Vulcan(US:VMC)2025-10-30 11:05Financial Performance - Total revenues for Q3 2025 were $2,292 million, a 14.4% increase from $2,004 million in Q3 2024[3] - Net earnings attributable to Vulcan for Q3 2025 were $375 million, up 80.8% from $208 million in Q3 2024[3] - Adjusted EBITDA for the year-to-date increased by 20% to $1,806 million compared to $1,507 million in the prior year[3] - Operating earnings for Q3 2025 were $543.2 million, representing a 61.3% increase compared to $337.1 million in Q3 2024[24] - Net earnings attributable to Vulcan for the nine months ended September 30, 2025, were $824.7 million, a 33.4% increase from $618.2 million in the same period of 2024[24] - Gross profit for the nine months ended September 30, 2025, was $1,687.7 million, up 15.4% from $1,462.4 million in the same period of 2024[24] - Total revenues for the nine months ended September 30, 2025, were $6,028.5 million, a 8.4% increase from $5,564.0 million in the same period of 2024[27] - Adjusted EBITDA for the trailing twelve months ended September 30, 2025, was $2,355.7 million, up from $1,932.6 million in the previous year, reflecting a 22.0% increase[35] Revenue and Sales Growth - Aggregates shipments in Q3 2025 increased by 12% to 64.7 million tons, reflecting healthy public construction activity[5] - Aggregates segment sales increased to $1,792.1 million in Q3 2025, compared to $1,572.4 million in Q3 2024, reflecting a growth of 14.0%[31] - Average freight-adjusted sales price for aggregates was $22.01 per ton in Q3 2025, up from $21.27 per ton in Q3 2024, indicating a 3.5% increase[33] - Cash gross profit for the aggregates segment was $765.7 million in Q3 2025, compared to $628.8 million in Q3 2024, representing a 21.8% increase[33] - Unit shipments for aggregates were 64.7 million tons in Q3 2025, an increase from 57.7 million tons in Q3 2024, marking a growth of 17.9%[33] Cost and Expenses - Selling, Administrative and General (SAG) expenses were $145 million in Q3 2025, slightly improving as a percentage of total revenues to 6.3%[9] - Interest expense for the nine months ended September 30, 2025, was $174.2 million, compared to $117.7 million in the same period of 2024, indicating a 48.0% increase[35] Capital Management - Capital expenditures for maintenance and growth projects were $235 million in Q3 2025, with cash provided by operating activities increasing by 31% to $1.3 billion[11] - The return on average invested capital improved by 40 basis points to 16.5% through disciplined capital management and solid operating earnings[12] - Average invested capital increased to $14,310.9 million in 2025 from $12,281.9 million in 2024, showing a 16.5% rise[40] Cash Flow and Liquidity - Cash and cash equivalents decreased to $191.3 million as of September 30, 2025, from $559.7 million at the end of December 2024[25] - Net cash provided by operating activities for the nine months ended September 30, 2025, was $1,270.0 million, compared to $969.5 million in the same period of 2024[26] - Net cash used for investing activities was $450.9 million for the nine months ended September 30, 2025, down from $641.8 million in the same period of 2024[26] Future Outlook - The company expects to deliver between $2.35 billion and $2.45 billion of Adjusted EBITDA in 2025, representing a 17% year-over-year growth at the midpoint[15] - The company expects continued growth in revenues and profitability driven by market expansion and new product developments[34] - Projected Adjusted EBITDA for 2025 is estimated at $2,400 million, indicating a strong outlook for the year[38] Tax and Liabilities - The effective tax rate from continuing operations for the nine months ended September 30, 2025, was 22.3%, compared to 25.0% in the same period of 2024[24] - Total liabilities decreased to $8,221.4 million as of September 30, 2025, from $8,962.3 million at the end of December 2024[25] Segment Performance - The asphalt segment reported a gross profit of $71.0 million in Q3 2025, up from $60.2 million in Q3 2024, a growth of 17.9%[33] - Concrete segment gross profit increased to $14.1 million in Q3 2025 from $6.5 million in Q3 2024, reflecting a significant growth of 116.9%[33] Earnings Per Share - Adjusted diluted EPS attributable to Vulcan from continuing operations for Q3 2025 was $2.84, compared to $2.22 in Q3 2024, reflecting a 28.0% increase[36] Debt Management - Net debt as of September 30, 2025, was $4,165.6 million, up from $2,895.4 million in 2024, with a net debt to trailing twelve months Adjusted EBITDA ratio of 1.8x[39] - Return on Invested Capital (ROIC) for the trailing twelve months ended September 30, 2025, was 16.5%, slightly up from 16.1% in 2024[40]