Financial Data and Key Metrics Changes - In Q2 2024, the company reported net sales of $345.5 million, a slight decrease of 1.3% compared to the previous year [16] - Gross margin was 23.5%, with adjusted EBITDA declining 14.3% to $27.6 million and adjusted EBITDA margin decreasing 120 basis points to 8% [17][20] - Adjusted EPS was $0.61, down 29.9% from $0.87 in the prior year [17] Business Line Data and Key Metrics Changes - Infrastructure Solutions segment net sales increased 11% year-over-year to $221.4 million, driven by strong equipment sales [10][12] - Material Solutions segment net sales decreased 17.7% year-over-year to $124.1 million, impacted by longer product conversions and finance capacity constraints [19] - Infrastructure Solutions operating adjusted EBITDA margin was 12.3%, down 60 basis points, while Material Solutions operating adjusted EBITDA margin was 8.2%, down 390 basis points [10][19] Market Data and Key Metrics Changes - Domestic sales decreased by $14.3 million or 5%, while international sales increased by $9.8 million or 15.4% [16] - Total backlog as of June 30, 2024, was $531 million, with Infrastructure Solutions backlog at $369 million (down 16% year-over-year) and Material Solutions backlog at $163 million (down 35.1% year-over-year) [13][18] Company Strategy and Development Direction - The company is focusing on three core pillars: empowered employees, customer focus, and industry-changing innovation [8] - A restructuring program was implemented to address manufacturing inefficiencies, with expected savings of $1.5 million to $1.8 million per quarter [34] - The company anticipates flat to low single-digit sales growth for the full year compared to 2023, supported by strong demand in the infrastructure construction market [22][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the fundamentals of the business despite market challenges, highlighting strong demand for asphalt and concrete plants [22] - The company expects continued strong demand in the infrastructure construction market through early 2025, with a healthy backlog supporting future sales [11][50] - Management noted that the electronic component issues affecting deliveries have largely been resolved, allowing for a more stable outlook [41] Other Important Information - The company reduced inventory by 5.9% or $28.7 million compared to Q1 2024 [7] - Cash and cash equivalents at the end of the quarter were $60.6 million, with total available liquidity of $175.8 million [20] - The company returned cash to shareholders through a dividend of $0.13 per share and spent $7.6 million on capital expenditures [21] Q&A Session Summary Question: How does the company view revenue for Material Solutions in the second half? - Management indicated that Material Solutions sales need to align with the beginning of the year to reach similar levels as the second quarter, with strong quoting activity supporting this outlook [27][29] Question: What is the expected EBITDA margin for Material Solutions in the second half? - Management expressed confidence that the margin outlook for H2 will be in line with Q2, with efforts to minimize under-absorption in factories [30][31] Question: Will the company adjust its gross margin target for the year? - Management confirmed that they are comfortable maintaining the gross margin target range of 24% to 25.5% for the year, despite lower margins in the first half [36][37] Question: How is the demand for asphalt and concrete expected to evolve? - Management noted that demand remains strong, with visibility into backlog extending into 2025, and they expect continued strong performance in the asphalt and concrete segments [47][50]

| --- | --- | --- | |---------------------------------------------------------|-------|-------| | | | | | Second Quarter Earnings BUILT TO CONNECT August 7, 2024 | | | | --- | --- | |----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ...

GAAP Adjusted NEWS RELEASE ASTEC REPORTS SECOND QUARTER 2024 RESULTS Second Quarter 2024 Overview (all comparisons are made to the corresponding prior year second quarter unless otherwise specified): • Net sales of $345.5 million decreased 1.3% from the record sales in the prior year. • Implied orders increased 5.9% sequentially from the first quarter. • Inventory initiatives drove $28.7 million sequential reduction from the first quarter. • Diluted EPS of $(0.61), which included an $0.89 per share impact r ...

Second Quarter 2024 Overview (all comparisons are made to the corresponding prior year second quarter unless otherwise specified): Net sales of $345.5 million decreased 1.3% from the record sales in the prior year.Implied orders increased 5.9% sequentially from the first quarter.Inventory initiatives drove $28.7 million sequential reduction from the first quarter.Diluted EPS of $(0.61), which included an $0.89 per share impact related to goodwill impairment, compared to $0.58; Adjusted EPS of $0.61 compared ...

CHATTANOOGA, Tenn., July 29, 2024 (GLOBE NEWSWIRE) -- Astec Industries, Inc. (NASDAQ:ASTE) announced that its Board of Directors declared a quarterly dividend of $0.13 per share. The dividend is to be paid on or about August 30, 2024 to shareholders of record as of the close of business on August 12, 2024. About ASTEC Astec is a manufacturer of specialized equipment for asphalt road building, aggregate processing and concrete production. Astec's manufacturing operations are divided into two primary business ...

CHATTANOOGA, Tenn., July 15, 2024 (GLOBE NEWSWIRE) -- You are invited by Astec Industries, Inc. (NASDAQ:ASTE) to participate in a conference call to review the company's second quarter 2024 financial results. Astec Industries, Inc. will be releasing the company's second quarter results to the wire service on Wednesday, August 7, 2024 at approximately 7:00 a.m. Eastern Time. The live call will begin on Wednesday, August 7, 2024 at 8:30 a.m. Eastern Time. Jaco van der Merwe, President and Chief Executive Offi ...

CHATTANOOGA, Tenn., July 15, 2024 (GLOBE NEWSWIRE) -- You are invited by Astec Industries, Inc. (NASDAQ:ASTE) to participate in a conference call to review the company’s second quarter 2024 financial results. Astec Industries, Inc. will be releasing the company’s second quarter results to the wire service on Wednesday, August 7, 2024 at approximately 7:00 a.m. Eastern Time. The live call will begin on Wednesday, August 7, 2024 at 8:30 a.m. Eastern Time. Jaco van der Merwe, President and Chief Executive Offi ...

Investors in Astec Industries, Inc. (ASTE) need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 20, 2024 $22.5 Put had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could ...

CHATTANOOGA, Tenn., June 24, 2024 (GLOBE NEWSWIRE) --  The Rosen Law Firm, P.A. announces that the United States District Court for the Eastern District of Tennessee has approved the following announcement of a proposed class action settlement that would benefit purchasers of publicly-traded Astec Industries, Inc. common stock (NASDAQ: ASTE): SUMMARY NOTICE OF PENDENCY AND PROPOSED CLASS ACTION SETTLEMENT TO:        ALL PERSONS WHO PURCHASED PUBLICLY-TRADED ASTEC INDUSTRIES, INC. (“ASTEC”) COMMON STOCK BETW ...

CHATTANOOGA, Tenn. , May 29, 2024 (GLOBE NEWSWIRE) -- Astec Industries, Inc. (Nasdaq: ASTE) announced today it will participate in the Stifel 2024 Cross Sector Insight Conference on June 4th and 5th, 2024. Jaco van der Merwe, President and Chief Executive Officer, Heinrich Jonker, Interim Chief Financial Officer and Stephen C. Anderson, Senior Vice President of Investor Relations will present at the conference and participate in 1x1 meetings. The ASTEC presentation will take place from 4:45 to 5:15 P.M. Eas ...