Investor Contact:  Mark Warren (205) 298-3220

Media Contact:  Jack Bonnikson (205) 298-3220

VULCAN REPORTS FIRST QUARTER 2025 RESULTS

Aggregates-Led Business Delivers Strong Earnings and Margin Expansion

Pricing Gains and Unit Profitability Improvement in Each Segment

First Quarter Results Reinforce Full-Year Outlook

Birmingham, Alabama – April 30, 2025 – Vulcan Materials Company (NYSE: VMC), the nation’s largest producer of construction aggregates, today announced results for the quarter ended March 31, 2025.

Financial Highlights Include:

Tom Hill, Vulcan Materials’ Chairman and Chief Executive Officer, said, “The combination of our aggregates-led business and our consistent focus on our Vulcan Way of Selling and Vulcan Way of Operating disciplines resulted in strong earnings growth and margin expansion in the first quarter.  Adjusted EBITDA increased 27 percent, and Adjusted EBITDA margin expanded 420 basis points over the prior year.  Aggregates cash gross profit per ton improved 20 percent with widespread improvements across our footprint.  Our commercial and operational execution support our full-year outlook to deliver another year of earnings growth in 2025.”

             

Aggregates

Segment gross profit increased 18 percent to $357 million ($7.48 per ton), and gross profit margin expanded 320 basis points to 26.7 percent.  Cash gross profit per ton increased 20 percent to $10.63 per ton resulting from geographically widespread pricing growth and improving operational efficiencies.  On a trailing-twelve months basis, cash gross profit per ton was $10.99, marking the ninth consecutive quarter of double-digit compounding improvement in unit profitability.

Aggregates shipments decreased 1 percent as compared to the prior year’s first quarter.  Shipments from acquisitions partially offset one less shipping day in the quarter and challenging weather, particularly in February.

Price increases effective at the beginning of the year resulted in another quarter of attractive growth.  Freight-adjusted selling prices increased 7 percent (mix-adjusted pricing increased 8.5 percent) as compared to the prior year.  Freight-adjusted unit cash cost of sales decreased 3 percent ($0.33 per ton) as a result of continued operational cost discipline and moderating inflationary pressures.

Asphalt and Concrete

Asphalt segment gross profit was $5 million, and cash gross profit was $17 million, a 24 percent improvement over the prior year.  Shipments increased 4 percent, and price improved 4 percent, resulting in 19 percent improvement in unit cash gross profit.  Concrete segment gross profit was $3 million, and cash gross profit was $19 million.  Unit cash gross profit increased 77 percent through a combination of improvement in the legacy business and the benefit of acquired operations.  Shipments improved 15 percent, and price improved 4 percent versus the prior year.

SAG expense of $138 million was in line with the Company’s expectations for the first quarter.  On a trailing-twelve months basis, SAG expense as a percent of total revenues was flat compared to the prior year at 7.2 percent.

Capital expenditures for maintenance and growth projects were $105 million in the first quarter.  For the full year, the Company expects to spend $750 to $800 million for maintenance and growth projects.

During the quarter, the Company returned $104 million to shareholders through $66 million of dividends and $38 million of common stock repurchases.  The Company also used $400 million of cash on hand to redeem its 2025 notes, resulting in a ratio of total debt to trailing-twelve months Adjusted EBITDA of 2.3 times, or 2.2 times on a net debt basis.  On a trailing-twelve months basis, return on average invested capital was 16.2 percent.

The Company remains well positioned for continued growth with a strong liquidity position and balance sheet profile.

Regarding the Company’s outlook, Mr. Hill said, “Our execution in the first quarter was strong, and we reiterate our full-year outlook to deliver $2.35 to $2.55 billion of Adjusted EBITDA.  We continue to monitor the impact on overall economic activity from the uncertainty surrounding trade policy and the trajectory of interest rates.  As always, we are focused on the things we can control.  Our continued execution of our strategic disciplines has and will continue to lead to attractive cash generation and value creation for our shareholders regardless of external headwinds.”

Vulcan will host a conference call at 9:00 a.m. CT on April 30, 2025.  A webcast will be available via the Company’s website at www.vulcanmaterials.com.  Investors and other interested parties may access the teleconference live by calling 800-343-4136, or 203-518-9843 if outside the U.S.  The conference ID is 4926462.  The conference call will be recorded and available for replay at the Company’s website approximately two hours after the call.

Vulcan Materials Company, a member of the S&P 500 Index with headquarters in Birmingham, Alabama, is the nation's largest supplier of construction aggregates – primarily crushed stone, sand and gravel – and a major producer of aggregates-based construction materials, including asphalt and ready-mixed concrete.  For additional information about Vulcan, go to www.vulcanmaterials.com.

Because GAAP financial measures on a forward-looking basis are not accessible, and reconciling information is not available without unreasonable effort, we have not provided reconciliations for forward-looking non-GAAP measures, other than the reconciliation of Projected Adjusted EBITDA as included in Appendix 2 hereto. For the same reasons, we are unable to address the probable significance of the unavailable information, which could be material to future results.

FORWARD-LOOKING STATEMENT DISCLAIMER

This document contains forward-looking statements.  Statements that are not historical fact, including statements about Vulcan's beliefs and expectations, are forward-looking statements.  Generally, these statements relate to future financial performance, results of operations, business plans or strategies, projected or anticipated revenues, expenses, earnings (including EBITDA and other measures), dividend policy, shipment volumes, pricing, levels of capital expenditures, intended cost reductions and cost savings, anticipated profit improvements and/or planned divestitures and asset sales.  These forward-looking statements are sometimes identified by the use of terms and phrases such as “believe,” “should,” “would,” “expect,” “project,” “estimate,” “anticipate,” “intend,” “plan,” “will,” “can,” “may” or similar expressions elsewhere in this document.  These statements are subject to numerous risks, uncertainties, and assumptions, including but not limited to general business conditions, competitive factors, pricing, energy costs, and other risks and uncertainties discussed in the reports Vulcan periodically files with the SEC.

Forward-looking statements are not guarantees of future performance and actual results, developments, and business decisions may vary significantly from those expressed in or implied by the forward-looking statements.  The following risks related to Vulcan's business, among others, could cause actual results to differ materially from those described in the forward-looking statements: general economic and business conditions; domestic and global political, economic or diplomatic developments; a pandemic, epidemic or other public health emergency; Vulcan’s dependence on the construction industry, which is subject to economic cycles; the timing and amount of federal, state and local funding for infrastructure; changes in the level of spending for private residential and private nonresidential construction; changes in Vulcan’s effective tax rate; the increasing reliance on information technology infrastructure, including the risks that the infrastructure does not work as intended, experiences technical difficulties or is subjected to cyber-attacks; the impact of the state of the global economy on Vulcan’s businesses and financial condition and access to capital markets; international business operations and relationships, including recent actions taken by the Mexican government with respect to Vulcan’s property and operations in that country; the highly competitive nature of the construction industry; the impact of future regulatory or legislative actions, including those relating to climate change, biodiversity, land use, wetlands, greenhouse gas emissions, the definition of minerals, tax policy and domestic and international trade; the outcome of pending legal proceedings; pricing of Vulcan's products; weather and other natural phenomena, including the impact of climate change and availability of water; availability and cost of trucks, railcars, barges and ships as well as their licensed operators for transport of Vulcan’s materials; energy costs; costs of hydrocarbon-based raw materials; healthcare costs; labor relations, shortages and constraints; the amount of long-term debt and interest expense incurred by Vulcan; changes in interest rates; volatility in pension plan asset values and liabilities, which may require cash contributions to the pension plans; the impact of environmental cleanup costs and other liabilities relating to existing and/or divested businesses; Vulcan's ability to secure and permit aggregates reserves in strategically located areas; Vulcan’s ability to manage and successfully integrate acquisitions; the effect of changes in tax laws, guidance and interpretations; significant downturn in the construction industry may result in the impairment of goodwill or long-lived assets; changes in technologies, which could disrupt the way Vulcan does business and how Vulcan’s products are distributed; the risks of open pit and underground mining; expectations relating to environmental, social and governance considerations; claims that our products do not meet regulatory requirements or contractual specifications; and other assumptions, risks and uncertainties detailed from time to time in the reports filed by Vulcan with the SEC.  All forward-looking statements in this communication are qualified in their entirety by this cautionary statement.  Vulcan disclaims and does not undertake any obligation to update or revise any forward-looking statement in this document except as required by law.

Source: Vulcan Materials Company

(in millions, except per share data)
		Three Months Ended
Consolidated Statements of Earnings						March 31
(Condensed and unaudited)		2025				2024
Total revenues		$	1,634.6			$	1,545.7
Cost of revenues			(1,269.3	)			(1,240.8	)
Gross profit			365.3				304.9
Selling, administrative and general expenses			(138.3	)			(129.7	)
Gain on sale of property, plant & equipment and businesses			7.4				0.6
Other operating expense, net			(8.0	)			(2.9	)
Operating earnings			226.4				172.9
Other nonoperating expense, net			(2.6	)			(0.3	)
Interest expense, net			(59.7	)			(39.1	)
Earnings from continuing operations before income taxes			164.1				133.5
Income tax expense			(33.8	)			(28.9	)
Earnings from continuing operations			130.3				104.6
Loss on discontinued operations, net of tax			(0.9	)			(1.7	)
Net earnings			129.4				102.9
Earnings attributable to noncontrolling interest			(0.5	)			(0.2	)
Net earnings attributable to Vulcan		$	128.9			$	102.7
Basic earnings (loss) per share attributable to Vulcan
Continuing operations		$	0.98			$	0.79
Discontinued operations		$	(0.01	)		$	(0.01	)
Net earnings		$	0.97			$	0.78
Diluted earnings (loss) per share attributable to Vulcan
Continuing operations		$	0.98			$	0.78
Discontinued operations		$	(0.01	)		$	(0.01	)
Net earnings		$	0.97			$	0.77
Weighted-average common shares outstanding
Basic			132.4				132.4
Assuming dilution			133.0				133.1
Effective tax rate from continuing operations			20.6	%			21.6	%

										(in millions)
Consolidated Balance Sheets		March 31				December 31				March 31
(Condensed and unaudited)		2025				2024				2024
Assets
Cash and cash equivalents		$	181.3			$	559.7			$	292.4
Restricted cash			11.6				41.1				7.7
Accounts and notes receivable
Accounts and notes receivable, gross			941.9				905.5				900.4
Allowance for credit losses			(13.0	)			(13.2	)			(14.3	)
Accounts and notes receivable, net			928.9				892.3				886.1
Inventories
Finished products			570.3				534.6				512.7
Raw materials			65.7				69.7				58.7
Products in process			10.3				9.0				6.8
Operating supplies and other			74.7				68.5				69.0
Inventories			721.0				681.8				647.2
Other current assets			83.1				90.8				74.2
Assets held for sale			0.0				0.0				0.0
Total current assets			1,925.9				2,265.7				1,907.6
Investments and long-term receivables			31.3				31.3				31.4
Property, plant & equipment
Property, plant & equipment, cost			14,534.2				14,516.8				11,949.3
Allowances for depreciation, depletion & amortization			(6,152.9	)			(6,055.3	)			(5,740.0	)
Property, plant & equipment, net			8,381.3				8,461.5				6,209.3
Operating lease right-of-use assets, net			566.0				526.4				512.4
Goodwill			3,815.0				3,788.1				3,531.7
Other intangible assets, net			1,846.3				1,883.0				1,604.5
Other noncurrent assets			146.3				148.8				114.0
Total assets		$	16,712.1			$	17,104.8			$	13,910.9
Liabilities
Current maturities of long-term debt			0.5				400.5				0.5
Trade payables and accruals			354.7				407.0				320.9
Other current liabilities			441.7				431.6				374.8
Total current liabilities			796.9				1,239.1				696.2
Long-term debt			4,907.9				4,906.9				3,330.7
Deferred income taxes, net			1,331.4				1,336.5				1,027.3
Deferred revenue			136.2				137.8				143.6
Noncurrent operating lease liabilities			556.1				521.4				508.2
Other noncurrent liabilities			825.1				820.6				688.3
Total liabilities		$	8,553.6			$	8,962.3			$	6,394.3
Equity
Common stock, $1 par value			132.1				132.1				132.3
Capital in excess of par value			2,889.2				2,900.1				2,865.0
Retained earnings			5,238.8				5,213.8				4,636.7
Accumulated other comprehensive loss			(126.0	)			(127.4	)			(142.1	)
Total shareholder's equity			8,134.1				8,118.6				7,491.9
Noncontrolling interest			24.4				23.9				24.7
Total equity		$	8,158.5			$	8,142.5			$	7,516.6
Total liabilities and equity		$	16,712.1			$	17,104.8			$	13,910.9