Watsco Boosts Annual Dividend 10% to $13.20 Per Share

Rhea-AI Summary

Watsco (NYSE:WSO) announced a 10% increase in its annual dividend to $13.20 per share, payable beginning with the next quarterly dividend in April 2026. The board cited strong cash flow and a conservative balance sheet; Watsco has paid dividends for 52 consecutive years.

Management said future dividend changes will depend on investment opportunities, cash flow, economic conditions and overall financial condition.

Positive

• Dividend +10% to $13.20 per share
• Dividend continuity: 52 consecutive years of payments
• Next payment reflected in April 2026 quarterly dividend

Negative

• Future dividend levels depend on cash flow and economic conditions, creating uncertainty
• Dividend increase could reduce near-term free cash available for other investments

MIAMI, Feb. 17, 2026 (GLOBE NEWSWIRE) -- Watsco, Inc. (NYSE:WSO) announced that its Board of Directors approved a 10% increase in its annual dividend to $13.20 per share on each outstanding share of its Common and Class B common stock. The increase will be reflected in the Company’s next quarterly dividend payment in April 2026.

Albert H. Nahmad, Watsco’s Chairman & CEO stated: “We are pleased to increase dividends to shareholders, which reflects our confidence in the prospects of our business and is supported by our strong cash flow and balance sheet.”

Watsco has paid dividends to shareholders for 52 consecutive years. The Company’s philosophy is to share cash flow through dividends while keeping a conservative balance sheet with continued capacity to build its distribution network. Future changes in dividends will be considered in light of investment opportunities, cash flow, general economic conditions and Watsco’s overall financial condition.

About Watsco
Watsco is the largest distributor in the highly-fragmented North American HVAC/R market. Watsco’s solid financial position and culture of innovation has enabled investments in long-term growth, including the Company’s industry-leading technology platforms. Today, approximately 73,000 contractors, installers and technicians engage digitally with the Company, resulting in improved growth and lower attrition. The Company is now advancing AI-driven initiatives to leverage its extensive data assets to enhance the customer experience and improve efficiencies. These investments position Watsco to capture market share as contractors increasingly adopt digital tools and incorporate data-driven solutions in their businesses.

This document includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may address, among other things, our expected financial and operational results and the related assumptions underlying our expected results. These forward-looking statements are distinguished by use of words such as “will,” “would,” “anticipate,” “expect,” “believe,” “designed,” “plan,” or “intend,” the negative of these terms, and similar references to future periods. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations due to changes in economic, business, competitive market, new housing starts and completions, capital spending in commercial construction, consumer spending and debt levels, regulatory and other factors, including, without limitation, the effects of supplier concentration, competitive conditions within Watsco’s industry, the seasonal nature of sales of Watsco’s products, the ability of the Company to expand its business, insurance coverage risks and final GAAP adjustments. Detailed information about these factors and additional important factors can be found in the documents that Watsco files with the Securities and Exchange Commission, such as Form 10-K, Form 10-Q and Form 8-K. Forward-looking statements speak only as of the date the statements were made. Watsco assumes no obligation to update forward-looking information to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information, except as required by applicable law.

Barry S. Logan
Executive Vice President          
(305) 714-4102
e-mail: blogan@watsco.com

FAQ

How much did Watsco (WSO) raise its annual dividend on February 17, 2026?

Watsco raised its annual dividend by 10% to $13.20 per share. According to Watsco, the increase reflects confidence in cash flow and the balance sheet, and it will be paid starting with the April 2026 quarterly dividend.

When will Watsco's (WSO) increased dividend be paid to shareholders?

The increased dividend will be reflected in Watsco's next quarterly payment in April 2026. According to Watsco, the board approved the raise and scheduled the change to take effect with that April dividend distribution.

What does the $13.20 annual dividend mean for Watsco shareholders (WSO)?

Shareholders will receive an annualized dividend of $13.20 per share, a 10% increase. According to Watsco, the raise is supported by strong cash flow and a conservative balance sheet, reinforcing the company's shareholder-return policy.

How long has Watsco (WSO) been paying dividends to shareholders?

Watsco has paid dividends for 52 consecutive years. According to Watsco, this long track record underscores its dividend policy of sharing cash flow while maintaining a conservative balance sheet.

Could Watsco (WSO) change its dividend again after April 2026?

Yes. Future dividend changes will be considered based on investment opportunities, cash flow, and economic conditions. According to Watsco, management will evaluate dividends in light of overall financial condition and strategic needs.