MLM · Q2 2026 Earnings

Neutral

Martin Marietta Materials

Reported July 30, 2026

30-second summary

SENTIMENT: Constructive Martin Marietta beat Q2 with $1.947B revenue (+21% YoY), $5.00 non-GAAP EPS, and record Adjusted EBITDA from continuing operations of $638M (+13% YoY), then raised FY2026 revenue guidance to $7.2–$7.4B (midpoint +$140M) while reaffirming Adjusted EBITDA at $2.36–$2.5B. The quarter's marquee event was the June 27 announcement of a definitive agreement to combine with Lhoist North America (LNA) in a ~$13.5B transaction — a major SOAR 2030 step that is excluded from guidance solely because the deal has not yet closed (expected 2H 2026, subject to regulatory approval). Underlying aggregates GP/ton of ~$7.62 (ex the $0.84/ton inventory step-up) tells a materially different mix story than the reported $6.78.

Headline numbers

EPS

Q2 FY2026

$5.00

+4.4% vs est.

Revenue

Q2 FY2026

$1.95B

+21.0% YoY

+4.7% vs est.

Gross margin

Q2 FY2026

25.4%

Operating margin

Q2 FY2026

19.1%

Key financials

Q2 FY2026

Metric	Q2 FY2026	Q2 FY2025	YoY	Q1 FY2026	QoQ
Revenue	$1.95B	$1.81B	+7.6%	$1.36B	+43.0%
EPS	$5.00	—	—	$1.93	+159.1%
Gross margin	25.4%	—	—	22.8%	+264bps
Operating margin	19.1%	—	—	11.9%	+720bps

Guidance

Martin Marietta raised full-year FY2026 revenue guidance by $80M–$200M while reaffirming EBITDA, reflecting strong Q2 performance but implying flat-to-negative margin expansion on incremental revenue.

Guidance is issued for the full year only, refreshed each quarter. Prior and new below are the same FY updated this quarter.

Changes to prior guidance

Metric	Period	Prior guide	New guide	Δ	Result
Revenue	FY2026	$7.0B to $7.32B	$7.2B to $7.4B	+$200M to +$80M at range endpoints; midpoint +$84M	Raised

Reaffirmed unchanged this quarter: Adjusted EBITDA from Continuing Operations ($2.36B to $2.5B)

Segment KPIs

Q2 FY2026

Segment	Q2 FY2026	YoY
Aggregates	$1.533B	+16.0%
Other Building Materials	$0.303B	+12.0%
Specialties	$0.152B	+69.0%
East Group	$0.972B	+10.7%
West Group	$0.823B	+28.4%

Other KPIs

Q2 FY2026

Segment	Q2 FY2026	Q2 FY2025	YoY
Aggregates Shipments	61.6 million tons	—	—
Aggregates Average Selling Price (ASP)	$22.74 per ton	—	—
Aggregates ASP (Organic)	+2.1%	—	—
Aggregates Gross Profit Per Ton	$6.78	—	—
Lime ASP Growth	4.0%	—	—
Adjusted EBITDA from Continuing Operations	$638 million	—	—
Aggregates Shipment Growth (YoY)	17.0%	—	—
Organic Shipment Growth	2.3%	—	—

Answers to last quarter's watch list

Mid-year EBITDA guide refresh and network optimization sizing. — EBITDA guide reaffirmed at $2.36–$2.5B despite a Q2 beat and 13% H1 EBITDA growth; management appears to be holding capacity for LNA-related integration items and the NFM ramp. Enterprise review identified ~$350M of annualized cash flow improvement opportunities (network, asset base, sustaining capital); $200M+ of cash has been unlocked YTD vs. prior-year period via inventory discipline and lower capex. Status: Resolved neutrally

Mid-year pricing realization rate. — Reported ASP -2.0% (mix), organic ASP +2.1%, organic mix-adjusted ASP +3.7% (fn: 4%). Mix-adjusted organic ASP is at the low end of the 4–6% organic guide but inside the framework. Status: Resolved neutrally

Aggregates GP/ton recovery from Q1's $6.56. — Reported GP/ton $6.78; underlying ~$7.62 ex $0.84/ton inventory step-up. Underlying is down modestly vs. Q2 2025's $8.15 with acquisition mix as the main driver — not evidence of structural erosion. Status: Resolved neutrally

Other Building Materials decline narrowing toward flat. — Segment revenue inflected to +12% growth, resolving the four-quarter narrowing pattern (-10.5% → -6.1% → -4.9% → +12%). GP down 14% on ready-mix cost inflation and paving margin softness, so the top-line turn is clearer than the margin turn. Status: Resolved positively on revenue

M&A pipeline cadence. — Two major transactions this quarter: the $13.5B LNA definitive agreement (June 27) and the completed NFM bolt-on (May 15, 8M+ tons annually along I-70). The pipeline delivered materially more than a bolt-on cadence.

Resolved positively

What to watch into next quarter

LNA close timeline and financing. Watch Q3 for regulatory-approval milestones, the status of the $1.5B three-year senior unsecured term loan committed July 15, and any updated commentary on synergy sizing and integration planning. A close in 2H 2026 remains the guidepost.

Aggregates underlying GP/ton vs. Q3 2025 base. Q3 is typically the strongest per-ton profitability quarter. Watch reported and step-up-adjusted GP/ton to gauge how quickly Quikrete/NFM mix normalizes and whether pricing carries through as inventory step-up impacts fade.

Organic mix-adjusted ASP trajectory. Q2 organic mix-adjusted ASP of +3.7–4% sits at the low end of the 4–6% organic guide. Watch whether Q3 re-accelerates or whether management narrows the organic ASP guide at the Q3 print.

The $350M cash flow benefit quantification. Watch for a breakdown between working-capital, network optimization, and sustaining-capital reductions, and the multi-year phasing of the run-rate opportunity.

Other Building Materials margin follow-through. Revenue inflected +12% but GP fell 14%. Watch whether Q3 shows margin recovery as ready-mix input costs and paving mix normalize.

Sources

Martin Marietta Materials Q2 2026 press release (Exhibit 99.1): https://www.sec.gov/Archives/edgar/data/916076/000119312526324863/mlm-ex99_1.htm

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