Astec Industries (ASTE) Q4 2025 earnings summary

Executive summary

• Achieved record Q4 net sales of $400.6 million, with full-year net sales up 8.1% to $1,410.4 million, driven by both organic and inorganic growth.

• Adjusted EBITDA for Q4 was $44.7 million (11.2% margin); full-year Adjusted EBITDA rose 25.8% to $140.7 million (10% margin), up 140 basis points from prior year.

• Backlog increased to $514.1 million, up 22.5% year-over-year, reflecting strong order intake and healthy demand in key segments.

• Acquisitions of TerraSource and CWMF added over $200 million in annual revenue and are expected to be accretive, with integration progressing well.

• Free cash flow for the year reached $20.7 million, supported by operational consistency and working capital management.

Financial highlights

• Q4 net sales grew 11.6% year-over-year to $400.6 million; full-year net sales up 8.1% to $1,410.4 million.

• Q4 Adjusted EBITDA margin was 11.2%, down 210 bps year-over-year; full-year margin improved 140 bps to 10.0%.

• Adjusted EPS for Q4 was $1.22; full-year Adjusted EPS rose 28.6% to $3.33.

• Parts sales increased 19.7% in Q4 and 11.5% for the year, totaling $432.7 million and representing 30.7% of total net sales.

• Q4 operating cash flow was $36.1 million; full-year operating cash flow was $61.4 million.

Outlook and guidance

• 2026 Adjusted EBITDA guidance is $170 million–$190 million, with expected margin expansion in both segments.

• Effective tax rate projected at 25%–28%; capital expenditures of $40 million–$50 million; D&A of $55 million–$65 million.

• Positive customer sentiment and stable federal infrastructure funding support a favorable multi-year outlook.