Martin Marietta Materials (MLM), the building-materials supplier, posted record second-quarter revenue of $1.947 billion, up 21%, as acquisitions accelerated sales growth while profitability weakened.

The quarter extended the first quarter’s acquisition-led expansion, when revenue rose 17%. Aggregates shipments increased 17.0% to a record 61.6 million tons, though organic growth slowed to 2.3% from 7%, showing that acquired operations supplied most of the volume increase.

Adjusted diluted earnings rose 3% to $5.00 a share. Continuing-operations earnings declined 12% to $256 million, or $4.26 a share, as acquisition, inventory-markup and portfolio-rationalization charges widened the gap between adjusted and GAAP results. Gross margin contracted to about 25.4% from 30.8%, and operating earnings fell 10% to $372 million.

Aggregates revenue increased 16%, accelerating from 14% growth in the first quarter, while segment gross profit declined 3% in both periods. Gross profit per ton fell 17% to $6.78 as average selling price declined 2.0% to $22.74 a ton amid acquisition mix. Organic mix-adjusted pricing rose 3.7%, and organic cost inflation moderated to 3.6% from 5.6% in the first quarter.

A $52 million acquisition-accounting inventory-markup charge weighed on aggregates gross profit, up from $22 million in the first quarter. Other Building Materials revenue returned to growth, rising 12% to $303 million, while gross profit fell 14% as ready-mix raw-material costs increased and organic paving revenue and job margins weakened.

Specialties provided a stronger offset. Revenue rose 69% to a record $152 million, helped by the Premier Magnesia acquisition and organic price gains, while gross profit increased 39% to a record $50 million. Within the segment, lime pricing rose 4.0% and shipments increased 0.9%, helping lift lime gross profit 7%.

Martin Marietta reaffirmed its 2026 adjusted EBITDA forecast of $2.36 billion to $2.50 billion alongside the higher revenue outlook. The company also identified about $350 million of annualized cash-flow improvements from asset, network, inventory and capital-spending measures, and said inventory management and lower capital spending had unlocked more than $200 million of cash year to date.

The company also announced a $13.5 billion combination with Lhoist North America, which produced $1.8 billion in 2025 gross sales and $786 million in adjusted EBITDA. The transaction is expected to close in the second half of 2026 and remains excluded from Martin Marietta’s revised guidance.