华斯科 2025年度报告

IT’S WHATGOT US HERE.IT’S WHATGUIDES USFORWARD. Simply put, our focus is to deliver greater value to our cus-tomers, suppliers, employees, and shareholders and build already reshaped the customer-experience of our industry.And 2026 will mark the launch of several new growth While we have accomplished much, we also have muchto achieve. For instance, our technology solutions, manyof which are in early phases of scaling and adoption, have Watsco entered the distribution market in Watsco’s culture is the single most durable Our disciplined mindset has produced a zero-debt balancesheet and over $700 million of cash and investments at theend of 2025. This financial flexibility is a direct by-product of aculture that prizes long-term stewardship over short-term gains,POSITION FINANCIAL WE ARE POWERED BY A STRONG Aaron (A.J.) NahmadPresidentAaAAAA ron We are built for the long term, engineered for resilienceand more confident than ever in the immense opportu-nities that lie ahead.Thank you for your partnership and shared long-termvisionSincerely, We operate in an industry with powerful fundamentalsand structural demand drivers. The North AmericanHVAC market remains vast and fragmented, with anever-growing installed base of over 120 million systemsthat will inevitably need replacement due to efficiencymandates, consumer preferences and simple mechani- ment potential in high-growth opportunities. Thisthinking has also enabled us to welcome exceptionalbusinesses into the Watsco family through our “school 2033 The sale of high-efficiency systems has long been a focus of ours, and we have invested in tools and tech-nology intended to capture an increasingly richer sales mix over time. In addition, regulatory mandateswill likely periodically increase the required minimum Seasonal Energy Efficiency Ratio rating, referred to According to the U.S. Department of Energy (“DOE”), heating and air conditioning accounts for roughlyhalf of household energy consumption in the U.S. As such, replacing older, less efficient HVAC systemswith higher efficiency systems is one of the most meaningful steps homeowners can take to reduce theirelectricity costs and carbon footprints. •general economic conditions, both in the United States and in the international markets we serve;•competitive factors within the HVAC/R industry;•effects of supplier concentration, including conditions that impact the supply chain;•fluctuations in certain commodity costs;•consumer spending;•consumer debt levels;•new housing starts and completions;•capital spending in the commercial construction market;•access to liquidity needed for operations;•seasonal nature of product sales;•weather patterns and conditions;•insurance coverage risks;•federal, state, and local regulations impacting our industry and products;•prevailing interest rates;•the effect of inflation;•foreign currency exchange rate fluctuations;•international risk, including related to changes in trade policies and tariffs; tions, amendments to existing trade agreements, such as the United States-Mexico-Canada Agreement, orfurther tariff increases on goods sourced from or assembled in Mexico and China, significantly raise ourproduct costs, then we may need to increase our prices further, which could lead to reduced sales, cus-tomer loss, and potential harm to our business. We continue to monitor macroeconomic conditions and recent U.S. trade policy announcements, whichhave implications for the various OEMs and vendors that comprise our supply chain. Many HVAC equip-ment and component manufacturers, including Carrier Global Corporation (“Carrier”) and RheemManufacturing Company, source component parts from China and Mexico or assemble significant portionsof residential and light-commercial products in Mexico, exposing them to tariff and inflationary pressures.In response, our OEM partners and suppliers have implemented varied price actions. To mitigate theseeffects, we have taken pricing actions, leveraging our technology platforms to efficiently adapt to changing operation of warehouse facilities, including a fleet of trucks and forklifts, and facility rent, a majority ofwhich we operate under non-cancelable operating leases. largest components of which are salaries, commissions, and marketing expenses that are variable andcorrelate to changes in sales. Other significant selling, general and administrative expenses relate to the FORWARD-LOOKING STATEMENTSThis Annual Report to Shareholders contains or incorporates by reference statements that are not histori-cal in nature and that are intended to be, and are hereby identified as, “forward-looking statements” asdefined in the Private Securities Litigation Reform Act of 1995. Statements which are not historical innature, including the words “anticipate,” “estimate,” “could,” “should,” “may,” “plan,” “seek,” “expect,”“believe,” “intend,” “target,” “will,” “project,” “focused,” “outlook,” “goal,” “designed,” and variations ofthese words