Vulcan Materials CO Q1 FY2026 Earnings Call

Good morning, everyone, and welcome to the Vulcan Materials Company First Quarter 2026 Earnings Call. My name is Jamie, and I will be your conference call coordinator today. Please be reminded that today's call is being recorded and will be available for replay later today at the company's website. Operator provided instructions. Now I will turn the call over to your host, Mr. Mark Warren, Vice President of Investor Relations for Vulcan Materials. Mr. Warren, you may begin.

Thank you, operator. I'm joined today by Ronnie Pruitt, Chief Executive Officer; and Mary Andrews Carlisle, Senior Vice President and Chief Financial Officer. Before we begin our prepared remarks, please note that a press release and a supplemental presentation related to this call are available on our website, vulcanmaterials.com. Today's discussion may include forward-looking statements, which are subject to risks and uncertainties. Details on these risks, other legal disclaimers and reconciliations of any non-GAAP financial measures are defined and described in our earnings release, supplemental presentation and other filings with the Securities and Exchange Commission. For the question-and-answer session, we kindly ask that you limit your participation to one question, and this will allow us to address as many questions as possible during the time we have available. And with that, I'll turn the call over to Ronnie.

Thanks, Mark. We appreciate you all joining us for our call this morning. At Vulcan Materials, safety is a fundamental expectation of our employees each and every day. And I am proud of our industry-leading safety performance that we carried on from last year into our first quarter of this year. Another key expectation is driving continuous improvement in our underlying business. Our teams delivered a solid start to 2026 by executing well on the commercial and operational plans that we laid out for the year. We generated $447 million of adjusted EBITDA, a 9% increase over the prior year. Gross profit margin expanded in each segment. SG&A expenses were lower than the prior year and adjusted EBITDA margin grew. Trailing 12 months aggregate cash gross profit per ton continues to move higher with strong realization of our January 1 price increases and our disciplined approach to operational execution. Currently sitting at $11.38 per ton, we are aligned across the company to drive this highly important metric to $20 per ton and win the future in aggregates. Aggregate shipments in the first quarter support the anticipated return to growth for 2026. Shipments increased 5% compared to the prior year due to both improving demand and fewer extreme weather days than in the prior year. On a mix adjusted basis, aggregates freight-adjusted price improved 4% over the prior year's first quarter, in line with our expectations. The sequential growth from the prior quarter demonstrates the success of our January 1 price increases and discussions are already underway for midyear increases. Pricing continues to compound across our footprint. Aggregates freight-adjusted unit cash cost of sales increased 4% compared to the prior year, also in line with our expectation. I am very pleased with our operators' ability to execute on the bulk way operating to drive efficiency in our plants and help mitigate inflationary increases in our input costs. Better weather this year allowed us to make more progress on our annual plans for stripping and project work than we did last year's first quarter, impacting the total unit cash cost of sales year-over-year comparison. I am confident our teams are focused on the right things to continue to enhance our core and drive compounding improvements in our durable aggregates business, even as the macro environment continues to be very dynamic. We remain equally focused on opportunities to continue to expand our reach through acquisitions and greenfield projects, including several bolt-on acquisitions we expect to finalize in the coming months. From a demand perspective, we still expect strong public activity and improving private nonresidential opportunities to drive year-over-year shipments growth in 2026 and mitigate the ongoing challenges facing residential construction. Trailing 12-month highway awards in our markets are up 12% from a year ago, and public infrastructure awards are up 17% over the same time frame. These levels far outpaced the U.S. as a whole. Our footprint is advantaged. And this public demand provides a solid foundation for shipments and supports a healthy pricing environment. Legislators in D.C. are actively working on a reauthorization bill for future highway funding upon the expiration of the Infrastructure Investment and Jobs Act later this year. We expect the new bill to provide higher levels of funding for highways and bridges than the current bill. We also anticipate a smooth transition between funding programs given the significant amount of IIJA funds that are yet to be spent. On the private side, non-res continues to benefit from accelerating data center activity. With approximately 650 million square feet under construction or announced, we anticipate data centers and other related investments to be a positive catalyst for future aggregates demand. We are especially encouraged to also now have active projects related to the energy build-out, necessary to support rising data center power needs. Currently, 60% of all large projects, both public and private, are within 50 miles of a Vulcan facility, highlighting the advantage of our footprint. Our scale, quality and customer service makes us a supplier of choice on these large complex projects. Residential construction continues to be impacted by affordability. Longer term, there remains a fundamental need for additional housing and we are well positioned to benefit from an eventual recovery. As I said earlier, we continue to expect overall growth in aggregate shipments in 2026. The pricing environment remains healthy. And while we are currently facing geopolitical uncertainty, and incremental near-term headwinds in terms of energy input cost, I am confident in our ability to remain focused on the things we can control and to drive durable growth in our aggregates-led business momentum from our solid start to the year and continue to expect to deliver between $2.4 billion and $2.6 billion of adjusted EBITDA for the full year. Now I'll turn the call over to Mary Andrews to provide some additional commentary on our first quarter performance before we take your questions.

Thanks, Ronnie, and good morning. The earnings from our aggregates-led business continue to compound and drive attractive cash generation. Over the last 12 months, we generated $1.8 billion of cash from operations, which we have deployed for capital expenditures to maintain and improve our existing asset base, for greenfield and other growth projects to enhance our franchise, for capital returns to shareholders, and for debt repayment to further strengthen our balance sheet. Approximately 70% of our trailing 12 months capital expenditures of $686 million were utilized for fixed plant mobile equipment and land projects at our existing facilities. The remaining 30% was invested in greenfield and other growth projects, including a new quarry site in South Texas, several rail distribution properties in key markets and new production facilities in Arizona and South Carolina. Capital returns to shareholders totaled over $800 million over the last 12 months, with $262 million of dividend accompanied by $550 million of share repurchases. This includes $149 million of share repurchases during the first quarter. Total debt of $4.6 billion at quarter end was approximately $350 million lower than a year ago and resulted in net debt to adjusted EBITDA leverage of 1.9x. The balance sheet is well positioned to support an active acquisition pipeline. Additionally, we expect that the announced divestiture of our California concrete assets will close during the second quarter, providing even more capacity for continuing to strategically grow our aggregates business. SG&A expenses in the first quarter were 2% lower than the prior year. Trailing 12 months expenses of $562 million were 7% of revenue, 20 basis points lower than the prior year period. We remain focused on investing in technology and talent to drive our business performance while also leveraging our overall expenses. We are also focused on continuing to improve our return on invested capital through compounding improvements in our business and disciplined capital allocation. Our trailing 12-month return on invested capital improved 30 basis points from year-end 2025 and to 16% at quarter end. We are confident we have the right strategy to continue to deliver value for our shareholders. And now Ronnie and I would be happy to take your questions.

Operator provided instructions. We'll hear first from Trey Grooms with Stephens.

So clearly, you guys are off to a very strong start to the year. Ronnie, could you maybe walk us through some of the key puts and takes in the quarter across price, volume and cost? And then also as we look ahead to the balance of the year, how are you thinking about these drivers in light of the recent moves we've seen in diesel and the broader macro backdrop?

Yes. Thanks, Trey. Look, I agree with you. It was a solid start. And I think it reinforces the trajectory for another year of earnings growth. Our performance in the quarter was really a direct result of strong operational and commercial execution, and it definitely positions us well to deliver the earnings expectations that we laid out in February. On the volume and price side, we saw a healthy acceleration of our backlog tons converting into shipments, particularly within the data center space, which was supported by more normalized weather within our footprint. With regards to pricing, we said coming into the quarter, the year-over-year comparisons were going to be difficult as we continue to lap the hurricane relief efforts from two of our higher-priced markets in Tennessee and North Carolina. But that alongside some pricing mix, which was a shift towards base products and our current backlog driven primarily by data centers as well as more public work, were known variables. These things played out as anticipated, with pricing at the lower end of our full year guidance, but we expect that to continue to accelerate throughout the remainder of the year. On the cost side, I was very pleased with our team's execution, keeping total cash cost growth only to 4%. The run-up in diesel price really began in February, and the impact is reflected in some of our March costs. But we have a proven track record of offsetting these types of fluctuations through our bulk way of operating, our Vulcan Way of Operating (VWO), and our commercial disciplines. So the more normal weather also meant we were able to keep pace with plant projects like stripping, paving and some other efficiency investments that we did during the quarter. As you recall, last year those types of investments were delayed with more inclement weather in the first quarter of last year. So overall, I think the fundamentals of the business are performing as expected and really in a good position as we head into the heart of our shipping season. But let me turn it over to Mary just to give you a couple more points of context.

Trey, one thing I would add that I think further underscores the solid fundamentals that Ronnie talked about and really highlights the compounding results versus noisy year-over-year quarters, and he referenced some of the hurricane relief work last year and obviously inclement weather. If you step back and look at 2024, aggregate cash gross profit per ton is up 23%, and our total cash cost of sales in aggregates has increased only 1%. To me, these metrics clearly show the solid execution of our teams and the compounding margin growth that they're delivering. And that gives us a lot of confidence in our ability to execute for the rest of the year.

We'll turn next to Garik Shmois with Loop Capital.

Just wanted to follow up on that a little bit. Given a lot of the moving pieces here as you look forward and some of the diesel cost impacts that are starting to hit, just wondering if you can go in a little more detail on the confidence that you have in reiterating the full year guidance today.

Good question. So let me start by digging into how diesel impacts our business. If you think about the two parts of diesel to us, it's the price of diesel and, more importantly, the usage of diesel. Our downstream delivery costs are really covered through surcharges that kicked in immediately, so they have had no material impact on the cost of our doing business downstream and delivery. On the operational side, start with what we do in the plants. From a stripping aspect, stripping is equipment, labor and fuel. Stripping isn't necessary to uncover future reserves immediately; it's something we can push forward or pull back depending on the macro environment. Those are things we have the ability to fluctuate. When I look at loading and hauling within the pit, you start with that haul to the primary; this is something that uses diesel equipment and labor. This is where our VWO processes kick in because when we talk about process intelligence and the investment we've made with the Vulcan Way of Operating (VWO), a lot of that is focused on our critical product size production and impacting yield. When we're doing that, for every ton we get to the primary, we're more efficient in how we produce products, and that impacts the use of fuel. When you get into the plant itself, there's not much fuel used within the production process from the primary all the way through the secondary. Again, the process intelligence and VWO is very impactful on the front end and the back end. It's an opportunity for us to really focus on efficiencies and how we're conserving fuel. In the actual load-out process, when you're loading trucks or rail, a lot of our larger plants have automated systems, so there's not much mechanical process there from a diesel consumption side. At many plants we load with loaders, and some of the things our operators are doing include turning off engines instead of idling loaders. We've implemented many practices to reduce fuel usage in this time of uncertainty and volatility. All of that variability in our production process is the beauty of aggregates. On the selling side, remember, half of our sales are really to fixed plants and half to more real-time quoted business. We're moving those things fast. We've already announced midyear price increases. I think as you look at what we've been able to accomplish historically through aggregates, it's our ability to take headwinds and turn them into positives on the back end. Is this a short-term headwind? Yes. Is this something that we're going to be able to control on the back end? Absolutely. I'll let Mary give a little more insight into the numbers behind the fuel headwind.

The only thing, Garik, I would add is that Ronnie gave great examples of levers we are using to navigate the current fuel situation. The second quarter is where we expect to feel the squeeze of the higher diesel most acutely before some of the pricing actions we've already taken begin to flow through. The way I would think about it is we would have initially expected aggregate cash cost of sales on a year-over-year basis to look very similar in the second quarter as the first quarter, and that's still the case excluding diesel. With diesel, year-over-year cash cost of sales in the second quarter could approach roughly double what it was in the first quarter, so closer to the high single-digit range. We fully expect the margin impact to moderate as we move into the second half of the year.

We'll turn now to Anthony Pettinari with Citi.

Ronnie, Mary Andrews, you mentioned midyear increases. I'm just wondering if you can give us any more detail in terms of magnitude, percentage of your markets that might cover and timing? And I'm curious, you're obviously seeing a lot of inflation in diesel. Are there any other costs outside of fuel, metal, parts or equipment where you're seeing knock-on impacts from the Middle East conflict in terms of costs that may be a little less obvious to us?

Yes, good question. We have not seen any other impacts as of yet, but we are monitoring it. If you go back to 2022 with the prior inflationary period, we showed discipline around moving pricing quickly when inflationary environments hit. From a process side, we went out with midyear increases several weeks ago, a little earlier than we did last year, and we communicated them in all of our markets. We're disciplined and opportunistic when it comes to using inflationary pressures or other headwinds to capture pricing. Remember, about half of our shipments are represented by the fixed plant side. Within the fixed plant side, the asphalt side of our business is more heavily tied to public and larger private nonres projects, so those producers tend to have indexation on longer-term projects and are generally covered. We don't expect much resistance on the asphalt side. Within the concrete side, our concrete customers are still facing the headwinds of residential, so conversations there may be more spirited. But this is not unexpected; we have a long track record of recovering costs. Concrete customers feel diesel costs immediately on delivery, and many have surcharges in place. Over time, we have proven we can pass through these headwinds. The beauty of aggregates is we don't give that back.

We'll hear next from Steven Fisher with UBS.

Congratulations on the good execution. Just a follow-up again on clarifying some of these points here, particularly on the near-term expectations. What's the expectation we should have for pricing in the near term, say Q2, and would that be inclusive of the diesel surcharges? Do those surcharges get recorded in the pricing you report? And on the cost side, it sounds like you're expecting, Mary, upper single-digit growth in costs. How do we think about that in light of the low single-digit guidance you still have for the full year given the first quarter? It sounded like it's going to be at least mid-single digits in Q2.

I'll take the first part. We report freight-adjusted pricing. So the surcharges related to delivery do not get reported in our freight-adjusted pricing because we don't think it's the right way to look at that. In terms of cadence of pricing, we said coming into the year that pricing would start at the lower end because of comps from last year and accelerate through the year. The midyear increases confirm that our pricing trajectory will be more accelerated in the back half of the year than the first half. The data center activity is causing a mix shift and faster conversion of backlog to shipments, which affects mix. That is good from a cost perspective because when plants improve yield on base shipments it benefits costs. I'll let Mary talk through the puts and takes on the model.

Steve, from a cost standpoint, at this point we still believe we can deliver low single-digit cost growth for the full year. Where we fall within that range will depend heavily on how the diesel situation develops, but Ronnie highlighted opportunities to drive efficiencies and pull levers on cost. I feel good about the full year guidance and wanted to give insight into what Q2 could look like from a cost standpoint. Our expectation was always that costs would be higher in the first half and move lower in the second half, so 2026 is playing out like we expected.

Great. Thank you very much. We'll hear next from Michael Dudas with Vertical Research.

Ronnie, following up on the comments on the data centers and the time to market and speed, could that contribute to volumes given the acceleration of some of these projects? Are other heavy markets or even public markets trying to move quicker to get funding or projects through, and can that quicker conversion be helpful to get backlog converted and drive efficiencies and volumes through the system?

I would go back to my prepared remarks and our advantaged footprint. In our specific markets on a trailing 12 months, public contract awards are up 12%, while in other places there are double-digit declines. That amplifies that we're in the right markets and the public side continues to be strong. As we approach the expiration of the bill, states are doing a good job allocating the funds, and the backlog visibility we have within public jobs gives us confidence there won't be a disruption. We're seeing momentum in Arizona, New Mexico, North Carolina, South Carolina, coastal Texas, North Texas and Georgia on the infrastructure side. On the private side, 60% of our large projects that started last year are within 50 miles of a Vulcan facility, which shows our footprint advantage. The speed of data center projects is notable: once announced they move quickly, which can accelerate conversion of backlog to shipments and create operational efficiencies. Multifamily is showing some green shoots in certain markets, but residential remains impacted by affordability. Our confidence in 2026 returning to growth is based mainly on the public and private nonres sectors.

We'll turn now to Kathryn Thompson with Thompson Research Group.

I want to focus on the federal highway bill reauthorization coming up in September. Early discussions are mentioning funding sizes of $600 billion to $700 billion, while other discussions are closer to $500 billion to $550 billion, both increases from where we are currently. Could you give your perspective on what you're hearing and how you think about the cadence? One contact said they don't see the bill going backwards in funding; how much credence does that statement have?

Thank you, Kathryn. Your sources are consistent with what we're hearing. The Transportation Committee is working through their proposals, and we expect a first reading sometime mid-May. This will be negotiated between members of Congress. The Democrats are generally more aggressive on spending, so negotiations will continue. Overall, the directional numbers you mentioned are consistent with what we're hearing. The process becomes more complex in the Senate with multiple committees involved. Could it get done by midterms? It could, but historically continuing resolutions are often part of the path. Given the dollars left to be spent under IIJA, the ongoing starts and backlog visibility provide confidence that there won't be material disruption even under a continuing resolution. We believe the bill will ultimately be at a higher level than the previous bill and that a bipartisan outcome is possible because both sides see the need. There are questions around funding mechanisms, electric vehicle considerations, and other elements, but overall the momentum is positive and we feel well positioned.

Now we'll hear from Keith Hughes with Truist.

We get a lot of questions on specifically the second quarter drag from diesel prices. Can you give any kind of dollar figure of what that's going to do in the quarter, understanding you're going to be pursuing good selling prices to offset that?

If you step back, over the last two years we burned about 57 million gallons of diesel a year. That number will vary with tons shipped, production and inventory levels. Stripping and other activities also affect consumption. If diesel were to remain elevated, we're prepared to fight that headwind through commercial efforts. I'll let Mary give you a little more detail on the magnitude.

Given the pieces Ronnie described, you're looking at roughly $25 million of incremental diesel cost in the second quarter. Retail diesel today is a couple of dollars higher than it was coming into the year, so that's a reasonable round number to think about. Another area where we'll feel energy impact is liquid asphalt, although about one-third of that work is indexed so the impact will be a bit less. Over time we'll use pricing to catch up and maintain margins. Also keep in mind in our original guidance we did not have the California ready-mix business; that contributed about $10 million of cash gross profit in the first quarter. We still own it today and expect the divestiture to close soon in Q2, but that ready-mix contribution is a helpful offset to near-term energy headwinds.

Okay. Great. One other quick question back on Kathryn's point. There was a political article about $500 billion to $550 billion from the Republican-led Transportation Committee and some Democratic comments for a higher bill. Based on your contacts and lobbying groups, is there close to bipartisan support around these numbers? What's your sense?

I think both sides see the need. The dollar amount discussion is based on different inputs about real needs for both growth and maintenance of infrastructure. The process involves negotiation and different constituencies wanting portions of funding. Sam's leadership and experience with reauthorizations has been helpful, and this could be something he wants to get done before his retirement. Funding mechanisms will be debated, but the trend is toward a more focused highway and infrastructure bill rather than a broader bill. Overall, we see positive signs and long-term visibility into a meaningful portion of demand in our markets, so we believe we're in a good place.

We'll go next to Phil Ng with Jefferies.

Congrats on a solid quarter. Ronnie, Mary, you both highlighted M&A as an avenue to deploy capital and the balance sheet is in a great spot. Are you seeing any choppiness in terms of sellers in this current backdrop? Any color on markets you're targeting, size of deals, and whether it's pure-play aggregates or includes downstream?

When we talk about expanding our reach, we'll focus on aggregates-led businesses. If acquisitions include downstream, we'll evaluate whether to own them; we've exited non-core businesses in the past. We're focused on high-growth areas driven by demographics, public funding and private nonres growth like data centers. The energy build-out needed to support data centers is another tailwind; we've begun booking energy projects and quotes. From the seller side, macro headwinds can influence timing but these are often generational decisions for family sellers, so it can be complex. We remain very active. From greenfield and downstream investments, we have three new plants coming online this year — one in Arizona, one in Texas and one in South Carolina. We also plan to bring seven distribution yards online this year in places such as Texas, Florida, California and South Carolina. We continue to invest to protect and grow our franchise. We have several bolt-on acquisitions we believe will close before year-end.

We'll hear next from Angel Castillo with Morgan Stanley.

Two parts: on the full year, you mentioned you don't expect the high diesel prices to be longer lasting and they may be temporary. Does the current full year guide assume diesel prices remain at current levels or that they come off in the second half? Relatedly, midyear increases you typically talk about being beneficial into the following fiscal year. Should we think about offsets in the second half being more driven by VWO operational improvements? Also on Q2, what's your expectation on price, volume and gross profit per ton when you put all the pieces together?

Let me unpack that. Our assumptions are based on the history of our business and flexibility. If fuel stays up for the remainder of the year, pricing will reflect that; if fuel comes down, margins will reflect that as well. We're planning for the possibility that elevated diesel could persist and have accounted for it in our guidance. We expect pricing to build through the year, starting at the lower end because of comps and accelerating as the year progresses. We would love diesel to come down, but we're planning for either scenario and have mechanisms in place to pass through costs. On demand and shipments, we saw more normal weather in Q1 which helped volumes, and the speed of data center projects accelerates conversion of backlog and can positively affect costs through improved plant yields. For Q2, we expect shipments and pricing to play out as planned and to remain on track for the full year guidance given normal seasonal patterns and our backlog visibility. We don't see significant noise in demand or shipping at this time.

Angel, we highlighted at the start of the year to think about more normal seasonal spreads rather than pure year-over-year comps. Given the strong start in Q1 and our expectations for Q2, we would expect a typical seasonally adjusted full-year split, roughly in the neighborhood of a 45/55 first half/second half range, with costs higher in the first half and moderating in the second half. The diesel headwind will squeeze Q2 a bit, but we remain on track for the year.

We'll hear next from David MacGregor with Longbow Research. Joe Nolan is on for David.

This is Joe Nolan on for David. I wanted to touch on the nonres business. You've talked about strength in data centers, but could you comment on other verticals like warehouses, manufacturing and commercial? What are backlogs and demand within those businesses?

As we went into the year, we said data centers were leading private nonres, and we expected green shoots in warehousing. We've seen some markets turn positive in warehousing but from a low base. We're seeing projects in Texas related to energy, LNG and manufacturing where we're shipping. There's good momentum in some markets for warehouses and manufacturing, but data centers are growing fastest within private nonres. The energy side is encouraging and we're having active conversations on energy projects, which may have longer permitting but provide meaningful forward-looking demand. In short, data centers lead, but it's a mix of project types across our footprint.

We'll turn now to Michael Feniger with Bank of America.

Ronnie, if we do get a continuing resolution (CR), does that change your view at all on 2027? Does it shift us from a growth market to maybe flat, or are we still in growth because of dollars left to spend?

I don't think a CR changes our view for 2027. We still have dollars that will carry over and many of the federal-funded projects are multiyear. Only about one-third of highway funding is federal, so state funding, public-private partnerships and toll authorities provide additional ways projects get funded. States have been creative and continue to fund projects, which gives us confidence. Public funding is likely the least of my worries given where we operate and the diversity of funding sources.

On the pricing side, given the start to the year and the 4% mix-adjusted freight-adjusted price improvement in Q1, should we think you're exiting above the 4% to 6% full-year range? You referenced 2022 and how you responded to inflation; is there anything different this time around in terms of demand environment versus 2022 and how quickly you can capture pricing?

There are differences between 2022 and 2026. In 2022, residential demand was a major tailwind, which is not the case today. If residential accelerates, that would be an incremental tailwind. Our confidence is that pricing will build through the year and we will need to be at the higher end of the range to hit full-year math. It's too early to call the final success of midyear increases since each market is local and conversations vary by customer, but we have good momentum and the mechanisms to reinforce earnings throughout the year.

We'll turn next to Ivan Yi with Wolfe Research.

Can you comment on transportation cost? Truck rates are currently about 20% to 30% year-over-year. Are you able to fully pass through these higher costs to your end customers? And in that context, are truckload rates incentivizing you to move more volumes to rail where you can?

On rail, you can move more to rail but you need the rail yard capacity. Our rail yards are extensions of operating plants and are placed in high-growth markets to capture distribution value. Delivery to customers is mostly a pass-through; we don't try to make money on delivery. We use surcharges and mechanisms to ensure we don't absorb the penalty from fuel or trucking cost increases. Ultimately, you have to get the rock to the job and delivery is the cost of doing business.

One other point: our advantaged footprint not only refers to geographic location but also our position in those markets. Over the longer term, in an environment of rising transportation costs, those positions can widen our logistical advantages and be beneficial to our franchise.

And we'll hear next from Rohit Seth with B. Riley Securities.

Back on volumes, shipments were up 5% in Q1. Can you provide a sense of how the quarter played out, the cadence from January to March? And do you have any comments on April?

We experienced more normal weather in parts of our footprint, mainly the South, Texas and California, while other areas like Illinois and the Northeast had a colder start which affected activity. We started slower in January and built momentum through February into March as weather warmed and dried in many markets. Cold weather affects both production and the ability to lay mix, so it impacts operations. The quarter's cadence played out as expected: a slower start with acceleration into March. As we move into Q2, we expect the cadence to continue consistent with our plans, and April is going as expected. We started the year up 5% and still expect overall modest growth for the full year; we haven't raised our demand expectation, just that the year is starting in-growth as planned.

On a seasonally adjusted basis, we feel we're right on track for our full year guidance. Keep in mind last year's second quarter was weaker, giving us easier year-over-year comps in Q2 than in the back half. There's a lot of noise quarter-to-quarter, but for the full year, we remain comfortable delivering modest growth.

Any thoughts on April?

I think April is going as expected.

Are you seeing any project cancellations or anything getting pushed out to delay while people wait for things to normalize?

We have not seen project cancellations or significant delays on either the public or private side as of today. We're monitoring closely, but nothing material has emerged.

Thank you, everyone. With no further questions in queue, I would like to turn the floor over to CEO Ronnie Pruitt for closing comments.

Thank you, and thank you all for your interest in Vulcan Materials. I'm proud of what our teams have accomplished in the first quarter, but we're never satisfied, and we're always looking ahead. We're committed to continuous improvement and long-term value creation for all of our stakeholders, and we look forward to speaking with you at our next quarter. Thank you.

Ladies and gentlemen, that will conclude today's event. Thank you for your participation. You may disconnect at this time, and have a wonderful rest of your day.