2014

Astec Industries Reports First Quarter 2013 Results

CHATTANOOGA, Tenn., April 23, 2013 /PRNewswire/ -- Astec Industries, Inc. (Nasdaq:   ASTE) today reported results for their first quarter ended March 31, 2013. 

Net sales for the first quarter of 2013 were $247.8 million compared to $252.0 million for the first quarter of 2012, a 2% decrease.  Earnings from continuing operations for the first quarter of 2013 were $13.3 million or $0.57 per diluted share compared to $12.0 for the first quarter of 2012 or $0.52 per diluted share, an increase of 10% per diluted share. 

Domestic sales increased 4% to $161.9 million for the first quarter of 2013 from $155.1 million for the first quarter of 2012.  International sales were $85.9 million for the first quarter of 2013 compared to $96.9 million for the first quarter of 2012, a decrease of 11%.      

The Company's domestic backlog increased 5%, from $159.7 million at March 31, 2012 to $167.3 million at March 31, 2013.  The international backlog at March 31, 2013 was $109.2 million, a 6% decrease from the March 31, 2012 international backlog of $116.5 million.  The March 31, 2012 backlog has been restated for the sale of American Augers late in 2012.  

Consolidated financial information for the first quarter ended March 31, 2013 and additional information related to segment revenues and profits are attached as addenda to this press release.

Commenting on the announcement, Dr. J. Don Brock, Chairman and Chief Executive Officer, stated, "Although our revenues and pre-tax earnings were relatively flat compared to the first quarter of 2012, we were able to improve our gross margin by 30 basis points over the first quarter of 2012 and 250 basis points from the fourth quarter of 2012.  Since the federal research and development tax credit for 2012 was not approved by Congress until early 2013, our first quarter results also include a substantial reduction in our effective tax rate."

Dr. Brock continued, "We continue to see challenging domestic market conditions due to shortfalls in tax revenues in most states.  International business is also hampered by economic and political uncertainty in many of the markets we serve.  In spite of the lack of strong Federal highway funding and general uncertainty in the world economy, we are pleased that we have maintained our profitability and market share.  Our backlog remains strong at $276.5 million."

Investor Conference Call and Web Simulcast
Astec will conduct a conference call on April 23, 2013, at 10:00 A.M. Eastern Time to review its first quarter results as well as current business conditions.  The number to call for this interactive teleconference is (877) 407-9210.  International callers should dial (201) 689-8049.   Please reference Astec Industries.

The company will also provide an online Web simulcast and rebroadcast of the conference call.  The live broadcast of Astec's conference call will be available online at the Company's website:  www.astecindustries.com/conferencecalls. An archived webcast will be available for 90 days at www.astecindustries.com.

A replay of the conference call will be available through midnight on Tuesday, May 7, 2013 by dialing (877) 660-6853, or (201) 612-7415 for international callers, Account #286, Conference ID# 412258.  A transcription of the conference call will be made available under the Investor Relations section of the Astec Industries, Inc. website within 5 business days after the call.

Astec Industries, Inc. is a manufacturer of specialized equipment for building and restoring the world's infrastructure.  Astec's manufacturing operations are divided into four primary business segments:  aggregate processing and mining equipment; asphalt production equipment; mobile asphalt paving equipment; and oil, gas and water drilling equipment (Underground Group).  Additionally, the Other Group contains one subsidiary that manufactures equipment used for wood processing and recycling and one that is a company-owned dealership located in Australia.

The information contained in this press release contains "forward-looking statements" (within the meaning of the Private Securities Litigation Reform Act of 1995) regarding the future performance of the Company, including statements about the effects on the Company from its backlog and the effects of general economic and political uncertainty on our business.  These forward-looking statements reflect management's expectations and are based upon currently available information, and the Company undertakes no obligation to update or revise such statements.  These statements are not guarantees of performance and are inherently subject to risks and uncertainties, many of which cannot be predicted or anticipated.  Future events and actual results, financial or otherwise, could differ materially from those expressed in or implied by the forward-looking statements.  Important factors that could cause future events or actual results to differ materially include:  general uncertainty in the economy, rising oil and liquid asphalt prices, rising steel prices, the affect of any future federal stimulus package, decreased funding for highway projects, the relative strength/weakness of the dollar to foreign currencies, production capacity, general business conditions in the industry, demand for the Company's products, seasonality and cyclicality in operating results, seasonality of sales volumes or lower than expected sales volumes, lower than expected margins on custom equipment orders, competitive activity, tax rates and the impact of future legislation thereon, and those other factors listed from time to time in the Company's reports filed with the Securities and Exchange Commission, including but not limited to the Company's annual report on Form 10-K for the year ended December 31, 2012. 

 

Astec Industries, Inc.

Consolidated Balance Sheets

(in thousands)

(unaudited)



Mar 31

Mar 31


2013

2012

Assets



Current assets



Cash and cash equivalents

$   73,175

$   41,642

Receivables, net

104,599

113,609

Inventories

322,007

313,407

Prepaid expenses and other

26,733

21,976

Total current assets

526,514

490,634

Property and equipment, net

186,192

191,489

Other assets

40,890

43,607

Total assets

$ 753,596

$ 725,730

Liabilities and equity



Current liabilities



Accounts payable - trade

$   50,781

$   56,137

Other current liabilities

110,134

92,593

Total current liabilities

160,915

148,730

Non-current liabilities

31,999

33,901

Total equity

560,682

543,099

Total liabilities and equity

$ 753,596

$ 725,730













Astec Industries, Inc.

Consolidated Statements of Income

(in thousands, except per share data)

(unaudited)



Three Months Ended


Mar 31


2013

2012

Net sales

$ 247,833

$ 251,967

Cost of sales

189,266

193,371

Gross profit

58,567

58,596

Selling, general, administrative & engineering expenses

40,367

40,143

Income from operations

18,200

18,453

Interest expense

70

47

Other income, net of expenses

752

849

Income from continuing operations before income taxes

18,882

19,255

Income taxes on continuing operations

5,631

7,231

Net income from continuing operations

13,251

12,024

Income from discontinued operations, (net of tax of $73)

-

234

Net income

13,251

12,258

Net income attributable to non-controlling interest

80

13

Net income attributable to controlling interest  

$   13,171

$   12,245













Earnings per Common Share



Net income attributable to controlling interest from continuing operations



          Basic

$       0.58

$       0.53

          Diluted

$       0.57

$       0.52







Income from discontinued operations, net of tax



          Basic

$          -

$       0.01

          Diluted

$          -

$       0.01







Net income attributable to controlling interest



          Basic

$       0.58

$       0.54

          Diluted

$       0.57

$       0.53







Weighted average common shares outstanding



          Basic

22,723

22,643

          Diluted

23,080

23,054

 

Astec Industries, Inc.

Segment Revenues and Profits

For the three months ended March 31, 2013 and 2012

(in thousands)

(unaudited)


Asphalt Group

Aggregate and Mining

Group

Mobile Asphalt Paving

Group

Underground Group

All Others

        Total      

2013 Revenues

71,549

90,762

47,290

14,706

23,526

247,833

2012 Revenues

68,671

91,304

41,993

22,059

27,940

251,967

Change $

2,878

(542)

5,297

(7,353)

(4,414)

(4,134)

Change %

4.2%

(0.6%)

12.6%

(33.3%)

(15.8%)

(1.6%)








2013 Gross Profit

20,154

23,040

10,559

275

4,539

58,567

2013 Gross Profit %

28.2%

25.4%

22.3%

1.9%

19.3%

23.6%

2012 Gross Profit

16,396

23,737

10,604

3,084

4,775

58,596

2012 Gross Profit %

23.9%

26.0%

25.3%

14.0%

17.1%

23.3%

Change

3,758

(697)

(45)

(2,809)

(236)

(29)








2013 Profit (Loss)

11,141

9,057

4,221

(2,381)

(8,172)

13,866

2012 Profit (Loss)

7,391

9,571

3,921

(173)

(9,213)

11,497

Change $

3,750

(514)

300

(2,208)

1,041

2,369

Change %

50.7%

(5.4%)

7.7%

(1276.3%)

11.3%

20.6%















Segment revenues are reported net of intersegment revenues.  Segment gross profit is net of profit on intersegment



revenues.  A reconciliation of total segment profits to the Company's net income attributable to controlling interest is as follows (in thousands):












Three months ended March 31



2013

2012

Change $


Total profit for all segments

13,866

11,497

2,369


Recapture (elimination) of intersegment profit

(615)

527

(1,142)


Net income from continuing operations

13,251

12,024

1,227


Income from discontinued operations, (net of tax of $73)

-

234

(234)


Net income attributable to non-controlling interest

(80)

(13)

(67)


Net income attributable to controlling interest  


13,171

12,245

926






























Astec Industries, Inc.

Backlog by Segment

March 31, 2013 and 2012

(in thousands)

(unaudited)


Asphalt Group

Aggregate and Mining

Group

Mobile Asphalt Paving

Group

Underground Group

All Others

Total

2013 Backlog

126,895

93,867

10,056

30,937

14,770

276,525

2012 Backlog

123,327

102,686

10,799

26,380

12,980

276,172

Change $

3,568

(8,819)

(743)

4,557

1,790

353

Change %

2.9%

(8.6%)

(6.9%)

17.3%

13.8%

0.1%





























Astec Industries, Inc.

Supplemental Data Related to the Discontinued Operations of American Augers

(in thousands)

(unaudited)



2012

2011



Quarter Ended

Revenues

Earnings, net of tax

Revenues

Earnings, net of tax



March 31

14,670

234

5,800

(1,251)



June 30

15,600

848

16,704

918



September 30

8,651

318

14,717

915



December 31

14,698

2,001

9,867

(357)



Total

53,619

3,401

47,088

225


 

 

SOURCE Astec Industries, Inc.



RELATED LINKS
http://www.astecindustries.com

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

 

PR Newswire Membership

Fill out a PR Newswire membership form or contact us at (888) 776-0942.

Learn about PR Newswire services

Request more information about PR Newswire products and services or call us at (888) 776-0942.