Watsco Projects OnCall Air Sales to Top $2B by 2026 Amid Strategic Expansion

Watsco (WSO) has outlined an aggressive growth trajectory for its OnCall Air business, forecasting that sales for the segment will surpass $2 billion by 2026. This projection underscores the company's focus on scaling its digital and service-oriented offerings within the HVAC sector. This growth comes as the company navigates a stabilizing market environment. Management noted during recent insights that the transition to A2L products—a critical regulatory shift in the HVAC industry—has matured, which has reduced operational friction and improved overall business stability. In addition to organic growth, Watsco is moving forward with the acquisition of Jackson Supply. The deal, valued at $230 million, is expected to close during the second quarter of the year, further expanding the company's distribution footprint. Executives expressed optimism regarding a more simplified business environment for the remainder of the year. However, they cautioned that it is still early in the current selling cycle, suggesting a measured approach to the immediate term. The combination of strategic acquisitions and the scaling of OnCall Air positions Watsco to strengthen its market share and diversify its revenue streams in the professional HVAC distribution space.