International.
HVAC system distributor Watsco Inc. released record results for the fourth quarter and year ended December 31, 2015.
Highlights of the company's fourth-quarter results include: 9% in earnings per share (EPS) growing to a record 75 cents; 4% increase in operating profit to a record US$54 million; 10 basis point expansion in operating margins to a record 6%; 20 basis point improvement in gross margin; and 3% sales growth to a record $904 million.
Sales trends for the quarter were: 6% growth in HVAC equipment (65% of sales), including 8% growth in the United States; stable sales for other HVAC products (30% of sales); and a 4% increase in commercial refrigeration products (5% of sales).
Highlights of the company's full-year results include: 13% of earnings from stock growth to a record $4.90; 10% increase in operating income to a record US$337 million; expansion of 40 basis points in operating margins to a record 8.2%; 30 basis point improvement in gross profit margin; reduction of 20 basis points in sales, overhead and administrative expenses (SG&A) as a percentage of sales to a minimum; and 4% sales growth to a record $4.11 billion (5% on a same-store basis).
Sales trends for the year were: 7% growth in HVAC equipment (66% of sales), including 8% growth in the U.S.; 2% increase in other HVAC products (29% of sales); and a 2% increase in commercial refrigeration products (5% of sales).
