Astec first quarter profit rises
26 April 2011
US road building company Astec Industries reported a +15% rise in net 2011 first quarter income to US$ 10.2 million, fuelled by growth in its international markets.
Revenues for the first quarter of 2011 were US$ 230.2 million compared with US$ 193.5 million for the first three months of 2010, with domestic sales growth of +13.9% during the period and international sales growth of +35.9%.
CEO Dr Don Brock said that while the company’s global markets continued to grow, it expected to face continued uncertainty in its domestic markets.
“Because of the Federal budget crisis, we do not expect Congress to pass a very robust highway bill,” he said. “We are adopting strategies to grow internationally, serve other expanding markets, and succeed without the support of a Federal highway bill.”
Initial proposals for the US 2012 budget provide US$ 556 billion to modernise the country’s transportation and highways infrastructure over the next six years. However, the fine details of the bill are by no means set in stone and political wrangling over where the investment for the proposal will come from is ongoing.