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
Toll Brothers, Inc. (TOL), the nation's leading builder of luxury homes, reported second-quarter net income of $89.1 million, or $0.51 per share, compared to $67.9 million, or $0.37 per share, prior year. Pre-tax income increased to $140.4 million from $86.5 million. On average, 18 analysts polled by... German conglomerate Bayer AG said it has made an all-cash offer to acquire U.S. competitor Monsanto for $122 per share or an aggregate value of $62 billion. Bayer expects the deal to reinforce it as a Life Science company with a deepened position. Responding to recent media reports, agricultural products giant Monsanto recently had disclosed that it had received an unsolicited proposal from Bayer. Agricultural machinery maker Deere & Co. reported Friday lower profit in its second quarter, reflecting weak equipment sales. Profit and net sales, however, topped analysts' estimates. Further, the company cut its forecast for fiscal 2016 profit, while updated sales view.
comments powered by Disqus
Follow RTT