Waukesha-based Generac Holdings Inc. today reported first quarter net income of $19.7 million, or 28 cents per share, down from $34.7 million, or 50 cents per share, in the first quarter of 2014.
The power generation equipment manufacturer reported operating income was $44.9 million, down from $65.3 million in the same period a year ago.
Revenue totaled $311.8 million, down from $342 million in the first quarter of 2014.
The company attributed the lower earnings to lower portable generator shipments because of fewer severe power outages and a decline in shipments to telecom national account customers and oil and gas markets.
“The first quarter of this year was particularly challenging with several of the end markets we serve performing below our expectations,” said Aaron Jagdfeld, president and chief executive officer. “With an extremely low power outage environment and difficult winter weather, shipments of residential products were weaker than expected. In addition, the rapid decline in oil and gas related investment coupled with continued softness in capital spending in the telecom sector also had a negative impact on our C&I product shipments during the quarter. Despite a softer demand environment in the near term, we remain focused on driving awareness for our products, expanding and developing our distribution, launching innovative new products and controlling costs.”
