Segment Information

6 Months Ended

Jun. 30, 2013

Segment Information [Abstract]

Segment Information

Note 11.  Segment Information

The Company has four reportable segments. These segments are combinations of business units that offer similar products and services. A brief description of each segment is as follows:

Asphalt Group - This segment consists of three business units that design, engineer, manufacture and market a complete line of portable, stationary and relocatable hot-mix asphalt plants and related components and a variety of heaters, heat transfer processing equipment, thermal fluid storage tanks and concrete plants. The principal purchasers of these products are asphalt producers, highway and heavy equipment contractors and foreign and domestic governmental agencies.

Aggregate and Mining Group - This segment consists of seven business units that design, engineer, manufacture and market a complete line of rock crushers, feeders, conveyors, screens and washing equipment. The principal purchasers of these products are open-mine and quarry operators.

Mobile Asphalt Paving Group - This segment consists of three business units that design, engineer, manufacture and market asphalt pavers, asphalt material transfer vehicles, milling machines and paver screeds. The principal purchasers of these products are highway and heavy equipment contractors and foreign and domestic governmental agencies.

Underground Group - This segment currently consists of two business units that design, engineer, manufacture and market a complete line of drilling rigs for the oil and gas, geothermal and water well industries, high pressure diesel pump trailers for fracking and cleaning oil and gas wells and a four-track surface miner. This segment previously included American Augers, Inc., which was sold in November 2012.

All Others - This category consists of the Company’s other business units, including Peterson Pacific Corp., Astec Australia Pty Ltd, Astec Insurance Company and the parent company, Astec Industries, Inc., that do not meet the requirements for separate disclosure as an operating segment.

The Company evaluates performance and allocates resources based on profit or loss from operations before U.S. federal income taxes and corporate overhead. The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies.

Segment Information:

	(in thousands)
	Three Months Ended
	June 30, 2013
	Asphalt Group			Aggregate and Mining Group			Mobile Asphalt Paving Group			Underground Group			All Others			Total
Net sales to external   customers	$	63,153		$	99,884		$	45,750		$	17,094		$	22,246		$	248,127
Intersegment sales		2,572			14,782			5,129			2,266			-			24,749
Gross profit		11,878			25,615			11,171			2,232			4,546			55,442
Gross profit percent		18.8	%		25.6	%		24.4	%		13.1	%		20.4	%		22.3	%
Segment profit (loss)	$	4,061		$	11,141		$	4,608		$	(768	)	$	(7,753	)	$	11,289

	(in thousands)
	Six Months Ended
	June 30, 2013
	Asphalt Group			Aggregate and Mining Group			Mobile Asphalt Paving Group			Underground Group			All Others			Total
Net sales to external   customers	$	134,703		$	190,646		$	93,041		$	31,800		$	45,770		$	495,960
Intersegment sales		7,746			23,037			11,575			2,320			-			44,678
Gross profit		32,032			48,656			21,730			2,507			9,084			114,009
Gross profit percent		23.8	%		25.5	%		23.4	%		7.9	%		19.8	%		23.0	%
Segment profit (loss)	$	15,202		$	20,198		$	8,829		$	(3,149	)	$	(15,927	)	$	25,153

	(in thousands)
	Three Months Ended
	June 30, 2012
	Asphalt Group			Aggregate and Mining Group			Mobile Asphalt Paving Group			Underground Group			All Others			Total
Net sales to external   customers	$	59,431		$	94,860		$	45,160		$	19,230		$	19,594		$	238,275
Intersegment sales		6,140			6,320			6,265			418			112			19,255
Gross profit		11,775			25,818			10,151			2,054			3,263			53,061
Gross profit percent		19.8	%		27.2	%		22.5	%		10.7	%		16.7	%		22.3	%
Segment profit (loss)	$	3,902		$	11,567		$	4,082		$	(873	)	$	(8,210	)		10,468

	(in thousands)
	Six Months Ended
	June 30, 2012
	Asphalt Group			Aggregate and Mining Group			Mobile Asphalt Paving Group			Underground Group			All Others			Total
Net sales to external   customers	$	128,102		$	186,164		$	87,153		$	41,288		$	47,536		$	490,243
Intersegment sales		14,050			13,316			9,482			958			113			37,919
Gross profit		28,171			49,555			20,756			5,137			8,038			111,657
Gross profit percent		22.0	%		26.6	%		23.8	%		12.4	%		16.9	%		22.8	%
Segment profit (loss)	$	11,293		$	21,138		$	8,003		$	(1,046	)	$	(17,423	)	$	21,965

A reconciliation of total segment profits to the Company’s consolidated totals is as follows (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
Total segment profits	$	11,289		$	10,468		$	25,153		$	21,965
Elimination of intersegment profit		(136	)		(887	)		(750	)		(360	)
Net income from continuing operations		11,153			9,581			24,403			21,605
Income from discontinued operations, net of tax		-			848			-			1,082
Net income attributable to non-controlling interest in subsidiaries		(61	)		(63	)		(140	)		(76	)
Net income attributable to controlling interest	$	11,092		$	10,366		$	24,263		$	22,611