Executive Summary
Vulcan Materials delivered a solid QQ2 2025 performance, supported by resilient US construction activity and disciplined cost management. Revenue of $2.102B rose 4.37% year-over-year and 28.62% quarter-over-quarter, reflecting a combination of volume strength and favorable seasonal dynamics. Gross margin remained robust at approximately 29.7%, underpinning an EBITDA margin near 31.3% and an EBIT margin around 22.4%. Net income reached $320.9M with EPS of $2.43, illustrating a durable profit trajectory despite a cyclical environment.
Cash flow generation remained healthy, with operating cash flow of $341.7M and free cash flow of $238.8M. Capital expenditure of $102.9M was modest relative to cash generation, supporting a cash balance of about $351M at period end. Leverage remains elevated but contained within a strategic capital structure: total debt $5.4458B, net debt $5.0984B, debt-to-capitalization roughly 0.393, and interest coverage of 7.96x. The company also returned capital through dividends of $64.7M and modest share repurchases of $3.9M.
Looking ahead, management commentary (from the QQ2 2025 dataset) is not accompanied by formal guidance in the provided data; however, Vulcan is well-positioned to benefit from ongoing US infrastructure and non-residential construction activity, supported by a diversified product mix across Aggregates, Asphalt, Concrete, and Calcium. The key monitorables for investors are volumes and pricing discipline, input cost dynamics (energy/aggregates), and capital allocation efficacy. Overall, the QQ2 2025 results reinforce a constructive long‑term investment thesis centered on steady cash flow generation, sector exposure to US infrastructure spend, and disciplined financial management.
Key Performance Indicators
Key Insights
Revenue: $2,102,400,000; YoY growth 4.37%; QoQ growth 28.62%. Explanation: QoQ uplift reflects seasonality and sequential demand recovery into QQ2. Gross Profit: $625,200,000; YoY growth 5.57%; QoQ growth 71.15%. Margin: gross margin around 29.7%. Operating Income: $471,000,000; YoY growth 3.84%; QoQ growth 108.04%. Operating margin near 22.40%. Net Income: $320,900,000; YoY growth 4.19%; QoQ growth 148.95%. EPS: $2.43 (diluted $2.41); YoY growth 4.29%; QoQ growth 147.96%. EBITDA: $658,800,000; ...
Financial Highlights
Revenue: $2,102,400,000; YoY growth 4.37%; QoQ growth 28.62%. Explanation: QoQ uplift reflects seasonality and sequential demand recovery into QQ2. Gross Profit: $625,200,000; YoY growth 5.57%; QoQ growth 71.15%. Margin: gross margin around 29.7%. Operating Income: $471,000,000; YoY growth 3.84%; QoQ growth 108.04%. Operating margin near 22.40%. Net Income: $320,900,000; YoY growth 4.19%; QoQ growth 148.95%. EPS: $2.43 (diluted $2.41); YoY growth 4.29%; QoQ growth 147.96%. EBITDA: $658,800,000; EBITDA margin ~31.34%. Cash Flow: Net cash from operating activities $341,700,000; capital expenditures $102,900,000; free cash flow $238,800,000. Balance Sheet: Total assets $16.9747B; total liabilities $8.545B; total stockholders’ equity $8.4069B. Liquidity/Leverage: current ratio 1.672x; quick ratio 1.131x; debt-to-capitalization 0.393x; debt ratio 0.321x; interest coverage 7.96x. Cash position: cash and cash equivalents $347.4M; net debt $5.0984B. Return metrics: ROA 1.89%; ROE 3.82%; ROCE 3.01%. Valuation remnants: P/E ~26.9x; P/B ~4.10x; P/S ~16.41x; Dividend yield ~0.188%; EV/EBITDA approx 60.12x. Four-quarter trailing data show diversified quarterly progression with Q1 2025 revenue $1.6346B and Q2 2025 revenue $2.1024B.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
2.10B |
4.37% |
28.62% |
| Gross Profit |
625.20M |
5.57% |
71.15% |
| Operating Income |
471.00M |
3.84% |
108.04% |
| Net Income |
320.90M |
4.19% |
148.95% |
| EPS |
2.43 |
4.29% |
147.96% |
Key Financial Ratios
operatingProfitMargin
22.4%
operatingCashFlowPerShare
$2.58
freeCashFlowPerShare
$1.81
dividendPayoutRatio
20.2%
Management Commentary
No earnings call transcript data provided for QQ2 2025 in the dataset. Consequently, this section cannot be populated with management quotes or theme-based insights. If you supply the QQ2 2025 transcript, I can extract themes (strategy, operations, market conditions) and provide contextual quotes with significance.
Forward Guidance
No formal forward guidance is presented in the provided data for QQ2 2025. Given the operating environment, the outlook remains anchored to ongoing US infrastructure and non-residential construction activity. Based on sector dynamics and Vulcan’s financial profile, a cautious baseline would anticipate: (1) modest revenue growth continuing into the next quarters driven by volume recovery and price discipline, (2) stable or slightly expanding gross margins supported by favorable product mix and cost controls, and (3) sustained free cash flow generation, albeit with periodic capex that supports capacity and efficiency. Key factors to monitor include: volumes by segment (Aggregates, Asphalt, Concrete, Calcium), price realization versus input costs (energy and transport), maintenance and replacement capex, working capital dynamics, and debt trajectory toward a more balanced capital structure.