Volume Performance Reflects Strong Commercial Execution in a Challenging Market
Integration of Keystone Acquisition on Schedule, with Targeted Annual Run-Rate Synergies of at Least $30 million by 2029
Updated Full Year 2026 Outlook to Include Keystone Acquisition
NORFOLK, Va.--(BUSINESS WIRE)--July 28, 2026--
Titan America SA (NYSE: TTAM), a leading vertically integrated producer and supplier of building materials, services and solutions in the construction industry operating along the U.S. East Coast, today announced its second quarter 2026 financial results. Titan America SA, including its wholly-owned operating subsidiary, Titan America LLC, is referred to herein as "Titan America" or the "Company."
Second-Quarter 2026 Highlights
-- Revenue of $470.6 million, an increase of 9.6% compared to $429.2
million in Q2 2025
-- Net Income of $43.3 million, compared to $51.1 million in Q2 2025
-- Earnings per share of $0.23, compared to $0.28 in Q2 2025
-- Adjusted EBITDA(1) of $100.7 million, an increase of 1.3% compared to
$99.5 million in Q2 2025
"Our financial results in the second quarter demonstrated the resilience of the business, with strong year-over-year growth in our Mid-Atlantic region offsetting short-term headwinds experienced by Florida," said Bill Zarkalis, President and CEO of Titan America. "Our Mid-Atlantic business segment captured robust project activity in the quarter, as strong commercial and operating performance lifted volumes and generated strong year-over-year improvement. Our Florida business segment delivered a solid performance despite an extended maintenance outage at the Pennsuco plant compared to the prior year and temporary import logistics disruptions."
Mr. Zarkalis continued, "Since closing the acquisition of the Keystone Cement Company, our integration team has been on site working closely with Keystone's exceptional team to ensure a smooth transition, accelerate revenue growth, expand operating margins, and realize targeted annual run-rate synergies of at least $30 million by 2029. With a respected reputation that has been built over the last century, Keystone further strengthens our vertically-integrated footprint in this attractive region, enhancing our ability to serve our customers, while positioning us to benefit from the positive long-term secular growth trends underpinning these markets. We are excited about the significant opportunities ahead and confident in our ability to create long-term value through this strategic acquisition."
Second Quarter 2026 Results (unaudited)
Three Months Ended June 30 Six Months Ended June 30
--------------------------------------- --------------------------------------
% %
2026 2025 $ Change Change 2026 2025 $ Change Change
------- ------- -------- --------- ------- ------- -------- --------
(all amounts in
thousands of
US$)
Revenue $470,626 $429,239 $41,387 9.6% $869,047 $821,678 $47,369 5.8%
Net Income $ 43,271 $ 51,132 $(7,861) (15.4)% $ 76,288 $ 84,505 $(8,217) (9.7)%
Adjusted EBITDA $100,733 $ 99,459 $ 1,274 1.3% $183,270 $179,243 $ 4,027 2.2%
Cashflow provided
by operating
activities $ 75,034 $ 72,901 $ 2,133 2.9% $136,601 $108,094 $28,507 26.4%
Free cash flow $ 20,001 $ 23,399 $(3,398) (14.5)% $ 49,708 $ 26,094 $23,614 90.5%
Revenue for the three months ended June 30, 2026 was $470.6 million, an increase of 9.6% compared to $429.2 million in the prior year quarter, of which approximately $20 million was attributable to the acquired Keystone Cement operations. On a like for like basis, revenue for the three months ended June 30, 2026 grew by approximately $21 million primarily from higher external sales volumes in aggregates and concrete block, as well as increases in ready-mix concrete prices.
Net Income for the three months ended June 30, 2026 was $43.3 million, compared to $51.1 million in the prior year quarter, while Adjusted EBITDA was $100.7 million, an increase of 1.3% compared to $99.5 million in the prior year period. Net Income Margin and Adjusted EBITDA Margin in the three months ended June 30, 2026 were 9.2% and 21.4%, respectively, compared to 11.9% and 23.2%, respectively, in the same period of 2025.
The increase in Adjusted EBITDA was driven by strong performance in the Mid-Atlantic segment (including the post-acquisition contribution from Keystone) which was partially offset by lower contribution from the Florida segment as further described below. In addition, when compared to the prior year quarter, Net Income for the three months ended June 30, 2026 reflected higher depreciation, depletion, and amortization expense of approximately $3 million after tax, Keystone acquisition transaction expenses of approximately $2 million after tax, higher share-based compensation of approximately $1 million after tax, and additional income tax expense of approximately $4 million resulting from the corporate reorganization of the Keystone entities after acquisition, partially offset by lower net finance costs of approximately $2 million after tax.
Cash Flow and Capital Resources
For the six months ended June 30, 2026, cash flow provided by operating activities was $136.6 million and net capital expenditures were $86.9 million, resulting in free cash flow of $49.7 million.
As of June 30, 2026, Titan America had $36.4 million in cash and cash equivalents and $574.1 million in total debt. Net debt was $537.7 million, representing a ratio of 1.37x trailing twelve-month Adjusted EBITDA.
Revenue and Adjusted EBITDA by Reportable Segment
Revenue
--------------------------------------------------------------
Three Months Ended June 30 Six Months Ended June 30
------------------------------ ------------------------------
2026 2025 % Change 2026 2025 % Change
------- ------- ---------- ------- ------- ----------
(all amounts in
thousands of
US$)
Florida $256,663 $260,753 (1.6)% $510,057 $513,996 (0.8)%
Mid-Atlantic 213,963 168,486 27.0% 358,990 307,682 16.7%
------- ------- ------- -------
Consolidated $470,626 $429,239 9.6% $869,047 $821,678 5.8%
Segment Adjusted EBITDA
------------------------------------------------------------
Three Months Ended June 30 Six Months Ended June 30
---------------------------- ------------------------------
2026 2025 % Change 2026 2025 % Change
------ ------ ---------- ------- ------- ----------
(all amounts in
thousands of
US$)
Florida $50,613 $62,160 (18.6)% $123,188 $132,952 (7.3)%
Mid-Atlantic $52,794 $40,613 30.0% $ 65,436 $ 51,515 27.0%
The Florida segment generated revenue of $256.7 million in the second quarter of 2026, compared to $260.8 million in the prior year quarter with higher concrete block and external aggregates volumes not fully offsetting lower ready-mix concrete volumes and lower aggregates and concrete block pricing which were affected by product, channel, and customer mix. Segment Adjusted EBITDA for the quarter was $50.6 million, compared to $62.2 million in the prior year period. Results were impacted by costs associated with extended major maintenance activities at the Pennsuco cement and aggregates facility as well as cement import supply chain disruptions and the associated incremental cost of temporarily sourcing cement and aggregates from third parties during the period.
The Mid-Atlantic segment generated revenue of $214.0 million in the second quarter, compared to $168.5 million in the prior year quarter. The 27.0% year-over-year increase in revenue was primarily due to approximately $20 million of revenue from the acquired Keystone assets, double digit growth in volumes and unit selling prices in ready-mix concrete, and higher pricing and volumes in the segment's legacy cement operations. Segment Adjusted EBITDA was $52.8 million, an increase of 30.0% compared to $40.6 million in the prior year quarter, as the benefit of project mix, improved pricing, and operating efficiencies more than offset higher raw materials and energy costs and cement import disruptions.
2026 Outlook
Regarding Titan America's outlook, President & CEO Bill Zarkalis stated, "Following our recently completed acquisition of Keystone Cement, we have updated our full year 2026 outlook for the Company. We now expect high single digit revenue growth versus 2025, including the contribution from Keystone. We also expect a modest decline in our Adjusted EBITDA margin versus 2025, reflecting the lower starting contribution from Keystone."
Conference Call
Titan America will host a conference call at 5:00 p.m. ET on July 28th, 2026. The conference call will be broadcast live over the Internet. Additionally, a slide presentation will accompany the conference call. To listen to the call and view the slides, please visit the Investors section of Titan America's website at https://www.titanamerica.com/. For those who are unable to listen to the live broadcast, an audio replay of the conference call will be available on the Titan America website for 30 days.
About Titan America SA
Titan America is a leading vertically-integrated producer of cement and building materials in the high-growth economic mega-regions of the U.S. East Coast, with operations and leading market positions across Florida, the Mid-Atlantic, and Metro New York/New Jersey. Titan America's family of company brands includes Essex Cement, Roanoke Cement, Keystone Cement, Titan Florida, Titan Virginia Ready-Mix, S&W Ready-Mix, Powhatan Ready Mix, Titan Mid-Atlantic Aggregates, and Separation Technologies. Titan America's operations include cement plants, construction aggregates and sand mines, ready-mix concrete plants, concrete block plants, fly ash production facilities, marine import and rail terminals, and distribution hubs.
Forward-Looking Statements
This press release may include forward-looking statements. Forward-looking statements are statements regarding or based upon our management's current intentions, beliefs or expectations relating to, among other things, Titan America's future results of operations, financial condition, liquidity, prospects, growth, strategies, developments in the industry in which we operate and the integration of the Keystone Cement Company. In some cases, you can identify forward-looking statements by terminology such as "believe," "anticipate, " "continue," "could," "expect," "goal," "may," "plan," "predict," "propose," "should," "target," "will," "would" and other similar expressions that are predictions of or indicate future events and future trends, or the negative of these terms or other comparable terminology. By their nature, forward-looking statements are subject to risks, uncertainties and assumptions that could cause actual results or future events to differ materially from those expressed or implied thereby. These include the risks detailed in our 2025 Annual Report filed on Form 20-F on March 24, 2026, as well as a prolonged conflict in Iran negatively affecting infrastructure spending. These risks, uncertainties and assumptions could adversely affect the outcome and financial effects of the plans and events described herein. Forward-looking statements contained in this report regarding trends or current activities should not be taken as a report that such trends or activities will continue in the future. Titan America undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. You should not place undue reliance on any such forward-looking statements, which speak only as of the date of this report. The information contained in this report is subject to change without notice. No re-report or warranty, express or implied, is made as to the fairness, accuracy, reasonableness or completeness of the information contained herein and no reliance should be placed on it.
Financial Measures (Non-IFRS)
In addition to the financial information presented in accordance with International Financial Reporting Standards ("IFRS"), this press release includes the following Non-IFRS financial measures: Adjusted EBITDA, Adjusted EBITDA Margin, Net Income Margin, free cash flow, net debt and the Ratio of Net Debt to Adjusted EBITDA. We define Adjusted EBITDA as net income before finance cost, net, income tax expense, depreciation, depletion and amortization, further adjusted to remove the impact of additional items such as (gain)/loss on disposal of fixed assets, asset impairment (recovery)/loss, foreign exchange (gain)/loss, net, derivative financial instrument (gain)/loss, net, fair value loss on sale of accounts receivable, net, share-based compensation and other non-recurring items, including certain transaction costs related to our initial public offering. We define Adjusted EBITDA Margin as Adjusted EBITDA divided by revenue. We define Net Income Margin as net income divided by revenue. We define free cash flow as net cash provided by operating activities, less net payments for capital expenditures, which includes (i) investments in property, plant and equipment, (ii) investments in identifiable intangible assets and (iii) proceeds from the sale of assets, net of disposition costs. We define net debt as the sum of short and long-term borrowings, including accrued interest and short-term and long-term lease liabilities less cash and cash equivalents. We define the Ratio of Net Debt to Adjusted EBITDA as the ratio derived by dividing net debt by Adjusted EBITDA. See "Reconciliation of IFRS to Non-IFRS" section for a detailed reconciliation of Non-IFRS financial measures to the most directly comparable IFRS measure.
We believe that in addition to our results determined in accordance with IFRS, these Non-IFRS financial measures provide useful information to both management and investors in measuring our financial performance and highlight trends in our business that may not otherwise be apparent when relying solely on IFRS measures.
Non-IFRS financial information is presented for supplemental informational purposes only and should not be considered in isolation or as a substitute for financial information presented in accordance with IFRS. Our presentation of Non-IFRS measures should not be construed as an inference that our future results will be unaffected by unusual or nonrecurring items. Other companies in our industry may calculate these measures differently, which may limit their usefulness as comparative measures.
(1) As used throughout this release, the terms Adjusted EBITDA, Adjusted
EBITDA Margin, Net Income Margin, free cash flow, net debt and the Ratio of
Net Debt to Adjusted EBITDA are non-IFRS financial metrics. See
"Reconciliation of IFRS to Non-IFRS" for a detailed reconciliation of Non-IFRS
financial measures to the most directly comparable IFRS measure. See
"Financial Measures (Non-IFRS)" for further discussion on these non-IFRS
measures and why we believe they are useful.
Condensed Consolidated Statements of Income (Unaudited)
(all amounts in
thousands of US$
except for
earnings per
share) Three Months Ended June 30 Six Months Ended June 30
---------------------------- ------------------------------
2026 2025 2026 2025
----------- ----------- ----------- -----------
Revenue $ 470,626 $ 429,239 $ 869,047 $ 821,678
Cost of goods
sold (357,480) (316,550) (664,017) (617,583)
----------- ----------- ----------- -----------
Gross profit 113,146 112,689 205,030 204,095
----------- ----------- ----------- -----------
Selling expense (9,750) (8,611) (18,059) (16,851)
General and
administrative
expense (38,751) (33,285) (71,543) (64,201)
Net impairment
(loss)/gain on
financial
assets (191) (130) (335) 150
Fair value loss
on sale of
accounts
receivable,
net (1,303) (1,139) (2,349) (2,102)
Other operating
(loss)/income,
net (417) 196 (226) 382
----------- ----------- ----------- -----------
Operating income 62,734 69,720 112,518 121,473
----------- ----------- ----------- -----------
Finance cost,
net (3,499) (5,571) (8,244) (12,153)
Foreign exchange
gain/(loss),
net 6,714 (30,706) 14,722 (44,519)
Derivative
financial
instrument
(loss)/gain,
net (3,703) 33,906 (12,485) 44,810
Other
non-operating
income -- -- -- 2,552
----------- ----------- ----------- -----------
Income before
income taxes 62,246 67,349 106,511 112,163
----------- ----------- ----------- -----------
Income tax
expense (18,975) (16,217) (30,223) (27,658)
----------- ----------- ----------- -----------
Net Income $ 43,271 $ 51,132 $ 76,288 $ 84,505
----------- ----------- ----------- -----------
Earnings per
share of common
stock:
Basic
earnings per
share $ 0.23 $ 0.28 $ 0.41 $ 0.46
Diluted
earnings per
share $ 0.23 $ 0.28 $ 0.41 $ 0.46
Weighted average
number of
common stock -
basic 184,373,341 184,362,465 184,367,993 182,323,791
Weighted average
number of
common stock -
diluted 184,611,105 184,362,465 184,587,296 182,323,791
Condensed Consolidated Balance Sheet (Unaudited)
June 30, December 31,
(all amounts in thousands of US$) 2026 2025
---------- --------------
Current assets:
Cash and cash equivalents $ 36,382 $ 211,750
Trade receivables, net 79,827 54,308
Other receivables, net 94,170 58,096
Inventories 231,929 226,414
Prepaid expenses and other current assets 16,967 18,051
Income taxes receivable 41,342 41,319
Short term investments, net 29,349 --
Derivatives and credit support payments 637 17
--------- ----------
Total current assets 530,603 609,955
--------- ----------
Noncurrent assets:
Property, plant, equipment and mineral
deposits, net 1,239,473 930,012
Right-of-use assets 65,892 66,158
Other assets 14,641 9,139
Intangible assets, net 31,576 29,020
Goodwill 260,854 221,562
Derivatives and credit support payments 21,851 28,029
--------- ----------
Total noncurrent assets 1,634,287 1,283,920
--------- ----------
Total assets $2,164,890 $ 1,893,875
--------- ----------
Current liabilities:
Accounts and related party payables $ 192,741 $ 144,681
Accrued expenses 26,717 22,122
Provisions 9,202 8,897
Income taxes payable 20 2,189
Short term borrowing, including accrued
interest 4,716 5,387
Lease liabilities 11,413 11,168
Derivatives and credit support receipts 610 17
Other current liabilities 9,270 6,763
--------- ----------
Total current liabilities 254,689 201,224
--------- ----------
Non-current liabilities:
Long-term borrowings 502,042 390,438
Lease liabilities 55,910 55,420
Provisions 73,243 61,440
Deferred income tax liability 142,104 115,556
Derivatives and credit support receipts 23,356 28,300
Other noncurrent liabilities 24,997 7,431
--------- ----------
Total noncurrent liabilities 821,652 658,585
--------- ----------
Total liabilities 1,076,341 859,809
--------- ----------
Stockholders' equity 1,088,549 1,034,066
--------- ----------
Total liabilities and stockholders' equity $2,164,890 $ 1,893,875
--------- ----------
Condensed Consolidated Statements of Cash Flows (Unaudited)
(all amounts in thousands of US$) Six Months Ended June 30
------------------------------
2026 2025
---------------- ------------
Cash flows from operating activities
Income before income taxes $ 106,511 $ 112,163
Adjustments for:
Depreciation, depletion and
amortization 59,861 51,686
Gain on divestiture -- (2,552)
Finance cost 11,333 14,432
Finance income (3,089) (2,279)
Foreign exchange (gain)/loss, net (14,721) 44,519
Derivative financial instrument
loss/(gain), net 12,485 (44,810)
Changes in net operating assets
and liabilities (14,275) (29,366)
Other (5,346) (4,159)
----------- --------
Cash generated from operations before
income taxes 152,759 139,634
----------- --------
Income taxes, net (16,158) (31,540)
----------- --------
Net cash provided by operating
activities 136,601 108,094
----------- --------
Cash flows from investing activities
Investments in property, plant and
equipment (86,057) (80,838)
Investments in intangible assets (900) (1,196)
Acquisition, net of cash acquired (275,972) --
Short term investments, net (29,267) --
Interest received 3,355 2,091
Proceeds from the sale of assets,
net of disposition costs 64 34
Proceeds from sale of investment -- 5,368
----------- --------
Net cash used in investing activities (388,777) (74,541)
----------- --------
Cash flows from financing activities
Repayment of affiliated party
borrowings -- (15,002)
Borrowings from affiliated party 128,770 4,976
Offering costs associated with
borrowings (2,042) --
Repayment of third party line of
credit -- (25,000)
Lease payments (5,176) (4,773)
Share premium distribution (7,374) (14,749)
Proceeds from IPO -- 144,000
Related party recharge for
stock-based compensation (8,006) --
Derivative credit support
(payments)/receipts and
settlements (11,278) 33,564
Interest paid (11,454) (10,602)
IPO Costs -- (9,321)
----------- --------
Net cash provided by financing
activities 83,440 103,093
----------- --------
Net (decrease)/increase in cash and cash
equivalents (168,736) 136,646
----------- --------
Cash and cash equivalents at:
Beginning of period prior to adjustment
on initial application of amendments to
IFRS 9, effective January 1, 2026 211,750 12,124
Adjustment on initial application of
amendments to IFRS 9 effective
January 1, 2026 (6,449) --
----------- --------
Beginning of period 205,301 12,124
Effects of exchange rate changes (183) --
----------- --------
End of period $ 36,382 $ 148,770
=========== ========
Note: The statement of cashflows was revised to reflect the impact of
the adoption of IFRS 9.
Reconciliation of IFRS to Non-IFRS
------------------------------------------------------------------------
Reconciliation of IFRS Net Income to Non-IFRS Adjusted EBITDA and IFRS
Net Income Margin to Non-IFRS Adjusted EBITDA Margin
Three Months Ended Six Months Ended
-------------------------- --------------------------
June 30, June 30, June 30, June 30,
2026 2025 2026 2025
------------ ------------ ------------ ------------
(all amounts in
thousands of
US$)
Net income $ 43,271 $ 51,132 $ 76,288 $ 84,505
Finance cost,
net 3,499 5,571 8,244 12,153
Income tax
expense 18,975 16,217 30,223 27,658
Depreciation,
depletion and
amortization 31,049 27,270 59,861 51,686
Loss/(gain) on
disposal of
fixed assets 38 338 89 301
Foreign
exchange
(gain)/loss,
net (6,714) 30,706 (14,722) 44,519
Derivative
financial
instrument
loss/(gain),
net 3,703 (33,906) 12,485 (44,810)
Fair value
loss on sale
of accounts
receivable,
net 1,303 1,139 2,349 2,102
Share-based
compensation 2,541 897 4,183 1,671
IPO
transaction
costs -- 298 -- 2,182
Acquisition
related
expenses 2,598 -- 4,002 --
Other 470 (203) 268 (2,724)
------- ------- ------- -------
Adjusted
EBITDA $100,733 $ 99,459 $183,270 $179,243
======= ======= ======= =======
Revenue $470,626 $429,239 $869,047 $821,678
Net Income
Margin(1) 9.2% 11.9% 8.8% 10.3%
Adjusted