AAON, Inc

AAON sells primarily into non-residential HVAC channels and project-driven end markets, with demand tied to new construction, retrofits, and capacity expansions. A large portion of volume flows through an extensive network of independent representatives and channel partners that support specification, bidding, and service for commercial projects. BASX’s customer set is more concentrated and program-based, serving hyperscale data center operators and their ecosystem, where order timing can shift and cancellations/re-issuances occur. The company also serves cleanroom environments in biopharmaceutical, semiconductor, medical, and agricultural applications where filtration, humidity control, and reliability are critical. AAON discloses that a small number of customers can represent 10%+ of revenue in a given year, while the remainder is spread across thousands of transactions.

AAON’s strategy centers on mass semi-customization—using flexible, computer-aided manufacturing to deliver configurable equipment that fits project requirements while retaining scale economics. The company is investing in capacity and capabilities to support growth in adjacent end markets, particularly data centers and cleanroom applications, while maintaining its commercial HVAC base. Operationally, management is modernizing systems and processes, including an ERP rollout at the Longview, Texas facility, to improve planning, execution, and scalability (despite near-term disruption). AAON also emphasizes engineering differentiation through its Tulsa-based innovation and testing infrastructure (NAIC) to validate performance under extreme conditions and support premium positioning. Capital expenditures remain a key lever to expand throughput and support new product and program requirements.