COLUMBUS, Ohio — Heating, Air-conditioning & Refrigeration Distributors International (HARDI) released its monthly TRENDS report, showing average sales for HARDI distributor members increased by 0.2 percent in September 2017.
The average annualized growth for the 12 months through September 2017 was 5.6 percent.
“September 2017 had one less billing day than 2016, 21 percent fewer cooling degree days, and two hurricanes disrupting operations,” said Brian Loftus, market research and marketing analyst, HARDI. “The heat wave out West led to very strong sales growth that influenced the average calculation, though the median distributor’s sales declined by 1.6 percent.”
Weather was a major factor behind HARDI distributor sales in August and September.
“The underlying economy remains strong, said Connor Lokar, senior economist, HARDI. “The U.S. labor market is generally tightening. September’s 4.1 percent unemployment is the lowest level since before the Great Recession. The number of hours worked is rising after contracting through most of 2016, which signals an increase in demand for labor and that the number of job openings is generally rising.”
The Days Sales Outstanding (DSO), a measure of how quickly customers pay their bills, is now near 44 days. “This is the normal DSO pace for this time of year,” said Loftus. “It is the midpoint of the recent levels for September.”
HARDI members do not receive financial compensation in exchange for their monthly sales data and can discontinue their participation without prior notice or penalty. Participation is voluntary, and the depth of market coverage varies from region to region. An independent entity collects and compiles the data that can include products not directly associated with the HVACR industry.
For more information, visit www.hardinet.org.
Publication date: 11/01/17