Business
AAON Reports Earnings, Record Sales & Backlog For the First Quarter of 2022
TULSA, Okla., May 05, 2022 (GLOBE NEWSWIRE) -- AAON, INC. (NASDAQ-AAON), a leader in innovation and production of premium quality, highly energy efficient
About this update from Aaon, Inc.
[{"type":"text","content":"TULSA, Okla., May 05, 2022 (GLOBE NEWSWIRE) -- AAON, INC. (NASDAQ-AAON), a leader in innovation and production of premium quality, highly energy efficient HVAC equipment for nonresidential buildings, today announced its results for the first quarter of 2022. Net sales for the first quarter of 2022 increased 57.8% to $182.8 million from $115.8 million in the first quarter of 2021. Organic volume growth contributed approximately 21.3% to net sales in the quarter and the addition of BasX Solutions added 18.1%, with the rest of the growth coming from price increases. Despite the robust growth in net sales, gross profit contracted 340 basis points to 25.2%. Gross profit was impacted primarily by higher material costs as well as supply chain issues that continue to adversely affect operational efficiencies, albeit to a smaller degree than during the second half of 2021. On a sequential basis, gross profit improved 570 basis points from the fourth quarter of 2021. Selling, general and administrative costs increased 56.9% to $23.1 million. Excluding $5.3 million of costs related to BasX Solutions, acquired in December 2021, SG&A costs increased 20.9%. All in, including a doubling of our effective tax rate, this resulted in diluted EPS of $0.33, up 10.0% from $0.30 in the prior year period. Financial Highlights:Three Months Ended March 31, % 2022 2021 Change (in thousands, except share and per share data)GAAP Measures Net sales$182,771 $115,788 57.8%Gross profit$46,064 $33,157 38.9%Gross profit margin 25.2% 28.6% Operating income$23,010 $18,461 24.6%Operating margin 12.6% 15.9% Net income$18,059 $16,376 10.3%Earnings per diluted share$0.33 $0.30 10.0%Diluted average shares 53,950,995 53,814,644 0.3% Non-GAAP Measures EBITDA1$30,107 $25,876 16.4%EBITDA margin1 16.5% 22.3% 1These are non-GAAP measures. See \"Use of Non-GAAP Financial Measures\" below for reconciliation to GAAP measures. Backlog March 31, 2022 December 31, 2021 March 31, 2021(in thousands)$461,400 $260,164 $96,733 The Company finished the first quarter of 2022 with a record backlog of $461.4 million, up 377.0% from $96.7 million a year ago, and up 77.3% from $260.2 million at the end of the fourth quarter of 2021. Excluding BasX Solutions' backlog, organic backlog was also a record, up 305.0% from the prior year quarter. As of March 31, 2022, the Company had cash and cash e...