What is Watsco's deferred taxes?

Watsco (WSO) reported deferred taxes of $12.85M in Q4 2025.

What does deferred taxes mean?

Non-cash tax adjustments resulting from timing differences between accounting and tax reporting.

How do you interpret deferred taxes?

Positive values indicate deferred tax liabilities, while negative values indicate deferred tax assets.

How does deferred taxes compare across companies?

Standard across all tax-paying entities; highly dependent on specific tax jurisdictions and depreciation methods.

Watsco WSO Deferred Taxes

Deferred Taxes at other companies

Lennox InternationalLII

$3.3M+400%

Carrier GlobalCARR

-$179M-159%

EMCOR GroupEME

-$6.95M-350%

Comfort Systems USAFIX

$956K-53.0%

Parker-HannifinPH

-$12M-116%

Modine ManufacturingMOD

-$39.2M—

Other financials

Income statement

See full

Revenue$1.5B+0.1%

Gross profit$427.6M-0.5%

Operating income$110.2M-1.8%

Net income$79.1M-1.2%

EPS (diluted)$1.87-3.1%

Balance sheet

See full

Cash & equivalents$392.7M-9.1%

Total debt$496.3M+4.8%

Total equity$2.8B+3.6%

Total assets$4.6B+4.4%

Cash flow

See full

Operating cash flow-$18.9M+89.4%

CapEx$7.0M-7.7%

Free cash flow-$25.9M+86.0%

Valuation

See full

Market cap$16.52B-28.1%

Enterprise value$16.62B-27.7%

P/E33.3×-10.1×

P/S2.3×-0.7×

Profitability

See full

Gross margin28%+1.1pp

Operating margin9.9%-0.2pp

Net margin6.8%-0.1pp

Returns & leverage

See full

Return on equity18.3%-2.1pp

Debt / equity0.2×0.0×

Current ratio3.3×+0.1×

Where this comes from

Reported directly by Watsco in its filing.

Tagged under the XBRL concept us-gaap:DeferredIncomeTaxExpenseBenefit.

The official record: Watsco’s 10-K, filed February 27, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Watsco's deferred taxes?: Watsco (WSO) reported deferred taxes of $12.85M in Q4 2025.
What does deferred taxes mean?: Non-cash tax adjustments resulting from timing differences between accounting and tax reporting.
How do you interpret deferred taxes?: Positive values indicate deferred tax liabilities, while negative values indicate deferred tax assets.
How does deferred taxes compare across companies?: Standard across all tax-paying entities; highly dependent on specific tax jurisdictions and depreciation methods.