of our reportable groups, leading to an overall increase of 5 percent,” says Ward Nye, president and CEO of Martin Marietta. “Underlying this improvement was expansion in our nonresidential and residential end-use markets, continuing trends we have experienced throughout the year.

Specifically, Nye says heritage aggregates volume growth reflects a 13 percent increase in shipments to both the nonresidential and residential markets.

“The nonresidential market is our second-largest aggregates product line end use, comprising 31 percent of quarterly shipments,” he says. “Volume growth was notable in the energy sector, as well as the commercial construction sector, which we believe is beginning to benefit from six consecutive quarters of improvement in the residential end-use market.”

Nye adds that the infrastructure market represents about half of Martin Marietta’s aggregates volumes, and it increased 1.5 percent for the quarter.

“We were encouraged by the 91 percent increase in highway obligations during the quarter compared with the prior-year period,” he says. “While the rate of improvement will moderate as the fiscal year progresses, we believe this is an early indicator for increased infrastructure construction activity in 2013.”