Astec Industries' 2Q earnings rise 14 percent

Building equipment maker Astec Industries Inc. said Monday its second-quarter earnings rose 14 percent on stronger international sales.

Net income grew to $21.1 million, or 93 cents per share, for the three months ended June 30 from $18.5 million, or 83 cents per share, during the year-earlier period, the company said.

Revenue jumped 23 percent to $277.7 million from $226.4 million, including income from Peterson Pacific Corp., which was acquired in July 2007. International sales accounted for 33.5 percent of second quarter sales.

Analysts surveyed by Thomson Financial, on average, forecast earnings of 95 cents per share on revenue of $269 million.

But rising costs of steel and components narrowed the company's gross margin, J. Don Brock, chairman and chief executive, said in a statement. "We anticipate that inflation will continue to be a challenge during the second half of 2008," he said.

Shares fell $4.14, or almost 12 percent, to $30.80 in early trading.

The company's backlog as of June 30 rose about 12 percent to $264.6 million from a year earlier.