MLM · 10-Q · 2026Q3 · Full report

Gross Margin Drivers

MARTIN MARIETTA MATERIALS INC · 2026-11-04 · Importance 39 · Surprise 50 · No source text

Third-quarter aggregates gross profit decreased 4% year over year, primarily because of higher depreciation, depletion and amortization and energy-related costs. For the nine months, aggregates gross profit fell 3% to $1.217 billion, reflecting a $78 million charge for selling acquired inventory after its fair-value markup, as well as higher depreciation, depletion and amortization, diesel fuel and energy costs. Other Building Materials gross profit rose 17% to $63 million in the third quarter, benefiting from acquired operations and California asphalt performance; year-to-date gross profit increased 9% to $82 million, partially offset by lower paving job margins and higher ready mixed concrete raw-material costs. Specialties third-quarter gross profit was a record $88 million, while nine-month gross profit was $182 million, with acquisition and organic gains partly offset by higher energy costs.

Key facts

• Nine-month 2026 Other Building Materials revenue increased 10% to $819 million and gross profit increased 9% to $82 million, with acquisition contributions partly offset by reduced paving job margins and higher ready mixed concrete raw material costs. source
• Martin Marietta’s nine-month 2026 aggregates gross profit decreased primarily due to a $78 million acquired-inventory sale charge and higher depreciation, depletion and amortization, diesel fuel and energy costs. source
• Third-quarter Other Building Materials gross profit increased 17% to $63 million, benefiting from acquisition contributions and strong performance from the California asphalt business. source
• Martin Marietta’s third-quarter aggregates gross profit decreased primarily because of higher depreciation, depletion and amortization expense and energy-related costs. source

Impact estimates