Residential generator sales propel Generac

Generac Holdings Inc. reported third quarter net income of $37.4 million, or 55 cents per share, up from $23.0 million, or 34 cents per share, in the same period a year ago.
The Waukesha-based manufacturer of power generators reported quarterly total net sales of $239.3 million, up from $160.7 million a year earlier.
The company was propelled by 60.5-percent increase in residential product sales.
Commercial & Industrial (C&I) product sales rose 27.4 percent.
On Oct. 3, Generac acquired substantially all the assets and certain liabilities of Magnum Products, LLC, funded solely by cash on the balance sheet.
"The third quarter of 2011 was marked by a number of significant milestones for Generac," said Aaron Jagdfeld, president and chief executive officer of Generac. "We saw record shipments of our residential products following the major power outage events that occurred in the Midwest and along the East Coast during the third quarter. Our sustained efforts over the past three years to build a leading position in the market for portable generators resulted in a sharp increase in sales due to the increased demand for these products in the third quarter. We also saw increased demand for our home standby generators in the quarter and we expect that demand will grow over the next several quarters as homeowners look to protect themselves from future power outages."