Company: ASTE
Filing Date: 2025-04-29
Form Type: 10-Q
Source: 0000792987-25-000029
Chunk: 69

Company: ASTEC INDUSTRIES INC
Filing Date: 2025-04-29
Form: 10-Q
Item: Part I, Item 8
Chunk 69
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, net— (0.9)Restructuring and other asset gains, net$— $(0.8)

Interest Expense

Interest expense of $2.0 million was incurred in the three months ended March 31, 2025, as compared to $2.7 million in the three months ended March 31, 2024, primarily related to lower interest rates combined with lower average outstanding borrowings on the Credit Facility in the first quarter of 2025 as compared to the same period in 2024.

Income Tax

Our income tax expense for the first quarter of 2025 was $5.4 million compared to $1.4 million for the first quarter of 2024. Our effective income tax rate was 27.4% for the first quarter of 2025 compared to 29.8% for the first quarter of 2024. The income tax expense for three months ended March 31, 2025 was higher compared to the same period in 2024, primarily due to higher pretax book income and changes in the relative weighting of jurisdictional income and loss.

Backlog

March 31,(in millions, except percentage data)20252024$ Change% ChangeInfrastructure Solutions$276.4 $372.7 $(96.3)(25.8)%Materials Solutions126.2 187.1 (60.9)(32.5)%Domestic Backlog329.3 437.8 (108.5)(24.8)%International Backlog73.3 122.0 (48.7)(39.9)%

The backlog of orders as of March 31, 2025 was $402.6 million compared to $559.8 million as of March 31, 2024, a decrease of $157.2 million, or 28.1%.

Our shorter production lead times and parts fill rates have allowed for customers to place orders closer to the desired delivery date. Additionally, we have experienced variability in the ordering patterns from our dealer customers as a result of macroeconomic factors such as higher inflation, including the impact of recently enacted or increased tariffs, and elevated interest rates, among other factors. These factors have influenced customer ordering patterns and are expected to continue.

Net Sales by Segment

Three Months Ended March 31,(in millions, except percentage data)20252024$ Change% ChangeInfrastructure Solutions$236.0 $202.2 $33.8 16.7