SEGMENT REPORTING

12 Months Ended

Dec. 31, 2023

SEGMENT REPORTING [Abstract]

SEGMENT REPORTING

NOTE 15: SEGMENT REPORTING

We have four operating (and reportable) segments organized around our principal product lines: Aggregates, Asphalt, Concrete and Calcium. Management reviews earnings from these reporting segments principally at the gross profit level.

The Aggregates segment produces and sells aggregates (crushed stone, sand and gravel, sand, and other aggregates) and related products and services. During 2023, the Aggregates segment principally served markets in twenty-three states, the U.S. Virgin Islands, Washington D.C., Freeport (Bahamas), British Columbia (Canada), Puerto Cortés (Honduras) and Quintana Roo (Mexico) — see Note 12, NAFTA Arbitration — with a full line of aggregates. We serve twelve additional states with railroad ballast. The 2021 acquisition of U.S. Concrete expanded our full line aggregates markets by two states (New Jersey and New York), the U.S. Virgin Islands, British Columbia (Canada), and direct shipments to Hawaii. Aggregates are used primarily in the construction and maintenance of highways, streets and other public works and in the construction of housing and commercial, industrial and other nonresidential facilities. Customers are served by truck, rail and water distribution networks from our production facilities and sales yards. Due to the high weight-to-price ratio of aggregates, markets generally are local in nature. Quarries located on waterways and rail lines allow us to serve remote markets where local aggregates reserves may not be available.

The Asphalt segment produces and sells asphalt mix in six states (Alabama, Arizona, California, New Mexico, Tennessee and Texas) and provides asphalt construction paving services in three states (Alabama, Tennessee and Texas).

The Concrete segment produces and sells ready-mixed concrete in three states (California, Maryland and Virginia) in addition to the U.S. Virgin Islands and Washington D.C. In 2021, through our acquisition of U.S. Concrete, we entered the New Jersey, New York, Pennsylvania and U.S. Virgin Islands concrete markets and expanded our existing markets in California, Texas and Washington D.C. In November 2023, we exited the Texas concrete market through a divestiture. In November 2022, we exited the New Jersey, New York and Pennsylvania concrete markets through a divestiture. See Note 19 for additional information.

The Calcium segment consists of a Florida facility that mines, produces and sells calcium products.

Aggregates comprise approximately 95% of asphalt mix by weight and 80% of ready-mixed concrete by weight. Our Asphalt and Concrete segments are primarily supplied with their aggregates requirements from our Aggregates segment. These intersegment sales are made at local market prices for the particular grade and quality of product used in the production of asphalt mix and ready-mixed concrete and are excluded from total revenues. Customers for our Asphalt and Concrete segments are generally served locally at our production facilities or by truck. Because asphalt mix and ready-mixed concrete harden rapidly, delivery is time constrained and generally confined to a radius of approximately 20 to 25 miles from the producing facility.

The vast majority of our activities are domestic. We sell a relatively small amount of construction aggregates outside the United States. Total domestic revenues were $7,769.7 million in 2023, $7,263.9 million in 2022 and $5,532.0 million in 2021. Nondomestic Aggregates segment revenues were $12.2 million in 2023, $51.3 million in 2022 and $20.2 million in 2021; there were no significant nondomestic revenues in our Asphalt, Concrete or Calcium segments. Long-lived assets outside the United States, which consist primarily of property, plant & equipment, were $524.1 million in 2023, $534.2 million in 2022 and $459.5 million in 2021. Equity method investments of $26.6 million in 2023, $26.5 million in 2022 and $26.5 million in 2021 are included in the identifiable assets for the Aggregates segment and in investments and long-term receivables on the accompanying Consolidated Balance Sheets.

SEGMENT FINANCIAL DISCLOSURE

in millions	2023	2022	2021
Total Revenues
Aggregates 1	$         5,909.9	$         5,272.8	$         4,345.0
Asphalt 2	1,140.7	990.2	777.8
Concrete	1,249.3	1,593.9	766.8
Calcium	9.0	7.8	6.9
Segment sales	$         8,308.9	$         7,864.7	$         5,896.5
Aggregates intersegment sales	(527.0)	(549.5)	(344.3)
Total revenues	$         7,781.9	$         7,315.2	$         5,552.2
Gross Profit
Aggregates	$         1,733.6	$         1,408.5	$         1,295.7
Asphalt	149.6	57.3	21.2
Concrete	62.1	89.3	54.3
Calcium	3.2	2.6	2.2
Total	$         1,948.5	$         1,557.7	$         1,373.4
Depreciation, Depletion, Accretion & Amortization (DDA&A)
Aggregates	$            482.2	$            441.1	$            360.4
Asphalt	35.6	35.1	36.0
Concrete	72.8	83.1	41.5
Calcium	0.2	0.2	0.2
Other	26.2	28.0	24.9
Total	$            617.0	$            587.5	$            463.0
Capital Expenditures 3
Aggregates	$            764.9	$            540.3	$            423.1
Asphalt	46.9	23.3	9.3
Concrete	15.8	50.4	18.1
Calcium	0.0	0.1	0.0
Corporate	0.9	30.0	0.0
Total	$            828.5	$            644.1	$            450.5
Identifiable Assets 4, 5
Aggregates	$       11,749.6	$       11,575.2	$       10,917.8
Asphalt	613.4	597.6	602.0
Concrete	962.3	1,436.2	1,680.2
Calcium	3.6	3.8	4.0
Total identifiable assets	$       13,328.9	$       13,612.8	$       13,204.0
General corporate	267.6	460.3	237.1
Cash and cash equivalents and restricted cash	949.2	161.5	241.5
Total assets	$       14,545.7	$       14,234.6	$       13,682.6

1	Includes product sales, as well as freight & delivery costs that we pass along to our customers, and service revenues (see Note 2) related to aggregates.
2	Includes product sales, as well as service revenues (see Note 2) from our asphalt construction paving business.
3	Capital expenditures include changes in accruals for purchases of property, plant & equipment. Capital expenditures exclude property, plant & equipment obtained by business acquisitions.
4	Certain temporarily idled assets are included within a segment's Identifiable Assets, but the associated DDA&A is shown within Other in the DDA&A section above as the related DDA&A is excluded from segment gross profit.
5	The decreases in Concrete Identifiable Assets are primarily due to the 2022 divestiture of concrete operations in New Jersey, New York, and Pennsylvania and the 2023 divestiture of concrete operations in Texas (see Note 19).