HVACR Distributors See 6.7% July Sales Jump

Sales at heating and cooling equipment distributors jumped 6.7% in July compared to the same month last year, according to a monthly survey by an industry trade group, Heating, Air-conditioning & Refrigeration Distributors International. That's the best monthly gain of the year so far. Over the full 12 months through July, sales rose a more modest 2.7%.

An analyst with the group cautioned that the July jump doesn't necessarily mean the market is heating up. The regions with the strongest sales were the ones that had hotter-than-usual weather (measured by something called cooling degree days, which track how much air conditioning demand rises with heat), while regions with cooler weather saw weaker sales. In other words, the numbers may reflect a hot summer more than a real shift in demand.

The report also tracked how quickly distributors' customers pay their bills, a measure called Days Sales Outstanding. That figure held steady compared to last year, which the analyst said suggests the market isn't getting worse, even though overall demand has been sluggish for more than two years. He pointed to a weak housing market and inflation pressuring how consumers feel about spending, saying any real improvement would need inflation and interest rates to ease.

For homeowners, this is mostly a snapshot of industry conditions rather than something that changes equipment costs or availability right now.