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Martin Marietta cement business hit by weather

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World Cement,

Martin Marietta saw its cement shipments slip 9.7% in 3Q17 as the business felt the impact of the fourth wettest quarter in the last 123 year in Texas, where all of its cement operations are located.

The company operates two cement plants – Midlothian near Dallas and Hunter to the north of San Antonia – as well as three cement terminals around Houston.

“While Hurricanes Harvey and Irma unquestionably impacted our business […] weather-related events are short-term in nature and dislocations or delays are subsequently resolved,” said Ward Nye, Chairman, President, and CEO.

"We remain confident in Martin Marietta's long-term outlook, with the fundamental drivers for broad-based construction activity supporting a steady and extended, yet somewhat slower than anticipated, cyclical recovery across our geographic footprint.”

Despite the challenging weather condition, the cement product line saw prices rise 3.9% over the quarter, thanks to ongoing construction activity in the Dallas/Fort Worth area. Revenues for the cement product line are expected to be US$379 million for the year, the company added, slightly down on last year’s US$389 million.

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