ASTE
Second Quarter Earnings
August 7, 2024
B U I LT T O C O N N E C T
Second Quarter Highlights
JACO VAN DER MERWE
CEO AND PRESIDENT
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Second Quarter Overview
$345.5M
N E T S A L E S
23.5%
G R O S S M A R G I N
+5.9%
I M P L I E D O R D E R S
( s e q u e n t i a l l y )
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Infrastructure Solutions segment saw continued solid performance overall with implied orders up 3.4% sequentially as the infrastructure construction market remains strong with healthy demand for asphalt and concrete plant deliveries anticipated through the beginning of 2025
Materials Solutions, implied orders are up 11.8% sequentially. Interest rates continue to influence the segment however, substantial federal infrastructure funding and healthy state and local budgets are expected to drive multi-yeardemand
Delivered $345.5M in net sales, a decrease of 1.3% compared to a record second quarter in 2023, and gross margin of 23.5%, a decrease of 20 bps compared to prior year
Backlog level of $531.1 is continuing to approach historic range due to solid IS performance, supporting our ability to meet demand for products and increase sales moving forward
Positive improvement in inventory with a reduction of $28.7M/-5.9%sequentially
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Strategic Roadmap for 2024 and Beyond
S T R A T E G I C P I L L A R S
E M P O W E R E D , E N A B L E D & E N G A G E D E M P L O Y E E S
Develop high performance talent through competitive market based compensation and benefits, ongoing leadership and technical skills development and a values based culture.
Being an employer of choice, giving employees the tools they need to succeed and creating life changing opportunities is key to our joint success
C U S T O M E R F O C U S E D
Strong customer focus means driving commercial and operational excellence and simplifying product offering and production process, among others
I N D U S T R Y C H A N G I N G
A central cornerstone of success is industry changing innovation
Rolling out new product development approach that increases market
I N N O V A T I O N
competitiveness and better leverages technology and digital connectivity
Execution on strategic pillars to drive sustainable value creation
Business Dynamics and Observations
I N F R A S T R U C T U R E S O L U T I O N S
M AT E R I A L S
S O L U T I O N S
D O M E S T I C R OA D B U I L D I N G U P D AT E
(*) Source: American Road & Transportation Builders Association (ARTBA)
Q2 24 Implied Orders
Implied Orders ($M)
INFRASTRUCTURE SOLUTIONS Implied Orders ($M) +3.4% Q/Q
$239
+5.9% Q/Q
$292 $299
$229
$317
$192
$166
$119
$210 $217
2Q23
3Q23
4Q23
1Q24
2Q24
MATERIALS SOLUTIONS Implied Orders ($M)
$110
$100
+11.8% Q/Q
$100
$89
$73
2Q23
3Q23
4Q23
1Q24
2Q24
2Q23
3Q23
4Q23
1Q24
2Q24
Encouraging Order Patterns
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Historical Backlog
BACKLOG ($M)
$969
$913
$835
$837
$800
$763
$689
$615
$570 $560 $531
HISTORICAL RANGE
INFRASTRUCTURE SOLUTIONS BACKLOG ($M)
$480
$523
$547
$516
$473
$439
$408
$395
$373
$365
$369
4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24
MATERIALS SOLUTIONS BACKLOG ($M)
4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24
$355 $354
$422 $397
$314$328
$250 $220 $205 $187 $163
4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24
Approaching Our Historical Orders Backlog Range
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Hillhead 2024 Overview
SIXTEEN PRODUCTS DISPLAYED
19,500+ ATTENDEES
A Record-Breaking Year
LIVE DEMONSTRATIONS
FT4250 HSI Plant • GT205 Screen Plant
TELESTACK TSR40
RADIAL TELESCOPIC
CONVEYOR
KOLBERG 9225SP
SF20 MOBILE
SAND PLANT
INCLINE SCREEN
NEW PRODUCTS
REVEALED AT
OVER TEN
Media Mentions For MS Products
Interest in Road Building Remains Strong
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Second Quarter
Financial Results
HEINRICH JONKER
VICE PRESIDENT FINANCE -
INFRASTRUCTURE SOLUTIONS AND INTERIM CHIEF FINANCIAL OFFICER
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Disclaimer
Astec Industries Inc. published this content on 08 August 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 August 2024 11:48:40 UTC.