Vulcan Materials Co

Q2 performance stayed resilient despite energy headwinds (macro challenge, good execution) - Adjusted EBITDA: $654M, roughly flat/“approximating” prior year despite ~$40M energy headwind. - Aggregates cash gross profit per ton: >$12, up ~$0.14 YOY. - Shipments: +1% YOY, but varied widely by geography due to wet weather. - Pricing strength: Freight-adjusted selling prices up sequentially and YOY; mix-adjusted average selling price +5% YOY with improvement broad-based.

Guidance & forecasts: confidence in 2H improves despite sticky diesel and weather - Full-year adjusted EBITDA guidance reiterated: $2.4B–$2.6B (unchanged). - Management expects modest aggregate shipment growth in 2026, supported by both public pipeline visibility and improving private large projects. - Cost outlook: Diesel and energy remain sticky, but management expects better year-over-year cost/margin progression in 2H due to: - Favorable comparisons vs unusually concentrated repair/insurance costs in Q4 last year - Labor/production efficiency and Vulcan Way of Operating execution - SAG expense already running 2% lower YTD, with trailing-12 $558M (6.9% of revenues) and expectation that full-year SAG is $10M–$15M lower than earlier guidance range. - Explicit comment on margin path: gross margin likely down in Q3 but improving in Q4, helped by the base-year anomalies.

Demand outlook is solid, but residential/warehousing remains a weak spot (challenge) - Confidence for 2H volume: Backlogs viewed as similar to the start of the year; robust quoting activity. - Public infrastructure momentum: Highway awards in Vulcan markets up double digits YOY; public infrastructure awards +20% YOY in Vulcan markets (but weaker elsewhere). - Private large projects tailwind: Especially data centers, plus power infrastructure expansion and LNG projects. - What’s negative: Single-family / residential remains weak; warehousing “flat” with only green shoots in specific markets.