Martin Marietta sets several second-quarter records

By |  July 28, 2022

Logo: Martin Marietta

Martin Marietta experienced a number of gains in its aggregate business in the second quarter, achieving record quarterly revenues and adjusted EBITDA (earnings before interest, tax, depreciation and amortization).

Robust pricing, acquisitions and product demand drove second-quarter growth, the company says.

According to Martin Marietta, second-quarter organic aggregate shipments increased 1.8 percent due to healthy underlying public and private product demand. Supply chain and logistics-related bottlenecks partially constrained shipments, the company adds.

Organic aggregate pricing increased 8.8 percent, or 7.5 percent on a mix-adjusted basis, as Martin Marietta benefited from price increases implemented on April 1. Including acquired operations, total aggregate shipments and pricing grew 9.3 percent and 8.4 percent, respectively.

Martin Marietta says second-quarter gross profit in aggregate products improved 13.2 percent to $309 million, while gross margin declined 170 basis points to 32.3 percent – primarily due to significantly higher energy, contract services, supplies and internal freight costs.


Ward Nye


“Martin Marietta delivered second-quarter records for aggregates and cement shipments, revenues, gross profit, adjusted EBITDA and adjusted earnings per diluted share,” says Ward Nye, chairman and CEO of Martin Marietta. “Our strong financial performance this quarter demonstrates the successful execution of our strategic business plan and also serves as a testament to the focus of our remarkable team and resiliency of our aggregates-led business.

Despite increased inflationary pressures from rising input costs and a challenging overall macroeconomic and geopolitical operating environment, Nye says Martin Marietta’s business model delivered positive results as the company capitalized on the attractive commercial environment.

“We expect to see a positive inflection in the current price-cost dynamic, as well as record second-half pricing growth rates which will facilitate attractive margin expansion and accelerated unit profitability growth going forward,” Nye says.

M&A activity

Martin Marietta closed on two transactions in the second quarter, finalizing the divestiture of its Colorado and central Texas ready-mixed concrete businesses while completing the divestiture of certain West Coast cement and ready mix operations.

“These portfolio-optimizing transactions not only improve our product mix and margin profile, but also strengthen our balance sheet and the economic durability of our company,” Nye says. “Importantly, these transactions provide flexibility to continue driving shareholder value by prudently investing in strategic acquisitions and organic growth initiatives, returning capital to shareholders and reducing our leverage to within our targeted range.”

According to Nye, Martin Marietta is positioned to capitalize on strong demand trends across its coast-to-coast footprint. The company expects a variety of developments to fuel growth, including increased infrastructure investment, a recovery in light nonresidential construction, large-scale energy projects and domestic manufacturing.

Want more?

Curious how Martin Marietta performed in the first quarter of 2022? Look back on our recap of its performance here.

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About the Author:

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

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