Watsco's Q3 Sales Dip: A Volatile Transition
Update: 2025-11-05
Description
Watsco's Q3 Sales Dip: A Shift to New Refrigerant Products, Not Long-Term WeaknessWatsco, a leading distributor of HVAC equipment, reported a drop in third-quarter sales due to a shift towards new A2L refrigerant products, affecting half of their product line. Despite this, the market reacted positively. The company's CEO, Albert Nahmad, described the period as volatile but not indicative of long-term weakness. Factors offsetting lower sales volumes include increased pricing on new products, growth in non-equipment sales, and record cash flow. Analysts will monitor demand return, profit margins, inventory management, and growth in non-equipment and institutional sales for Watsco's future growth.
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