Company: ACA
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001739445-25-000067
Chunk: 27

Company: Arcosa, Inc.
Filing Date: 2025-05-07
Form: 10-Q
Item: Part I, Item 1
Chunk 27
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.3 million of goodwill in our Engineered Structures segment. The acquired goodwill, which is tax-deductible, primarily relates to Ameron's market position and existing workforce.DivestituresThere were no divestitures completed during the three months ended March 31, 2025.On August 16, 2024, the Company completed the divestiture of its steel components business. The steel components business, previously reported in the Transportation Products segment, was a leading supplier of railcar coupling devices, railcar axles, and circular forgings. The total consideration for the divestiture was $110.0 million consisting of $55.0 million in cash, a $25.0 million seller's note and a $30.0 million earnout of which the estimated fair value as of March 31, 2025 was $15.6 million. See Note 3 Fair Value Accounting. During the three months ended March 31, 2025, the Company recognized a gain of $0.3 million, primarily due to the change in the estimated fair value of the earnout. Revenues and operating profit (loss) of the steel components business were $36.1 million and $2.5 million, respectively, for the three months ended March 31, 2024. As the steel components business was not core to Arcosa's long-term strategy, its divestiture was not considered a strategic shift that would have a major effect on the Company's operations or financial results from either a quantitative or qualitative perspective. Accordingly, it is not reported as a discontinued operation.

During the three months ended June 30, 2024, we completed the divestiture of certain assets and liabilities of a single-location asphalt and paving operation in our Construction Products segment and the sale of a non-operating facility in our Engineered Structures segment. The total consideration for these divestitures was $27.3 million. 

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Note 3. Fair Value Accounting

Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurement as of March 31, 2025 Level 1Level 2Level 3Total(in millions)Assets:Cash equivalents$66.0 $— $— $66.0 Contingent consideration(1)$— $— $15.6 $15.6 Total assets$66.0 $— $15.6