Latest news with #AaronJagdfeld
Associated Press
21-05-2025
- Business
- Associated Press
Generac Wins Two Red Dot Design Awards for Recent Product Launches
Generac XG Series and PWRcell2 receive prestigious, global recognition in product design WAUKESHA, Wis., May 21, 2025 /PRNewswire/ -- Generac Holdings (NYSE: GNRC) proudly announces that the product launches for Generac XG Series and PWRcell2 have been recognized for their exceptional product design in the 2025 Red Dot Design Awards. These awards come as a major milestone for Generac, signaling that the company stands out among the very best branding and design on a global scale. Since 1954, the Red Dot Design Awards have recognized products with outstanding form, function and innovation. Winners are given a Red Dot Label, published in a standard-setting exhibition and used as a model for industry and consumers alike. Awards are decided by a jury of international experts including designers, professors and specialist journalists from various fields. Products are evaluated on quality of functionality, aesthetics, usability and responsibility. 'Generac is committed to improving power by design and putting consumers at the center of everything we do. We are honored to be recognized for our user-friendly design and reliable products,' said Generac President and CEO Aaron Jagdfeld. Generac products that earned the award this year include: XG Protector Series The Generac XG Protector Series is a home-standby generator designed with a focus on minimalism, efficiency, and aesthetics for both residential and commercial use. The design emphasizes a clean, streamlined appearance that integrates seamlessly into its environment. By optimizing material usage and tooling processes, we achieved a more efficient, environmentally conscious design while maintaining structural integrity and performance. The result is a visually appealing generator that combines form and function, offering reliable power backup with a refined, modern look. PWRcell2 We designed Generac PWRcell2 to meet the increasing need for dependable and sustainable energy storage solutions. Recognizing the growing concerns about energy reliability and the demand for improved energy management, we focused on developing a system that excels in performance while also integrating seamlessly into various environments. Our modular design provides scalability, allowing users to expand the system as their energy requirements evolve. We prioritized a form that harmonizes functionality with aesthetic considerations, ensuring that our product integrates seamlessly into a range of spaces without attracting undue attention. PWRcell2 is part of an integrated home energy ecosystem that includes solar, the ecobee by Generac Smart Thermostat Enhanced Generac's Level 2 EV Chargers and our line of home standby generators. 'The reliable XG Protector Series and innovative PWRcell2 are the result of massive cross-functional efforts between Generac's industrial design, research, engineering product and management teams,' said Generac Senior VP Global Product Management and Industrial Design Randy Sandlin. 'We are excited to be among the very best in product design around the world.' For more information about the Red Dot Design Award, visit About Red Dot Design Awards The Red Dot Design Award is one of the largest design competitions in the world. Initiated by Prof. Dr. Peter Zec in the 1990s, the Product Design Award is given to outstanding products with aesthetically pleasing, functional, sustainable and innovative design. Being awarded with the Red Dot signifies belonging to the best in design and business amongst international and domestic competitors. Excellent design is selected by expert juries in the fields of product design, communication design and design concepts. About Generac Generac Holdings, Inc. (NYSE: GNRC) is a total energy solutions company that empowers people to use energy on their own terms. Founded in 1959, Generac is a leading global designer, manufacturer, and provider of a wide range of energy technology solutions. The Company provides power generation equipment, energy storage systems, energy management devices & solutions, and other power products serving the residential, light commercial, and industrial markets. Generac introduced the first affordable backup generator and later created the automatic home standby generator category. The Company continues to expand its energy technology offerings for homes and businesses in its mission to Power a Smarter World and lead the evolution to more resilient, efficient, and sustainable energy solutions. Media Contact: Jonathan Stern [email protected] | (312) 402-7167 View original content to download multimedia: SOURCE Generac Power Systems, Inc.
Yahoo
15-05-2025
- Business
- Yahoo
Generac Rethinking Supply Chain Amid Tariffs, CEO Jagdfeld Says
Generac Chair and CEO Aaron Jagdfeld says the company is rethinking its supply chain amid the Trump administration's tariffs. Speaking on "Bloomberg The Close," Jagdfeld also discusses data center demand and Generac's international expansion.
Yahoo
14-05-2025
- Business
- Yahoo
GNRC Q1 Earnings Call: Home Standby Demand and Tariff Mitigation Shape Outlook
Power generation products company Generac (NYSE:GNRC) reported Q1 CY2025 results beating Wall Street's revenue expectations , with sales up 5.9% year on year to $942.1 million. Its non-GAAP profit of $1.26 per share was 30.5% above analysts' consensus estimates. Is now the time to buy GNRC? Find out in our full research report (it's free). Revenue: $942.1 million vs analyst estimates of $921.1 million (5.9% year-on-year growth, 2.3% beat) Adjusted EPS: $1.26 vs analyst estimates of $0.97 (30.5% beat) Adjusted EBITDA: $149.5 million vs analyst estimates of $129.2 million (15.9% margin, 15.8% beat) Operating Margin: 8.9%, up from 7.5% in the same quarter last year Free Cash Flow Margin: 2.9%, down from 9.6% in the same quarter last year Market Capitalization: $7.52 billion Generac's first quarter results were largely driven by elevated shipments of home standby generators, with management attributing this to ongoing power outages—particularly from wildfires in California—and increased consumer interest. CEO Aaron Jagdfeld noted that residential product sales, including the ecobee smart thermostat line and energy storage systems, outperformed internal expectations. The company highlighted both supply chain optimization and favorable sales mix as key contributors to improved gross margins. Looking ahead, Generac's forward guidance reflects heightened uncertainty from evolving tariff policies and potential shifts in consumer spending. Management emphasized that current price increases and ongoing cost reduction initiatives are intended to fully offset the anticipated impact of tariffs. Jagdfeld explained, 'Our updated outlook assumes that current tariff levels hold for the remainder of the year,' and noted that a more cautious economic environment is likely, but the company does not foresee a full recession in 2025. Generac's management identified home standby generator demand and residential energy technology momentum as primary drivers of first quarter performance. The company also highlighted the impact of tariffs, proactive pricing actions, and new product launches as shaping both current results and future expectations. Home Standby Generators Surge: Shipments rose at a mid-teens rate year-over-year, fueled by increased power outages, especially in underpenetrated markets like California. However, close rates remained pressured due to demand exceeding sales and installation capacity. Residential Energy Technology Growth: Ecobee's smart thermostats and energy storage systems saw strong sales, with ecobee connected homes rising 17% year-over-year. Management believes the new entry-level thermostat will help capture value-seeking customers. Tariffs and Pricing Actions: Management described the current 145% China tariff and other trade measures as creating a $125 million cost headwind in the second half. To mitigate this, Generac implemented broad price increases of 7%–8% across products, aiming to offset the impact dollar-for-dollar at the EBITDA margin level. Supply Chain Diversification: Less than 10% of materials are now sourced from China, down from prior years, and new product lines are expected to further reduce this exposure. The company is leveraging its international manufacturing footprint and automation investments to enhance flexibility and resilience. C&I Product Dynamics: Commercial and industrial product sales declined due to softness in rental and non-standby applications, partially offset by gains in telecom and industrial distribution. The upcoming launch of large megawatt diesel generators is expected to address new market segments, including data centers. Management's full-year outlook is shaped by the interplay between tariff-driven cost pressures, pricing actions, and evolving consumer demand, with an emphasis on maintaining margins and supporting product launches. Tariff Uncertainty and Mitigation: The company's guidance assumes tariffs remain at current levels, with any changes posing both risk and opportunity. Generac expects price increases and cost reduction programs to fully offset tariff-related expenses at the EBITDA margin. Residential Demand and Outage Activity: Management is watching for continued elevated power outages and associated generator demand, especially in less mature regions like California. Should outage activity return to baseline, shipment volumes could decline. New Product Launches and Channel Expansion: The second half of the year will see the launch of next-generation home standby generators and energy storage systems, expected to broaden appeal and improve installation efficiency. Growth in the residential dealer network and enhanced marketing are seen as supporting long-term sales and close rates. Tommy Moll (Stephens): Asked about the go-to-market approach for new large-scale diesel generators targeting data centers. Management confirmed they will leverage their nationwide service network, mirroring their telecom strategy, and highlighted in-house customization as a key differentiator. George Gianarikas (Canaccord): Inquired about indications of softening demand due to higher prices or macro uncertainty. CEO Jagdfeld explained that while higher prices can dampen demand, generator sales historically remain resilient during outages, and current consumer spending appears steady. Mike Halloran (Baird): Sought clarity on the drivers behind the widened guidance range and tariff exposure. Management stated the lower end reflects potential demand softness, but expects price and cost actions to offset tariff impacts at the EBITDA margin. Jerry Revich (Goldman Sachs): Asked about trends in lead-to-order conversion rates following elevated interest. Jagdfeld said close rates were under pressure but should recover over the year as distribution and marketing efforts ramp up. Jordan Levy (Truist Securities): Queried about residential energy technology, particularly the rollout of PWRcell 2 and ecobee's progress. Management reported strong initial interest and sees consolidation in the storage supplier market as an opportunity for further growth. In the next few quarters, the StockStory team will be monitoring (1) the impact of new home standby generator and energy storage product launches on sales and installation efficiency, (2) the effectiveness of tariff mitigation measures, including further supply chain diversification and pricing strategies, and (3) trends in power outage activity—especially in emerging markets like California. The progression of government policies on tariffs and energy incentives will also be critical in shaping demand and profitability. Generac currently trades at a forward P/E ratio of 15.7×. At this valuation, is it a buy or sell post earnings? Find out in our free research report. 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Bloomberg
14-05-2025
- Business
- Bloomberg
AI Boom Has Generac Looking to Data Centers for Growth
Generac Holdings Inc. made its name providing backup generators to homes whipsawed by hurricanes and ice storms. Now, it's chasing a new market: data centers. The company is investing about $130 million in equipment and a factory to build larger backup generators for massive computing facilities running artificial intelligence applications, said Chief Executive Officer Aaron Jagdfeld. The company recently made some of its first international shipments of its bigger generators to data center customers, he said.
Bloomberg
13-05-2025
- Business
- Bloomberg
Generac Rethinking Supply Chain Amid Tariffs, CEO Jagdfeld Says
Generac Chair and CEO Aaron Jagdfeld says the company is rethinking its supply chain amid the Trump administration's tariffs. Speaking on "Bloomberg The Close," Jagdfeld also discusses data center demand and Generac's international expansion. (Source: Bloomberg)
