Company: ASTE
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0000792987-25-000047
Chunk: 34

Company: ASTEC INDUSTRIES INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 34
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2 million and (iv) decreased depreciation and amortization expense of $1.1 million. These decreases were partially offset by increased personnel-related costs of $9.6 million, largely driven by $5.3 million of employee incentive compensation costs, and transaction costs of $2.2 million attributable to the TerraSource acquisition completed in 2025.

Restructuring Charges and Other Asset Gains, net

Restructuring charges and the gain on sale of property and equipment, net for the three and six months ended June 30, 2025 and 2024 are presented below:

Three Months Ended June 30,Six Months Ended June 30,(in millions)2025202420252024Restructuring charges:Costs associated with exited operations – Enid$— $— $— $0.1 Workforce reductions— 0.9 — 0.9 Total restructuring related charges— 0.9 — 1.0 Gain on sale of property and equipment, net:Gain on sale of property and equipment, net(0.1)(0.2)(0.1)(1.1)Total gain on sale of property and equipment, net(0.1)(0.2)(0.1)(1.1)Restructuring and other asset gains, net$(0.1)$0.7 $(0.1)$(0.1)

See Note 11, Strategic Transformation, Restructuring and Other Asset Gains, net of the Notes to Unaudited Consolidated Financial Statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q for discussion of the individual restructuring actions taken.

Interest Expense

Interest expense of $2.1 million and $4.1 million was incurred in the three and six months ended June 30, 2025, respectively, as compared to $3.1 million and $5.8 million in the three and six months ended June 30, 2024, respectively, primarily related to lower average outstanding borrowings on the 2022 Credit Facility combined with lower interest rates in the second quarter of 2025 as compared to the same period in 2024.

Income Tax

Our income tax expense for the second quarter of 2025 was $5.8 million compared to $0.3 million for the second quarter of 2024. Our effective income tax rate was 25.7% for the second quarter of 2025