The “go-go” days of post-Covid are gone. We’re back to pre-pandemic industry growth rates. Maintaining, and improving, net profitability in the face of slowing growth, increased cost structure, and stagnant (if not decreasing) margins, requires improved operational efficiency, inventory management, strategic price management, appropriate implementation and utilization of … [Read more...] about Driving Distributor Profitability Through Operational Efficiency
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HVACR Combinations – AD & IMARK, Continuum & Moblico
In the last week two combinations in the distribution space caught my eye. The first was a partnership of two service providers that has immediate impact for HVACR distributors. The 2nd was the announcement of a proposed Affiliated Distributors (AD) and IMARK merger for electrical distributors is worth watching to see if that is the start of bigger combinations between AD and … [Read more...] about HVACR Combinations – AD & IMARK, Continuum & Moblico
Mingledorff Communicates Via Caffeine and Coils
Earlier this year, I had a chance to visit a Mingledorff's HVACR distribution branch location in the Atlanta area close to my home. I reached out to do an interview because I started following a podcast called Caffeine and Coils from Mingledorff's hosted by Jenny Brown and Deanna Lassiter. https://podcasts.apple.com/us/podcast/caffeine-and-coils/id1701491521 This podcast … [Read more...] about Mingledorff Communicates Via Caffeine and Coils
Structuring Acquisitions
Acquisitions continue to transform the HVACR industry. PE (private equity) are expanding their portfolio companies and others are seeking to enter the market. National distributors are expanding into new territories and also acquiring smaller companies as "fill-ins" or, in some cases, are diversifying their businesses and building new divisions. Regionals, and even some "local" … [Read more...] about Structuring Acquisitions
Opinion- WATSCO Results show a continued focus on digital programs
WATSCO highlighted their continued commitment to digital enablement on May 8th in their 1Q24 investor presentations. In the world of distribution many private or PE companies do not report results, and many public companies do not release detailed strategic initiatives that have more depth than what is provided in the 10K. I eagerly await the annual WATSCO investor … [Read more...] about Opinion- WATSCO Results show a continued focus on digital programs
AI According to Mike Marks on Driven by DCKAP
AI is all the rage in trade publications, on LinkedIn, for industry conferences (and standalone conferences targeted at distribution) and will probably be a topic at this year's HARDI conference in one-on-one conversations between distributors and manufacturers. The questions that will be asked are: What are you doing? Oh, you’re not doing anything? What are you … [Read more...] about AI According to Mike Marks on Driven by DCKAP
Observations from Watsco Q1. Slow but Improving
With Q1 complete, Watsco shared their earnings report. We took a quick read-through to identify highlights and what some areas could mean and could mean for you. The following is taken from a transcript of the call: (and italics are my commentary) “Softer market conditions” with the caveat that Q1 is historically the slow season. Seeing “improved sales trends in … [Read more...] about Observations from Watsco Q1. Slow but Improving
Puro Lighting – Fighting Mold in HVAC Coils (A School Solution?)
One of the lasting benefits of Covid is increased awareness of air quality (AQ) and how this impacts health, productivity, learning, and more. Few had heard of UVC lighting to kill germs. During Covid, a leader in UV lighting, and more importantly, air quality improvement was Puro Lighting. The increased AQ awareness continues today (and with the mysterious ways government … [Read more...] about Puro Lighting – Fighting Mold in HVAC Coils (A School Solution?)
HVAC Fault Detection Insights from Schneider Electric
Consulting & Specifying Engineer (CSE) magazine is conducting a training webinar on Thursday, April 25th with a topic of "What the benefits of HVAC fault detection, plus how to specify it." The description for the webinar is: Within commercial buildings, it is estimated that poorly maintained, degraded or improperly controlled equipment wastes an … [Read more...] about HVAC Fault Detection Insights from Schneider Electric
Structured Data, a Prerequisite for AI HVACR Manufacturers
In the realm of HVACR manufacturing, the potential of integrating Artificial Intelligence (AI) could be a competitive advantage. One of the critical components underpinning the effectiveness of AI is structured data. Structured data refers to organized information that is formatted for easy analysis and interpretation by machines. In the context of HVACR manufacturers, … [Read more...] about Structured Data, a Prerequisite for AI HVACR Manufacturers
