USA: Vulcan Materials sees 15.6% profit improvement

USA: Vulcan Materials sees 15.6% profit improvement
Published: 04 May 2016

Vulcan Materials, the largest US aggregates producer, generated a first-quarter turnover 15.6 per cent higher at US$754.7m while EBITDA doubled (+100.3 per cent) to US$155.9m. At the trading level, the first-quarter profit went from US$10.8m to US$64.9m and the net interest charge in the period dropped by 46.1 per cent to US$33.7m, giving a swing at the pretax level from a loss of US$50.7m to a US$30.5m profit and at the net attributable level the loss was replaced by a US$18.9m profit.

Aggregates shipments in the quarter increased by 17 per cent to 35.57Mt (39.2Mst) and the average price improved by 9.6 per cent to US$13.69/t (US$12.42/st) and the aggregates turnover rose by 28.2 per cent to US$486.9m. Volumes rose by in excess of 10 per cent in several important states, but shipments in California declined by more than 10 per cent and deliveries in Texas were only two per cent higher because of unusually wet weather.

The asphalt volume declined by 3.9 per cent to 1.54Mt and the average price eased by 2.1 per cent to US$57.36/t (US$52.04 /st), as unfavourable weather in California depressed volumes. 

Ready-mixed concrete deliveries improved by 13.1 per cent to 0.5Mm³ and the average price showed a 4.2 per cent improvement to US$142.02/m3. Ready-mixed concrete volumes grew notably strongly in Georgia, Texas and Virginia. The small calcium business improved the profit by 13 per cent.