Astec Industries, Inc. · NASDAQ:ASTE
Astec Industries — Q1 2025 Earnings Presentation
28 slides from Astec Industries's earnings presentation, Apr 29, 2025
Slide 1: First Quarter 2025 Earnings
First Quarter 2025 Earnings April 29, 2025 B U I LT TO C O N N E C T
Slide 2: Safe Harbor
Safe Harbor Certain statements contained in this presentation contain forward-looking statements within the meaning of the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Such statements relate to, among o
Slide 3: First Quarter Highlights
First Quarter Highlights JACO VAN DER MERWE CEO AND PRESIDENT 3
Slide 4: First Quarter Overview
First Quarter Overview $329.4 NET SALES • Q1 net sales 329.4 M, adjusted EBITDA $35.2M, adjusted EBITDA margin of MILLION 10.7%, and adjusted EPS of $0.88. • Backlog level of $402.6 million moderated as strong invoicing of asphalt and concrete plants was offset by continued dealer destocking. • Infr
Slide 5: State of the Industry
State of the Industry 2025 Report Card for America’s Infrastructure Source: American Society of Civil Engineers (ASCE) ASTEC OPERATES IN FAVORABLE MARKETS America’s infrastructure foundational to: • National economy • Global competitiveness • Quality of Life There are 4.1 million miles of public roa
Slide 6: World of Asphalt / AGG1 2025 Tradeshow
World of Asphalt / AGG1 2025 Tradeshow Astec made a powerful impact at World of Asphalt, showcasing innovation, delivering breakthrough products and impressive results. 6 6
Slide 7: Tariffs
TARIFFS Ongoing Mitigation Actions • Effective OneAstec procurement team negotiating with suppliers and managing the process • Pro-active sales pricing strategy • Dual/re-sourcing • Supply chain alignment • Manufacturing footprint management 7
Slide 8: Historical Backlog
Historical Backlog CONSOLIDATED INFRASTRUCTURE SOLUTIONS MATERIALS SOLUTIONS Backlog ($M) Backlog ($M) Backlog ($M) $560 $531 $476 $420 $403 $373 $369 $351 $306 $277 $187 $162 $125 $114 $126 1Q24 2Q24 3Q24 4Q24 1Q25 1Q24 2Q24 3Q24 4Q24 1Q25 1Q24 2Q24 3Q24 4Q24 1Q25 8
Slide 9: Q1 Implied Orders
Q1 25 Implied Orders CONSOLIDATED INFRASTRUCTURE SOLUTIONS MATERIALS SOLUTIONS Implied Orders ($M) +3.2% Q/Q Implied Orders ($M) +1.8% Q/Q Implied Orders ($M) +5.9% Q/Q 100% 350 120% 250 120% 110 $317 $312 $299 $303 $217 $210 $203 $207 $105 95% 92% 300 97% 100% 100% 105 104% 82% 200 113% $236 98% 95
Slide 10: First Quarter Financial Results
First Quarter Financial Results BRIAN HARRIS CHIEF FINANCIAL OFFICER 10
Slide 11: 1Q25 Financial Results
1Q25 Financial Results ($M, except per share and percentage data) NET SALES ADJ. EBITDA1 ADJ. EBITDA MARGIN1 ADJ. EPS1 +2.0% +36.7% +460 bps +42.4% $1,299.5 $1,325.3 $128.1 $2.99 10.7% +250 bps 9.7% $93.7 $2.10 7.2% 6.1% +158.8% +6.5% +86.2% $0.88 $309.2 $329.4 $35.2 $18.9 $0.34 1Q 2024 1Q 2025 TTM
Slide 12: Infrastructure Solutions
Infrastructure Solutions 1Q25 Financial Performance ($M, except percentage data) NET SALES SEGMENT OPERATING ADJ. EBITDA SEGMENT OPERATING ADJ. EBITDA MARGIN +10.7% +39.5% +550 bps $871.2 $138.8 18.2% +330 bps $787.1 15.9% $99.5 12.7% 12.6% +16.7% +67.6% $42.9 $236.0 $202.2 $25.6 1Q 2024 1Q 2025 TTM
Slide 13: Materials Solutions
Materials Solutions 1Q25 Financial Performance ($M, except percentage data) NET SALES SEGMENT OPERATING ADJ. EBITDA SEGMENT OPERATING ADJ. EBITDA MARGIN $41.4 (10.4%) +10 bps $512.6 (11.4%) $37.1 8.1% 8.2% $454.1 +60 bps 5.6% 5.0% (12.7%) (1.9%) $107.0 $93.4 $5.3 $5.2 1Q 2024 1Q 2025 TTM 2024 TTM 20
Slide 14: 1Q25 Adjusted EBITDA Bridge
1Q25 Adjusted EBITDA1 Bridge ($M) $16.0 $0.1 $0.3 $35.2 ($0.1) $18.9 1Q 2024 Volume, Pricing Inflation Manufacturing SG&A & Other 1Q 2025 & Mix Inefficiences and Other Period Costs 1 See appendix for the reconciliation of GAAP to Non-GAAP measures. 14
Slide 15: TTM 2025 Adjusted EBITDA Bridge
TTM 2025 Adjusted EBITDA1 Bridge ($M) $50.2 ($8.0) $7.0 $128.1 ($14.8) $93.7 TTM 2024 Volume, Pricing Inflation Manufacturing SG&A & Other TTM 2025 & Mix Inefficiencies and Other Period Costs 1 See appendix for the reconciliation of GAAP to Non-GAAP measures. 15 TTM is trailing twelve months as of 3
Slide 16: Maintain Strong, Flexible Balance Sheet with Ample Liquidity
Maintain Strong, Flexible Balance Sheet with Ample Liquidity TOTAL LIQUIDITY ($M) LIQUIDITY ($M) 3/31/25 $239 Cash and Cash Equivalents $90.1 $228 $195 Available Credit $148.8 $171 $176 Total Available Liquidity $238.9 COMMENTARY • Operating activities were a $20.5M source of cash for Q1 2025 • Avai
Slide 17: Astec entered into a definitive agreement to acquire TerraSource Holdings, LLC
Astec entered into a definitive agreement to acquire TerraSource Holdings, LLC 17
Slide 18: Strategic Rationale
Strategic Rationale Market-Leading Process Equipment and Aftermarket Parts & Services Platform • Aftermarket represents 63% of total revenue and about 80% of the Gross Margin Market Leader in Materials Processing Equipment Strengthens ASTE’s MS Segment • Highly engineered solution offering and value
Slide 19: TerraSource - Product and Brand Portfolio
TerraSource - Product and Brand Portfolio 100+ Year Old Trusted Brands with highly recurring aftermarket profile ESTABLISHED 1923 ESTABLISHED 1917 ESTABLISHED 1877 ESTABLISHED 1905 ESTABLISHED 1864 Cage-Paktor Nanosiz-R Fabrication Custom CNC Hammermill Chip-Sizer Disk Screen Bradford Jaw Sizer Deca
Slide 20: Growth Through Strategic Acquisition
Growth Through Strategic Acquisition Market-Leading Positions Acquiring market-leading manufacturer of material processing equipment and related aftermarket parts serving complementary Offers a diverse and complementary range crushing, screening and separation applications of crushing, screening, co
Slide 21: Diverse Portfolio of Solutions
Diverse Portfolio of Solutions Revenue by Type Revenue by Geography Revenue by End Market Aftermarket Parts Forestry General Rebuilds and Component Rest of United Products Industrials ~11% ~52% World States ~15% ~33% ~45% ~55% 2024 2024 2024 Revenue Revenue Revenue Energy Metals & Equipment & Power
Slide 22: Transaction Overview
Transaction Overview FINANCING & LEVERAGE IMPACT PURCHASE PRICE / COMBINATION / FINANCING AND FINANCIAL TIMING VALUATION SYNERGIES LEVERAGE IMPACT IMPACT • Purchase • Annual run rate • All-cash consideration • Revenue growth • Anticipated closing price $245M in cash, synergies ~ $10M to be financed
Slide 23: Astec Investment Highlights
Astec Investment Highlights Trusted source — High-quality solutions and strong global brand recognition Favorable Customer Sentiment — Cautious optimism expressed at recent World of Concrete and National Asphalt Pavement Association trade shows. Strong attendance at both a positive Operational Excel
Slide 24: Questions & Answers
Questions & Answers STEVE ANDERSON SVP OF ADMINISTRATION & INVESTOR RELATIONS Phone: 423-553-5934 Email: sanderson@astecindustries.com 24
Slide 25: Appendix
AX astec Appendix BUILT TO CONNECT
Slide 26: GAAP vs Non-GAAP Adjusted EPS Reconciliations
GAAP vs Non-GAAP Adjusted EPS Reconciliations (in millions, except per share amounts; unaudited) 26
Slide 27: EBITDA and Adjusted EBITDA Reconciliations
EBITDA and Adjusted EBITDA Reconciliations (in millions, except percentage data; unaudited) 27
Slide 28: Free Cash Flow Reconciliations
Free Cash Flow Reconciliations (in millions, except percentage data; unaudited) 28