Company: ACA
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0001739445-25-000135
Chunk: 55

Company: Arcosa, Inc.
Filing Date: 2025-10-31
Form: 10-Q
Item: Part I, Item 1
Chunk 55
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 mix and operating improvements in our utility structures business.

•Excluding the impact of the divested steel components business, operating profit in Transportation Products increased due to higher barge volumes.

•Operating profit also increased due to lower acquisition and divestiture-related expenses which decreased by $11.9 and $19.0 for the three and nine months ended September 30, 2025, respectively.

For further discussion of revenues, costs, and the operating results of individual segments, see Segment Discussion below.

Other Nonoperating Income and Expense 

Other nonoperating (income) expense consists of the following items:

 Three Months Ended September 30,Nine Months Ended September 30, 2025202420252024 (in millions)Foreign currency exchange transactions(0.1)2.7 (2.2)5.5 Other nonoperating (income) expense$(0.1)$2.7 $(2.2)$5.5 

Income Taxes 

The provision for income taxes results in effective tax rates that differ from the statutory rates. The Company's effective tax rate for the three and nine months ended September 30, 2025 was 16.2% and 16.0%, respectively, compared to 13.1% and 15.2%, respectively, for the same periods in 2024. The change in the tax rate for the three and nine months ended September 30, 2025 is primarily due to higher state taxes and foreign adjustments.

Our effective tax rate differs from the federal tax rate of 21.0% due to AMP tax credits, state income taxes, statutory depletion deductions, compensation-related items, and other foreign adjustments. See Note 10 Income Taxes to the Consolidated Financial Statements for further discussion of income taxes.

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Segment Discussion

Construction Products  Three Months Ended September 30,Nine Months Ended September 30, 20252024Percent20252024Percent ($ in millions)Change($ in millions)ChangeRevenues:Aggregates$218.1 $170.6 27.8 %$577.4 $499.2 15.7 %Specialty materials and asphalt146.9 63.0 133.2 353.4 192.2 83.9 %Aggregates intrasegment sales(13.4)— (27.8)(0.6)Total Construction Materials351.6 233.6 50.5 903