Adjusted EBITDA increased 80% to $131.7 million, with a record adjusted EBITDA margin of 16.9%, up 280 basis points from last year.
Capital expenditures totaled $36.7 million for the quarter, with full-year guidance of $130 million to $140 million.
Debt to trailing 12 months EBITDA ratio was 3.17x, with a target to reduce leverage to approximately 2.5x by late fiscal 2026.
Net income was $44 million, with adjusted net income at $45.2 million or $0.81 per diluted share.
Operating cash flow was $83 million, more than doubling from $35 million a year ago, with a strong conversion rate of 80% to 85% of EBITDA to cash flow expected for FY 2025.
Q3 revenue was $779.3 million, up 51% year-over-year, driven 5% by organic growth and 46% by acquisitions.
Diluted net earnings per share were $3.76, down 5% due to lower earnings mostly in cement from higher operating costs, partially offset by a 3% reduction in fully diluted shares from share buybacks.
Eagle Materials reported record first quarter revenue of $634.7 million, a 4% increase primarily driven by higher Cement and Wallboard sales volume and contributions from recently acquired aggregates businesses.
Heavy Materials sector revenue increased 5%, with aggregate sales volume up 117% including acquisitions and 29% organically, but operating earnings declined 5% due to lower production volumes and increased raw material costs.
Light Materials sector revenue rose 1% with higher wallboard sales volume offset by lower prices; operating earnings slightly down due to lower net sales prices partially offset by lower input costs.
Net debt-to-capital ratio remained at 46%, net debt-to-EBITDA leverage was 1.6x, with $60 million cash on hand and $525 million total committed liquidity, and no significant near-term debt maturities.
Operating cash flow increased 3% to $137 million, capital spending rose to $76 million mainly for modernization projects, and the company repurchased 358,000 shares for $79 million while paying $87 million in dividends.
Aggregates revenues increased 6% to $1.32 billion, with gross profit rising 9% to $430 million and gross margin improving by 94 basis points to 33%.
Asphalt and Paving revenues decreased 7%, with gross profit down 8% due to lower shipments and higher costs.
Building Materials revenues rose 2% to $1.7 billion, with gross profit up 3% to $517 million and gross margin improving modestly to 30%.
Cement and Concrete revenues declined 6%, with gross profit down 25% due to lower operating leverage and higher raw material costs.
Full year 2025 adjusted EBITDA guidance was increased to $2.3 billion at the midpoint, reflecting strong first half results and contributions from the Premier Magnesia acquisition.
Magnesia Specialties achieved new quarterly record revenues of $90 million and set second quarter records for gross profit and gross margin, with margin increasing by 605 basis points.
Martin Marietta reported record second quarter 2025 financial results with consolidated adjusted EBITDA of $630 million, an 8% increase year-over-year.
Record Performance in Power Systems and Distribution Segments
Power Systems segment achieved record revenues of $1.9 billion and EBITDA of $433 million, driven by strong demand in data center and mission-critical applications.
Distribution segment also posted record EBITDA of $445 million, with a 14.6% margin, benefiting from higher Power Generation demand and operational efficiencies.
Management emphasized operational improvements and capacity expansion, with capacity doubling expected to be fully online by early 2026.
Dafinchi
