We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Astec (ASTE) Q4 Earnings Lags Estimates, Revenues Up Y/Y
Read MoreHide Full Article
Astec Industries, Inc. (ASTE - Free Report) reported fourth-quarter 2021 adjusted loss per share of 3 cents, missing the Zacks Consensus Estimate of earnings of 1 cent. The company reported adjusted earnings per share (EPS) of 56 cents in the prior-year quarter.
Including one-time items, the company reported a loss per share of 40 cents in the quarter under review against earnings of 67 cents per share in the year-ago quarter.
Revenues & Backlog
Astec’s revenues increased 12.1% year over year to $268 million in the quarter under review. The top line came in line with the Zacks Consensus Estimate. Domestic sales were up 18.2% year over year on pricing initiatives, stronger asphalt plant and concrete plant sales as well as increased aftermarket parts sales. International sales declined 6.8% in the fourth quarter owing to lower equipment sales, partly offset by increased aftermarket parts sales.
Given strong demand, Astec achieved a record backlog of $763 million in 2021, suggesting a year-over-year surge of 111.5%. Domestic backlog climbed 123% year over year to $627 million, while international backlog increased 69.7% to $136 million.
Astec Industries, Inc. Price, Consensus and EPS Surprise
Adjusted cost of sales climbed 17.5% year over year to $214 million in the fourth quarter. Adjusted gross profit was $54 million compared with the year-ago quarter’s $57 million. Adjusted gross margin contracted to 20.1% from the year-ago quarter’s 23.8%.
Adjusted selling, general, administrative and engineering (SG&A) increased 27% year over year to around $47 million. The company reported an adjusted operating income of $0.8 million, reflecting a year-over-year slump of 95%.
The adjusted operating margin was 0.3% compared with 6.6% in the prior-year quarter. The 630-basis point contraction was caused by manufacturing challenges resulting from supply chain and logistics disruptions as well as pandemic-induced labor restrictions and inflationary cost pressure, higher costs related to centralization and infrastructure efforts associated with the company’s ongoing transformation initiatives and a legal contingency.
Adjusted EBITDA was $8.1 million in the reported quarter, down 65% from the year-ago quarter. Adjusted EBITDA margin was 3%, reflecting a 680 basis points contraction from the prior-year quarter.
Segment Performance
Revenues in the Infrastructure Solutions segment were up 14% to $190 million from the year-ago quarter’s levels. The segment’s adjusted gross profit was $36.1 million compared with the prior-year quarter’s $39.5 million.
Materials Solutions segment’s total revenues were $78 million in the quarter under review, reflecting an increase of 8.5% year over year. The segment’s adjusted gross profit was $16.4 million, down 1.3% year over year.
Financial Position
Astec ended 2021 with cash and cash equivalents of $134.4 million compared with $158.6 million at 2020-end. At the end of 2021, the company’s long-term debt was $0.2 million compared with $0.4 million at the end of 2020.
2021 Performance
Astec reported an adjusted EPS of $1.47 in 2021 compared with $2.38 reported in the prior year. Earnings missed the Zacks Consensus Estimate of $1.51. Including one-time items, the bottom line came in at 78 cents per share compared with $2.05 reported in 2020.
Sales were down 7% year over year to $1.09 billion. The top line missed the Zacks Consensus Estimate of $1.10 billion.
Price Performance
Astec’s shares have declined 29.4% in the past year compared with the industry's loss of 11.3%.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Astec currently carries a Zacks Rank #5 (Strong Sell).
Applied Industrial Technologies reported adjusted EPS of $1.46 in second-quarter fiscal 2022 (ended Dec 31, 2020), up 49% year on year and beating the Zacks Consensus Estimate of $1.09. AIT has a trailing four-quarter earnings surprise of 27.9%, on average.
Applied Industrial Technologies has an expected earnings growth rate of 24.8% for fiscal 2022. The Zacks Consensus Estimate for fiscal year earnings has moved up 9.4% in the past 60 days. AIT’s shares have appreciated 20.2% in a year.
Dover’s fourth-quarter 2021 adjusted EPS increased 15% year over year to $1.78, beating the Zacks Consensus Estimate of $1.66. DOV has a trailing four-quarter earnings surprise of 12.3%, on average.
Dover has an estimated earnings growth rate of around 12.7% for 2022. In the past 60 days, the Zacks Consensus Estimate for current-year earnings has been revised upward by 5%. DOV’s shares have rallied around 32.1% in a year.
Silgan Holdings’ fourth-quarter 2021 adjusted EPS increased 32% year over year to a record 79 cents, beating the Zacks Consensus Estimate of 73 cents. SLGN has a trailing four-quarter earnings surprise of 3.8%, on average.
Silgan has a projected earnings growth rate of 13.5% for the current year. The Zacks Consensus Estimate for 2022 earnings has moved north by 3% in the past 60 days. In a year, SLGN has appreciated 11.7%.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Astec (ASTE) Q4 Earnings Lags Estimates, Revenues Up Y/Y
Astec Industries, Inc. (ASTE - Free Report) reported fourth-quarter 2021 adjusted loss per share of 3 cents, missing the Zacks Consensus Estimate of earnings of 1 cent. The company reported adjusted earnings per share (EPS) of 56 cents in the prior-year quarter.
Including one-time items, the company reported a loss per share of 40 cents in the quarter under review against earnings of 67 cents per share in the year-ago quarter.
Revenues & Backlog
Astec’s revenues increased 12.1% year over year to $268 million in the quarter under review. The top line came in line with the Zacks Consensus Estimate. Domestic sales were up 18.2% year over year on pricing initiatives, stronger asphalt plant and concrete plant sales as well as increased aftermarket parts sales. International sales declined 6.8% in the fourth quarter owing to lower equipment sales, partly offset by increased aftermarket parts sales.
Given strong demand, Astec achieved a record backlog of $763 million in 2021, suggesting a year-over-year surge of 111.5%. Domestic backlog climbed 123% year over year to $627 million, while international backlog increased 69.7% to $136 million.
Astec Industries, Inc. Price, Consensus and EPS Surprise
Astec Industries, Inc. price-consensus-eps-surprise-chart | Astec Industries, Inc. Quote
Operating Performance
Adjusted cost of sales climbed 17.5% year over year to $214 million in the fourth quarter. Adjusted gross profit was $54 million compared with the year-ago quarter’s $57 million. Adjusted gross margin contracted to 20.1% from the year-ago quarter’s 23.8%.
Adjusted selling, general, administrative and engineering (SG&A) increased 27% year over year to around $47 million. The company reported an adjusted operating income of $0.8 million, reflecting a year-over-year slump of 95%.
The adjusted operating margin was 0.3% compared with 6.6% in the prior-year quarter. The 630-basis point contraction was caused by manufacturing challenges resulting from supply chain and logistics disruptions as well as pandemic-induced labor restrictions and inflationary cost pressure, higher costs related to centralization and infrastructure efforts associated with the company’s ongoing transformation initiatives and a legal contingency.
Adjusted EBITDA was $8.1 million in the reported quarter, down 65% from the year-ago quarter. Adjusted EBITDA margin was 3%, reflecting a 680 basis points contraction from the prior-year quarter.
Segment Performance
Revenues in the Infrastructure Solutions segment were up 14% to $190 million from the year-ago quarter’s levels. The segment’s adjusted gross profit was $36.1 million compared with the prior-year quarter’s $39.5 million.
Materials Solutions segment’s total revenues were $78 million in the quarter under review, reflecting an increase of 8.5% year over year. The segment’s adjusted gross profit was $16.4 million, down 1.3% year over year.
Financial Position
Astec ended 2021 with cash and cash equivalents of $134.4 million compared with $158.6 million at 2020-end. At the end of 2021, the company’s long-term debt was $0.2 million compared with $0.4 million at the end of 2020.
2021 Performance
Astec reported an adjusted EPS of $1.47 in 2021 compared with $2.38 reported in the prior year. Earnings missed the Zacks Consensus Estimate of $1.51. Including one-time items, the bottom line came in at 78 cents per share compared with $2.05 reported in 2020.
Sales were down 7% year over year to $1.09 billion. The top line missed the Zacks Consensus Estimate of $1.10 billion.
Price Performance
Astec’s shares have declined 29.4% in the past year compared with the industry's loss of 11.3%.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Astec currently carries a Zacks Rank #5 (Strong Sell).
Some better-ranked stocks in the Industrial Products sector include Applied Industrial Technologies, Inc. (AIT - Free Report) , Dover Corporation (DOV - Free Report) and Silgan Holdings Inc. (SLGN - Free Report) . While AIT sports a Zacks Rank #1 (Strong Buy), DOV and SLGN carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Applied Industrial Technologies reported adjusted EPS of $1.46 in second-quarter fiscal 2022 (ended Dec 31, 2020), up 49% year on year and beating the Zacks Consensus Estimate of $1.09. AIT has a trailing four-quarter earnings surprise of 27.9%, on average.
Applied Industrial Technologies has an expected earnings growth rate of 24.8% for fiscal 2022. The Zacks Consensus Estimate for fiscal year earnings has moved up 9.4% in the past 60 days. AIT’s shares have appreciated 20.2% in a year.
Dover’s fourth-quarter 2021 adjusted EPS increased 15% year over year to $1.78, beating the Zacks Consensus Estimate of $1.66. DOV has a trailing four-quarter earnings surprise of 12.3%, on average.
Dover has an estimated earnings growth rate of around 12.7% for 2022. In the past 60 days, the Zacks Consensus Estimate for current-year earnings has been revised upward by 5%. DOV’s shares have rallied around 32.1% in a year.
Silgan Holdings’ fourth-quarter 2021 adjusted EPS increased 32% year over year to a record 79 cents, beating the Zacks Consensus Estimate of 73 cents. SLGN has a trailing four-quarter earnings surprise of 3.8%, on average.
Silgan has a projected earnings growth rate of 13.5% for the current year. The Zacks Consensus Estimate for 2022 earnings has moved north by 3% in the past 60 days. In a year, SLGN has appreciated 11.7%.