MARTIN MARIETTA MATERIALS, INC. 
MARTIN MARIETTA
2024 INVESTOR UPDATE
MAY 6, 2024
Statement Regarding Safe Harbor for Forward-Looking Statements
Investors are cautioned that all statements herein that relate to the future involve risks and uncertainties, and are based on assumptions that the Company believes in good faith are reasonable but which may be materially different from actual results. These statements, which are forward-looking statements under the Private Securities Litigation Reform Act of 1995, provide the investor with the Company's expectations or forecasts of future events. You can identify these statements by the fact that they do not relate only to historical or current facts. They may use words such as "guidance", "anticipate", "may", "expect", "should", "believe",
"will", and other words of similar meaning in connection with future events or future operating
or financial performance. Any or all of the Company's forward-looking statements here and in other publications may turn out to be wrong.
Non-GAAP Financial Measures
This material contains financial measures that have not been prepared in accordance with generally accepted accounting principles in the United States (GAAP). Reconciliations of non- GAAP financial measures to the closest GAAP measures are included in the accompanying Appendix. Management believes these non-GAAP measures are commonly used financial measures for investors to evaluate the Company's operating performance and, when read in conjunction with the Company's consolidated financial statements, present a useful tool to evaluate the Company's ongoing operations, performance from period to period and anticipated performance. In addition, these are some of the factors the Company uses in internal evaluations of the overall performance of its businesses. Management acknowledges that there are many items that impact reported results and the adjustments reflected in these non-GAAP measures are not intended to present all items that may have impacted these results. In addition, these non-GAAP measures are not necessarily comparable to similarly titled measures used by other companies.
Results and Trends
Results and trends described in this Supplemental Information may not necessarily be indicative of the Company's future performance.
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COMPANY OVERVIEW
MARTIN MARIETTA AT A GLANCE
COMPANY OVERVIEW
9,200+ | 0.13 | >75 |
Employees | World-class | Years of aggregates reserves |
lost-time incident rate (LTIR)1 | at current extraction rates |
PRODUCT MIX (2024 Guidance Midpoint)
TOTAL REVENUES | GROSS PROFIT | ||
Magnesia Specialties | Magnesia Specialties | ||
Cement & | 5% | Cement & | 5% |
Downstream | Downstream |
29%18%
BUILDING MATERIALS
~207M | ~2.5M |
Aggregate Tons | Cement Tons |
~5M | ~9M |
Ready Mix Concrete | Hot Mix |
Cubic Yards | Asphalt Tons |
Figures denote estimated 2024 annual shipments.
MAGNESIA SPECIALTIES
1
Lime Plant
1
Magnesia Plant
Aggregates | Aggregates | ||
66% | 77% | ||
FULL YEAR 2024 GUIDANCE | |||
$7.10B | $2.26B | $2.37B | 1.4x |
Total | Net Earnings from | Adjusted | Net Leverage |
Revenues | Continuing Operations | EBITDA3 | Ratio expected as of |
Attributable to Martin | December 31, 2024 | ||
Marietta2 | |||
Note: All metrics include the recently closed BWI acquisition
- Safety data current as of 12/31/23; LTIR rate per 200,000 man hours worked.
- Net earnings from continuing operations attributable to Martin Marietta includes $0.9 billion for a gain on a divestiture partially offset by a noncash asset and portfolio rationalization charge, acquisition, divestiture and integration expenses and fair market value inventory adjustment.
3. Adjusted EBITDA is a Non-GAAP measure. See Appendix for reconciliation to nearest GAAP measure. | 4 |
STRATEGICALLY LOCATED IN HIGH-GROWTH MARKETS
West Division
2024 MIDPOINT GUIDANCE REVENUES BY DESTINATION
BUILDING MATERIALS BUSINESS
Magnesia Specialties
Aggregates1 Asphalt
(CO, CA, AZ)
Ready Mix (AZ)
Southwest Division
Aggregates1 Cement
(Dallas/ Fort Worth)
Ready Mix (TX)
WA
<1%
WY
<1%
UT
CA<1% CO
6%9%
AZ
4%
MN
4%
NE | IA | |
3% | ||
2% | ||
IL | ||
<1% | ||
KS | MO | |
<1% | 1% | |
OK | AK | |
1% | ||
<1% | ||
TX | LA | |
28% | ||
<1% | ||
MI | ||
<1% | PA | |
IN | OH | <1% |
2% | ||
3% | WV | |
<1% VA | ||
KY | 1% | |
<1% | NC 10% | |
TN 2% | ||
SC | ||
3% | ||
AL | GA | |
2% | 6% |
FL
4%
NOVA
SCOTIA
<1%
DE <1%
MD 2%
BAHAMAS
<1%
Dolomitic Lime & Magnesia
Central Division
Aggregates1 Asphalt (MN)
East Division
Aggregates
Source: Company data | |
1. Includes recycled aggregates operations | 5 |
VALUE PROPOSITION OF BUILDING MATERIALS SUPPLY CHAIN
87% UPSTREAM MATERIALS
of full year 2024 total consolidated gross profit guidance
DOWNSTREAM PRODUCTS
8%
of full year 2024 total consolidated gross profit guidance
• | Real pricing growth through |
AGGREGATES | economic cycles |
• | Depleting natural resource |
buttressed by long-lived | |
• | reserves |
• | Limited substitute products |
• | Logistics moats |
CEMENT • Texas demand exceeds statewide capacity
• DFW largely insulated from waterborne imports
ASPHALT
READY MIXED
CONCRETE
(RMC)
- Key aggregates distribution channel (95% aggregates by weight)
- End market resiliency
- (Infrastructure)
- Key aggregates and cement distribution channel (80% aggregates by weight)
- Selective market entry
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OUR STRATEGIC OPERATING ANALYSIS & REVIEW (SOAR) PLAN PROVIDES A LONG TRACK RECORD OF FINANCIAL PERFORMANCE
TOTAL REVENUES | ADJUSTED EBITDA |
3.8x | $6.8BN | 5.7x | $2.1BN | ||||
$3.5BN | $4.7BN | $1.4BN | |||||
$0.8BN | |||||||
$1.8BN | |||||||
$0.4BN | |||||||
2010 | 2015 | 2020 | 2023 | 2010 | 2015 | 2020 | 2023 |
DILUTED EARNINGS PER SHARE | TOTAL SHAREHOLDER RETURNS |
9.2x | $19.32 | 1-YEAR1 | ||
49% | ||||
$11.54 | 26% | |||
$2.10 | $4.29 | |||
2010 | 2015 | 2020 | 2023 | S&P 500 |
5-YEAR1
202%
107% |
S&P 500
10-YEAR1 |
445% |
211% |
S&P 500 |
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1.Reflects Total Shareholder Returns (TSR) with all periods ending 12/31/2023
SOAR'S DISCIPLINED CAPITAL ALLOCATION APPROACH
1 | 2 | 3 |
Mergers & | Sustaining and | Returns to shareholders |
Growth Capital | through dividends and | |
Acquisitions | ||
Expenditures | share repurchases | |
MAINTAINING IG | PRUDENT BUSINESS | NEVER SUSPENDED |
CREDIT RATING METRICS | REINVESTMENT | OR CUT DIVIDEND |
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INVESTMENT HIGHLIGHTS
INVESTMENT HIGHLIGHTS
Pricing growth through | Diversified end market | Disciplined execution | Strong balance sheet |
cycles drives | exposure reduces | of a proven strategic | and significant |
compounding unit | cyclical demand | plan: SOAR | opportunities for |
margins | volatility | acquisitive growth |
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Martin Marietta Materials Inc. published this content on 06 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 06 May 2024 21:24:39 UTC.
