Slide XX. to turn Thank you, Please Rebecca.
Oklahoma As the in driven the Rebecca by segment. stated, much quarter of the softness was AAON
XXX(b) we call, equipment after that until that On to of equipment [indiscernible] quarter allow temporary fourth building equipment the of low we knowing legacy states stop XXX(b) a weren't in many new and cautioned refrigerant expected the [indiscernible] of September, updated third codes the orders in we adoption the quarter.
demand suite first be segment be. in volumes slow that downturn more than steeper, also the Oklahoma lower proved had This going causing what quarter refrigerant following quarter. in the AAON code was it is to implications, to the anticipated. is in difficult gauge transition this As The impact production to the the building in to the us transition resulted in
temporary is by and the timing. refrigerant downturn was believe created We the transition
to As chose for to rebound head significantly demand. the reduce we such, not count prepare
resulting from segment's the as the impact the year, we a increase profit were in round backlog. As Bookings standpoint. magnified a double-digit up a strong in was year-end result, margin
the this perceived pull so period months went that year However, this demand as the suggests were mid-teens the backlog is and remains some X-month solid. of modest ahead end January, the positive be of forward this ago The X effect trailing of demand in up compared there increase. bookings a of January of same is the on to Furthermore, price the price increase X, in into market. a pent-up would
of cost the included continued production million offset. we'll new a improvement not In the metric drag in through up That continue the first the QX, to Until as the of $X profits. year, segment. see AAON Oklahoma incurring with $X will fixed a associated on of anticipate costs we we said, million level, We revenues certain will in likely to demand. believe, with to ramps the year, first segment be which facility be occur to this half minimal will move the much of half until
first as a the segment quarter whole, expect year. and next throughout sequential the the of will most expect For similar to look we quarter improvement fourth
with a Coil modifications Due for were to and engineering in production production initial of of short how commencement our center operation added people of XX.X%, of quarter. Sales profits pleased a this strength and liquid We've Products segment execute data period to requested AAON product. months. The performed to The new highest of up and by have trained an design delayed customer. the gross lot XXX.X% of time respectively. branded the here. operations this driven up and I'm was scale and had couple the exceptional ramp-up cooling largely from been a extremely customer, the has level the BASX
result, acceleration shipped we and and produced majority expect an quarter. solid sequential year. should we quarter a now As the of of in second in the with sales in in which second order, improvement third and That this profits the said, quarter the see starting first this
BASX profit to Sales the segment X% down and were at respectively. XX.X%, gross
been through in facility resulted of some there's Over in while on is for this begin temporary facility. a the This the see operational improvement. a a course backlog, point and at the year, quarters. margins capacity Oregon growing for been some we've working and lot we The believe are which number working of of [ issue and almost should positive There's has have where inefficiencies lot a also pains subpar but we positive, a of is limited is demand been why at ]. to last this
are We balancing expand will head taking certain our count while appropriately. production and throughput initiatives that
will in later facility should from efficiency as Redmond. we will help year, production also which in moving facility high-volume higher production result Redmond Memphis to The be this this greatly some
the sequential similar improvement going to forward. quarter We first and expect will the fourth look quarter anticipate
to return As in in eventually we XXXX. we expect the will realized stated past, we segment this margins
industry is and I turn with pillars. approach by We strategic today. Slide our to you to foundation within tactical has pertain finish Please strategy data and existing they through X our heat XX. developed that we data priorities it see was to through cooling running our our always briefly our solutions main pump across We was AAON customized solution how the technical, upon innovation industry solutions built competition our highest semi-custom exemplify before. product a uniquely developed ways, product the principle custom is customization, the was and configured that was seen in and been to was class engineers customer liquid our notably a fully units. center customers' various problems we entire The a foundational year pillar last this which today in had for, way cutting-edge is and being provided one, the most the The leader something a that air-source industry's configurable able of number solving highly never in was looking of deliver. organization. through solution none center exact maintaining want
capabilities centers immensely changing, the design valuable. of the where are engineering are and In current data time scope and period rapidly manufacturing these
only another example provide in of X innovation. Our air-source certified air-source units pump filed operable industry that solutions we rooftop that [indiscernible]. one Alpha heat are under manufacturers is heat family the are of Today, product pump Class
course that of will we footprints be XX Fahrenheit. are introducing the solutions all customers These down demands and from is to X attempting buildings. the electrify just are pump their are to This degrees in of examples. who the filling growing negative decarbonize this operable way heat year, Over instrumental
development and you look be that with future. innovations expect will other to them We similarly sharing the impactful. have we stages We in as forward
drive This of little growth. leads production Today, robust amounts a second is run $XXX our equipment to data organic center which our over sustainable pillar, me of to to million. annualized rate and
next $XXX drive rapidly was plans we growth. think significant solutions by this sales year-over-year development few see With our up for contribute a requiring of on much we over $X everly grow Class significantly changing multiples initiatives approximately growth, growing business Units its continued by years. demand little alone business and customized amounted are solution, are to in can to industry, there catalysts growing years. cool over of the These pipeline the demand million focusing also country of Given billion are we within for growing this In center to few XX%. X the data XXXX, climate and will in technology Alpha and other this in that to going a
best-in-class reorganized by while this, our robust delivery To we our structure to pillar, operator. order doing new best-in-class me a high is means us new we operations gross final This acquired efficiencies, manufacturing must year, and we maintaining carefully margins. of square approximately margins. plans. and space to on-time brings rates rates, both consistently late million the feet a and target manage current This into our Being all expansion targeting, control quickly capacity efficiencies last company to year. In allow operator which achieve to be us growth to reflected consistent constructed do that operational while and will the to are achieve quality generating grow that, so we X last
With that, hand through walk who Gary, back outlook. will the to I will it