ASTEC INDUSTRIES INC (Form: 8-K, Received: 03/01/2021 07:21:45)

false000079298700007929872021-03-012021-03-01

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): March 1, 2021

Astec Industries, Inc.

(Exact name of registrant as specified in its charter)


Tennessee	001-11595	62-0873631
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

1725 Shepherd Road, Chattanooga, Tennessee 37421

(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code: (423) 899-5898

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:


☐						Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐						Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐						Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐						Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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 is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

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. ☐

Item 2.02. Results of Operations and Financial Condition

On March 1, 2021, Astec Industries, Inc. (the "Company") reported results of operations for the three months and year ended December 31, 2020. The press release attached as Exhibit 99.1 includes additional information regarding the foregoing and is incorporated herein by reference.

Item 7.01. Regulation FD Disclosure

On March 1, 2021, the Company will hold a live audio webcast to discuss its financial results for the three months and year ended December 31, 2020. In connection with the webcast, the Company is furnishing to the U.S. Securities and Exchange Commission the following documents attached as exhibits to this Current Report on Form 8-K and incorporated by reference to this Item 7.01: the slide presentation attached as Exhibit 99.2 hereto.

Item 9.01. Financial Statements and Exhibits


99.1						Earnings release dated March 1, 2021 for the three months and year ended December 31, 2020
99.2						Slide Presentation
104						Cover Page Interactive Data File embedded within the Inline XBRL document

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


	Astec Industries, Inc.

Date: March 1, 2021	By:	/s/ Rebecca A. Weyenberg
		Rebecca A. Weyenberg
		Chief Financial Officer,

Exhibit 99.1

| NEWS RELEASE

ASTEC REPORTS FOURTH QUARTER 2020 RESULTS

Fourth Quarter 2020 Highlights (all comparisons are made to the prior year fourth quarter):

•Net Sales decreased 15.6% to $238.9 million

•Gross Profit Margin of 23.8% increased 1410 bps; Adjusted Gross Profit Margin increased 260 bps

•Net Income increased 183.7% to $15.4 million; Adjusted Net Income of $12.8 million increased 56.1% from $8.2 million

•Diluted EPS of $0.67 compared to $(0.81); Adjusted EPS of $0.56 increased from $0.36

CHATTANOOGA, Tenn. (March 1, 2021) – Astec Industries, Inc. (Nasdaq: ASTE) announced today its financial results for the fourth quarter and full year of 2020.

Fourth quarter of 2020 net sales of $238.9 million decreased 15.6% compared to $283.2 million for the fourth quarter of 2019. Domestic sales decreased $29.3 million or 14.0% and international sales decreased $15.0 million or 20.4% due mainly to COVID-19 related business disruptions in the fourth quarter versus last year.

Backlog as of December 31, 2020 of $360.5 million increased $96.8 million, or 36.7% compared to the backlog of $263.7 million a year ago. Domestic backlog increased by 44.3% to $280.6 million while international backlog increased by 15.4% to $79.9 million.

During the fourth quarter of 2020, the Company generated a net gain on the sale of property, equipment and business of $5.5 million which was partially offset by actions associated with the Company’s efforts to simplify the organization, whereby it incurred a net $2.3 million of charges for facility closures, reductions in force and asset impairment. These adjustments, net of tax, resulted in an $0.11 per share impact to Adjusted EPS in the fourth quarter of 2020.

Operating profit of $17.9 million in the fourth quarter of 2020 increased 166.5% compared to operating loss of $26.9 million in the fourth quarter 2019. Fourth quarter of 2020 adjusted operating income of $15.7 million, increased 109.3% compared to $7.5 million a year ago. Adjusted operating margin of 6.6% increased 400 basis points from 2.6% in fourth quarter 2019 as operational efficiencies outpaced a decline in sales. SG&A expenses decreased $11.3 million or 21.5% on a dollar basis driven by reductions in consulting fees, travel and employee expenses. In the fourth quarter of 2019, an inventory write-down of $32.6 million was recorded based on an assessment of the age, quantities on hand, market acceptance of equipment, our exit of the Enid oil and gas drilling product lines and other related factors, which resulted in required increases to our inventory net realizable value reserves.

Net income of $15.4 million increased 183.7% compared to the prior year quarter, while diluted EPS increased to $0.67, or 182.7%. Excluding restructuring and other net charges mentioned above, adjusted net income of $12.8 million increased 56.1% compared to the prior year period, while Adjusted EPS of $0.56 increased 55.6% compared to $0.36 for fourth quarter of 2019.

Adjusted EBITDA of $23.3 million increased 68.8% compared to $13.8 million a year ago. Adjusted EBITDA margin of 9.8% increased 490 basis points from 4.9% in fourth quarter of 2019.

"Our fourth quarter 2020 results demonstrate a strong finish to the year as our margins expanded during the quarter, despite a decrease in net sales. The margin improvement is a direct result of the initiatives that began in 2019 and accelerated in 2020 related to our strategic transformation. We continued to improve and gain traction with our operational excellence and strategic procurement initiatives," said Barry Ruffalo, CEO of Astec. "During the quarter, we continued to execute against our strategic initiatives to Simplify, Focus and Grow the business. Under Focus, we continue to build and leverage our OneASTEC platforms, which create a strong foundation for growth. Under Grow, we completed the acquisition of Grathwol automation and brought in an experienced Vice President of Product Management for our Controls and Automation platforms. We remain focused on providing our customers industry-leading technology solutions that provide value and support our Rock to Road initiatives, which continue to gain traction."

Full Year 2020 Results

Net sales for 2020 were $1.0 billion, or down 12.4% when compared to 2019. Adjusted net sales, which reflects a $20.0 million adjustment in 2019 for the sale of a wood pellet plant, decreased 10.9%. Domestic sales decreased $91.5 million or 10.1% and international sales decreased $53.7 million or 20.6%.

In relation to the Company’s efforts to simplify the organization, a net $13.8 million pre-tax restructuring charge was incurred, or $0.60 per share. This charge was primarily related to the four completed and one announced facility closures in 2020 and January 2021 as well as the associated reduction in labor and inventory adjustments. In addition, the Company recorded a net $3.4 million gain on the sale of property, equipment and business partially offset by asset impairments. These adjustments, net of tax, resulted in a $0.33 per share increase to Adjusted EPS in 2020.

Operating income of $43.0 million increased 71.3% compared to $25.1 million in 2019. Adjusted operating income of $55.5 million, increased 35.7% compared to $40.9 million in 2019. Adjusted operating margin of 5.4% increased 180 basis points from 3.6% in 2019 largely driven by our transformation initiatives put in place in late 2019.

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com

Net income was $46.9 million, or $2.05 per diluted share, compared to $22.3 million, or $0.98 per diluted share in 2019. Adjusted net income of $54.5 million increased 54.8% compared to 2019. Adjusted EPS of $2.38 increased 53.5% compared to $1.55 last year.

Adjusted EBITDA of $82.9 million increased 22.8% compared to $67.5 million in 2019. Adjusted EBITDA margin of 8.1% increased 220 basis points from 5.9% in 2019.

COVID-19 Business Continuity and Operations Update

We continue to execute on COVID-19 measures in order to ensure the health and well-being of our employees, their families and communities in which we operate, while continuing to serve our customers’ critical needs. Below is a COVID-related update by category:

Balance Sheet and Liquidity

The Company remains focused on liquidity and cash generation. We ended the quarter with a net cash position of $158.6 million with total debt of $2.0 million. The Company has available liquidity of $312.4 million as of December 31, 2020.

All of our facilities are operational and able to meet current demand levels. We continue to manufacture our products for building and maintaining the infrastructure used to move goods to market, facilitate the transportation needs of communities and for public health and safety.

We have not experienced interruption to our supply chain and are able to source the necessary materials needed to meet our customers’ needs. We are closely monitoring our supply chain and are ready to take proactive actions as needed to mitigate any potential disruptions. We have increased the frequency of communications with our suppliers and customers to ensure business continuity as well as anticipate and prepare for any new developments.

We have implemented additional actions to help mitigate the financial and operational impacts of COVID-19, including reducing expenses and conserving cash. These actions include:

•Overall headcount reduction of approximately 8.5% since fourth quarter of 2019

•Discretionary spending reductions

•Working capital management to ensure efficient accounts receivable processing with our customers

Mr. Ruffalo continued, “In the midst of the economic challenges faced in 2020, the Astec team was exceptional and made great progress with respect to our efforts to Simplify, Focus and Grow the business. This year was a testament to our dedication and ability to perform well throughout cycles as we increased margins despite the decline in revenue. We have significantly strengthened our foundation this year and are well-positioned for future growth with a streamlined organizational structure, a strong balance sheet and ample liquidity. I want to thank the entire Astec team for their hard work and continued focus on our core values to serve our customers, especially during a challenging year. Looking ahead to 2021, we will continue to build upon our positive momentum from 2020 and further transform our business to become an even stronger and more resilient organization with continued focus on operational and commercial excellence, profitable growth and long-term stakeholder value creation.”

Investor Conference Call and Web Simulcast

Astec will conduct a conference call and live webcast today, March 1, 2021, at 10:00 A.M. Eastern Time, to review its fourth quarter 2020 results as well as current business conditions. The number to call for this interactive teleconference is (877) 407-9210 (at least 10 minutes prior to the scheduled time for the call). International callers should dial (201) 689-8049. You may also access a live webcast of the call by visiting www.webcaster4.com/Webcast/Page/2146/39956. You will need to give your name and company affiliation and reference Astec Industries. An archived webcast will be available for 90 days at www.astecindustries.com.

A replay of the conference call will be available through March 15, 2021 by dialing (877) 481-4010 or (919) 882-2331 for international callers, Conference ID # 39956. A transcript of the conference call will be made available under the Investor Relations section of the Astec Industries, Inc. website within five business days after the call.

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com

Astec, (www.astecindustries.com), is a manufacturer of specialized equipment for asphalt road building, aggregate processing and concrete production. Astec’s manufacturing operations are divided into two primary business segments: Infrastructure Solutions that includes road building, asphalt and concrete plants, thermal and storage solutions; and Materials Solutions that include our aggregate processing and mining equipment.

Safe Harbor Statements under the Private Securities Litigation Reform Act of 1995

This News Release contains forward-looking statements within the meaning of the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Such statements relate to, among other things, income, earnings, cash flows, changes in operations, operating improvements, businesses in which we operate and the United States and global economies. Statements in News Release that are not historical are hereby identified as “forward-looking statements” and may be indicated by words or phrases such as "anticipates," "supports," "plans," "projects," "expects," "believes," "should," "would," "could," "hope," "forecast," "management is of the opinion," use of the future tense and similar words or phrases. These forward-looking statements are based largely on management's expectations, which are subject to a number of known and unknown risks, uncertainties and other factors discussed and described in our most recent Annual Report on Form 10-K, including those risks described in Part I, Item 1A. Risk Factors thereof, and in other reports filed subsequently by us with the Securities and Exchange Commission, which may cause actual results, financial or otherwise, to be materially different from those anticipated, expressed or implied by the forward-looking statements. All forward-looking statements included in this document are based on information available to us on the date hereof, and we assume no obligation to update any such forward-looking statements to reflect future events or circumstances, except as required by law.

Non-GAAP Financial Measures

In an effort to provide investors with additional information regarding the Company’s results, the Company refers to various GAAP (U.S. generally accepted accounting principles) and non-GAAP financial measures which management believes provides useful information to investors. These non-GAAP financial measures have no standardized meaning prescribed by U.S. GAAP and therefore are unlikely to be comparable to the calculation of similar measures for other companies. Management of the Company does not intend these items to be considered in isolation or as a substitute for the related GAAP measures. Nonetheless, this non-GAAP information can be useful in understanding the Company's operating results and the performance of its core business. Management of the Company uses both GAAP and non-GAAP financial measures to establish internal budgets and targets and to evaluate the Company’s financial performance against such budgets and targets. A reconciliation of these non-GAAP measures to the most directly comparable GAAP measure is included in the appendix to this News Release.

For Additional Information Contact:

Senior Vice President of Administration and Investor Relations

Phone: (423) 899-5898

E-mail: sanderson@astecindustries.com

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com

Astec Industries Inc.

Condensed Consolidated Statements of Operations

(In millions, except shares in thousands and per share amounts; unaudited)


	Three Months Ended December 31,				Years Ended December 31,
	2020		2019		2020		2019
Net sales	$	238.9	$	283.2	$	1,024.4	$	1,169.6
Cost of sales	182.0		255.8		784.3		930.2
Gross profit	56.9		27.4		240.1		239.4

Operating expenses:
Selling, general, administrative and engineering	41.2		52.5		189.0		211.1
Restructuring, impairment and other asset charges, net	(2.2)		1.8		8.1		3.2
Total operating expenses	39.0		54.3		197.1		214.3
Operating income (loss)	17.9		(26.9)		43.0		25.1

Other income (expense):
Interest expense	(0.5)		(0.1)		(0.7)		(1.4)
Other income, net of expenses	1.4		0.2		3.4		1.5
Income (loss) from operations before income taxes	18.8		(26.8)		45.7		25.2
Income tax provision (benefit)	3.3		(8.4)		(1.2)		3.0
Net income (loss)	15.5		(18.4)		46.9		22.2
Net (income) loss attributable to noncontrolling interest	(0.1)		—		—		0.1
Net income (loss) attributable to controlling interest	$	15.4	$	(18.4)	$	46.9	$	22.3

Earnings (loss) per common share
Basic	$	0.68	$	(0.81)	$	2.08	$	0.99
Diluted	0.67		(0.81)		2.05		0.98

Weighted average shares outstanding
Basic	22,603		22,531		22,586		22,515
Diluted	22,951		22,531		22,878		22,674

Diluted EPS	$	0.67	$	(0.81)	$	2.05	$	0.98
Facility closures, reduction in force and inventory adjustments	0.09		1.51		0.60		0.70
Asset impairment	0.01		0.01		0.19		0.01
Gain on sale of property, equipment and business	(0.24)		—		(0.34)		—
Income taxes	0.03		(0.35)		(0.12)		(0.14)
Adjusted EPS	$	0.56	$	0.36	$	2.38	$	1.55

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com

Astec Industries Inc.

Segment Net Sales and Profits

(In millions; unaudited)


	Three Months Ended December 31,												Years Ended December 31,
	Infrastructure Solutions			Materials Solutions			Corporate			Total			Infrastructure Solutions			Materials Solutions			Corporate			Total

2020 Net sales	$	167.2		$	71.7		$	—		$	238.9		$	702.8		$	321.6		$	—		$	1,024.4
2019 Net sales	191.2			92.0			—			283.2			764.6			405.0			—			1,169.6
Change $	(24.0)			(20.3)			—			(44.3)			(61.8)			(83.4)			—			(145.2)
Change %	(12.6)		%	(22.1)		%	—		%	(15.6)		%	(8.1)		%	(20.6)		%	—		%	(12.4)		%

2020 Gross profit	39.5			17.7			(0.3)			56.9			159.6			80.5			—			240.1
2020 Gross profit %	23.6		%	24.7		%	—		%	23.8		%	22.7		%	25.0		%	—		%	23.4		%
2019 Gross profit	12.7			13.0			1.7			27.4			152.7			84.9			1.8			239.4
2019 Gross profit %	6.6		%	14.1		%	N/M			9.7		%	20.0		%	21.0		%	N/M			20.5		%
Change $	26.8			4.7			(2.0)			29.5			6.9			(4.4)			(1.8)			0.7

2020 Profit / (loss)	16.1			10.4			(11.9)			14.6			53.8			32.1			(40.1)			45.8
2019 Profit / (loss)	(15.1)			(0.2)			(3.2)			(18.5)			33.8			22.8			(35.6)			21.0
Change $	31.2			10.6			(8.7)			33.1			20.0			9.3			(4.5)			24.8
Change %	206.6		%	5,300.0		%	(271.9)		%	178.9		%	59.2		%	40.8		%	(12.6)		%	118.1		%

N/M = Not Meaningful

Segment net sales are reported net of intersegment sales. Segment gross profit is net of profit on intersegment sales. A reconciliation of total segment profits to the Company's net income attributable to controlling interest is as follows (in millions; unaudited):


	Three Months Ended December 31,						Years Ended December 31,
	2020		2019		Change $		2020		2019		Change $
Total profit (loss) for all segments	$	14.6	$	(18.5)	$	33.1	$	45.8	$	21.0	$	24.8
Recapture (elimination) of intersegment profit	0.9		0.1		0.8		1.1		1.2		(0.1)
Net (income) loss attributable to noncontrolling interest	(0.1)		—		(0.1)		—		0.1		(0.1)
Net income (loss) attributable to controlling interest	$	15.4	$	(18.4)	$	33.8	$	46.9	$	22.3	$	24.6

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com

Astec Industries Inc.

Condensed Consolidated Balance Sheets

(In millions; unaudited)


	December 31, 2020		December 31, 2019
Assets
Current assets:
Cash and cash equivalents	$	158.6	$	48.9
Investments	4.3		1.5
Receivables, net	120.6		124.9
Inventories, net	249.7		294.5
Other current assets	32.6		36.5
Total current assets	565.8		506.3
Property, plant and equipment, net	172.8		190.4
Other long-term assets	109.6		103.8
Total assets	$	848.2	$	800.5

Liabilities
Current liabilities:
Accounts payable	$	52.7	$	57.2
Other current liabilities	117.6		115.6
Total current liabilities	170.3		172.8
Long-term debt	0.4		0.7
Other long-term liabilities	34.5		24.6
Total equity	643.0		602.4
Total liabilities and equity	$	848.2	$	800.5

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com

Astec Industries Inc.

Condensed Consolidated Statements of Cash Flows

(In millions; unaudited)


	Years Ended December 31,
	2020		2019
Cash flows from operating activities:
Net income	$	46.9	$	22.2
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	20.8		21.4
Amortization	6.1		4.8
Provision for credit losses	0.9		1.2
Provision for warranties	9.8		9.8
Deferred compensation expense	0.7		0.6
Share-based compensation	5.1		2.6
Deferred tax provision	8.6		1.7
(Gain) loss on disposition of property and equipment	(6.2)		0.3
Curtailment gain on postretirement benefits	(0.5)		—
Gain on disposition of subsidiary	(1.6)		—
Asset impairment charges	4.4		0.3
Distributions to SERP participants	(1.4)		(2.2)
Change in operating assets and liabilities, excluding the effects of acquisitions:
Sale (purchase) of trading securities, net	0.2		(0.9)
Receivables and other contract assets	12.2		7.5
Inventories	44.7		61.3
Prepaid expenses	—		(2.3)
Other assets	(0.2)		0.2
Accounts payable	(8.6)		(13.0)
Accrued retirement benefit costs	—		(1.3)
Accrued loss reserves	(4.8)		(1.1)
Other accrued liabilities	9.8		2.0
Accrued product warranty	(10.2)		(10.5)
Customer deposits	(11.2)		(5.3)
Income taxes payable/prepaid	16.0		12.2
Other	—		1.1
Net cash provided by operating activities	141.5		112.6
Cash flows from investing activities
Acquisitions, net of cash acquired	(32.5)		—
Proceeds from the sale of subsidiary	9.1		—
Expenditures for property and equipment	(15.4)		(23.4)
Proceeds from sale of property and equipment	17.7		0.5
Sale of investments	0.2		1.3

Net cash used by investing activities	(20.9)		(21.6)
Cash flows from financing activities
Payment of dividends	(10.0)		(10.0)
Borrowings under bank loans	6.0		166.0
Repayment of bank loans	(5.9)		(224.0)

Sale of Company stock by SERP, net	0.3		0.3
Withholding tax paid upon vesting of restricted stock units	(0.8)		(0.4)

Net cash used by financing activities	(10.4)		(68.1)
Effect of exchange rates on cash	(0.5)		0.2
Increase in cash and cash equivalents	109.7		23.1
Cash and cash equivalents, beginning of year	48.9		25.8
Cash and cash equivalents, end of year	$	158.6	$	48.9

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com


4Q 2020 GAAP to Non-GAAP Reconciliation Table
	As Reported (GAAP)			Restructuring, Impairment and Other Charges, Net		As Adjusted (Non-GAAP)
Consolidated
Net sales	$	238.9		$	—	$	238.9
GP	56.9			—		56.9
GP%	23.8		%			23.8		%
Operating income	17.9			(2.2)		15.7
Other income, net of expenses	1.4			(1.0)		0.4
Income taxes	3.3			(0.6)		2.7
Net income attributable to controlling interest	15.4			(2.6)		12.8
Diluted EPS	0.67			(0.11)		0.56


Infrastructure Solutions
Net sales	167.2			—		167.2
GP	39.5			—		39.5
GP%	23.6		%			23.6		%


Materials Solutions
Net sales	71.7			—		71.7
GP	17.7			—		17.7
GP%	24.7		%			24.7		%


FY2020 GAAP to Non-GAAP Reconciliation Table
	As Reported (GAAP)			Restructuring, Impairment and Other Charges, Net		As Adjusted (Non-GAAP)
Consolidated
Net sales	$	1,024.4		$	—	$	1,024.4
GP	240.1			4.4		244.5
GP%	23.4		%			23.9		%
Operating income	43.0			12.5		55.5
Other income, net of expenses	3.4			(2.1)		1.3
Income taxes	(1.2)			2.8		1.6
Net income attributable to controlling interest	46.9			7.6		54.5
Diluted EPS	2.05			0.33		2.38


Infrastructure Solutions
Net sales	702.8			—		702.8
GP	159.6			4.4		164.0
GP%	22.7		%			23.3		%


Materials Solutions
Net sales	321.6			—		321.6
GP	80.5			—		80.5
GP%	25.0		%			25.0		%

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com


4Q 2019 GAAP to Non-GAAP Reconciliation Table
	As Reported (GAAP)			Restructuring, Impairment and Other Charges, Net		As Adjusted (Non-GAAP)
Consolidated
Net sales	$	283.2		$	—	$	283.2
GP	27.4			32.6		60.0
GP%	9.7		%			21.2		%
Operating (loss) income	(26.9)			34.4		7.5
Other income, net of expenses	0.2			—		0.2
Income taxes	(8.4)			7.8		(0.6)
Net (loss) income attributable to controlling interest	(18.4)			26.6		8.2
Diluted EPS	(0.81)			1.17		0.36


Infrastructure Solutions
Net sales	191.2			—		191.2
GP	12.7			28.3		41.0
GP%	6.6		%			21.4		%


Materials Solutions
Net sales	92.0			—		92.0
GP	13.0			4.3		17.3
GP%	14.1		%			18.8		%


FY2019 GAAP to Non-GAAP Reconciliation Table
	As Reported (GAAP)			Restructuring, Impairment and Other Charges, Net		As Adjusted (Non-GAAP)
Consolidated
Net sales	$	1,169.6		$	(20.0)	$	1,149.6
GP	239.4			12.6		252.0
GP%	20.5		%			21.9		%
Operating income	25.1			15.8		40.9
Other income, net of expenses	1.5			—		1.5
Income taxes	3.0			2.9		5.9
Net income attributable to controlling interest	22.3			12.9		35.2
Diluted EPS	0.98			0.57		1.55


Infrastructure Solutions
Net sales	764.6			(20.0)		744.6
GP	152.7			8.4		161.1
GP%	20.0		%			21.6		%


Materials Solutions
Net sales	405.0			—		405.0
GP	84.9			4.3		89.2
GP%	21.0		%			22.0		%

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com

Astec Industries Inc.

GAAP vs Non-GAAP Adjusted EPS Reconciliations

(In millions, except per share amounts; unaudited)


	Three Months Ended December 31,				Years Ended December 31,
	2020		2019		2020		2019
Net income (loss) attributable to controlling interest	$	15.4	$	(18.4)	$	46.9	$	22.3
Adjustments:
Facility closures, reduction in force and inventory adjustments	2.0		34.1		13.8		15.5
Asset impairment	0.3		0.3		4.4		0.3
Gain on sale of property, equipment and business	(5.5)		—		(7.8)		—
Income taxes	0.6		(7.8)		(2.8)		(2.9)
Adjusted net income attributable to controlling interest	$	12.8	$	8.2	$	54.5	$	35.2

Diluted EPS	$	0.67	$	(0.81)	$	2.05	$	0.98
Adjustments:
Facility closures, reduction in force and inventory adjustments	0.09		1.51		0.60		0.70
Asset impairment	0.01		0.01		0.19		0.01
Gain on sale of property, equipment and business	(0.24)		—		(0.34)		—
Income taxes	0.03		(0.35)		(0.12)		(0.14)
Adjusted EPS	$	0.56	$	0.36	$	2.38	$	1.55

Astec Industries Inc.

GAAP vs Non-GAAP EBITDA and Adjusted EBITDA Reconciliations

(In millions; unaudited)


	Three Months Ended December 31,				Years Ended December 31,
	2020		2019		2020		2019
Net income (loss) attributable to controlling interest	$	15.4	$	(18.4)	$	46.9	$	22.3
Interest expense (income), net	0.3		(0.2)		(0.1)		0.2
Depreciation and amortization	7.5		6.4		26.9		26.2
Provision from income taxes	3.3		(8.4)		(1.2)		3.0
EBITDA	26.5		(20.6)		72.5		51.7

Adjustments:
Facility closures, reduction in force and inventory adjustments	2.0		34.1		13.8		15.5
Asset impairment	0.3		0.3		4.4		0.3
Gain on sale of property, equipment and business	(5.5)		—		(7.8)		—
Adjusted EBITDA	$	23.3	$	13.8	$	82.9	$	67.5

1725 Shepherd Road | Chattanooga, Tennessee 37421 | 423.899.5898 | astecindustries.com

March 1, 2021 4Q20 Earnings Presentation Exhibit 99.2

24Q20 Earnings Presentation | Safe Harbor Certain statements made in the earnings call and contained in this presentation relate to future events and expectations and are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “believe,” “estimate,” “will be,” “will,” “would,” “may,” “expect,” “anticipate,” “plan,” “project,” “intend,” “could,” “should” or other similar words or expressions often identify forward-looking statements. However, the absence of these words does not mean that the statement is not forward-looking. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding our future performance, outlook, projections, forecasts, trend descriptions, strategy, initiatives, plans, intentions and beliefs about future events. These statements are based on the Company’s currently available information and our current assumptions, expectations and projections about future events. These statements do not guarantee future performance or events and speak only as of the date they are made, and we do not undertake to update our forward-looking statements. Because forward-looking statements involve risks and uncertainties, actual results could differ materially. Such risks and uncertainties, many of which are beyond the control of the Company, include among others: the continued impact of the COVID-19 pandemic on the global demand for the Company’s products and on the Company’s financial condition and business operations; general economic conditions; pricing, demand and availability of steel, oil and liquid asphalt; decreased funding for highway projects; the relative strength/weakness of the dollar to foreign currencies; production capacity; general business conditions in the industry; demand for the Company’s products; seasonality and cyclicality in operating results; seasonality of sales volumes or lower than expected sales volumes; lower than expected margins on custom equipment orders; competitive activity; tax rates and the impact of future legislation thereon; and those other factors, risks and uncertainties that are more specifically discussed and described in the Company’s most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”), including the risks described in Part 1, Item 1A, “Risk Factors” thereof, and in the other reports filed subsequently by the Company with the SEC. NON-GAAP FINANCIAL MEASURES: In an effort to provide investors with additional information regarding the Company’s results, the Company refers to various GAAP (U.S. generally accepted accounting principles) and non-GAAP financial measures which management believes provides useful information to investors. These non-GAAP financial measures have no standardized meaning prescribed by U.S. GAAP and therefore are unlikely to be comparable to the calculation of similar measures for other companies. Management of the Company does not intend these items to be considered in isolation or as a substitute for the related GAAP measures. Nonetheless, this non-GAAP information can be useful in understanding the Company’s operating results and the performance of its core business. Management of the Company uses both GAAP and non-GAAP financial measures to establish internal budgets and targets and to evaluate the Company’s financial performance against such budgets and targets.

4Q20 Earnings Presentation | Astec Overview & 4Q20 Highlights Barry Ruffalo | President & CEO

44Q20 Earnings Presentation | Today’s Key Messages Strong 4Q20 and full year 2020 performance driven by our ongoing strategic transformation and our ability to gain traction on efficiency and strategic procurement initiatives 01 Customer demand for Astec’s solutions remains resilient; providing our customers with industry- leading technology solutions that deliver value and support our Rock to Road initiatives 02 Simplify, Focus and Grow transformation will continue in 2021 with greater emphasis on Focus and Grow pillars; focused organic and inorganic strategic growth opportunities 04 Continuing to build on our positive momentum from 2020 and further transform the business with a focus on commercial and operational excellence, profitable growth and long-term stakeholder value creation 05 Well-positioned for future growth and to execute in all economic scenarios with a streamlined organizational structure, a strong balance sheet and ample liquidity 03

54Q20 Earnings Presentation | ENABLING MORE EFFECTIVE MANAGEMENT Rock to RoadTM Simplified Two Segment Structure Infrastructure Solutions: ~70% Key Products Roadbuilding • Paving • Forestry • Recycling • Asphalt Plants • Concrete Plants • Burners and Heaters • Silos and Storage Tanks Leading Brands Materials Solutions: ~30% Key Products Crushing and Screening • Washing and Classifying • Material Handling • Rock Breaker Technology • Plants and Systems Leading Brands Note: Percentages are a % of total company net sales for 4Q20 & YTD

64Q20 Earnings Presentation | PROACTIVELY MANAGING THROUGH THE PANDEMIC WITH NO SIGNIFICANT DISRUPTIONS The OneASTEC Business Model is a Competitive Advantage Operational Excellence and COVID-19 Update ✓ COVID-19 Task Force continues to actively manage the situation with a focus on safety for our employees, customers and suppliers ✓ Following on-site precautions such as regular cleaning and health screening procedures, including temperature checks ✓ Remain focused on manufacturing, selling and servicing our products with appropriate precautions ✓ Currently, ~30% of office staff is working remotely ✓ All of our factories are open, with limited disruption to operations

74Q20 Earnings Presentation | PROACTIVELY MONITORING THE ENVIRONMENT TO QUICKLY REACT TO CHANGES IN DEMAND Business Dynamics and Observations ✓ Early innings of upcycle in North America; strong residential / non-residential markets ✓ Construction equipment demand is improving; positive customer outlook for 2021 ✓ Strong support for U.S. infrastructure construction under Biden’s Build Back Better plan ✓ 25 states introduced new transportation funding measures during January 2021 ✓ Limited COVID-19 impact in 2020; situation remains actively managed and fluid for 2021 ✓ Commodity and logistics inflation in 2021 ✓ Tight labor market to support increase in backlog Reduced Organizational Structure Complexity has Enabled More Efficient COVID-19 Response and Sharing of Best Practices

84Q20 Earnings Presentation | NEAR-TERM FOCUS ON ALIGNING EXISTING PRACTICES WITH ESG FRAMEWORK Early Stages of Our ESG Journey Environmental • Continued respect for environment • Historical and future products developed with a focus on: ‒ Reducing fuel consumption (Double Barrel Green System) ‒ Maximizing the use of recycled asphalt (Cold Planers and Double Barrel Drum Mixer) ‒ Minimizing trucking of materials (Shuttle Buggy and Track Mounted Crushers) • Internal focus on reducing carbon footprint of products and facilities • Environmental initiatives team led by Greg Oswald, SVP of Operational Excellence • Safety-first culture with stringent internal processes and procedures in place ‒ Goal: Zero Harm ‒ Recognition by Chattanooga, TN Chamber of Commerce for safety • Empowering employees to support communities where we operate and live through partnerships ‒ Local high schools, technical schools, and community colleges ‒ Local Chambers of Commerce, Rotary Club, and YMCAs ‒ Salvation Army, Blood Assurance, Bethlehem Center, and food banks • Social initiatives (e.g., D&I, human rights, and conflict minerals) team led by Reuben Srinivasan, SVP of HR • Remediated all prior period material weaknesses a year ahead of schedule • Further automation of financial reporting • Compensation of management and board aligned with shareholder interests • Engaged board of directors • Governance initiatives team led by Steve Anderson, SVP Administration and IR Social Governance

4Q20 Earnings Presentation | Total Company & Segment Results Becky Weyenberg | Chief Financial Officer

104Q20 Earnings Presentation | 4Q20 Financial Results ($M, except per share data) • Equipment sales decreased $26.5M or 14.7% • Parts sales increased $8.1M or 10.3% • Domestic sales decreased $29.3M or 14.0% • International sales decreased $15.0M or 20.4% • Materials Solutions backlog increased $68.2M or 92.0% • Infrastructure Solution backlog increased $28.6M or 15.1% • Domestic backlog increased $86.2M or 44.3% • International backlog increased $10.6M or 15.4% • Adjusted EBITDA increased due to favorable mix, improvements in Mfg. performance and right sizing initiatives, offset by a decrease in sales volume impact • Adj. EBITDA margin of 9.8% increased 490 bps • SG&A decreased 21.5% or $11.3M driven by reductions in consulting fees, travel and employee expenses • 4Q20 Diluted EPS of $0.67 included an $0.11 benefit or net $2.6M from transformation related savings • Net effective tax rate adjusted for the quarter was 17.3% 1 See Appendix for GAAP to Non-GAAP reconciliation table. $283.2 $238.9 4Q19 4Q20 NET SALES 4Q19 4Q20 BACKLOG $263.7 $360.5 $13.8 $23.3 4Q19 4Q20 ADJ. EBITDA1 $0.36 $0.56 4Q19 4Q20 ADJ. EPS1

114Q20 Earnings Presentation | OVERALL COST SAVINGS DROVE 490 BPS OF YOY MARGIN IMPROVEMENT 4Q20 Adjusted EBITDA Margin1 Bridge 4.9% +140 bps +170 bps +150 bps +30 bps 9.8% 1 See Appendix for GAAP to Non-GAAP reconciliation table.

124Q20 Earnings Presentation | Infrastructure Solutions | 4Q20 Financial Performance ($M) 4Q PERFORMANCE DRIVERS • Strong overall performance with favorable product mix particularly from our asphalt and concrete plant product lines. Aftermarket continues to improve with parts sales up 15% year over year • Improved quality of earnings from right sizing, pricing initiatives, plant efficiencies and controlled spending • The BMH Systems and CON-E-CO acquisitions have been fully integrated and are performing above our initial expectations 1 See Appendix for GAAP to Non-GAAP reconciliation table. $191.2 $167.2 4Q19 4Q20 NET SALES $41.0 $39.5 4Q19 4Q20 ADJ. GROSS PROFIT1

134Q20 Earnings Presentation | $17.3 $17.7 4Q19 4Q20 ADJ. GROSS PROFIT1 $92.0 $71.7 4Q19 4Q20 NET SALES Materials Solutions | 4Q20 Financial Performance ($M) 4Q PERFORMANCE DRIVERS • Right sizing initiatives taken in 2019 and 2020 to maximize utilization of our manufacturing footprint capacity improving margin despite declining revenue • Additional earnings improvement from controlled spending • Efforts underway to further leverage global footprint for deliveries to end customer • Mequon site closure completed and operations moved to remaining sites • Strong domestic order intake coming out of 4Q, as well as from international 1 See Appendix for GAAP to Non-GAAP reconciliation table.

144Q20 Earnings Presentation | Full Year 2020 Financial Results vs. 2019 ($M, except per share data) • Equipment sales decreased $104.2M or 14.0% • Parts sales decreased $18.6M or 5.8% • Domestic sales decreased $71.5M or 8.0% • International sales decreased $53.7M or 20.6% • Materials Solutions backlog increased $68.2M or 92.0% • Infrastructure Solutions backlog increased $28.6M or 15.1% • Domestic backlog increased $86.2M or 44.3% • International backlog increased $10.6M or 15.4% • Adjusted EBITDA increased due to favorable mix and improvements in Mfg. performance, offset by a decrease in sales volume impact • Adj. EBITDA margin of 8.1% increased 220 bps • SG&A decreased 10.5% or $22.1M driven by reductions in consulting fees, travel and employee expenses • 2020 Diluted EPS of $2.05 included $0.33 or net $7.6M from transformation actions • Use of CARES Act NOL carryback for a $9.5M tax reduction, or $0.42 impact; net effective tax rate adjusted for the full year was a 2.9% benefit 1 See Appendix for GAAP to Non-GAAP reconciliation table; Adj. Net Sales reflects $20.0M reduction in 2019 for the sale of a wood pellet plant … … 2019 2020 ADJ. NET SALES1 $67.5 $82.9 2019 2020 ADJ. EBITDA1 $1.55 $2.38 2019 2020 ADJ. EPS1 $1,149.6 $1,024.4 2019 2020 BACKLOG $263.7 $360.5

154Q20 Earnings Presentation | OVERALL COST SAVINGS DROVE 220 BPS OF YOY MARGIN IMPROVEMENT YTD20 Adjusted EBITDA Margin1 Bridge 5.9% +110 bps +90 bps +50 bps -30 bps 8.1% 1 See Appendix for GAAP to Non-GAAP reconciliation table.

164Q20 Earnings Presentation | FOCUSED ON MAINTAINING A STRONG BALANCE SHEET Maintain Strong, Flexible Balance Sheet with Ample Liquidity ($M) 12/31/20 Cash and Cash Equivalents 158.6 Total Current Assets 565.8 Total Assets 848.2 Total Current Liabilities 170.3 Total Debt 2.0 Total Liabilities and Equity 848.2 SUMMARY BALANCE SHEET ($M) 12/31/20 Cash and Cash Equivalents 158.6 Available Credit 153.8 Total Available Liquidity 312.4 COMMENTARY • Operating activities were a $141.5M source of cash in 2020 • Driven primarily by cash provided by net income (after book-to-cash adjustments) of $93.6M and inventory reduction of $44.7M • Cash provided above was invested in strategic M&A and utilized to pay dividends

174Q20 Earnings Presentation | CONTINUALLY EVALUATE STRATEGY TO ENSURE A BALANCED APPROACH Disciplined Capital Deployment Framework Use of Cash Over Last 3 Years ~$152M 44% 21% 19% 16% Plant, Property & Equipment Acquisitions Dividends Share Repurchases Adjustments Given Current Environment Plant, Property & Equipment • Internal investments meeting return objectives of >14% ROIC Continue to target > 14% ROIC for new investments Acquisitions • Future acquisitions to align with growth strategy and meet financial criteria Continue to focus on strategic alignment and financial discipline Returns to Shareholders • Dividend of $0.11 per share, per quarter • $150M repurchase program authorized • Repurchased $24M in 2018 No buybacks expected in near term

184Q20 Earnings Presentation | CONTINUE TO FOCUS ON STRATEGIC ALIGNMENT AND FINANCIAL DISCIPLINE Strategic M&A Approach Aligns to Our Growth Strategy Financial Criteria EPS Accretion in First Full Year Meet or Exceed Long-term Financial Metrics Attractive Markets / Aligns to Macro Trends #1 or #2 Market Leadership Position Accelerate Investment in Technology and Innovation Recurring Revenue Close to Core with Deeper Penetration Strategic Acquisition Filters Value Chain Gaps

194Q20 Earnings Presentation | Our Profitable Growth Strategy Remains Consistent SIMPLIFY FOCUS GROW Leverage Actions Taken to Further Simplify the Business Utilize OneASTEC Business Model to Enhance Efficiency Drive Growth through Organic and Inorganic Opportunities • Leverage global footprint and scale while maintaining strong customer relationships • Reduce organizational structure complexity • Consolidate and rationalize footprint and product portfolio • Optimize supply chain by leveraging size and scale of business • Strengthen customer-centric approach by providing a holistic set of solutions • Drive commercial excellence • Embrace and streamline operational excellence processes • Enhance accountability through a performance-based culture with aligned KPIs and incentives • Reinvigorate innovation with a new product development approach • Leverage technology and digital connectivity to enhance customer experience • Capitalize on global growth opportunities • Allocate capital effectively to drive greatest shareholder value

204Q20 Earnings Presentation | Update on Our Transformation Progress ✓ Changed from subsidiary structure to align by product groups ✓ Refreshed executive leadership team and board members ✓ Executed Astec Strategic Procurement initiative consolidating supply chain ✓ 1Q20 re-segmentation to two segment reporting structure ✓ Within Infrastructure Solutions, integrated five service teams into a unified service and construction team; one support call center ✓ Rationalized three sites in Hameln, Germany, Albuquerque, NM and Mequon, WI to further streamline operations ▪ Completing closure of Tacoma facility as part of ongoing rationalization SIMPLIFY ✓ Hired SVP of Operational Excellence and Chief Information Officer ✓ Aligned financial metrics to management incentives ✓ Implementing Enterprise Data Analytic Platform system to consolidate reporting ✓ Completed divestiture of GEFCO (Enid; O&G products) ▪ Further drive operational excellence across organization ▪ Optimize product portfolio with ongoing rationalization ▪ Improve working capital turns – clear action plan in place FOCUS ✓ Reinvigorate focus on innovation; new Innovation Council ▪ Enhance customer engagement ▪ Global expansion ▪ Profitable growth ▪ Margin improvement ▪ Disciplined and strategic acquisitions GROW 2020 - 2021+ 2019 - 2021 2019 - 2020 ✓ Completed ▪ In-Process

214Q20 Earnings Presentation | Key Investment Highlights Leadership positions within attractive niche markets in industries benefitting from long-term secular trends including population growth, urbanization and aging infrastructure Industry-leading reputation for innovation, high-quality products and superior customer service Recurring, high-margin aftermarket sales driven by a large global installed base Strong balance sheet and liquidity with net cash position to execute through challenging market conditions; our products are essential for building infrastructure Strategic transformation with Simplify, Focus, and Grow pillars; cost savings initiatives underway and new organizational structure to drive profitable growth 1 2 3 4 5

4Q20 Earnings Presentation | Q&A

234Q20 Earnings Presentation | Contact Information STEVE ANDERSON SVP of Administration & Investor Relations Phone: 423-553-5934 Email: sanderson@astecindustries.com

4Q20 Earnings Presentation | Appendix

254Q20 Earnings Presentation | Company Targets Create Value for Shareholders Alignment to Incentive Plan Stand through Cycles 5% - 10% REVENUE GROWTH > 12% EBITDA MARGIN > 10% EPS GROWTH > 100% > 14% ROIC LONG-TERM GOALS Net Income FCF CONVERSION

264Q20 Earnings Presentation | Income Statement

274Q20 Earnings Presentation | Balance Sheet Note: Numbers may not foot or cross-foot due to rounding.

284Q20 Earnings Presentation | Cash Flow Statement

294Q20 Earnings Presentation | Q4 GAAP to Non-GAAP Reconciliation Table In its earnings release, Astec refers to various GAAP (U.S. generally accepted accounting principles) and non-GAAP financial measures. These non-GAAP measures may not be comparable to similarly titled measures being disclosed by other companies. Non-GAAP financial measures should be considered in addition to, and not in lieu of, GAAP financial measures. Nonetheless, this non-GAAP information can be useful in understanding the Company's operating results and the performance of its core businesses. The amounts described above are unaudited, reported in millions of U.S. Dollars (except per share data) and for the periods indicated.

304Q20 Earnings Presentation | 2020 GAAP to Non-GAAP Reconciliation Tables In its earnings release, Astec refers to various GAAP (U.S. generally accepted accounting principles) and non-GAAP financial measures. These non-GAAP measures may not be comparable to similarly titled measures being disclosed by other companies. Non-GAAP financial measures should be considered in addition to, and not in lieu of, GAAP financial measures. Nonetheless, this non-GAAP information can be useful in understanding the Company's operating results and the performance of its core businesses. The amounts described above are unaudited, reported in millions of U.S. Dollars (Except Share data), and as of or for the periods indicated.

314Q20 Earnings Presentation | GAAP vs Non-GAAP Adj. EPS Reconciliation In its earnings release, Astec refers to various GAAP (U.S. generally accepted accounting principles) and non-GAAP financial measures. These non-GAAP measures may not be comparable to similarly titled measures being disclosed by other companies. Non-GAAP financial measures should be considered in addition to, and not in lieu of, GAAP financial measures. Nonetheless, this non-GAAP information can be useful in understanding the Company's operating results and the performance of its core businesses. The amounts described above are unaudited, reported in millions of U.S. Dollars (Except Share data), and as of or for the periods indicated.

324Q20 Earnings Presentation | GAAP vs Non-GAAP EBITDA & Adjusted EBITDA Reconciliation In its earnings release, Astec refers to various GAAP (U.S. generally accepted accounting principles) and non-GAAP financial measures. These non-GAAP measures may not be comparable to similarly titled measures being disclosed by other companies. Non-GAAP financial measures should be considered in addition to, and not in lieu of, GAAP financial measures. Nonetheless, this non-GAAP information can be useful in understanding the Company's operating results and the performance of its core businesses. The amounts described above are unaudited, reported in millions of U.S. Dollars (Except Share data), and as of or for the periods indicated.