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www.rockproducts.com ROCK products • August 2018 • 63 Aggregates Industry Almanac Publicly Traded Companies including disappointing rail-service quality, although the company expects these pressures to ease over the balance of the year. Demand visibility, customer confidence, diesel prices, and logistics constraints support continued upward pricing movements in many markets. For the quarter, freight-ad- justed average sales price for aggregates increased 1 percent versus the prior year, despite a negative geographic and product mix impact. Excluding mix impact, aggregates price increased 3 percent. Pricing remained particularly strong in California, Georgia and other southeastern markets that are supported by clear demand visibility for both private and public construction. Texas, particularly coastal Texas, experienced relative pric- ing weakness in the quarter due to higher inbound freight costs and the mix of work – although the company expects this trend to reverse over the remainder of the year. April price increases to key customers were executed well, and the company expects additional price increases in several markets later in the year. Asphalt segment gross profit was $8 million lower than the prior year due to weather impacts on volumes, lower materi- als margin and the comparative timing of an acquisition that closed during the first quarter last year. Concrete segment gross profit was $10 million in the quar- ter, in line with the prior year. Total shipments increased 3 percent year-over-year. Average price increases of 9 percent allowed for a 5 percent gain in the material margins. The company divested its Georgia ready-mix concrete operations in March. Full-year expectations for concrete segment gross profit remain unchanged. Calcium segment gross profit was $0.5 million versus $0.7 million in the prior year's first quarter. Martin Marietta Takes First Quarter Hit Martin Marietta Materials reported results for the first quarter ended March 31, 2018. The company is reporting revenues of $802 million versus $843.9 million in the first quarter of 2017. Ward Nye, chairman, president and CEO of Martin Marietta, stated, "As we start the year, we are encouraged by ongo- ing customer optimism and our first-quarter results, both of which are consistent with our expectations. Additionally, while we remain on track to achieve our original 2018 guid- ance, we are updating and increasing that outlook to reflect the contribution we expect from our acquisition of Bluegrass Materials Co. "We remain confident that underlying market fundamentals, including positive employment and population trends across our geographic footprint, will stimulate continued growth in private construction activity and provide an impetus for additional infrastructure demand as the current broad-based recovery continues. Underlying demand trends, coupled with continued pricing growth for all products and segments, reinforce our full-year 2018 outlook as construction activ- ity accelerates during the balance of the year. Importantly, throughout the quarter, we saw strong shipment volumes on days not impacted by typical winter weather. "Our confidence is bolstered by the recent completion of our acquisition of Bluegrass and the addition of a talented group of new employees to the Martin Marietta team. The acqui- sition, the second largest in our history, strengthens our aggregates-led position in high-growth southeastern and Mid-Atlantic regions, particularly in Georgia and Maryland, and is consistent with our long-term strategic growth plan. We worked collaboratively with the U.S. Department of Jus- tice (DOJ) as it completed its review of the transaction and, as expected, the two quarries required to be divested do not impact the overall value or strategic rationale for the trans- action. I want to thank our collective employees for their contributions to successfully completing this acquisition. Working together, we will expeditiously deliver significant value from our enhanced business profile. As we integrate the Bluegrass operations and realize synergies, we remain committed to world-class safety standards, diligent cost discipline, operational excellence, customer service and prudent capital allocation." Nye concluded, "We believe the United States is in the midst of a steady, multi-year construction recovery. Our leading positions in attractive, high-growth markets allow us to benefit from anticipated increased demand for both public and private construction activity in 2018 and beyond. Long term, we remain focused on elevating Martin Marietta from an aggregates industry leader to a globally recognized world-class organization, allowing us to further enhance shareholder value." First-quarter aggregates shipments returned to levels more in-line with historical trends and patterns. Winter weather traditionally limits the ability of outdoor contrac- tors to perform work during the winter months. Accordingly, first-quarter operating results compare unfavorably to the first quarters of 2017 and 2016, when the company bene- fitted from back-to-back unseasonably favorable weather conditions. For the quarter, aggregates product revenues decreased 5.8 percent, reflecting a 7.9 percent decline in shipments. Aggregates pricing improved 2.3 percent. The Mid-America Group generated aggregates pricing growth of 4.9 percent, driven by continued price discipline and favorable product mix. Pricing improved 2.2 percent for