EAGLE MATERIALS INC

FISCAL 2024 EVENTS

Financial Highlights

Fiscal 2024 was a strong year for the Company, with increased earnings in both our Cement and Gypsum Wallboard segments. Financial highlights for fiscal 2024 compared with fiscal 2023 include:

•

Achieved record Revenue of $2.3 billion, up 5%.

•

Increased Net Earnings by 3% to $477.6 million.

•

Expanded gross profit margin by 50 basis points to 30.3%.

•

Increased diluted earnings per share by 9% to $13.61.

•

Repurchased approximately 1.9 million shares of our stock for $343.3 million.

Strategic Highlights

During fiscal 2024, we executed several strategic actions that expanded our integrated plant network and strengthened our low-cost position. Strategic highlights for fiscal 2024 include the following:

Start-up of Aggregates in Kentucky

In April 2023, we assumed operation of our quarry in Battletown, Kentucky (Battletown Materials). Our Battletown quarry was primarily used to supply our Kosmos Cement plant with limestone; however, beginning in April 2023, we started selling a portion of the mined materials as aggregates. Battletown Materials is included in our Heavy Materials sector, in the Concrete and Aggregates business segment, in fiscal 2024.

Cement Import Terminal Acquisition

On May 3, 2023, we acquired a cement import distribution terminal located in Stockton, California (the Stockton Terminal Acquisition), which expanded our presence in the northern California market and strategically supplements our Northern Nevada manufacturing facility. This terminal is included in our Heavy Materials sector in the Cement segment.

See Footnote (B) to the Audited Consolidated Financial Statements for more information regarding the Stockton Terminal Acquisition.

In addition to the integration of the Kentucky aggregates business and acquisition of the Stockton Cement import terminal, we initiated the following organic growth investments that will get underway in fiscal 2025.

Slag-Cement Facility

We recently announced the planned start-up of a slag-cement facility in the summer of 2024 in Houston, Texas which will expand our cementitious product manufacturing capacity by 500,000 tons to meet increasing demand in the fast-growing Texas market. The slag-cement facility will be operated through our Joint Venture, which is 50% owned by us, and 50% owned by HM Southeast Cement LLC, a subsidiary of Heidelberg Materials (the Joint Venture).

Expansion and Modernization of our Cement Facility in Wyoming

We are investing approximately $430.0 million to modernize and expand our Mountain Cement plant in Wyoming and related distribution facilities, which is expected to add 400,000 tons of production, lower the plant's manufacturing costs by approximately 25%, and reduce the carbon intensity of this facility. This facility provides cement to several markets, including the growing Northern Colorado area, Nebraska, Utah, and Wyoming. Planning for the project has been completed, all primary regulatory approvals have been received, and construction is expected to begin immediately with startup scheduled for the second half of calendar 2026.

SUSTAINABILITY HIGHLIGHTS

We have made meaningful progress on several of our environmental, social, and governance priorities, including reducing our carbon intensity, maintaining industry-leading safety records, and linking a significant portion of executive compensation to sustainability-related targets. Notable achievements for fiscal 2024 include the following:

•

Increased production and sale of blended cement products, including portland limestone cement, to 75% of our total manufactured product sales in fiscal 2024, advancing our efforts to reduce the carbon intensity of our cement.

•

Entered into exclusive agreements with Terra CO2, a producer of a scalable low-carbon supplementary cementitious material (SCM) for the potential deployment of multiple eco-friendly, low-carbon cementitious commercial-scale plants that would service three different geographic areas, including the Greater Denver market. The agreements grant us the exclusive right to build and operate plants that produce SCM in each geographic area. When developed and fully scaled, each plant would have the potential to produce approximately 240,000 tons per year of SCM.

•

Committed to increase the use of alternative fuels for our combustion process at three of our cement facilities.

•

Reduced water consumption by 23%.

•

Maintained Total Recordable Incident Rate (TRIR) and Lost Time Incident Rate below industry averages for all of our businesses.

•

Incorporated new disclosures in our Sustainability Report, including detailed data around Scope 1 and Scope 2 emissions, began alignment with Sustainability Accounting Standards Board (SASB) and Task Force on Climate-Related Financial Disclosures (TCFD) reporting frameworks, and explanations of our enhanced governance policies.

•

Linked over 50% of our Chief Executive Officer's fiscal 2024 compensation directly to the advancement of the Company's ESG priorities.

Our latest Sustainability Report provides more information related to our roadmap, targets, and progress in improving our efficiency and long-term sustainability of our resources, ensuring the safety of our employees (see also Human Capital below), protecting human rights, and delivering value to our shareholders and society. The above reference to our Sustainability Report does not mean that such report is incorporated by reference herein.