The October 2025 edition of the Construction Materials Sector Update provides an in-depth look at the current state of the industry, key performance trends, and recent transaction activity across the construction materials landscape. This report offers a snapshot of how leading public and private companies are navigating evolving market dynamics and where M&A activity is heading as we close out the year.

In summary:

• Mixed demand and pricing discipline: Construction materials companies continue to face a complex operating environment marked by elevated interest rates, project delays, and regional demand imbalances. Despite these headwinds, disciplined pricing strategies and cost management have helped maintain steady margins across much of the sector.

• Infrastructure tailwinds and reshoring momentum: Federal infrastructure spending and a steady pipeline of manufacturing and reshoring projects have supported near-term demand in aggregates, cement, and ready-mix segments—offsetting softer residential activity in some markets.

• M&A activity remains steady: Strategic and financial buyers remain active in the space, seeking scale, geographic diversification, and vertical integration opportunities. Valuations have held up for well-positioned targets with strong local market share and consistent profitability.

• Looking ahead: While the broader economy remains uncertain, long-term fundamentals—including infrastructure investment, supply chain realignment, and sustainable construction initiatives—continue to underpin optimism across the sector.

Click here to read the full report.

If you’d like to discuss trends or opportunities in the construction materials industry, please contact Dennis Coker, Managing Director of our Building Materials Practice.