The Waukesha, WI-based power generation equipment maker posted adjusted earnings of 64 cents per share, above analysts' estimates of 60 cents per share.
Revenue jumped 27.4% to $367.4 million from last year, topping Wall Street's projections of $355.2 million.
For 2016, Generac sees net sales growth of 6% to 8% year-over-year. But total full-year organic sales on a constant currency basis are expected to fall between 10% and 13%.
"As we head into the second half of 2016, we've seen some additional weakening of end market demand primarily as a result of the ongoing very low power outage environment, continued weakness in oil & gas markets and Brexit-related uncertainty within Europe," CEO Aaaron Jagdfeld said.
Shares of Generac are falling 6.95% to $33.22 on heavy trading volume late Tuesday afternoon.
About 2.05 million of the company's shares were traded so far today vs. its average 30-day volume of 358,009 shares per day.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.
The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its expanding profit margins and solid stock price performance.
But the team also finds weaknesses including deteriorating net income, generally higher debt management risk and weak operating cash flow.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: GNRC