Business Segments

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

Business Segments

8. Business Segments

The Aggregates business contains three reportable business segments: Mid-America Group, Southeast Group and West Group. The Corporation also has Cement and Magnesia Specialties segments. Corporate loss from operations primarily includes depreciation on capitalized interest, expenses for certain corporate administrative functions, business development and integration expenses, unallocated corporate expenses and other nonrecurring and/or non-operational adjustments. Intersegment sales represent net sales from one segment to another segment.

8. Business Segments (continued)

The following tables display selected financial data for continuing operations for the Corporation’s reportable business segments. Total revenues and net sales in the table below, as well as the consolidated statements of earnings and comprehensive earnings, exclude intersegment sales, which are eliminated.  

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2016			2015			2016			2015
	(Dollars in Thousands)
Total revenues:
Mid-America Group	$	278,676		$	257,649		$	465,023		$	398,482
Southeast Group		87,600			81,518			159,271			146,195
West Group		484,918			411,235			877,913			731,807
Total Aggregates Business		851,194			750,402			1,502,207			1,276,484
Cement		62,468			105,899			136,019			207,999
Magnesia Specialties		63,636			65,118			127,806			128,282
Total	$	977,298		$	921,419		$	1,766,032		$	1,612,765
Net sales:
Mid-America Group	$	258,988		$	237,415		$	432,360		$	367,120
Southeast Group		82,676			76,483			149,961			136,253
West Group		455,115			375,489			819,040			662,570
Total Aggregates Business		796,779			689,387			1,401,361			1,165,943
Cement		59,791			100,405			129,664			196,970
Magnesia Specialties		58,866			60,457			118,371			119,211
Total	$	915,436		$	850,249		$	1,649,396		$	1,482,124
Earnings (Loss) from operations:
Mid-America Group	$	80,552		$	66,894		$	94,976		$	62,691
Southeast Group		11,548			4,818			18,519			3,269
West Group		77,404			49,177			116,201			63,676
Total Aggregates Business		169,504			120,889			229,696			129,636
Cement		21,309			22,468			47,626			34,697
Magnesia Specialties		19,227			18,751			39,791			36,541
Corporate		(22,298	)		(25,124	)		(45,601	)		(38,319	)
Total	$	187,742		$	136,984		$	271,512		$	162,555

8. Business Segments (continued)

The decline in the Cement business’s total and net sales is primarily attributable to the California cement operations, included in the three and six months ended June 30, 2015 and divested as of September 30, 2015.  For the three months ended June 30, 2015, total revenues, net sales and loss from operations for the California cement operations were $35,318,000, $34,160,000 and $485,000, respectively.  For the six months ended June 30, 2015, total revenues, net sales and loss from operations for the California cement operations were $69,674,000, $67,267,000 and $7,906,000, respectively.

Cement intersegment sales, which are to the aggregates and ready mixed concrete product lines in the West Group, were $27,649,000 and $54,637,000 for the three and six months ended June 30, 2016, respectively, and $20,854,000 and $38,955,000 for the three and six months ended June 30, 2015, respectively.

The Aggregates business includes the aggregates product line and aggregates-related downstream product lines, which include asphalt, ready mixed concrete and road paving products. All aggregates-related downstream product lines reside in the West Group. The following tables, which are reconciled to consolidated amounts, provide net sales and gross profit by line of business: Aggregates (further divided by product line), Cement and Magnesia Specialties.

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2016			2015			2016			2015
	(Dollars in Thousands)
Net sales:
Aggregates	$	516,283		$	481,616		$	922,721		$	813,830
Asphalt and Paving		65,609			58,021			76,967			74,790
Ready Mixed Concrete		214,887			149,750			401,673			277,323
Total Aggregates Business		796,779			689,387			1,401,361			1,165,943
Cement		59,791			100,405			129,664			196,970
Magnesia Specialties		58,866			60,457			118,371			119,211
Total	$	915,436		$	850,249		$	1,649,396		$	1,482,124
Gross profit (loss):
Aggregates	$	164,353		$	137,272		$	245,431		$	178,690
Asphalt and Paving		12,876			7,891			6,714			3,116
Ready Mixed Concrete		25,293			9,341			43,380			11,424
Total Aggregates Business		202,522			154,504			295,525			193,230
Cement		24,002			30,414			56,559			49,400
Magnesia Specialties		21,692			21,224			44,662			41,402
Corporate		(1,515	)		(5,989	)		(5,411	)		(9,618	)
Total	$	246,701		$	200,153		$	391,335		$	274,414

For the three months ended June 30, 2015, gross profit for the California cement operations was $3,424,000. For the six months ended June 30, 2015, the operation’s gross loss was $647,000.