Generac Holdings posted $397.6 million in net sales in the first quarter of 2018 compared to $330.5 million in the first quarter of 2017, a 20.3-percent organic rise.  Gross profit margin improved 230 basis points to 35.2 percent compared to 32.9 percent in the first quarter of 2017.

Net income attributable to the company was $33.6 million in the first quarter compared to $12.2 million in the same period in 2017. Adjusted EBITDA was $70.2 million compared to $45.7 million in the year-ago quarter.

During the quarter, Generac entered into a purchase agreement to acquire the shares of Selmec Equipos Industriales, a leading generator manufacturer and services company headquartered in Mexico City. Generac expects the transaction to close during the second quarter.

“We are excited with our start to 2018 as we continued to see very strong year-over-year sales growth in the first quarter, which drove improvements in our margins and free cash flow,” said Aaron Jagfeld, president and CEO. “The fundamental demand environment for home standby and portable generators continues to be robust, benefitting from increased power outage activity in recent quarters contributing to excellent growth in both in-home consultations and end-user activations. Additionally, shipments of commercial and industrial products also experienced strong growth during the quarter driven by the ongoing replacement cycle for mobile products, as well as organic growth within International, which led to year-over-year margin improvement in the segment.”

Commercial and industrial product sales increased from $150.8 million in last year’s first quarter to $175.1 million in the recently concluded quarter, a 16.2-percent jump. Residential product sales zoomed 23.5 percent with $190.5 million compared to $154.2 million in the year-ago frame.

Domestic segment sales increased 21.5 percent to $300.2 million compared to $247.2 million a year ago, with strong growth in shipments of home standby and portable generators. International segment sales jumped 16.9 percent to $97.4 million compared to $83.3 million in the previous Q1.