Generac Holdings, manufacturer of generators and engine-powered products, posted $267.3 million in net sales in the fourth quarter, a 66-percent increase compared to $161 million in the fourth quarter of 2010. Residential product sales jumped 67.6 percent year over year.
The Commercial & Industrial division increased sales 63.3 percent year over year, driven predominantly by the company’s acquisition of Magnum. The fourth quarter of 2011 includes $38.8 million of net sales from Magnum Products, acquired Oct. 3, 2011.
Net sales for the full year were $792 million, compared with $592.9 million in 2010, a 33.6-percent leap. On a pro-forma basis, including the results from Magnum Products for the full year, net sales would have been $897.9 million.
“Generac achieved a number of important accomplishments during 2011, highlighted by a record level of revenue and strong profitability following the major power outage events that occurred across the country during the second half of the year,” said Aaron Jagdfeld, president and CEO. “Our significant investment during the past decade in new product development, scaling of operations and expanding distributing capabilities enabled us to respond rapidly to the major outage events this year, driving robust shipments of residential products during the third and fourth quarters of 2011.
“We also closed on the strategic and accretive acquisition of Magnum Products in the fourth quarter of 2011. We are very pleased with the initial progress of the acquisition as Magnum’s financial results have exceeded our initial expectations. Both companies share a lean operating culture and strong brand reputation. I am particularly excited about the potential for cross-selling opportunities as the combined company can now offer both Generac and Magnum products into their respective end markets. Our integration is proceeding on plan and we increasingly believe the acquisition will prove to be an attractive use of shareholder capital.”
