Watsco, Inc. reported second-quarter 2026 sales of US$2,104.86 million, with net income of US$163.34 million and diluted EPS from continuing operations of US$4, both lower than a year earlier despite slightly higher sales. International markets, including Canada and Latin America/Caribbean, contributed under 9% of revenue and came in below analyst expectations, underscoring the current softness of Watsco's non-U.S. operations. The company also maintained its quarterly cash dividend at US$3.30 per share following a 10% increase in April, highlighting management's focus on shareholder returns even as earnings softened. The results reinforce that near-term margin stabilization remains the key catalyst, while risks persist from tariffs, refrigerant issues, and weak international demand.
Watsco IncQ2 earnings and EPS declined year-over-year despite higher sales, missing expectations.
