Summit reports 10% revenue advance in 2023

Summit Materials has announced a 19.8 per cent YoY increase in net revenue to US$613.1m in the fourth quarter of 2023. Adjusted EBITDA over the same period advanced by 14.5 per cent to US$136.5m. The three-month period saw its aggregates business report a 5.7 per cent YoY increase in sales volumes, while cement sales volumes declined 11.1 per cent. Ready-mixed concrete volumes were up 14.8 per cent YoY in the 4Q23, while asphalt volumes advanced by 34.7 per cent. 

For 2023 as a whole, the company saw net revenue expand by 9.9 per cent YoY to US$2.44bn. Adjusted EBITDA over the same period rose by 17.6 per cent to US$578m. Aggregates sales volumes over the 12-month period declined 1.9 per cent YoY, cement volumes fell 6.8 per cent, ready-mix concrete volumes were down 2.7 per cent, while asphalt volumes remained flat.

2023 saw the average cement selling price improve by 13.2 per cent on the previous year, while the price of aggregates, ready-mixed concrete and asphalt increase by 14.6, 11.2 and 15.6 per cent, respectively. 

Capex in 2023 came in at US$256m, representing 11 per cent of net revenue. For 2024 the company estimates capex of US$430m, or around 10 per cent of net revenue. The company also expects to generate at least US$30m in operational synergies, as well as a strengthening of its aggregates margins in the coming year.