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Mar 31, 2020
Martin Marietta Q1 2020 Earnings Report
Delivered strong financial and operational performance, generating Adjusted EBITDA of $149 million and established a new first-quarter record for consolidated revenues.
Key Takeaways
Martin Marietta reported strong first-quarter results with a new record for consolidated revenues. The company's Building Materials business saw improved shipments and pricing. They strengthened their balance sheet through a debt offering but withdrew full-year 2020 guidance due to COVID-19 uncertainty.
Established a new first-quarter record for consolidated revenues.
Shipments and pricing increased across the majority of the Building Materials business.
Cement and Magnesia Specialties delivered first-quarter margin expansion.
Strengthened balance sheet through long-term debt offering in early March.
Martin Marietta
Martin Marietta
Martin Marietta Revenue by Segment
Martin Marietta Revenue by Geographic Location
Revenue by Segment
Building Materials Business Revenue
CapyFin.comMagnesia Specialties Revenue
CapyFin.comRevenue by Geographic Location
West Group Revenue
CapyFin.com Forward Guidance
The Company has withdrawn its 2020 full-year guidance issued on February 11, 2020, given the economic disruptions driven by the COVID-19 pandemic.
Positive Outlook
- Infrastructure construction is expected to be the most near-term resilient.
- Most state Departments of Transportation (DOTs) are currently operational and continue to advance transportation projects.
- Nonresidential construction activity on existing projects has continued in most regions.
- Warehouses, distribution centers and data centers are expected to perform relatively well in the current environment.
- Large energy-sector projects along the Gulf Coast of Texas that are actively underway are expected to continue.
Challenges Ahead
- Economic disruptions driven by the COVID-19 pandemic.
- Commercial projects in the design or planning stages are being delayed or canceled.
- Residential construction activity is expected to decline in 2020.
- Homebuilders and homebuyers delay plans in the wake of unprecedented economic uncertainty.
- State DOTs are experiencing lower revenue collections and states may have other short-term funding needs relating to the COVID-19 impact that may decrease the scale and/or postpone the timing of future construction.
Revenue & Expenses
Visualization of income flow from segment revenue to net income