Company: ACA
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001739445-25-000067
Chunk: 5

Company: Arcosa, Inc.
Filing Date: 2025-05-07
Form: 10-Q
Item: Part I, Item 2
Chunk 5
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 seasonally dilutive impact of the acquired Stavola business.

•Operating profit in Engineered Structures increased due to higher wind tower volumes, operating improvements in our utility structures business and the accretive impact of the acquired Ameron business.

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

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

25

Other Income and Expense 

Other, net (income) expense consists of the following items:

 Three Months EndedMarch 31, 20252024 (in millions)Interest income$(1.8)$(1.7)Foreign currency exchange transactions0.1 (0.5)Other, net (income) expense$(1.7)$(2.2)

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 months ended March 31, 2025 was 19.2% compared to 17.1% for the same period in 2024. The change in the tax rate for the three months ended March 31, 2025 is primarily due 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.

Segment Discussion

Construction Products  Three Months Ended March 31, 20252024Percent ($ in millions)ChangeRevenues:Aggregates$165.3 $158.9 4.0 %Specialty materials and asphalt73.2 63.2 15.8 Aggregates intrasegment sales(4.1)(0.4)925.0 Total Construction Materials234.4 221.7 5.7 Construction site support28.4 29.5 (3.7)Total revenues262.8 251.2 4.6 Operating costs:Cost of revenues217.1 198.3 9.5 Selling, general, and administrative expenses31.2 28.0 11.4 Gain on disposition of property, plant, equipment, and other assets(3.8)(3.9)Operating profit$18