VULCAN REPORTS SECOND QUARTER 2025 RESULTS

Price Discipline and Cost Performance Drive Continued Earnings Growth and Margin Expansion

Strong Execution in Aggregates Business Underpins Reaffirmed Full Year Earnings Outlook

BIRMINGHAM, Ala., July 31, 2025 /PRNewswire/ — Vulcan Materials Company (NYSE:VMC), the nation’s largest producer of construction aggregates, today announced results for the quarter ended June 30, 2025. 

Financial Highlights Include:

Tom Hill, Vulcan Materials’ Chairman and Chief Executive Officer, said, “Our second quarter results reflected another quarter of outstanding execution, and we carry good momentum into the remainder of the year.  Despite weather challenges, our pricing discipline and excellent cost performance have led to a 13 percent increase in aggregates cash gross profit per ton, a 16 percent improvement in Adjusted EBITDA and Adjusted EBITDA margin expansion of 260 basis points through the first half of the year.”

Second Quarter Segment Results

Aggregates
Continued pricing discipline and operational execution drove earnings growth and margin expansion despite lower shipments and challenging weather conditions throughout the quarter.  Segment gross profit increased to $560 million ($9.44 per ton), and gross profit margin expanded to 33.9 percent.  Cash gross profit per ton increased 9 percent to $11.88 per ton.  On a trailing-twelve months basis, cash gross profit per ton was $11.25, increasing 13 percent over the prior year and marking a tenth consecutive quarter of double-digit compounding improvement in unit profitability.  

Second quarter aggregates shipments decreased 1 percent as compared to the prior year due in part to significant rainfall in many key Southeastern markets throughout much of the quarter.  Price growth was widespread, and freight-adjusted selling prices increased 5 percent (8 percent on a mix-adjusted basis) as compared to the prior year.  In addition to the anticipated impact of recent acquisitions, second quarter reported price was also impacted by unfavorable legacy geographic mix due to the inclement weather in the Southeast.  Freight-adjusted unit cash cost of sales increased a modest 1 percent ($0.15 per ton) as a result of continued operating cost discipline despite challenging weather conditions. 

Asphalt and Concrete
Asphalt segment gross profit was $57 million, and cash gross profit was $71 million.  Despite lower shipments, unit cash gross profit improved 5 percent, and gross profit margin remained a solid 15.5 percent.  Concrete segment gross profit was 8 million, and cash gross profit was $27 million.  Unit cash gross profit increased 30 percent, due mostly to the contribution of acquired operations. 

Selling, Administrative and General (SAG)
SAG expense in the second quarter was $144 million, or 6.9 percent of total revenues.  On a trailing-twelve months basis, SAG expense was $550 million, or 7.2 percent as a percentage of total revenues, 10 basis points lower than the prior year.

Financial Position, Liquidity and Capital Allocation
The Company remains well positioned for continued growth with a strong liquidity position and balance sheet profile.  Capital expenditures for maintenance and growth projects were $102 million in the second quarter, and the Company returned $65 million to shareholders through dividends, a 6 percent increase versus the prior year.

As of June 30^th, 2025, the ratio of total debt to trailing-twelve months Adjusted EBITDA was 2.2 times (2.1 times on a net debt basis) and within the Company’s target range of 2.0 to 2.5 times.  On a trailing-twelve months basis, return on average invested capital was 15.9 percent. 

Outlook
Regarding the Company’s outlook, Mr. Hill said, “Our execution in the first half of the year along with an acceleration in new highway construction activity in our markets supports our full-year outlook to deliver $2.35 to $2.55 billion of Adjusted EBITDA.  As always, we will remain focused on factors within our control, including pricing and operating disciplines that drive earnings growth and cash generation.” 

Conference Call
Vulcan will host a conference call at 10:00 a.m. CT on July 31, 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 9512587.  The conference call will be recorded and available for replay at the Company’s website approximately two hours after the call.

About Vulcan Materials Company
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.

Non-GAAP Financial Measures
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 identify, close 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.

Investor Contact:  Mark Warren (205) 298-3220
Media Contact:  Jack Bonnikson (205) 298-3220

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