BIRMINGHAM, Ala. - Vulcan Materials Company (NYSE:VMC) reported third quarter earnings and revenue that missed analyst estimates. The company's shares rose 2.68% following the release.
The nation's largest producer of construction aggregates posted adjusted earnings per share of $2.22, falling short of the $2.33 consensus estimate. Revenue came in at $2 billion, edging past analyst projections of $2.02 billion.
Vulcan's third quarter results were impacted by significant weather disruptions, including heavy rainfall and hurricanes, which affected shipments across the Southeast. Aggregates shipments decreased 10% compared to the prior year quarter.
Despite lower volumes, the company saw improvements in unit profitability. Cash gross profit per ton in the aggregates segment increased 10% to $10.89, driven by higher pricing and operational efficiencies. Freight-adjusted selling prices rose 10% YoY.
"Results and activities in the third quarter evidence the consistent execution of our two-pronged strategy to generate durable growth," said Tom Hill, Vulcan's Chairman and CEO. He noted the company's aggregates cash gross profit per ton has grown by double-digits for eight consecutive quarters.
Looking ahead, Vulcan lowered its full-year 2024 adjusted EBITDA guidance to approximately $2 billion, citing the decline in shipments and continued weather events so far in the fourth quarter.
For 2025, the company expects aggregates pricing to improve high-single digits and volume growth driven by increased public construction activity and an improving private demand environment.
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