Martin Marietta Materials, Inc. (NYSE:MLM) shares dropped 3.40% in pre-market trading Wednesday after the building materials producer reported fourth-quarter results that fell short of expectations and issued lighter-than-anticipated guidance for 2026.
The company posted diluted earnings per share of $4.62 for the quarter, missing the $4.85 consensus forecast. Revenue totaled $1.53 billion, below analyst estimates of $1.66 billion, although still up 9% year over year.
Within its core aggregates segment, shipments increased 2% to 48.9 million tons, while the average selling price rose 5.3% to $23.11 per ton.
“2025 was another year of strong growth for Martin Marietta. Our aggregates business once again delivered record profitability and meaningful margin expansion, reflecting strong strategic and commercial discipline and a consistent focus on what we can control,” said Ward Nye, Chair, President and CEO of Martin Marietta.
Looking ahead, Martin Marietta projected 2026 revenue in a range of $6.42 billion to $6.78 billion, well below the $7.41 billion analysts had been expecting. Management anticipates low single-digit growth in aggregates shipments, citing what it called “a balanced macro environment.”
Despite the earnings shortfall, fourth-quarter aggregates gross profit climbed 11% to a record $420 million, with gross profit per ton up 9% to $8.59. The Specialties division also delivered record quarterly revenue of $133 million and gross profit of $29 million.
The company is progressing with an asset swap agreement with Quikrete Holdings, expected to close in the first quarter of 2026. Under the terms, Martin Marietta would acquire aggregates assets and cash in exchange for its Midlothian cement plant, associated terminals, and ready-mixed concrete operations in Texas.