Power generation manufacturer Generac posted $1,291.4 million in net sales in the second quarter of 2022, compared to $920 million in the second quarter of 2021, a 40.4-percent revenue hike. Gross profit was $457 million, compared to $339.7 million in the year-ago quarter, a 34.5-percent jump. Core sales growth, excluding both the impact of acquisitions and foreign currency, increased about 33 percent.
Residential product sales grew 49.3 percent to $896 million, compared to $600 million last year. Commercial & Industrial product sales increased 22 percent to $309 million, compared to $254 million in the second quarter last year, a 21.6-percent hike.
Adjusted EBITDA, before deducting for noncontrolling interests, was a record $271 million or 21 percent of net sales compared to $218 million or 23.7 percent of net sales in Q121.
“We continued to experience robust growth during the second quarter as ongoing capacity expansion helped drive shipments to new records,” said Aaron Jagdfeld, president and CEO. “In addition to the tremendous year-over-year increase in sales, we experienced significant sequential margin improvement in the quarter, which reinforces our prior expectations that margins bottomed in the first quarter and will continue to improve throughout 2022. Given the positive underlying demand trends and elevated backlog, we are maintaining our sales growth and adjusted EBITDA margin guidance for the full-year 2022. The mega-trends supporting this demand remain as compelling as ever, and we believe our unique suite of energy technology solutions has Generac well-positioned to lead the evolution to a more resilient, efficient and sustainable energy future.”
Domestic and international segment sales jump
Domestic segment total sales increased 42 percent to $1.13 billion compared to $792.9 million in the year-ago quarter, with the impact of acquisitions contributing approximately 6 percent of the revenue growth for the quarter. The strong core sales growth was led by home standby generators, while C&I channels also reported significant year-over-year growth in the quarter, highlighted by national rental equipment and telecom customers and the industrial distributor channel. Adjusted EBITDA for the segment was $241.9 million, or 21.5 percent of domestic segment total sales, compared to $203.9 million in the prior year.
International segment total sales increased 43 percent to $203.3 million, compared to $142.4 million in the year-ago quarter, with the net impact of acquisitions and foreign currency contributing approximately 9 percent of revenue growth for the quarter. The core sales growth was driven by growth across all regions, especially Europe and Latin America.
Net sales for the first six months of 2022 totaled $2,427.2 million compared to $1,727.4 million for the first six months of 2021, a 40.5 percent increase.
Generac Holdings is headquartered in Waukesha, Wis.
