This article first appeared on GuruFocus .
-
Revenue:$471 million, an increase of 9.6% compared to $429 million in Q2 2025.
-
Adjusted EBITDA:$101 million, up 1.3% from $99 million in the prior-year quarter.
-
Adjusted EBITDA Margin:21.4%, down from 23.2% in Q2 2025.
-
Net Income:$43 million, compared to $51 million in the prior-year quarter.
-
Earnings Per Share (EPS):$0.23, down from $0.28 in Q2 2025.
-
Operating Cash Flow:$137 million for H1 2026, compared to $108 million in H1 2025.
-
Free Cash Flow:$50 million, up from $26 million in the prior year.
-
Leverage Ratio:1.37 times trailing 12 months adjusted EBITDA, up from 0.64 times at the beginning of the year.
-
Cement Volumes:Increased 10% year over year.
-
Aggregate Volumes:Decreased by 1.3% compared to Q2 2025.
-
Fly Ash Volumes:Increased approximately 12% year over year.
-
Ready-Mix Concrete Volumes:Increased 2.6% year over year.
-
Concrete Block Volumes:Increased 8.3% compared to Q2 2025.
-
Mid-Atlantic Revenue:$214 million, up 27% from $168 million in Q2 2025.
-
Florida Revenue:$257 million, a decrease of 1.6% from $261 million in Q2 2025.
-
Net Capital Expenditures:Approximately $87 million for H1 2026.
Release Date: July 28, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
-
Titan America SA ( NYSE:TTAM ) reported a 9.6% increase in second-quarter revenue compared to the same period last year, demonstrating solid performance despite challenges.
-
The Mid-Atlantic region showed strong year-over-year growth in both revenue and adjusted EBITDA, driven by robust project activity in private non-residential and public infrastructure investments.
-
The acquisition of Keystone Cement Company expands TTAM's geographic reach and strengthens its vertically integrated footprint, enhancing its ability to serve customers and capture operational synergies.
-
TTAM's participation in the growing data center market in Virginia positions the company to capitalize on substantial follow-on investments in power generation, infrastructure, and commercial construction.
-
The development of a fly ash recycling plant at the Brunner Island Steam Electric Station aligns with TTAM's long-term growth strategy and enhances its position in the market for supplemental cementitious materials.
Negative Points
-
Residential construction activity remains subdued in Florida, with project delays and softer cement demand impacting the region.
-
Scheduled extended maintenance shutdowns at the Pennsuco plant resulted in longer outages, negatively affecting Florida's second-quarter results.
-
Substantial delays in cement imports due to disruptions in overseas ports and shipping impacted the Florida business.
-
Adjusted EBITDA margin decreased by approximately 180 basis points compared to the prior year, reflecting costs associated with the extended Pennsuco outage.
-
Net income for the quarter decreased to $43 million from $51 million in the prior-year quarter, partly due to Keystone-related transaction costs and a one-time tax charge.
Q & A Highlights
Q: Can you talk about cement pricing trends, particularly the softness in Florida and improvements in the Mid-Atlantic? Also, how are price costs being managed given higher fuel and electricity costs? A: Pricing trends are more robust in the Mid-Atlantic due to demand in commercial non-residential applications and infrastructure. In Florida, prices have been stable but not increasing, mainly due to softness in the residential sector and logistical disruptions. Despite inflationary pressures from fuel and energy costs, operational excellence initiatives have helped manage price over cost, with improved margins in the Mid-Atlantic and stable margins in Florida despite challenges.
Q: Are the Pennsuco outage and supply chain issues resolved, and how might tariffs on Canadian cement imports impact the Mid-Atlantic market? A: The Pennsuco outage and supply chain issues are largely resolved, with only normal maintenance activities expected in the future. The impact of potential tariffs on Canadian cement imports is still uncertain, and we are monitoring the situation.
Q: Regarding the $7 million impact from the scheduled maintenance outage, is there any lingering effect on imports from the Mediterranean? A: There are no expected lingering effects from the scheduled maintenance outage. While sea freight rates are higher, we do not anticipate further disruptions in imports from the Mediterranean.
Q: Can you provide more detail on the expected margin contraction for the year? A: We anticipate a margin contraction of 25 to 50 basis points, primarily due to the initial impact of the Keystone integration. However, we expect a positive step-up in the second half of the year, driven by improved order books and operational efficiencies.
Q: How should we think about the revenue and synergy potential from the Keystone acquisition? A: The Keystone acquisition is integrated into our Mid-Atlantic operations, with expected synergies of at least $30 million by 2029. These synergies include operational, commercial, and logistics improvements, as well as increased sales of aggregates. We will provide more detailed guidance on revenue potential as we further integrate and optimize the asset.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
