Astec reports Q4 adjusted EPS 90c, consensus 66c

Reports Q4 revenue $337.2M, consensus $347.29M. “Our solid fourth quarter results conclude a year of progress on our key strategic and operational initiatives. We were able to deliver full-year net sales growth, continued operating margin enhancement and increased earnings per share,” said Jaco van der Merwe, Chief Executive Officer. “While total net sales for the quarter were down slightly in Materials Solutions and international markets, we were pleased to deliver net sales growth in Infrastructure Solutions due to strength in parts and equipment sales for asphalt and concrete plants. Our backlog remains healthy with positive momentum in implied orders and conversion of backlog to sales. Gross margin expanded in excess of 600 basis points as we continue to leverage our OneASTEC operating model and remain laser focused on improved execution.” Mr. van der Merwe continued, “Looking ahead, we anticipate continued strong demand for asphalt road building and concrete production equipment as spending from the multi-year Federal Highway Bill begins to accelerate. We continue to execute our Simplify, Focus and Grow strategy, with emphasis on top line growth through expansion of our aftermarket and exciting new products, continued margin improvements, and free cash flow generation through working capital improvements. The progress made in 2023 is a testament to the dedication and hard work of our employees. We are confident we have the right foundation in place to capitalize on the opportunities ahead.”