Generac Q2 sales rise on data center demand
GNRC•Full-year outlook
Generac maintained its full-year 2026 net sales growth guidance of mid-to-high teens percent.
The company raised its full-year 2026 adjusted EBITDA margin outlook to 20.0%-21.0% from 18.5%-19.5%.
Generac expects C&I segment sales to grow in the low 30% range, while Residential sales are expected to rise in the high-single digits.
Q2 results and key drivers
Generac said second-quarter sales rose 11% year over year, slightly missing analyst expectations. Adjusted earnings per share and adjusted EBITDA beat analyst expectations, aided by tariff refunds.
The company said growth in its C&I segment was primarily driven by ramping revenue from products sold into the global data center market. Tariff refunds contributed approximately 6% to gross margin and boosted adjusted net income and EBITDA.
Residential segment sales declined due to lower energy storage system and portable generator shipments, mostly offset by growth in home standby generator sales.
Quarterly figures and analyst view
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q2 Sales | Slight Miss* | $1.17 bln | $1.18 bln (19 Analysts) |
| Q2 Adjusted EPS | Beat | $2.91 | $2.01 (18 Analysts) |
| Q2 EPS | $2.40 | ||
| Q2 Adjusted Net Income | Beat | $174 mln | $115.93 mln (14 Analysts) |
| Q2 Net Income | $143 mln | ||
| Q2 Adjusted EBITDA | Beat |
