GNRCGenerac Holdings Inc.

“we did have guide a 3-year CAGR for our C&I segment of low to mid-20% range. I think obviously, we've got some visibility to the 2027 numbers with that notice to proceed that Aaron talked about as well as the backlog that we -- the $700 million of backlog that we have that will spill some of that will spill into -- so we have at least clear visibility there and we're feeling good about the growth rate.”

“we have also realized significant order activity from both new and existing data center customers, increasing our current backlog to more than $700 million, which does not include the anticipated impact of the notice of reset opportunity mentioned above and represents an increase of approximately $300 million since our fourth quarter update in mid-February.”

“we received a nonbinding notice to proceed for approximately $600 million in 2027 deliveries with a certain hyperscale customer, and we have begun discussing site level specifications for these projects as we prepare to ramp our supply chain and production to meet this accelerating demand.”

“our new facility in Sussex, Wisconsin, remains on track to begin production in the second half of this year, supporting the expected increase in our domestic generator manufacturing and assembly capacity for these products to more than $1 billion by the fourth quarter.”

“continued momentum in the data center end market and the almond acquisition. First quarter adjusted EBITDA margin of 18.3% expanded significantly from the prior year and was stronger than anticipated, driven by strong execution, favorable sales mix and lower-than-expected input costs and operating expenses.”

“we're going to need it's the old jaws phrase, we're going to need to be -- build a bigger boat. If we need a bigger boat if we're going to win both of these accounts because that's not in our our current capacity capability today, we would definitely have to add more.”

“International shipments also increased at a strong rate year-over-year, driven primarily by revenue from products sold to the data center end market, global shipments of our controlled solutions and the favorable impact from foreign currency.”

“For the full year, significantly higher data center revenue is expected to be the main contributor to our C&I segment organic growth”

“The core total sales growth for the segment was primarily driven by revenue from products sold to global data center customers.”

“the kind of impact that AI is going to have on businesses and on kind of society at large, I think we're just at the very early innings of that and starting to see some of the power of this and what it can do. And as that takes root, the need for data center capacity is just going to be -- is just going to grow. And so we feel really good about our longer-term growth rates.”

“the kind of impact that AI is going to have on businesses and on kind of society at large, I think we're just at the very early innings of that and starting to see some of the power of this and what it can do. And as that takes root, the need for data center capacity is just going to be -- is just going to grow.”

“on the software side, like everybody else, we are benefiting from the trends in coding around AI and just not needing the intensity of head count there to produce productivity is up dramatically. And that's certainly helpful.”