Astec Industries' 3Q profit plunges 79 percent

Astec Industries' 3rd-quarter profit sinks on decline in residential markets, infrastructure

• On 6:26 pm EDT, Tuesday October 20, 2009

CHATTANOOGA, Tenn. (AP) -- Astec Industries Inc., a maker of asphalt paving and other equipment for public works, said Tuesday its third-quarter profit sank due to a decline in residential markets and uncertainty in infrastructure spending.

Net income of $3.3 million, or 15 cents per share, was down 79 percent from $16 million, or 71 cents per share, in the year-ago period.

Sales fell 30 percent to $166.1 million, down from $237.4 million in the same quarter of 2008.

Analysts surveyed by Thomson Reuters were looking for a profit of 31 cents per share on revenue of $188.3 million.

J. Don Brock, chairman and CEO, expressed disappointment about the quarter's results.

Looking ahead, he said, "Visibility in the market and trends is very limited. The fourth quarter is normally our least profitable quarter of the year."

Shares of Astec fell $1.86, or 6.8 percent, to close at $25.61.