Description

Watsco’s Granite Group Takeover Could Reshape Its Growth Engine!

Watsco has added another major transaction to its consolidation strategy, agreeing to acquire The Granite Group, a plumbing and HVAC distributor generating roughly $500 million in annual sales across seven Northeastern states. Announced on September 14, 2026, the transaction would add 82 locations, approximately 11,000 customers, around 29,000 SKUs, and relationships with more than 450 vendors to Watsco’s distribution network. Granite is expected to continue operating independently under CEO Bill Condron, consistent with Watsco’s decentralized acquisition model, while gaining access to the parent company’s capital, technology, supplier relationships, and distribution scale. The agreement follows Watsco’s June acquisition of Jackson Supply, a $230 million-revenue HVAC distributor operating 25 Sunbelt locations. The timing is notable because Watsco’s core residential HVAC equipment business has begun stabilizing, while management is increasingly focused on digital penetration, inventory efficiency, non-equipment sales, and acquisitions as additional sources of long-term growth.