aste-20260331

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2026

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to _____

Commission File Number: 001-11595

Astec Industries, Inc.

(Exact name of registrant as specified in its charter)

Tennessee

62-0873631

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification No.)

1725 Shepherd Road

Chattanooga, TN

37421

(Address of principal executive offices)

(Zip Code)

(423) 899-5898

(Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock	ASTE	The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.


Large Accelerated Filer	☒	Accelerated Filer	☐
Non-accelerated Filer	☐	Smaller Reporting Company	☐
		Emerging Growth Company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of May 1, 2026, there were 22,992,630 shares of Common Stock outstanding.

ASTEC INDUSTRIES, INC.

Index to Quarterly Report on Form 10-Q

For the Quarter Ended March 31, 2026


		Page
PART I
Item 1.	Financial Statements (Unaudited)	1
	Consolidated Balance Sheets	1
	Consolidated Statements of Operations	2
	Consolidated Statements of Comprehensive (Loss) Income	3
	Consolidated Statements of Cash Flows	4
	Consolidated Statements of Equity	6
	Notes to Unaudited Consolidated Financial Statements	7
	Note 1. Basis of Presentation and Significant Accounting Policies	7
	Note 2. Acquisitions	8
	Note 3. Inventories	11
	Note 4. Fair Value Measurements	11

	Note 5 . Product Warranty Reserves	12
	Note 6 . Accrued Loss Reserves	13

	Note 7 . Income Taxes	13
	Note 8 . Commitments and Contingencies	13
	Note 9 . Revenue Recognition	14
	Note 1 0 . Operations by Industry Segment and Geographic Area	15
	Note 1 1 . Strategic Transformation, Restructuring and Other Asset Gains, net	17
	Note 1 2 . Earnings Per Common Share	18

Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	19
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	24
Item 4.	Controls and Procedures	24

PART II
Item 1.	Legal Proceedings	25
Item 1A.	Risk Factors	25
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	25
Item 3.	Defaults Upon Senior Securities	25
Item 4.	Mine Safety Disclosures	25
Item 5.	Other Information	25
Item 6.	Exhibits	26
SIGNATURES		27

INDEX

PART I ‑ FINANCIAL INFORMATION

Item 1. Financial Statements (Unaudited)

ASTEC INDUSTRIES, INC.

Consolidated Balance Sheets

(In millions, except share and per share data, unaudited)


	March 31, 2026		December 31, 2025
ASSETS
Current assets:
Cash, cash equivalents and restricted cash	$	75.0	$	72.0
Investments	1.9		2.1
Trade receivables, contract assets and other receivables, net of allowance for credit losses of $3.0 and $3.7, respectively	215.6		218.7
Inventories	469.8		466.0
Prepaid and refundable income taxes	14.9		15.0
Prepaid expenses and other assets	42.3		42.8

Total current assets	819.5		816.6
Property and equipment, net of accumulated depreciation of $290.3 and $285.0, respectively	238.5		222.3
Investments	22.6		21.1
Goodwill	134.9		111.8
Intangible assets, net of accumulated amortization of $77.6 and $70.1, respectively	147.2		124.5
Deferred income tax assets	22.3		25.3
Other long-term assets	43.9		45.6
Total assets	$	1,428.9	$	1,367.2
LIABILITIES AND EQUITY
Current liabilities:
Current maturities of long-term debt	$	16.2	$	16.2
Short-term debt	11.2		12.1
Accounts payable	108.2		93.5
Customer deposits	96.1		83.7
Accrued product warranty	17.3		19.3
Accrued employee related liabilities	48.6		51.2

Other current liabilities	52.0		52.0
Total current liabilities	349.6		328.0
Long-term debt	365.5		319.6
Deferred income tax liabilities	5.1		6.7
Other long-term liabilities	30.6		31.3
Total liabilities	750.8		685.6
Commitments and contingencies (Note 8)
Shareholders' equity:
Preferred stock – authorized 2,000,000 shares of $1.00 par value; none issued	—		—
Common stock – authorized 40,000,000 shares of $0.20 par value; issued and outstanding – 22,974,770 as of March 31, 2026 and 22,877,530 as of December 31, 2025	4.6		4.6
Additional paid-in capital	149.7		149.6
Accumulated other comprehensive loss	(42.5)		(40.6)
Company stock held by deferred compensation programs, at cost	(0.2)		(0.2)
Retained earnings	566.5		568.3
Shareholders' equity	678.1		681.7
Noncontrolling interest	—		(0.1)
Total equity	678.1		681.6
Total liabilities and equity	$	1,428.9	$	1,367.2

The accompanying notes are an integral part of these unaudited consolidated financial statements.

INDEX

ASTEC INDUSTRIES, INC.

Consolidated Statements of Operations

(In millions, except share and per share data, unaudited)


	Three Months Ended March 31,
	2026		2025
Net sales	$	396.3	$	329.4
Cost of sales	297.2		237.0
Gross profit	99.1		92.4
Selling, general and administrative expenses	90.2		71.9

Other operating gains, net	(0.1)		—
Income from operations	9.0		20.5
Other expenses, net:
Interest expense	(7.4)		(2.0)
Interest income	0.8		0.6
Other income, net	0.4		0.6
Income before income taxes	2.8		19.7
Income tax provision	1.5		5.4
Net income	1.3		14.3
Net income attributable to noncontrolling interest	—		—
Net income attributable to controlling interest	$	1.3	$	14.3
Per share data:
Earnings per common share - Basic	$	0.06	$	0.63
Earnings per common share - Diluted	$	0.06	$	0.62
Weighted average shares outstanding - Basic	22,938,887		22,833,292
Weighted average shares outstanding - Diluted	23,250,643		22,976,526

The accompanying notes are an integral part of these unaudited consolidated financial statements.

INDEX

ASTEC INDUSTRIES, INC.

Consolidated Statements of Comprehensive (Loss) Income

(In millions, unaudited)


	Three Months Ended March 31,
	2026		2025
Net income	$	1.3	$	14.3
Other comprehensive (loss) income:


Foreign currency translation adjustments	(1.8)		3.1
Other comprehensive (loss) income	(1.8)		3.1
Comprehensive (loss) income	(0.5)		17.4
Comprehensive income attributable to noncontrolling interest	(0.1)		(0.1)
Comprehensive (loss) income attributable to controlling interest	$	(0.6)	$	17.3

The accompanying notes are an integral part of these unaudited consolidated financial statements.

INDEX

ASTEC INDUSTRIES, INC.

Consolidated Statements of Cash Flows

(In millions, unaudited)


	Three Months Ended March 31,
	2026		2025
Cash flows from operating activities:
Net income	$	1.3	$	14.3
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	14.2		6.4
Amortization of acquisition-related inventory fair value step-up	1.4		—
Provision for credit losses	(0.5)		(0.1)
Provision for warranties	3.0		6.2

Share-based compensation	2.6		1.7
Deferred tax benefit	(0.4)		(1.0)
Gain on sale of property and equipment, net	(0.1)		—


Amortization of debt issuance costs	0.5		0.1

Change in operating assets and liabilities:
(Purchase) sale of trading securities, net

SEC Form 10-Q filed by Astec Industries Inc.