GNRC · 10-Q · 2026Q2 · Full report

Operating Income and Margins

GENERAC HOLDINGS INC. · 2026-08-04 · Importance 75 · Surprise 64 · From source text

Six-month operating income increased 67.7% to $327.7 million from $195.4 million, while second-quarter operating income increased 88.2% to $210.4 million from $111.8 million. Total first-half adjusted EBITDA rose 43.6% to $484.2 million, with Residential adjusted EBITDA increasing 37.2% to $354.0 million and C&I adjusted EBITDA increasing 50.0% to $148.0 million. First-half C&I adjusted EBITDA margin improved to 13.9% from 11.9%, while Residential margin increased to 30.2% from 21.8%. Margin expansion reflected tariff refunds, favorable mix and pricing, operating leverage, and operational efficiencies, partly offset by strategic C&I investments and unfavorable mix.

Key facts

Impact estimates

metricdirectionstageexpectedbasis
operating_incomepositiverealized+12.5%Adjusted EBITDA for the six months ended June 30, 2026: $484,205 thousand, up $147,030 thousand, 43.6% versus prior year period.
operating_incomepositiverealized+8.8%Adjusted EBITDA for the three months ended June 30, 2026: $290,724 thousand, up $103,095 thousand, 54.9% versus prior year quarter.
operating_incomepositiverealized+8.4%Income from operations for the three months ended June 30, 2026: $210,433 thousand, up $98,644 thousand, 88.2% versus prior year quarter.
operating_incomepositiverealized+2.4%Commercial & Industrial segment Adjusted EBITDA for Q2 2026: $81,484 thousand, or 14.6% of C&I total sales, versus $53,342 thousand, or…