Generac
🇺🇸 NYSE:GNRC
•
Dec 31, 2024
Generac Q4 2024 Earnings Report
Key Takeaways
Generac reported a strong fourth quarter with net sales increasing 16% to $1.23 billion, driven by a surge in residential product sales. Net income rose 20.6% to $117 million, while adjusted net income reached a record $168 million. Free cash flow also hit an all-time high of $286 million.
Generac Revenue
Generac EPS
Generac Revenue by Segment
Generac Revenue by Geographic Location
Forward Guidance
Generac expects continued net sales growth of 3-7% in 2025, driven primarily by strong residential product sales. Adjusted EBITDA margin is forecasted to be between 18.0% and 19.0%.
Positive Outlook
- Residential product sales expected to grow in mid-to-high single digits.
- Strong demand for home standby generators and energy technology solutions.
- Company expects net income margin to be in the 8.0% - 9.0% range.
- Operating and free cash flow expected to remain strong.
- Continued investment in strategic growth initiatives.
Challenges Ahead
- C&I product sales expected to remain flat year-over-year.
- Slight unfavorable impact expected from foreign currency fluctuations.
- Higher operating expenses anticipated due to investment in growth initiatives.
- Uncertainty in certain European markets may limit international growth.
- Ongoing supply chain challenges could impact production efficiency.
Revenue & Expenses
Visualization of income flow from segment revenue to net income