Material provider, Martin Marietta Materials, Inc.(MLM) reported increased profits on Tuesday, but missed analysts estimates.
The Raleigh, NC based company reported fourth quarter earnings of $21.5 million, or 46 cents per share, up 31% from $14.8 million, or 32 cents per share last year. Analysts estimated 48 cents per share.
Revenue for the quarter came in at $504.1 million, up from $421 million last year. Analysts expected to see revenue of $471.13 million.
Looking forward to FY2013, the company commented, “we expect that in 2013, there will be significantly stronger new construction activity across the country, and we are well positioned to capitalize on this opportunity. We are encouraged by various positive trends in our business and markets, especially as MAP-21 and other programs are implemented. For 2013, we currently expect shipments to the infrastructure end-use market to increase in the mid-single digits, driven by the impact of MAP-21, TIFIA and state-sponsored programs. We anticipate the nonresidential end-use market to increase in the high-single digits given that the Architecture Billings Index, a leading economic indicator for nonresidential construction spending activity, is reflecting the strongest growth in billings at architecture firms since the end of 2007. Residential construction is experiencing a level of growth not seen since late 2005 with seasonally adjusted starts ahead of any period since 2008. We believe this trend in housing starts will continue and our residential end-use market will experience double-digit volume growth. Finally, we expect our ChemRock/Rail end-use market to be flat compared with 2012. Cumulatively, we anticipate heritage aggregates product line shipments will increase 4% to 6%. As a reminder, we experienced moderate weather in the first five months of 2012, which allowed an earlier-than-normal start to the construction season in many of our markets. If we experience more typical winter weather in 2013, the quarterly pattern of aggregates shipments and earnings will differ versus 2012. In particular, 2013 first-quarter results will be compared with a strong quarter in 2012.”
Martin Marietta Materials shares were down -$1.36, or -1.39% during Tuesday morning trading. The stock has increased 12% in the past year.
The Bottom Line
Shares of Martin Marietta Materials, Inc.(MLM) have a 1.63% yield, based on Monday’s closing price of $98.07.
Martin Marietta Materials, Inc.(MLM) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.
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