VMC earnings analysis
What we found in VMC's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Vulcan delivered 3% second-quarter revenue growth to $2.156 billion and increased GAAP diluted EPS to $2.48 from $2.42, driven by aggregates price growth and modest shipment growth. However, gross margin declined to 29.0% from 29.7%, operating earnings fell 3% to $455.5 million, and adjusted EBITDA decreased 1% to $654.0 million as energy costs, weather disruption, downstream weakness and divestiture costs offset core aggregates gains. Management maintained its 2026 Adjusted EBITDA outlook of $2.4 billion to $2.6 billion, supporting a neutral view.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue growth and EPS expansion
- Second-quarter revenue rose $53.4 million, or 3%, year over year to $2.156 billion. GAAP diluted EPS increased $0.06 to $2.48, while adjusted diluted EPS increased $0.14 to $2.59.
- Aggregates pricing remained strong
- Aggregates sales increased 7% to $1.763 billion, supported by a 1% increase in shipments to 59.9 million tons and a 3.9% increase in freight-adjusted price to $22.97 per ton.
- Core aggregates profit per ton improved
- Aggregates gross profit increased $7.8 million to $567.3 million and gross profit per ton rose to $9.47 from $9.44. Cash gross profit per ton increased to $12.02 from $11.88.
- Overhead leverage improved
- Selling, administrative and general expense declined $3.2 million to $141.3 million, falling to 6.6% of revenue from 6.9%. First-half SAG fell to 7.1% of revenue from 7.6%.
- Balance sheet retains flexibility
- Liquidity and leverage remain sound: cash and restricted cash totaled $288.7 million, net debt/TTM Adjusted EBITDA was 1.7x versus 2.1x a year earlier, and available revolver capacity was $1.582 billion.
- Cash generation funded reinvestment and returns
- First-half operating cash flow was $584.6 million, versus $593.2 million a year earlier, while investment in existing operations rose to $370.4 million from $270.9 million. The company also returned $535.2 million through dividends and buybacks.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Margin and operating-profit pressure
- Gross margin contracted 70 basis points to 29.0% from 29.7%, and operating earnings fell $15.5 million, or 3%, to $455.5 million despite 3% revenue growth. Adjusted EBITDA also declined $5.5 million to $654.0 million.
- Energy inflation and weather constrained volumes
- Aggregates freight-adjusted unit cost of sales increased 7%, or $0.72 per ton, to $10.95 per ton amid higher diesel costs. Management said significant rainfall affected Texas and certain Southeastern markets, while aggregate shipments grew only 1% to 59.9 million tons.
- Downstream volumes and profits declined
- Downstream operations weakened: asphalt gross profit fell 13% to $49.8 million as asphalt shipments declined 12% to 3.4 million tons, and concrete shipments declined 17% to 1.0 million cubic yards following the California concrete divestiture.
- Divestiture-related costs reduced reported earnings
- Portfolio actions created charges: the company recorded a pretax net loss of $13.2 million related to business sales and $4.5 million of pretax charges associated with divested operations in the quarter.
- No formal risk-factor updates
- Item 1A states there were no material changes to risk factors disclosed in the Form 10-K for the year ended December 31, 2025. Nevertheless, MD&A identifies tariffs, Middle East conflict and elevated energy prices as potential sources of inflation and shipment-volume pressure.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $2.48
- Gross margin
- 29.0%
- Segment
- Aggregates segment sales: $1.763 billion, up $113.4 million (+7%) year over year.
- Segment
- Asphalt segment revenue: not disclosed; gross profit was $49.8 million, down $7.4 million (-13%) year over year.
- Segment
- Concrete segment revenue: not disclosed; gross profit was $8.4 million, down $0.1 million (-1%) year over year.
What they said about what is next.
Management reiterated 2026 Adjusted EBITDA guidance of $2.4 billion to $2.6 billion, with a projected midpoint of $2.5 billion. It expects continued aggregates price growth and volume growth supported by large projects and public construction activity; no numeric revenue or EPS guidance was provided.
The filing reads about the same as the one before it.
What came before.
- 10-Q · April 29, 2026
- Vulcan Materials Company (VMC) reported Q1 2026 results with revenue of $1.755 billion, exceeding prior year's $1.634 billion and analyst estimates of $1.634 billion. The diluted EPS of $1.27 also surpassed expectations…
- 10-K · February 19, 2026
- Vulcan frames itself as an aggregates‑led, coast‑to‑coast business with 425 active aggregates facilities and 16.6 billion tons of proven and probable reserves, supporting long‑term demand in its top growth markets (top…
- 10-Q · October 30, 2024
- Vulcan reported Q3 2024 revenue of $2,003.9 million, down $181.9 million (−8.3%) versus Q3 2023, with gross profit of $565.2 million and operating earnings of $337.1 million. Diluted EPS fell to $1.56 in Q3 2024 from…
- 10-Q · May 2, 2024
- Vulcan reported Q1 revenues of $1,545.7 million (down $103.3 million or −6.3% YoY from $1,649.0 million) with gross profit of $304.9 million and operating earnings of $172.9 million. Diluted EPS was $0.77 versus $0.90 a…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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