NYSE$MLM

Martin Marietta Materials Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Achieved record consolidated and aggregates revenues and gross profit, growing product demand experienced enterprise-wide.

Martin Marietta reported record revenues, gross profit, and Adjusted EBITDA (excluding nonrecurring gains in Q3 2020) and EPS. These results were driven by organic shipment growth, pricing gains, and acquisitions, offsetting higher energy-related costs.

  • Established new quarterly records for revenues, gross profit, Adjusted EBITDA and earnings per diluted share.
  • Strong quarterly results were primarily driven by organic shipment growth, pricing gains and value-enhancing acquisitions, which more than offset higher energy-related costs.
  • Acquisition of Lehigh Hanson, Inc.’s West Region business (“Lehigh West Region”), which further enhanced our pipeline of growth opportunities and deep bench of talent at Martin Marietta.
  • Focus remains on building the safest, best performing and most durable aggregates-led public company.

Headline financials

Total Revenue

$1.56B

Previous: $1.32B+17.9%
EPS (adj)

$4.25

Previous: $3.84+10.7%
Aggregates Shipments (tons)

57.0M

Previous: 51.8M+10.0%
Average Selling Price per Ton

$14.93

Previous: $14.75+1.2%
Capital Expenditures

-$321M

Previous: -$251M-28.1%
Free Cash Flow

-$66.7M

Previous: $43.6M-253.0%
Net Income

$255M

Previous: $294M-13.5%
Operating Income

$357M

Previous: $401M-10.9%
Gross Profit

$442M

Previous: $405M+9.2%
Cash & Equivalents

$2.38B

Previous: $117M+1942.4%
Total Assets

$13.8B

Previous: $10.4B+32.1%
Stock-Based Comp

$12.2M

Previous: $2.7M+351.9%

Revenue & EPS history

Martin Marietta · Revenue · Quarterly

$1.56B

Q3 2021+17.9%vs Q3 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Martin Marietta · $1.15B total across 1 segment · Q1 2022

  • Building Materials Business
    $1.15B

Forward guidance

Full-year 2021 guidance has been updated to reflect the Company’s year-to-date performance, continuing energy-related cost headwinds, and expected contributions from acquisitions closed in the fourth quarter.

Tailwinds

  • Consolidated Products and services revenues between $4,955 million and $5,050 million
  • Adjusted EBITDA between $1,500 million and $1,550 million
  • Aggregates Organic volume % growth between 1.0% and 3.0%
  • Organic average selling price per ton (ASP) % growth between 2.5% and 3.5%
  • Magnesia Specialties Business Products and services revenues between $260 million and $270 million

Headwinds

  • Gross profit between $1,330 million and $1,380 million
  • Selling, general and administrative expenses (SG&A) between $340 million and $345 million
  • Interest expense between $140 million and $145 million
  • Estimated tax rate (excluding discrete events) between 20% and 22%
  • Capital expenditures between $475 million and $525 million

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

+1.2%

Avg return

Earnings day

+1.2%

Avg return

5 days after

+0.6%

Avg return

30 days after

58%

40 / 69 earnings

Positive

+17.6%

Q4 2014

Best reaction

-8.5%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.2%-1.1%-5.0%
Q4 2025-6.6%-4.1%-17.6%
Q3 2025+1.0%-1.4%-0.1%
Q2 2025+0.4%+2.9%+4.1%
Q1 2025+3.8%+7.4%+8.5%
Q4 2024-2.2%-0.3%-9.7%
Q3 2024+1.4%-0.3%+2.8%
Q2 2024-0.9%-2.1%-6.7%
Q1 2024-2.0%-1.9%-5.9%
Q4 2023+1.6%+2.4%+13.1%
Q3 2023+7.8%+8.0%+14.3%
Q2 2023-2.1%-1.1%-4.6%
Q1 2023+7.9%+8.2%+12.6%
Q4 2022+3.6%+4.3%-10.0%
Q3 2022-0.8%+2.5%+9.4%
Q2 2022+4.8%+4.9%+4.7%
Q1 2022+6.2%-2.6%-2.3%
Q4 2021-1.0%+0.5%-3.2%
Q3 2021+4.5%+5.6%+6.0%
Q2 2021-1.1%-1.3%+4.6%
Q1 2021+5.6%+6.7%+1.4%
Q4 2020+5.0%+9.9%+13.2%
Q3 2020+7.6%+11.6%+9.5%
Q2 2020-6.1%-9.1%-8.3%
Q1 2020-8.5%-7.4%+10.9%
Q4 2019-6.1%-4.8%-32.9%
Q3 2019-0.8%-2.1%+1.1%
Q2 2019+10.6%+9.8%+13.1%
Q1 2019+2.3%+3.4%-0.8%
Q4 2018-3.0%+2.2%+3.1%
Q3 2018+8.5%+5.4%+6.5%
Q2 2018-7.7%-10.6%-7.7%
Q1 2018+3.9%+5.3%+12.2%
Q4 2017+1.4%+1.6%-3.4%
Q3 2017-2.5%-3.3%-6.7%
Q2 2017-4.5%-5.3%-6.4%
Q1 2017+7.2%+6.6%+2.3%
Q4 2016-4.1%-6.0%-9.1%
Q3 2016+2.7%+3.7%+19.2%
Q2 2016+2.0%+1.0%-6.5%
Q1 2016+5.0%
Q4 2015+11.5%
Q3 2015-6.1%
Q2 2015+8.7%
Q1 2015+8.5%
Q4 2014+17.6%
Q3 2014-4.6%
Q2 2014-0.2%
Q1 2014+6.4%
Q4 2013+5.1%
Q3 2013+1.2%
Q2 2013-1.8%
Q1 2013+1.0%
Q4 2012+1.5%
Q3 2012+2.2%
Q2 2012-4.5%
Q1 2012+0.1%
Q4 2011-1.2%
Q3 2011+2.8%
Q2 2011-1.5%
Q1 2010-3.2%
Q1 2011+2.1%
Q4 2010+2.1%
Q4 2008+2.1%
Q3 2009+2.5%
Q3 2010+2.5%
Q2 2010-6.6%
Q2 2009-6.6%
Q4 2009-6.6%

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