Our next concrete forum presenting today is US Concrete. US Concrete services the construction marketplace in several major markets inside the United States via its 2 company segments, ready-mixed concrete and concrete-related goods and western precast concrete.
The Comcrete forum has 138 fixed and 7 portable ready-mixed concrete plants, 10 precast concrete plants, Three concrete block plants, and 8 aggregates facilities. During 2006, these facilities created approximately 8.7 million cubic yards of ready-mixed concrete, 4.8 million eight-inch equivalent block units, and 4.1 million tons of aggregates.
Gene Martineau, CEO and President, and Robert Hardy, Sr., VP and CFO, will probably be speaking on behalf of US Concrete today. Gene Martineau?
The concrete Forum, a leading conference host for public firms to address analysts/portfolio managers and professional investors, sponsors four annual conferences in NYC for large, mid and small-cap companies. Searching for Alpha readers may perhaps attend Wall Street Analyst Forum conferences free in case you pre-register. See the full conference schedule and attendance information.
Read all Wall Street Analyst Forum conference presentation transcripts here.
To sponsor a concrete forum presentation transcript please contact us.
Just take in a look very first at the industry, in general, and talk a smaller bit about it simply because you'll find folks in this globe today and almost certainly the predominant that even now don't understand the difference among cement and concrete. So if you're a single of those, do not think adverse about that. We are the product, we are concretes, and that is certainly a raw material that goes into producing a concrete.
Some on the concrete forum trend wants that we try to follow, put out by the Portland Cement Association, and these bar charts kind of indicate what their outlook is for demand for cement, reasonably after 75% of all the cement created or consumed during the United States is used in ready-mixed concrete. The sleep of it primarily is employed in concrete products. So you will discover excellent indicators and possibly almost certainly one on the very best work of seeking at the markets and analyzing them
As you can see, the cement market has been running around capability or at capacity. And we are in that importer of cement during the US. And also the outlook, in general, for cement and concrete is favorable over the following four or five years.
A shift is going to consume place in between what primarily was driving overall total construction, which was residential construction. The outlook now is we're far more commercial construction and public works and some slight decrease in residential construction.
These are the end concrete forum as I've said how the major focus for ready-mixed concrete. It is a essential part of our business, north of 80%. As it is possible to see, we now have the standard commercial and industrial, non-building, public works, after which residential. This really is what the us industry appears like. We have a slide tiny later that talks about what US Concrete really appears like.
One of the elements that we're the aggressive first mover from the concrete space to assist consolidate an industry. This really is what, back in 2000, the marketplace sort of looked like on the ready-mixed side, where the top 10 producers had about 16% market share. After which in case you added the following 10, you might have an additional 5%. So a tiny north of 20%. That was 2000.
Today, when you think about a concrete forum along with what these corporations genuinely produce themselves, you can see that US Concrete may be the fifth largest ready-mixed concrete producer inside United States. Which is pretty aggressive growth from in which we started, at about 194 million. Today, we're projecting around $1 billion in revenue, 900 to 950 for 2007, and today the marketplace is about 40% consolidated among the top 20 producers.
There is new names on there. You'll find a few of the old names. A few of the names that had been over a original chart have been really acquired by others like Cemex's of RMC, and we're heading to see some more of that. And you will be perhaps familiar with Cemex's announcement that they had been generating a powerful bid for Rinker Materials. So that obviously would be a blockbuster sort deal. They haven't gotten it done yet. It remains to become noticed if they're heading to be able to.
Let's talk about US Concrete as well as the concrete forum. We are, as the introduction indicated, primarily from the ready-mixed concrete business. So we have a 138 fixed and 7 portable ready-mixed plants operating for the United States. A quality asset base and these assets today are almost 1,500 ready-mixed trucks. And those trucks, just to put in perspective, run about $175,000 in round figures per truck.
We operate in 11 states inside the District of Columbia. We now have a incredibly different and professional concrete forum that is primarily produced up of concrete mixer truck drivers, which we know as delivery professionals, and they are a precious commodity in this marketplace and any transportation-related industry.
![[Valid RSS feed]](http://www.look4articles.com/images/icon_Rss.png "XML Feed For RSS"){kind=icon}
Category Rss Feed
Print This Article
Add To Favorites
![[Valid RSS feed]](http://www.look4articles.com/images/rss.jpg "XML Feed For RSS")