Welcome to our dedicated page for Watsco news (Ticker: WSO), a resource for investors and traders seeking the latest updates and insights on Watsco stock.
Watsco, Inc. (NYSE: WSO) is the largest distributor of heating, air conditioning, and refrigeration (HVAC/R) products in North America. Established over 50 years ago, Watsco transitioned from manufacturing HVAC/R components to distribution in 1989, emerging as an industry leader. The company operates 507 locations across 36 states, Puerto Rico, Latin America, and the Caribbean. As of 2023, Watsco generates 90% of its revenue from the U.S., with additional operations in Canada and Latin America, each contributing 5% to sales.
With a robust network of 4,000 employees, Watsco supports over 125,000 contractors who provide essential HVAC/R installation, repair, and replacement services. The company’s extensive product range meets the needs of four key industry segments:
- Air Conditioners, Furnaces, and Related Parts: Accounting for 50% of their offerings.
- Air Movement Products: Including ductwork and insulation, contributing 25%.
- Controls: Such as thermostats and air treatment systems, comprising 15%.
- Refrigeration Products: Making up 10% of their inventory.
Watsco’s significant presence in the HVAC/R market, particularly in the Sunbelt states, positions it strategically to capitalize on growth opportunities. The company’s entrepreneurial culture, industry scale, and technological transformation efforts contribute to strong margins and sustained long-term growth. Watsco’s commitment to innovation and regulatory compliance ensures it remains a pivotal player in the HVAC/R industry.
Recent achievements highlight Watsco’s dynamic approach and continuous evolution. For the latest updates, you can pre-register for events here and here.
Watsco (NYSE: WSO) will participate in the Wolfe Transport & Industrials Conference on May 27, 2021, at 10:50 a.m. EDT. Interested parties can access the live webcast via the Investor Relations section of Watsco’s website. Watsco stands as the largest distributor of HVAC/R products across North America and Latin America, with 651 locations catering to over 300,000 contractors annually. The company aims to address climate change challenges by promoting energy-efficient systems and collaborating with OEM partners for a sustainable future.
Watsco Acquires Acme Refrigeration
Watsco, Inc. (NYSE:WSO) has completed the acquisition of Acme Refrigeration, a top HVAC/R distributor based in Louisiana, adding 18 locations across Louisiana and Mississippi. Established in 1945, Acme generated $60 million in revenue in 2020 and serves over 4,000 customers. The acquisition aligns with Watsco's ongoing 'buy-and-build' strategy, enhancing its presence in the $40 billion North American HVAC/R market. Watsco aims to support Acme's growth while maintaining its established leadership and legacy.
Watsco reported record first quarter results with a 13% sales growth to $1.14 billion and a 93% increase in EPS to $1.39. Operating income rose 1% to $82 million, while gross profit increased by 19% to $295 million. The company noted a significant uptick in customer adoption of its technology platforms, contributing to decreased attrition rates and increased market share. Investments in innovation, including its mobile apps and e-commerce platforms, resulted in substantial increases in user engagement and sales transactions. Watsco also announced a 10% rise in its annual dividend to $7.80 per share.
Watsco, Inc. (NYSE: WSO) will host a conference call on April 22, 2021, at 10:00 a.m. (EDT) to discuss its Q1 2021 financial results, which will be released before the market opens on the same day. The call will include prepared remarks from senior management followed by a Q&A session. Participants can pre-register for the call or join by dialing the provided numbers. Watsco is a leading distributor of HVAC/R products across North America and is focused on high-efficiency systems to address climate change and improve energy efficiency.
Watsco Completes Acquisition of Temperature Equipment Corporation
Watsco, Inc. (NYSE: WSO) finalized the acquisition of Temperature Equipment Corporation (TEC), adding $291 million in sales and expanding its presence with 32 locations across several states. Founded in 1935, TEC services around 10,000 HVAC customers and offers a wide range of HVAC solutions from Carrier. The joint venture, where Watsco owns 80% and Carrier 20%, aims to fuel TEC's growth while leveraging Watsco's innovative technologies. This acquisition supports Watsco’s strategy to enhance its industry leadership within the HVAC sector.
Watsco Declares Quarterly Dividend
On April 1, 2021, Watsco, Inc. (NYSE: WSO) announced a quarterly cash dividend of $1.95 per share, payable on April 30, 2021, to shareholders of record by April 15, 2021. This follows a 10% increase in its annual dividend rate to $7.80 per share, announced in February 2021, stemming from a record operating cash flow in 2020. Watsco maintains a commitment to sharing cash flow with shareholders and has consistently paid dividends for 47 years.
Watsco, Inc. (NYSE: WSO) has signed an agreement to acquire Temperature Equipment Corporation (TEC), marking Watsco’s first entry into the U.S. Midwest. TEC, a major HVAC distributor, reported $291 million in sales for 2020 and serves approximately 10,000 contractor customers from 32 locations across multiple states. Watsco will own 80% of TEC, expected to close within 30 days. This acquisition aligns with Watsco's buy-and-build strategy, aimed at expanding its HVAC/R distribution network while leveraging TEC's established market presence.
Watsco, Inc. (NYSE:WSO) has announced a 10% increase in its annual dividend, raising it to $7.80 per share, effective from April 2021. The decision, supported by strong cash flow and a solid balance sheet, reflects the company's confidence in its ongoing performance. Watsco has maintained a strong dividend payment history for 47 consecutive years, emphasizing its commitment to sharing increasing cash flow with shareholders while keeping a conservative financial approach.
Watsco achieved record financial results for 2020, showcasing strong growth across multiple metrics. Key highlights include:
- 24% EPS growth to $1.14 and 8% sales growth to a record $5.05 billion.
- 10% increase in net income to $270 million and a 59% increase in operating cash flow to $534 million.
- A 10% dividend raise to $7.80 per share effective April 2021.
The company's growth is attributed to its focus on technology and efficiency, with significant investments in digital transformation.
Watsco, Inc. (NYSE: WSO) will host a conference call on February 11, 2021, at 10:00 a.m. (EDT) to discuss its fourth quarter and annual financial results for 2020. The earnings results will be released before the market opens on the same day. Investors can access the conference call via a web-cast link provided on Watsco's website. Participants are encouraged to pre-register for immediate access. Watsco is the largest distribution network for HVAC/R products, serving the U.S., Canada, Mexico, and beyond, with a focus on energy-efficient systems.
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