AAON Inc. executives presented a positive outlook at the William Blair Growth Stock Conference. They highlighted growth in data center cooling solutions. The company also noted a recovery in its light commercial HVAC business. AAON operates two primary brands. The legacy AAON brand focuses on commercial rooftops. The BASX brand capitalizes on the expanding data center market.
CEO Matt Tobolski acknowledged ongoing margin pressures. He attributed these pressures partly to the strategic outsourcing of some production. This outsourcing aims to meet surging demand. Tobolski noted that recent pricing adjustments are expected to improve profitability. The company previously forecasted strong sales growth of 40-45%. This forecast applies to 2026. A record backlog drives this growth. Strong order intake for data center equipment also drives this growth.