INVESTOR RELATIONS Aaron Jagdfeld PRESIDENT & CEO INVESTOR PRESENTATION May 2023 OUR PURPOSE: Lead the evolution to more resilient, efficient, and sustainable energy solutions. Certain statements contained in this presentation, as well as other information provided from time to time by Generac Holdings Inc. or its employees, may contain forward looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Forward- l ...

Core Viewpoint - Generac Holdings Inc. is set to report its first-quarter 2025 results on April 30, with expectations of revenue growth driven by strong residential product sales, despite challenges in the commercial and industrial (C&I) segment [1][3][4]. Group 1: Financial Performance Expectations - The Zacks Consensus Estimate for first-quarter revenues is $918.7 million, reflecting a 3.3% increase year-over-year, while earnings are estimated at 99 cents per share, up 12.5% year-over-year [1]. - Generac has consistently beaten the Zacks Consensus Estimate in the past four quarters, with an average earnings surprise of 14.2% [2]. - The company's shares have declined 17.8% over the past year, compared to a 9.3% loss in the Zacks Manufacturing-General Industrial industry [2]. Group 2: Key Factors Influencing Performance - The residential segment, particularly home standby generators, is expected to be a significant growth driver, with a 28% year-over-year increase in residential product sales in Q4 2024, reaching $743 million [3]. - Demand for Generac's products has been bolstered by extreme weather events leading to power outages, with 2024 recording the highest number of outage hours since 2010 [4]. - The first quarter typically sees less impact from hurricanes, but unexpected severe weather could positively influence sales [4]. Group 3: Product Developments and Market Position - Generac's expansion into the data center market with new high-capacity generators (2.25 MW to 3.25 MW) is aimed at meeting rising electricity needs and enhancing reliability [11]. - The ecobee smart thermostat line is gaining traction, with the launch of the Smart Thermostat Essential expected to contribute to top-line growth [12]. - The introduction of the 28kW home standby generator model enhances Generac's product offerings, providing a comprehensive home energy solution [13]. Group 4: Segment Performance Insights - The Zacks Consensus Estimate for residential products' revenues is $483.5 million, while C&I products' revenues are estimated at $324.6 million [8]. - There is concern over prolonged weakness in C&I revenues, with expectations of flat year-over-year sales and a high single-digit decline in the first quarter [7].