Company: ACA
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001739445-25-000026
Chunk: 89

Company: Arcosa, Inc.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 7
Chunk 89
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 of the storage tanks divestiture, operating profit in Engineered Structures increased by 16.1% primarily due to the recognition of the AMP tax credits, partially offset by a decline in volumes in our wind towers business and lower margins in our utility structure business.

•Operating profit in Transportation Products increased primarily due to higher volumes and improved margins in both barge and steel components.

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

43

Other Income and Expense 

Other, net (income) expense consists of the following items: Year Ended December 31, 202420232022 (in millions)Interest income$(7.5)$(4.7)$(1.1)Foreign currency exchange transactions4.3 (1.7)3.3 Other(0.1)(0.3)(0.4)Other, net (income) expense$(3.3)$(6.7)$1.8 

•Other, net expense due to foreign currency exchange transactions increased by $6.0 million in 2024, primarily driven by increased volatility in the U.S. dollar to Mexican peso exchange rate. 

Income Taxes

The income tax provision for the years ended December 31, 2024, 2023, and 2022 was $36.3 million, $36.7 million, and $70.4 million, respectively. The effective tax rate for the years ended December 31, 2024, 2023, and 2022 was 27.9%, 18.7%, and 22.3%, respectively. The effective tax rates differ from the federal tax rate of 21.0% due to AMP tax credits, state income taxes, tax effects of foreign currency translations, prior year true-ups, tax effects of the disposal of nondeductible goodwill, and statutory depletion deductions. The increase in our effective tax rate for the year ended December 31, 2024 was largely due to state income taxes and the tax effects of foreign currency translations. For a reconciliation of the federal tax rate to our effective tax rate, see Note 10 to the Consolidated Financial Statements.

See Note 10 to the Consolidated Financial Statements for a further discussion of income taxes.

Segment Discussion

Construction Products Year Ended December 31,Percent Change 2024202320222024 versus 20232023 versus 2022 ($ in millions)Revenues:Aggreg