Shares of portable generator manufacturer Generac Holdings (NYSE:GNRC) spiked more than 18% on Wednesday after the company boosted its sales and profit outlook for the year and posted higher quarterly revenue.
Sales of portable generators have climbed sharply in the wake of Hurricane Sandy, which caused major power outages across the Middle Atlantic seacoast, the Journal Sentinel noted.
In the third quarter, Generac said it earned $25.5 million, down from $37.4 million in the same period last year. But quarterly sales jumped 26% over last year, hitting $300.6 million.
For the year, Generac now anticipates a profit of between $2.95 and $3 a share, up from earlier estimates of between $2.65 and $2.70 a share.
The Wisconsin-based company said full year sales were expected to increase by more than 40%. It had previously predicted a 30% sales rise.
Investors liked the news, sending Generac shares up more than $5 a share to over $33 a share in Wednesday morning trading.