Astec Industries : 2Q24 Earnings Presentation

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.