Enhancing Our Core, Expanding Our Reach 4Q 2024 SUPPLEMENTAL INFORMATION FEBRUARY 18, 2025 Safe Harbor and Non-GAAP Financial Measures This presentation contains forward-looking statements. Statements that are not historical fact, including statements about Vulcan's beliefs and expectations, are forward-looking statements. Generally, these statements relate to future financial performance, results of operations, business plans or strategies, projected or anticipated revenues, expenses, earnings (including E ...

Vulcan Materials Company (VMC) Q4 2024 Earnings Call February 18, 2025 11:00 AM ET Company Participants Mark Warren - Vice President, Investor RelationsJ. Thomas Hill - CEO & Chair of the BoardMary Carlisle - Senior VP & CFOTrey Grooms - Managing DirectorKathryn Thompson - Founding Partner & CEOJerry Revich - Senior Investment Leader & Head of US Machinery, Infrastructure, Sustainable Tech franchiseAngel Castillo - Executive DirectorPhilip Ng - Managing DirectorMike Dahl - Managing Director - Equity Researc ...

Core Insights - Vulcan Materials (VMC) reported revenue of $1.85 billion for the quarter ended December 2024, reflecting a 1.1% increase year-over-year, with EPS at $2.17 compared to $1.46 in the same quarter last year, indicating strong earnings growth [1] - The revenue exceeded the Zacks Consensus Estimate of $1.83 billion by 1.42%, and the EPS surpassed the consensus estimate of $1.76 by 23.30% [1] Financial Performance Metrics - Average unit sales price per ton for Aggregates was $21.41, slightly above the estimated $21.31 [4] - Unit shipments for Aggregates were 53,900 KTon, exceeding the estimated 53,380.82 KTon [4] - Unit shipments for Asphalt mix were 3,400 KTon, slightly below the estimated 3,388.29 KTon [4] - Unit shipments for Ready-mixed concrete were 900 KCuYd, below the estimated 951.63 KCuYd [4] - Average unit sales price per ton for Asphalt mix was $82.11, above the estimated $80.70 [4] - Average unit sales price per cubic yard for Ready-mixed concrete was $183.07, below the estimated $186.58 [4] - Net sales for Aggregates were $1.47 billion, matching the estimate and representing a 4.3% increase year-over-year [4] - Net sales for Concrete were $163.50 million, above the estimate but showing a significant decline of 36.1% year-over-year [4] - Net sales for Asphalt were $327.10 million, exceeding the estimate and reflecting a 14.2% increase year-over-year [4] - Gross profit for Aggregates was $486.50 million, surpassing the estimate of $469.51 million [4] - Gross profit for Asphalt was $46.10 million, above the estimate of $42.93 million [4] Stock Performance - Vulcan's shares returned +0.1% over the past month, underperforming the Zacks S&P 500 composite's +4.7% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

分组1 - Vulcan Materials reported quarterly earnings of $2.17 per share, exceeding the Zacks Consensus Estimate of $1.76 per share, and showing an increase from $1.46 per share a year ago, resulting in an earnings surprise of 23.30% [1] - The company achieved revenues of $1.85 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 1.42%, compared to $1.83 billion in the same quarter last year [2] - Vulcan shares have increased approximately 5.1% since the beginning of the year, outperforming the S&P 500's gain of 4% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $0.97 on revenues of $1.68 billion, and for the current fiscal year, it is $8.83 on revenues of $8.13 billion [7] - The Zacks Industry Rank for Building Products - Concrete and Aggregates is in the bottom 8% of over 250 Zacks industries, indicating potential challenges for stock performance [8]

Revenue Performance - Total revenues for Q4 2024 were $1,854 million, a slight increase from $1,834 million in Q4 2023, while full-year revenues decreased to $7,418 million from $7,782 million[3]. - Total revenues for Q4 2024 were $1,853.6 million, a slight increase from $1,834.3 million in Q4 2023, while total revenues for the twelve months ended December 31, 2024, decreased to $7,417.7 million from $7,781.9 million in 2023[22]. - Total revenues for the Aggregates segment increased to $1,472.3 million in Q4 2024 from $1,413.0 million in Q4 2023, representing a growth of 4.2%[28]. - Aggregates segment freight-adjusted revenues for Q4 2024 reached $1,154.2 million, a 7.8% increase from $1,070.6 million in Q4 2023[33]. Profitability Metrics - Adjusted EBITDA for Q4 2024 increased by 16% to $550 million, with an adjusted EBITDA margin of 29.7%, up from 26.0% in Q4 2023[3]. - Gross profit for Q4 2024 was $537.2 million, compared to $472.2 million in Q4 2023, resulting in a gross margin increase from 25.8% to 29.0%[22]. - Operating earnings for Q4 2024 rose to $401.0 million, up from $370.1 million in Q4 2023, while operating earnings for the twelve months ended December 31, 2024, decreased to $1,364.5 million from $1,427.4 million in 2023[22]. - Net earnings attributable to Vulcan for Q4 2024 were $293.8 million, compared to $227.5 million in Q4 2023, reflecting a year-over-year increase of 29.1%[22]. - Basic earnings per share attributable to Vulcan for continuing operations increased to $2.24 in Q4 2024 from $1.73 in Q4 2023, while diluted earnings per share for the same period rose to $2.23 from $1.72[22]. Cost and Expenses - Selling, Administrative and General expenses are projected to be between $550 million and $560 million in 2025, compared to $531 million in 2024[16]. - Selling, administrative, and general expenses for Q4 2024 were $138.1 million, slightly down from $142.4 million in Q4 2023, indicating cost control efforts[22]. - Interest expense for Q4 2024 increased to $52.6 million from $37.4 million in Q4 2023, reflecting higher borrowing costs[22]. Future Projections - The company expects a 19% growth in Adjusted EBITDA for 2025, with net earnings projected between $1.01 billion and $1.17 billion[14]. - Capital expenditures for maintenance and growth projects are anticipated to be between $750 million and $800 million in 2025[16]. - The effective tax rate for 2025 is expected to be between 22% and 23%[16]. - Projected EBITDA for 2025 is estimated at $2,450 million, with net earnings attributable to Vulcan projected at $1,090 million[40]. Cash Flow and Liquidity - The company returned $313 million to shareholders in 2024 through dividends and stock repurchases, maintaining a strong liquidity position with over $600 million in cash[12]. - Cash and cash equivalents totaled $559.7 million, a decrease from $931.1 million[24]. - Total cash used for investing activities was $2,814.9 million in 2024, significantly higher than $163.5 million in 2023[26]. - Total cash and cash equivalents at the end of 2024 were $600.8 million, down from $949.2 million at the beginning of the year, a decrease of 36.7%[26]. - Net cash provided by operating activities decreased to $1,409.6 million in 2024 from $1,536.8 million in 2023, a decline of 8.3%[26]. Asset and Liability Overview - Total current assets were $2,265.7 million, a decrease from $2,524.9 million[24]. - Total current liabilities stood at $1,239.1 million, a decrease from $1,297.6 million[24]. - Long-term debt was reported at $400.5 million, reflecting a stable position[24]. - Total assets amounted to $17,104.8 million, compared to $14,545.7 million previously[24]. - Total liabilities at the end of 2024 were $8,962.3 million, compared to $7,037.8 million at the end of 2023, an increase of 27.4%[26]. - The total equity at the end of 2024 was $8,142.5 million, compared to $7,507.9 million at the end of 2023, an increase of 8.5%[26]. Segment Performance - Aggregates segment gross profit rose 15% to $486 million in Q4 2024, with cash gross profit per ton improving 16% to $11.50[4]. - The gross profit for the Aggregates segment increased to $486.5 million in Q4 2024 from $424.5 million in Q4 2023, an increase of 14.6%[28]. - The average freight-adjusted sales price for Aggregates rose to $21.41 in Q4 2024 from $19.34 in Q4 2023, an increase of 10.7%[28]. - Unit shipments for the aggregates segment decreased to 53.9 million tons in Q4 2024 from 55.3 million tons in Q4 2023[33]. Impairments and Tax Efficiency - The company reported a loss on impairments of $86.6 million for the twelve months ended December 31, 2024, compared to a loss of $28.3 million in 2023[22]. - The effective tax rate from continuing operations decreased to 12.7% in Q4 2024 from 31.3% in Q4 2023, indicating improved tax efficiency[22].

Core Viewpoint - Vulcan Materials Company reported strong financial results for the fourth quarter and full year of 2024, highlighting significant growth in adjusted EBITDA and cash gross profit per ton, with expectations for continued double-digit earnings growth in 2025 [1][13]. Financial Highlights - Total revenues for Q4 2024 were $1,854 million, slightly up from $1,834 million in Q4 2023, while full-year revenues decreased to $7,418 million from $7,782 million in 2023 [2]. - Gross profit for Q4 2024 increased to $537 million from $472 million in Q4 2023, with full-year gross profit rising to $2,000 million from $1,949 million [2]. - Adjusted EBITDA for Q4 2024 was $550 million, a 16% increase from $476 million in Q4 2023, with an adjusted EBITDA margin of 29.7% compared to 26.0% in the prior year [2][34]. - Net earnings attributable to Vulcan for Q4 2024 were $294 million, up from $227 million in Q4 2023, while full-year net earnings were $912 million, down from $933 million [2][34]. Segment Performance - The aggregates segment saw a gross profit increase of 15% to $486 million in Q4 2024, with cash gross profit per ton improving to $11.50, a 16% increase year-over-year [3][5]. - Asphalt segment gross profit was $46 million, with cash gross profit improving by 29% compared to the previous year, while concrete segment gross profit was $5 million [6]. - Aggregates shipments decreased by 3% in Q4 2024, reflecting underlying demand trends [4]. Pricing and Cost Trends - Freight-adjusted sales prices for aggregates increased by 11% year-over-year to $21.41 per ton, while freight-adjusted unit cash costs rose by 5% to $10.47 per ton [5][32]. - The company reported a consistent double-digit year-over-year improvement in aggregates cash gross profit per ton for eleven consecutive quarters [3]. Capital Allocation and Financial Position - Cash provided by operating activities for the full year was $1.4 billion, with capital expenditures totaling $638 million [9]. - The company returned $313 million to shareholders through dividends and stock repurchases, maintaining a strong liquidity position with over $600 million in cash on hand [11][12]. Outlook for 2025 - The company expects continued strength in public construction activity and volume growth, projecting a 19% increase in adjusted EBITDA for 2025 [13]. - Management anticipates a favorable pricing environment and moderate inflationary pressures, supporting further expansion in cash gross profit per ton [13].

Core Points - Vulcan Materials Company declared a quarterly cash dividend of $0.49 per share, an increase of 7% from the previous dividend of $0.46 per share [1][2] - The dividend will be payable on March 24, 2025, to shareholders of record as of March 10, 2025 [1] - This marks the eighth consecutive year of dividend increases for the company, reflecting a favorable outlook supported by its durable growth business model and strong cash generation [2] Company Overview - Vulcan Materials Company is the largest producer of construction aggregates in the United States, primarily focusing on crushed stone, sand, and gravel [2] - The company is also a major producer of aggregates-based construction materials, including asphalt and ready-mixed concrete [2] - Vulcan is a member of the S&P 500 Index and is headquartered in Birmingham, Alabama [2]

Vulcan Materials Company (VMC) is scheduled to release fourth-quarter 2024 results on Feb. 18, before the opening bell.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.In the last reported quarter, the company’s adjusted earnings and revenues missed the Zacks Consensus Estimate by 5.1% and 1.3%, respectively. On a year-over-year basis, earnings and revenues declined 3.1% and 8.3%, respectively.Vulcan’s earnings topped the consensus mark in two of the last four quarters and missed on ot ...

Core Viewpoint - Analysts expect Vulcan Materials (VMC) to report quarterly earnings of $1.76 per share, reflecting a year-over-year increase of 20.6%, with revenues projected at $1.83 billion, a slight decline of 0.4% from the previous year [1] Earnings Projections - Changes in earnings projections are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate trends and short-term stock price movements [2] Key Metrics Analysis - Analysts estimate 'Net sales- Aggregates' at $1.47 billion, indicating a year-over-year increase of 4.2% [4] - 'Net sales- Concrete' is expected to be $157.82 million, reflecting a significant decline of 38.4% year-over-year [4] - 'Net sales- Asphalt' is projected at $310.68 million, suggesting an increase of 8.5% year-over-year [4] Unit Sales and Prices - The average unit sales price per ton for Aggregates is expected to be $21.31, up from $19.32 in the same quarter last year [5] - 'Unit shipments - Aggregates' are forecasted to reach 53,380.82 KTon, down from 55,300 KTon year-over-year [5] - 'Unit shipments - Asphalt mix' are projected at 3,388.29 KTon, compared to 3,300 KTon in the same quarter last year [6] - 'Unit shipments - Ready-mixed concrete' are expected to be 951.63 KCuYd, down from 1,500 KCuYd year-over-year [6] Price Projections - The average unit sales price per ton for Asphalt mix is expected to be $80.70, up from $76.92 in the same quarter last year [7] - The average unit sales price per cubic yard for Ready-mixed concrete is projected at $186.58, compared to $173.83 in the same quarter last year [7] Gross Profit Estimates - Estimated 'Gross profit- Aggregates' is $469.51 million, compared to $423.90 million year-over-year [8] - 'Gross Profit- Asphalt' is expected to reach $42.93 million, up from $36.30 million year-over-year [8] - 'Gross Profit- Concrete' is projected at $5.62 million, down from $11.40 million year-over-year [8] Stock Performance - Vulcan shares have decreased by 1.6% over the past month, contrasting with a 3.9% increase in the Zacks S&P 500 composite [10] - With a Zacks Rank 3 (Hold), VMC is anticipated to closely follow overall market performance in the near term [10]

Vulcan Materials Company (NYSE: VMC ) is the nation’s largest supplier of construction aggregates, operating more than 397 aggregates facilities in the US market. I favor the company’s pricing power on aggregate products and anticipate their growth willMore than 15 years of professional investment experience in global equities across all sectors. My investment style is fundamental, bottom-up, long-term, and quality growth-oriented. I am seeking companies specializing in niche markets, with strong growth pot ...