Company: ASTE
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0000792987-25-000064
Chunk: 19

Company: ASTEC INDUSTRIES INC
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 1
Chunk 19
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ities$17.5 Long-term maturities328.1 Maturity dateJuly 1, 2030Unamortized debt issuance costs"Current maturities of long-term debt"1.3 "Long-term debt"4.5 

Note 9. Income Taxes

For the three months ended September 30, 2025, the Company recorded an income tax benefit of $0.9 million, reflecting a 17.6% effective tax rate, compared to $2.3 million for the three months ended September 30, 2024, reflecting a 27.1% effective tax rate. The income tax benefit for the three months ended September 30, 2025 was lower compared to the same period in 2024 primarily due to lower pretax book loss and changes in the relative weighting of jurisdictional income and loss.For the nine months ended September 30, 2025, the Company recorded income tax expense of $10.3 million, reflecting a 27.7% effective tax rate, compared to a benefit of $0.6 million for the nine months ended September 30, 2024, reflecting a 3.4% effective tax rate. The income tax expense for the nine months ended September 30, 2025 as compared to a benefit in the same period in 2024 was primarily due to higher pretax book income and changes in the relative weighting of jurisdictional income and loss, partially offset by a net nondeductible goodwill impairment incurred in 2024.

The Company's recorded liability for uncertain tax positions was $17.5 million and $16.8 million as of September 30, 2025 and December 31, 2024, respectively. The increase is the result of $0.7 million of incremental reserves associated with a research and development credit generated during 2025. Management believes it is reasonably possible that unrecognized tax liabilities will decrease by approximately $5.0 million within the next 12 months. The anticipated decrease primarily reflects the resolution of a previously uncertain tax position, following a change in tax accounting method filed with the internal revenue service, and the expected expiration of statute of limitations in certain jurisdictions. The company does not expect these reductions to materially affect the tax rate. The Company regularly assesses the likelihood of an adverse outcome resulting from examinations to determine the adequacy of its tax reserves. The Company is currently under audit by the U.S. Internal Revenue Service for the federal income tax return from