The average sales performance by Heating, Air-conditioning & Refrigeration Distributors International distributors increased of 6% percent during January, according to HARDI’s monthly TRENDS Report released March 1.
Sales growth for the 12 months through January 2023 was 18.1% percent, HARDI said.
“The weather was not accommodating during January. There was heavy rain and snow in much of the country, and the number of heating degree days were well below the prior year in five of our seven regions,” said HARDI Macroeconomic & Residential Market Analyst Brian Loftus. “Despite those challenges, distributors reported 6% sales growth versus the challenging 33% prior year gain.”
The Days Sales Outstanding, a measure of how quickly customers pay their bills, remains in the 43-day area. Loftus said the DSO had a “normal seasonal pattern” and November through January was the “high water mark” for the year.
“The post COVID DSO continues to be about 5 days shorter than pre-COVID,” he said. “There is still no indication of reversion and pinching the cash conversion cycle.”
On Feb. 23, HARDI said distributors saw a 9.7% revenue increase in December.