Generac posted $1.067 billion in revenues for the fourth quarter of 2021 compared to $761.1 million in the fourth quarter of 2020, a 40.2-percent leap. For the full year 2021, Generac reported net sales of $3.737 billion compared to $2.485 billion in 2020, a 50.4-percent jump.
Residential product sales grew 42 percent in the fourth quarter of 2021 to $706 million compared to $499 million in Q420. Commercial & Industrial product sales increased 43 percent year over year to $284 million, compared to $199 million a year ago.
Net income during the fourth quarter was $143 million compared to $125 million for the same period of 2020.
On October 1, Generac closed on the acquisition of Tank Utility, a provider of IoT propane tank monitoring solutions that enable the optimization of propane fuel logistics, headquartered in Boston. Also, the company closed on the acquisition of ecobee, a provider of sustainable home technology solutions including smart home energy devices that deliver significant energy savings, security and peace of mind, based in Toronto.
Generac is initiating full-year 2022 net sales growth guidance to be approximately 32 to 36 percent compared to 2021, including 5 to 7 percent of net impact from acquisitions as well as foreign currency. It expects adjusted EBITDA margin of 22 to 23 percent.
CEO Predicts Growth
“We continued to experience exceptional demand during the fourth quarter and achieved record quarterly shipments and production levels as we exited 2021,” said Aaron Jagdfeld, president and CEO. “We’re proud of our execution during the quarter as the continued progress on our capacity expansion helped drive top line results ahead of our expectations despite ongoing supply chain challenges. We enter 2022 with considerable visibility and momentum given ongoing robust home standby demand, an expanding Energy Technology solutions portfolio, and strong global demand for our C&I products.
“We are making important progress on Generac’s evolution into an energy technology solutions company as we completed several strategic acquisitions during the year and introduced a number of innovative technologies that will significantly expand our addressable markets. We also introduced a new enterprise strategy called ‘Powering a Smarter World’ focused on improving energy resiliency, optimizing energy efficiency, and protecting critical infrastructure. Our strong balance sheet and cash flow generation give us the confidence to make the necessary investments to further capitalize on the key mega-trends that support our long-term growth outlook.”
For the full year, residential product sales increased 58 percent to $2.46 billion, compared to $1.56 billion last year. C&I product sales grew 42 percent to $1.0 billion, compared to $702 million in the prior year.
Domestic segment sales increased 39 percent to $896.4 million as compared to $645.1 million in the prior year quarter, with the impact of acquisitions contributing approximately 2 percent of the revenue growth for the quarter. The strong core sales growth was broad based led by home standby generators and PWRcell energy storage systems, while C&I channels experienced significant year-over-year growth in the quarter, highlighted by national telecom and rental equipment customers.
International segment sales increased 47 percent to $170.7 million compared to $116.0 million in the prior year quarter, with the impact of acquisitions and foreign currency contributing approximately 21 percent of the revenue growth for the quarter. The core sales growth for the segment was driven by broad-based strength across all regions as compared to the softer prior year impacted by COVID, with sales recovering well above 2019 levels.
Generac is headquartered in Waukesha, Wis.
