v3.26.1
Business Segment Data
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Business Segment Data Business Segment Data
We focus on the vertical integration of our products and services by offering customers a single source for construction materials and related contracting services. We operate in 15 states across the United States through our four operating segments: West, Mountain, Central and Energy Services, each of which is also a reportable segment. Each segment’s performance is evaluated based on segment results without allocating corporate expenses, which include corporate costs associated with accounting, legal, treasury, business development, information technology, human resources, and other corporate expenses that support the operating segments.
Three of our reportable segments are aligned by key geographic areas due to the production of construction materials and related contracting services and one is based on product line. Each segment is led by a segment manager who reports to our chief operating officer, who is also our chief operating decision maker, along with the chief executive officer. Our chief operating decision maker uses EBITDA to evaluate the performance of the segments, perform analytical comparisons to budget and uses historical and projected EBITDA to allocate resources, including capital allocations.
Each geographic segment offers a vertically integrated suite of products and services, including aggregates, ready-mix concrete, asphalt and contracting services, while the Energy Services segment produces and supplies liquid asphalt, primarily for use in asphalt road construction, and is a supplier to some of the other segments. Each geographic segment mines, processes and sells construction aggregates (crushed stone and sand and gravel); produces and sells asphalt; and produces and sells ready-mix concrete as well as vertically integrating its contracting services to support the aggregate-based product lines including heavy-civil construction, asphalt and concrete paving, and site development and grading. Although not common to all locations, the geographic segments also sell cement, merchandise and other building materials and related services.
Corporate Services represents the unallocated costs of certain corporate functions, such as accounting, legal, treasury, business development, information technology, human resources and other corporate expenses that support the operating segments. Corporate Services also includes an immaterial amount of external revenue from the Knife River Training Center. We account for intersegment sales and transfers as if the sales or transfers were to third parties. The accounting policies applicable to each segment are consistent with those used in the audited consolidated financial statements.
The information that follows uses the same accounting policies as described in the audited financial statements and notes included in the Company's 2025 Annual Report. Information on our segments was as follows:
Three Months Ended June 30, 2026Three Months Ended June 30, 2025
WestMountainCentralEnergy ServicesTotalWestMountainCentralEnergy ServicesTotal
(In thousands)
Revenues from external customers$289,523 $236,486 $325,367 $86,916 $938,292 $317,195 $176,121 $255,062 $85,146 $833,524 
Intersegment revenues856 — 203 16,134 17,193 206 — 130 12,234 12,570 
Total segment revenue290,379 236,486 325,570 103,050 955,485 317,401 176,121 255,192 97,380 846,094 
Other revenues1
443 337 
Less: Elimination of intersegment revenue17,341 12,672 
Total consolidated revenue$938,587 $833,759 
Cost of revenue excluding depreciation, depletion and amortization218,821 193,794 248,890 79,499 234,634 136,976 195,820 77,260 
Selling, general and administrative expenses excluding depreciation, depletion and amortization22,652 11,842 23,661 3,868 21,821 8,356 15,316 3,120 
Other segment items2
316 176 581 152 (176)121 341 79 
Total segment EBITDA$49,222 $31,026 $53,600 $19,835 $153,683 $60,770 $30,910 $44,397 $17,079 $153,156 
Consolidated income before income taxes59,844 67,948 
Plus:
Depreciation, depletion and amortization56,357 50,204 
Interest expense, net3
24,014 21,546 
Less unallocated amounts:
Other corporate revenue295 235 
Other corporate expenses(13,763)(13,693)
Total segment EBITDA$153,683 $153,156 
1 Other revenues is comprised of revenue included within our corporate services.
2 Other segment items is comprised of other income (expense) items on the income statement.
3 Interest expense, net is interest expense net of interest income.
Six Months Ended June 30, 2026Six Months Ended June 30, 2025
WestMountainCentralEnergy ServicesTotalWestMountainCentralEnergy ServicesTotal
(In thousands)
Revenues from external customers$500,507 $317,721 $426,561 $103,494 $1,348,283 $525,213 $242,114 $322,904 $96,691 $1,186,922 
Intersegment revenues1,649 — 216 20,005 21,870 480 — 143 14,632 15,255 
Total segment revenue502,156 317,721 426,777 123,499 1,370,153 525,693 242,114 323,047 111,323 1,202,177 
Other revenues1
956 867 
Less: Elimination of intersegment revenue22,391 15,813 
Total consolidated revenue$1,348,718 $1,187,231 
Cost of revenue excluding depreciation, depletion and amortization384,835 271,560 353,667 100,835 399,647 209,930 269,475 94,877 
Selling, general and administrative expenses excluding depreciation, depletion and amortization45,743 23,504 46,930 7,581 43,468 17,655 33,786 7,217 
Other segment items2
(144)147 586 123 3,106 114 319 49 
Total segment EBITDA$71,434 $22,804 $26,766 $15,206 $136,210 $85,684 $14,643 $20,105 $9,278 $129,710 
Consolidated loss before income taxes(47,762)(25,401)
Plus:
Depreciation, depletion and amortization108,508 88,967 
Interest expense, net3
44,080 34,669 
Less unallocated amounts:
Other corporate revenue435 308 
Other corporate expenses(31,819)(31,783)
Total segment EBITDA$136,210 $129,710 
Capital expenditures$27,359 $31,130 $71,608 $5,537 $135,634 $132,516 $29,420 $46,375 $3,450 $211,761 
Assets$1,553,451 $627,882 $1,506,425 $320,011 $4,007,769 $1,470,836 $402,363 $1,317,920 $309,690 $3,500,809 
Other assets5,698,907 5,018,536 
Elimination of intercompany receivables and investment in subsidiaries5,528,853 4,887,882 
Total consolidated assets$4,177,823 $3,631,463 
1 Other revenues is comprised of revenue included within our corporate services.
2 Other segment items is comprised of other income (expense) items on the income statement.
3 Interest expense, net is interest expense net of interest income.