Filing Flows › Watsco (WSO) › Q3 2026 › vs Q3 2025
Watsco (WSO) Q3 2026 vs Q3 2025 (year over year)
Watsco's revenue rose $153M (+7%) from $2.1B in Q3 2025 to $2.2B in Q3 2026. Gross margin 26.4% against 27.5% (-1.1 pts).
Watsco, Q3 2026: revenue $2.2B (+7% year over year), operating margin 10.1%, net earnings $155M, operating cash flow $325M. The chart draws each line against Q3 2025, the increases inside each band.
Margins
| Q3 2026 | Q3 2025 | Change | |
|---|---|---|---|
| Gross margin | 26.4% | 27.5% | -1.1 pts |
| Operating margin | 10.1% | 11.4% | -1.2 pts |
| Net margin | 7.0% | 7.8% | -0.8 pts |
| Free cash flow margin | 14.2% | 16.7% | -2.5 pts |
Every line
| Line | Q3 2026 | Q3 2025 | Change | % |
|---|---|---|---|---|
| Revenue | $2.2B | $2.1B | $153M | +7% |
| Gross profit | $586M | $569M | $17.4M | +3% |
| Cost of revenue | $1.6B | $1.5B | $136M | +9% |
| Operating profit | $225M | $235M | −$9.6M | -4% |
| Operating expenses | $361M | $334M | $26.9M | +8% |
| Pre-tax earnings | $230M | $238M | −$8.7M | -4% |
| Net earnings | $155M | $162M | −$6.2M | -4% |
| Minority interests | $27.5M | $27.7M | −$181K | -0.7% |
| Income tax | $47.0M | $49.3M | −$2.3M | -5% |
| Depreciation & amortization | $12.0M | $11.0M | $1.0M | +9% |
| Share-based compensation | $9.1M | $9.1M | $44K | +0.5% |
| Working capital & other | $149M | $173M | −$24.7M | -14% |
| Operating cash flow | $325M | $355M | −$29.8M | -8% |
| Free cash flow (OCF − capex) | $315M | $346M | −$30.7M | -9% |
| Capital expenditures | $9.7M | $8.9M | $855K | +10% |
Questions
How much did Watsco's revenue grow year over year in Q3 2026?
Watsco's revenue rose $153M (+7%) from $2.1B in Q3 2025 to $2.2B in Q3 2026. Gross margin 26.4% against 27.5% (-1.1 pts).