Arcosa Q2 2023 Earnings Report
Key Takeaways
Arcosa reported solid second-quarter results, with Adjusted EBITDA surpassing the previous year's record when normalizing for the divestiture of the storage tanks business. Strong cash conversion was a highlight, with Free Cash Flow increasing 11% year-over-year.
Construction Products revenues increased 8%, driven by higher pricing and volume growth in recycled aggregates.
Engineered Structures saw flat revenues for utility, wind, and related structures, with higher utility structures volumes offsetting lower wind tower volumes.
Transportation Products revenues increased 28%, with barge revenues up 35% and steel components up 17%.
The company increased the low end of its revenue guidance range to $2.25 billion from $2.20 billion, resulting in a full year range of $2.25 billion to $2.30 billion.
Arcosa
Arcosa
Arcosa Revenue by Segment
Forward Guidance
Arcosa increased the low end of its revenue guidance range to $2.25 billion from $2.20 billion, resulting in a full year range of $2.25 billion to $2.30 billion. Arcosa increased the low end of its Adjusted EBITDA guidance range to $355 million from $345 million, resulting in a full year range of $355 million to $370 million.
Positive Outlook
- Broad exposure to infrastructure markets.
- Benefit from multi-year tailwinds.
- Committed to expanding margin.
- Generating strong cash flow.
- Allocating capital to build long-term shareholder value.
Revenue & Expenses
Visualization of income flow from segment revenue to net income