Feb 11 (Reuters) - Martin Marietta Materials ( MLM )
forecast weak annual sales on Wednesday, after reporting a fall
in its fourth-quarter profit, as the building material company
navigates higher costs.
Shares of the company fell about 3% in premarket trading
following the results.
An artificial-intelligence-led push to build more data
centers, alongside energy and infrastructure projects, has
supported aggregates demand, nudging shipments up 2% in the
quarter and prices over 5%.
Still, higher costs of fuel, energy, raw materials and
equipment in an inflationary environment, coupled with
acquisition charges, weighed on its earnings.
"Accelerating momentum in data centers and energy to offset
continued softness in private nonresidential and residential
construction," Martin Marietta CEO Ward Nye said.
The company forecast 2026 revenue between $6.42 billion and
$6.78 billion, below analysts' estimate of $6.86 billion,
according to data compiled by LSEG.
Its overall revenue in the fourth quarter rose 9% to $1.53
billion from a year earlier.
Martin Marietta's quarterly net earnings fell to $279
million, or $4.62 per share, from $294 million, or $4.79 per
share, a year ago.