AAON Reports Record Sales and Earnings For the First Quarter of 2020

About this update from Aaon, Inc.

[{"type":"text","content":"TULSA, Okla., May 07, 2020 (GLOBE NEWSWIRE) -- AAON, INC. (NASDAQ-AAON), today announced its results for the first quarter of 2020.\n Financial Highlights:Three Months Ended March 31, % 2020 2019 Change (in thousands, except share and per share data)Net sales$137,483 $113,822 20.8%Gross profit42,947 25,430 68.9%Gross profit %31.2% 22.3% Selling, general and administrative expenses$15,214 $13,677 11.2%Net income21,853 8,757 149.5%Net income %15.9% 7.7% Earnings per diluted share$0.41 $0.17 141.2%Diluted average shares52,871,419 52,369,660 1.0% March 31, December 31, % 2020 2019 Change (in thousands) Backlog$119,642 $142,747 (16.2)%Cash & cash equivalents & Restricted cash52,145 44,373 17.5% Gary Fields, President, said \"We have been extremely fortunate during these trying times. As discussed in the fourth quarter, we were able to increase our manufacturing capacity with the addition of several Salvagnini sheet metal fabrication machines which put us in a beneficial position heading into the first quarter. As a result, we have been able to reduce lead times and our Tulsa plant has nearly 100% on time deliveries as of the end of the quarter. All these factors gave us the ability to swiftly respond to the needs of the public as an essential business. Our team worked around-the-clock to produce and deliver multiple orders for temporary hospitals in the New York area.\" Mr. Fields continued, \"The increased sales volume has helped absorb our fixed overhead costs and improve our gross profit. Our selling, general and administrative expenses have increased due to the profit sharing and other incentives we pay our employees as a result of our record earnings. To date, we have seen minimal business disruption from COVID-19. While the future may hold some amount of uncertainty, we continue to work hard to keep our work environment safe so we can meet the needs of our customers and protect the health and well-being of our employees.\" The decreased backlog as of March 31, 2020 compared to year-end 2019 resulted from both accelerated shipments during the first quarter and a planned reduction in the backlog to facilitate more acceptable lead-times on deliveries. While business continues to remain firm, evidenced by our 92% of expected order intake in the first quarter of 2020, we are closely monitoring and adapting to COVID-19 related variab...

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