Overview

• Astec Q3 net sales rise 20.1% yr/yr, beating analyst expectations

• Adjusted EPS for Q3 beats consensus, reflecting operational advancements

• Company reports 55.7% increase in adjusted EBITDA, driven by TerraSource acquisition

Outlook

• Astec raises lower end of full-year adjusted EBITDA guidance to $132 mln

• Company maintains upper end of full-year adjusted EBITDA guidance at $142 mln

Result Drivers

• TERRASOURCE ACQUISITION - Acquisition of TerraSource contributed significantly to net sales and adjusted EBITDA growth

• INFRASTRUCTURE DEMAND - Strong demand for asphalt and concrete plants boosted Infrastructure Solutions sales by 17.1%

• OPERATIONAL EFFICIENCIES - Manufacturing and procurement efficiencies improved profitability, per CEO Jaco van der Merwe

Key Details

Analyst Coverage

• The one available analyst rating on the shares is "strong buy"

• Wall Street's median 12-month price target for Astec Industries Inc is $54.50, about 14.8% above its November 4 closing price of $46.41

• The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release: ID:nGNX7N2prv

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)