Aaon Inc ( (AAON) ) has released its Q1 earnings. Here is a breakdown of the information Aaon Inc presented to its investors.
AAON, Inc., a leading provider of energy-efficient HVAC solutions, specializes in custom-made equipment for commercial, industrial, and data center environments. In its first quarter of 2025 earnings report, AAON reported a significant increase in net sales, driven by strong performance in its BASX-branded products, despite challenges in its AAON-branded segment. The company saw a 22.9% increase in net sales, reaching $322.1 million, largely due to a 374.8% rise in BASX-branded product sales. However, AAON-branded product sales declined by 19.1% due to supply chain issues. Gross profit margin decreased to 26.8% from 35.2% a year ago, reflecting lower production volumes in the AAON Oklahoma segment. Despite these challenges, AAON’s backlog reached a record $1.0 billion, indicating strong future demand. Looking ahead, AAON’s management remains optimistic about overcoming supply chain constraints and improving production rates, particularly in its Tulsa facility, while continuing to capitalize on the growing demand for data center equipment.