VULCAN REPORTS THIRD QUARTER 2024 RESULTS

Core Insights - Vulcan Materials Company reported third-quarter results for 2024, highlighting strong execution and margin expansion despite extreme weather disruptions [1] - The company continues to enhance its aggregates business, which supports earnings growth and has seen a consistent increase in cash gross profit per ton for eight consecutive quarters [1][2] Financial Performance - Total revenues for Q3 2024 were $2,004 million, down from $2,186 million in Q3 2023 [1][17] - Gross profit decreased to $565 million from $591 million year-over-year [1][17] - Net earnings attributable to Vulcan were $208 million, compared to $276 million in the prior year [1][17] - Adjusted EBITDA for the quarter was $581 million, slightly down from $602 million in Q3 2023 [1][17] - Adjusted EBITDA margin improved to 29.0% from 27.6% year-over-year [1][17] Segment Results - The aggregates segment gross profit was $498 million, with a gross profit margin expansion of 40 basis points [2] - Shipments in the aggregates segment decreased by 10% due to severe weather conditions [3] - Asphalt segment gross profit was $60 million, with a 12% improvement year-over-year, while concrete segment gross profit was $7 million [5] Cost and Pricing Dynamics - Freight-adjusted sales prices for aggregates increased by 10% compared to the previous year [4] - Cash gross profit per ton for aggregates improved by 10% to $10.89, despite lower shipments [2][4] - Selling, Administrative and General (SAG) expenses decreased to $129 million from $144 million in the prior year [6] Capital Allocation and Growth Strategy - The company announced the acquisition of Wake Stone Corporation, expected to close in Q4 2024, which will enhance its presence in high-growth regions [9] - Capital expenditures for Q3 were $104 million, with a full-year expectation of $625 to $650 million for maintenance and growth projects [8] - The company returned $61 million to shareholders through dividends, marking a 6% increase from the previous year [8] Outlook - The company anticipates full-year Adjusted EBITDA of approximately $2 billion, influenced by weather disruptions and declining shipments [10] - For 2025, Vulcan expects aggregates prices to improve in the high-single digits and cash gross profit per ton to continue expanding at double-digit levels [11]