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Investor Presentaiton

6 Macro Investment Themes 10% Organic CAGR since IPO in 2010 '92 '94 '96 '98 '00 '02 '04 '06 '08 '10 '12 '14 '16 '18 '19 $2,000 $1,500 $1,000 $500 Note: $ amounts in millions. Represents gross sales excluding freight revenue. Excludes "Portable Product" sales prior to the division's divestiture in 1998. Figures include results from acquisitions completed during 2011-present; see slide titled "Summary of Acquisitions" for further details. Creating a Leading "Energy Technology" Company Power Quality Issues Continue To Increase - Over 500 million outage hours during 2019 (nearly 20% higher than LT baseline average) - Aging and under-invested electrical grid more vulnerable to unpredictable and severe weather - Aging population and overall consumers are more dependent on power Home Standby Market Growth Opportunity is Massive - Only 4.75% of US HH's have a HSB today (TAM=53M HH's) - Every 1.0% of penetration is approximately $2.5 billion market opportunity (at retail) - Generac's 75%+ share due to unique go to market strategy California market for backup power increasing significantly - Local utilities triggering numerous and significant power shutoff events -Shutoff events impacting millions of customers in an attempt to mitigate risk of wildfires - Events projected to continue for several years with HSB penetration only ~1% Energy Storage & Monitoring Markets Developing Quickly - New markets focused on energy cost reduction - Battery cost and performance continue to improve - Generac uniquely positioned with distribution, marketing & brand Natural Gas Generators Driving Superior Growth Rates - Cleaner, greener & more cost effective for on-site power - US is ~40% gas gen sales annually and growing 2x diesel - Global opportunity is nascent - less than 1% of market Rollout of 5G Will Require Improved Network Reliability - 5G will enable many new technologies - uptime critical - 330k US sites & only 1/3 have backup - Generac #1 supplier - Technology to rollout globally - Generac footprint can serve
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