XML 45 R29.htm IDEA: XBRL DOCUMENT v3.24.0.1
Segments
12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Segments Segments
The Company has determined that it has three reportable segments for financial reporting purposes. Management evaluates the performance of its business segments primarily on gross profit. The Company's chief decision maker ("CODM"), our CEO, allocates resources and assesses the performance of each operating segment using information about the operating segment's net sales and income from operations. The CODM does not evaluate operating segments using asset or liability information.
AAON Oklahoma: AAON Oklahoma engineers, manufactures, and sells, semi-custom, and custom HVAC systems, designs and manufactures controls solutions, and sells retail parts to customers through retail part stores and online. AAON Oklahoma includes the operations of our Tulsa, OK and Parkville, MO manufacturing facilities, two retail locations, and the Norman Asbjornson Innovation Center ("NAIC") research and development laboratory accredited by the Air Movement and Control Association International, Inc. ("AMCA").
With the NAIC, a world-class research and development ("R&D") laboratory in Tulsa, OK, our products are continuously tested under a variety of extreme environmental conditions to ensure they deliver the ultimate performance, efficiency, and value.
Also located in Tulsa, OK, our cutting-edge Customer Exploration Center showcases the engineering, design attributes and premium build quality of our equipment side-by-side the market alternatives.
AAON Coil Products: AAON Coil Products engineers and manufactures a selection of our semi-custom, and custom HVAC systems as well as a variety of heating and cooling coils to be used in HVAC systems, mostly for the benefit of AAON Oklahoma, AAON Coil Products, and BASX. AAON Coil Products consists of operations at our Longview, TX manufacturing facilities.
BASX: BASX engineers, manufactures, and sells an array of custom, high-performance cooling solutions for the rapidly growing hyperscale data center market, ventilation solutions for cleanroom environments in the bio-pharmaceutical, semiconductor, medical and agriculture markets, and highly custom, air handlers and modular solutions for a vast array of markets. BASX consists of operations at our Redmond, OR manufacturing facilities.
The following table summarizes certain financial data related to our segments. Transactions between segments are recorded based on prices negotiated between the segments. The Gross Profit amounts shown below are presented after elimination entries.
 Years Ended December 31,
 202320222021
 (in thousands)
Net Sales   
AAON Oklahoma
     External sales$897,919 $663,845 $463,845 
     Inter-segment sales4,324 3,251 2,504 
AAON Coil Products
     External sales112,320 107,290 66,589 
     Inter-segment sales38,831 30,932 24,250 
BASX1
     External sales158,279 117,653 4,083 
     Inter-segment sales1,480 79 — 
Eliminations(44,635)(34,262)(26,754)
             Net sales$1,168,518 $888,788 $534,517 
  
Gross Profit
AAON Oklahoma$320,067 $172,983 $126,868 
AAON Coil Products29,324 33,311 10,075 
BASX1
49,629 31,278 887 
            Gross profit$399,020 $237,572 $137,830 
1 BASX was acquired on December 10, 2021. We have included the results of BASX's operations in our consolidated financial statements beginning December 11, 2021.
December 31,
20232022
(in thousands)
Long-lived assets
AAON Oklahoma$248,556 $213,731 
AAON Coil Products83,169 68,013 
BASX49,996 35,578 
            Total long-lived assets$381,721 $317,322 
Intangible assets and goodwill
AAON Oklahoma$10,282 $3,229 
AAON Coil Products— — 
BASX139,663 143,269 
            Total intangible assets and goodwill$149,945 $146,498