logo
Share SHARE
FONT-SIZE Plus   Neg

Astec Industries Q1 Profit Rises, But Misses Estimates - Quick Facts

Infrastructure equipment maker Astec Industries, Inc. (ASTE) said its first-quarter profit per share rose 20 percent from last year on a 16 percent sales growth, driven by strong international growth. However, earnings missed analysts' estimates due to margin pressure, as did sales.

Earnings increased to $12.2 million or $0.53 per share compared to $10.1 million or $0.44 per share last year. On average, ten analysts polled by Thomson Reuters expected the company to earn $0.61 per share.

Net sales rose to $266.6 million from $230.2 million last year, but missed analysts' estimates of $274.88 million. International sales increased 27 percent and domestic sales grew 9 percent, the company noted.

Dr. J. Don Brock, Chairman and Chief Executive Officer, stated, "Our sales growth was in line with our expectations but our gross margins are not where we want them. Although they improved over the fourth quarter of 2011, we will continue to focus on improving our gross margins and refining our manufacturing processes on our new products. "

The company's domestic backlog has increased 30 percent since March 31 last year to end at $162.8 million at March 31, 2012

Looking ahead, Brock said, "We will continue to actively seek accretive bolt-on acquisitions and to develop new products to meet the needs of our customers."

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Low-cost airline Allegiant Air announced its order for brand-new aircraft for the first time in its history. The carrier announced on Friday it had reached a deal to purchase 12 current-generation models of Airbus' A320 narrow-body jets. The company termed the deal as "another step towards Allegiant's... Los Angeles City officials have filed criminal charges against Soylent CEO Robert Rhinehart for placing a bright red shipping container on Montecito Heights hillside as part of his "experiment in sustainable living." City Attorney Mike Feuer Friday announced that his office has filed multiple criminal... A new study says that if Hillary Clinton is elected then her proposals will strengthen the U.S. economy and create millions of jobs. According to Moody's Analytics, Hillary Clinton's economic proposal would oversee a "somewhat stronger U.S. economy." The conclusion was reached after assessing her...
comments powered by Disqus
RELATED NEWS
Trade ASTE now with 
Follow RTT