Business
Astec Reports Second Quarter 2023 Results
Second Quarter 2023 Highlights (all comparisons are made to the prior year second quarter): Record net sales increased 10.0% to $350.0 millionOperating margin
About this update from Astec Industries, Inc.
[{"type":"text","content":"Second Quarter 2023 Highlights (all comparisons are made to the prior year second quarter): Record net sales increased 10.0% to $350.0 millionOperating margin of 4.9% increased 540 bpsDiluted EPS of $0.58 compared to $(0.17); Adjusted EPS of $0.87 compared to $0.19Execution of multi-year ERP implementation on schedule CHATTANOOGA, Tenn., Aug. 02, 2023 (GLOBE NEWSWIRE) -- Astec Industries, Inc. (Nasdaq: ASTE) announced today its financial results for the second quarter of 2023. \"Our execution with a focus on creating stability and profitability was effective as we achieved sales growth and margin expansion in the second quarter compared to the same quarter in 2022,\" said Jaco van der Merwe, Chief Executive Officer. \"I commend our employees for their dedication and hard work. Consistent with our first quarter results, we realized prior pricing actions to offset inflation. Backlog trended downward in the quarter supported by fulfilling parts orders more efficiently, experiencing fewer supply chain disruptions and driving manufacturing lead times. Our ERP implementation continues to be on schedule and on budget as we transform how we connect people, products and processes to operate more efficiently as OneASTEC. We have now integrated our first manufacturing site and corporate in addition to our human capital management modules. We are encouraged by our results as we execute our strategic initiatives. Our strong balance sheet and the multi-year federal highway bill are expected to continue to provide stability as we grow.\" GAAP Adjusted(in millions, except per share and percentage data) 2Q 2023 2Q 2022 Change 2Q 2023 2Q 2022 ChangeNet sales $350.0 $318.2 10.0% Domestic sales 286.4 248.4 15.3% International sales 63.6 69.8 (8.9)% Backlog 688.8 837.4 (17.7)% Domestic backlog 588.2 705.1 (16.6)% International backlog 100.6 132.3 (24.0)% Income from operations (a) 17.3 (1.7) 1117.6% 26.2 8.9 194.4%Operating margin (a) 4.9% (0.5)% 540 bps 7.5% 2.8% 470 bpsEffective tax rate 17.0% 17.0% — bps 19.4% 27.1% (770 bps)Net income (loss) attributable to controlling interest 13.1 (3.9) 435.9% 19.9 4.3 362.8%Diluted EPS 0.58 (0.17) 441.2% 0.87 0.19 357.9%Adjusted EBITDA 32.2 13.2 143.9%Adjusted EBITDA margin 9.2% 4.1% 510 bps(a) Certain reclassifications have been made to the prior period financial information to conform to the presentation us...