Mar 31, 2022

Martin Marietta Q1 2022 Earnings Report

Achieved record quarterly consolidated revenues driven by enterprise-wide pricing gains.

Key Takeaways

Martin Marietta reported record consolidated revenues for Q1 2022, driven by pricing gains and contributions from acquisitions. However, cost inflation outpaced revenue growth, reducing profit margins. The company is raising its full-year outlook for aggregates and cement pricing to offset inflation.

Achieved record consolidated revenues, benefitting from enterprise-wide pricing gains.

Organic aggregates and cement shipment growth, and contributions from 2021 acquisitions.

Cost inflation outpaced top-line improvement, reducing profit margins versus the prior-year quarter.

Raising full-year outlook for aggregates and cement pricing to offset inflation and replace earnings from recently divested downstream businesses.

Total Revenue
$1.15B
Previous year: $922M
+24.5%
EPS
$0.39
Previous year: $1.04
-62.5%
Aggregates tons shipped
42.1M
Previous year: 37.1M
+13.5%
Aggregates avg. price
$16.2
Previous year: $15.3
+5.6%
Cement tons shipped
1M
Gross Profit
$156M
Previous year: $175M
-10.6%
Cash and Equivalents
$190M
Previous year: $314M
-39.6%
Free Cash Flow
$30.1M
Previous year: $81.6M
-63.1%
Total Assets
$14.2B
Previous year: $10.7B
+33.6%

Martin Marietta

Martin Marietta

Martin Marietta Revenue by Segment

Martin Marietta Revenue by Geographic Location

Forward Guidance

The Company has updated its full-year 2022 guidance to reflect expected pricing realization that it believes will offset additional inflation headwinds and replace earnings from the downstream businesses it recently divested.

Positive Outlook

  • Consolidated Products and services revenues between $5,640 million and $5,820 million
  • Gross profit between $1,560 million and $1,665 million
  • Adjusted EBITDA between $1,700 million and $1,800 million
  • Aggregates Organic volume % growth between 1.0% and 4.0%
  • Aggregates Total volume % growth between 7.0% and 10.0%

Challenges Ahead

  • Selling, general and administrative expenses (SG&A) between $395 million and $405 million
  • Interest expense between $165 million and $170 million
  • Estimated tax rate (excluding discrete events) between 21% and 22%
  • Net earnings from continuing operations attributable to Martin Marietta between $800 million and $900 million
  • Capital expenditures between $525 million and $550 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income