Watsco (WSO) 10-Q 5 Nov 15 2015 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Nov. 02, 2015
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Trading Symbol	WSO
Entity Registrant Name	WATSCO INC
Entity Central Index Key	105,016
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		30,249,084
Class B Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		5,034,991

Condensed Consolidated Unaudite

Condensed Consolidated Unaudited Statements of Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenues	$ 1,177,012	$ 1,134,999	$ 3,209,423	$ 3,067,753
Cost of sales	891,166	860,234	2,424,107	2,325,646
Gross profit	285,846	274,765	785,316	742,107
Selling, general and administrative expenses	175,166	169,527	502,769	488,336
Operating income	110,680	105,238	282,547	253,771
Interest expense, net	1,519	1,534	4,526	3,790
Income before income taxes	109,161	103,704	278,021	249,981
Income taxes	34,517	32,573	87,836	76,062
Net income	74,644	71,131	190,185	173,919
Less: net income attributable to non-controlling interest	16,676	16,670	43,746	46,604
Net income attributable to Watsco, Inc.	$ 57,968	$ 54,461	$ 146,439	$ 127,315
Earnings per share for Common and Class B common stock:
Basic and diluted	$ 1.64	$ 1.56	$ 4.16	$ 3.64

Condensed Consolidated Unaudit3

Condensed Consolidated Unaudited Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Net income	$ 74,644	$ 71,131	$ 190,185	$ 173,919
Other comprehensive loss, net of tax
Foreign currency translation adjustment	(14,682)	(11,996)	(31,585)	(12,648)
Unrealized gain on cash flow hedging instruments	946		2,331
Reclassification of gain on cash flow hedging instruments into earnings	(260)		(1,394)
Unrealized (loss) gain on available-for-sale securities	(15)	(5)	6	(13)
Other comprehensive loss	(14,011)	(12,001)	(30,642)	(12,661)
Comprehensive income	60,633	59,130	159,543	161,258
Less: comprehensive income attributable to non-controlling interest	11,058	11,723	31,390	41,350
Comprehensive income attributable to Watsco, Inc.	$ 49,575	$ 47,407	$ 128,153	$ 119,908

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 28,505	$ 24,447
Accounts receivable, net	510,004	434,234
Inventories	751,944	677,990
Other current assets	24,041	20,664
Total current assets	1,314,494	1,157,335
Property and equipment, net	63,297	53,480
Goodwill	379,985	387,311
Intangible assets, net	165,753	186,476
Other assets	5,930	6,465
Total assets	1,929,459	1,791,067
Current liabilities:
Current portion of other long-term obligations	182	169
Short-term borrowings	2,353
Accounts payable	200,641	173,360
Accrued expenses and other current liabilities	127,861	113,493
Total current liabilities	331,037	287,022
Long-term obligations:
Borrowings under revolving credit agreement	304,941	303,199
Other long-term obligations, net of current portion	561	686
Total long-term obligations	305,502	303,885
Deferred income taxes and other liabilities	$ 71,355	$ 68,121
Commitments and contingencies
Watsco, Inc. shareholders' equity:
Common stock, $0.50 par value	$ 18,283	$ 18,222
Preferred stock, $0.50 par value
Paid-in capital	$ 597,519	$ 580,564
Accumulated other comprehensive loss, net of tax	(42,033)	(23,747)
Retained earnings	493,478	420,879
Treasury stock, at cost	(114,425)	(114,425)
Total Watsco, Inc. shareholders' equity	955,362	883,960
Non-controlling interest	266,203	248,079
Total shareholders' equity	1,221,565	1,132,039
Total liabilities and shareholders' equity	1,929,459	1,791,067
Class B Common Stock
Watsco, Inc. shareholders' equity:
Common stock, $0.50 par value	$ 2,540	$ 2,467

Condensed Consolidated Balance5

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2015	Dec. 31, 2014
Common stock, par value	$ 0.50	$ 0.50
Preferred stock, par value	0.50	0.50
Class B Common Stock
Common stock, par value	$ 0.50	$ 0.50

Condensed Consolidated Unaudit6

Condensed Consolidated Unaudited Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net income	$ 190,185	$ 173,919
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	14,216	13,348
Share-based compensation	8,862	7,850
Deferred income tax provision	5,634	4,989
Non-cash contribution to 401(k) plan	1,963	1,759
Provision for doubtful accounts	1,305	1,375
Excess tax benefits from share-based compensation	(1,983)	(1,576)
Gain on sale of property and equipment	(420)	(149)
Changes in operating assets and liabilities:
Accounts receivable	(82,792)	(106,890)
Inventories	(80,165)	(149,085)
Accounts payable and other liabilities	45,358	99,175
Other, net	(2,405)	(2,996)
Net cash provided by operating activities	99,758	41,719
Cash flows from investing activities:
Capital expenditures	(20,593)	(9,234)
Proceeds from sale of property and equipment	686	332
Net cash used in investing activities	(19,907)	(8,902)
Cash flows from financing activities:
Dividends on Common and Class B common stock	(73,840)	(48,884)
Distributions to non-controlling interest	(13,266)	(25,817)
Net proceeds from other long-term obligations	(112)	276
Purchase of additional ownership from non-controlling interest		(87,735)
Payment of fees related to revolving credit agreement		(381)
Excess tax benefits from share-based compensation	1,983	1,576
Proceeds from short-term borrowings	2,353
Net proceeds under revolving credit agreement	3,327	122,943
Net proceeds from issuances of common stock	4,528	2,604
Net cash used in financing activities	(75,027)	(35,418)
Effect of foreign exchange rate changes on cash and cash equivalents	(766)	(186)
Net increase (decrease) in cash and cash equivalents	4,058	(2,787)
Cash and cash equivalents at beginning of period	24,447	19,478
Cash and cash equivalents at end of period	$ 28,505	$ 16,691

BASIS OF PRESENTATION

BASIS OF PRESENTATION	9 Months Ended
	Sep. 30, 2015
BASIS OF PRESENTATION	1. BASIS OF PRESENTATION Basis of Consolidation Watsco, Inc. (collectively with its subsidiaries, “Watsco,” “we,” “us” or “our”) was incorporated in Florida in 1956 and is the largest distributor of air conditioning, heating and refrigeration equipment and related parts and supplies (“HVAC/R”) in the HVAC/R distribution industry in North America. The accompanying September 30, 2015 interim condensed consolidated unaudited financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and note disclosures normally included in the annual financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to those rules and regulations, but we believe the disclosures made are adequate to make the information presented not misleading. In the opinion of management, all adjustments, consisting of normal and recurring adjustments, necessary for a fair presentation have been included in the condensed consolidated unaudited financial statements included herein. These statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2014 Annual Report on Form 10-K. The condensed consolidated unaudited financial statements contained in this report include the accounts of Watsco, all of its wholly owned subsidiaries and the accounts of three joint ventures with Carrier Corporation (“Carrier”), in each of which Watsco maintains a controlling interest. All significant intercompany balances and transactions have been eliminated in consolidation. The results of operations for the quarter and nine months ended September 30, 2015 are not necessarily indicative of the results to be expected for the year ending December 31, 2015. Sales of residential central air conditioners, heating equipment and parts and supplies are seasonal. Furthermore, results of operations can be impacted favorably or unfavorably based on weather patterns, primarily during the Summer and Winter selling seasons. Demand related to the residential central air conditioning replacement market is typically highest in the second and third quarters, and demand for heating equipment is usually highest in the fourth quarter. Demand related to the new construction market is fairly consistent during the year, subject to weather and economic conditions, including their effect on the number of housing completions. Reclassifications Certain reclassifications of prior year amounts have been made to conform to the 2015 presentation. These reclassifications had no effect on net income or earnings per share as previously reported. Use of Estimates The preparation of condensed consolidated unaudited financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated unaudited financial statements and the reported amounts of revenues and expenses for the reporting period. Significant estimates include valuation reserves for accounts receivable, inventories and income taxes, reserves related to self-insurance programs and the valuation of goodwill and indefinite lived intangible assets. While we believe that these estimates are reasonable, actual results could differ from such estimates. New Accounting Standards Revenue Recognition In May 2014, the Financial Accounting Standards Board (the “FASB”) issued a standard on revenue recognition that provides a single, comprehensive revenue recognition model for all contracts with customers. The standard is principle-based and provides a five-step model to determine the measurement of revenue and timing of when it is recognized. The core principle is that a company will recognize revenue to reflect the transfer of goods or services to customers at an amount that the company expects to be entitled to in exchange for those goods or services. In July 2015, the FASB deferred the effective date of this standard by one year. As a result, this standard is effective for our interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted for annual reporting periods beginning after December 15, 2016. We are currently evaluating the impact on our condensed consolidated unaudited financial statements. Presentation of Debt Issuance Costs In April 2015, the FASB issued guidance that will require debt issuance costs related to a recognized debt liability be presented on the balance sheet as a direct deduction from the carrying amount of that debt liability, rather than as an asset. This guidance is to be applied retrospectively and will be effective for interim and annual reporting periods beginning after December 15, 2015. We do not expect the adoption of this guidance to have a material impact on our condensed consolidated unaudited financial statements. Measurement of Inventory In July 2015, the FASB issued guidance that simplifies the measurement of inventory by replacing the lower of cost or market test with a lower of cost and net realizable value test. The guidance applies to all inventory that is measured using first-in, first-out or average cost methods. This guidance must be applied prospectively and will be effective for interim and annual reporting periods beginning after December 15, 2016. We do not expect the adoption of this guidance to have a material impact on our condensed consolidated unaudited financial statements.

EARNINGS PER SHARE

EARNINGS PER SHARE	9 Months Ended
	Sep. 30, 2015
EARNINGS PER SHARE	2. EARNINGS PER SHARE The following table presents the calculation of basic and diluted earnings per common share for our Common and Class B common stock: Quarter Ended Nine Months Ended 2015 2014 2015 2014 Basic Earnings per Share: Net income attributable to Watsco, Inc. shareholders $ 57,968 $ 54,461 $ 146,439 $ 127,315 Less: distributed and undistributed earnings allocated to non-vested restricted common stock 4,595 4,106 11,513 9,644 Earnings allocated to Watsco, Inc. shareholders $ 53,373 $ 50,355 $ 134,926 $ 117,671 Weighted-average common shares outstanding - Basic 32,458,906 32,330,888 32,421,350 32,292,559 Basic earnings per share for Common and Class B common stock $ 1.64 $ 1.56 $ 4.16 $ 3.64 Allocation of earnings for Basic: Common stock $ 48,893 $ 46,138 $ 123,588 $ 107,804 Class B common stock 4,480 4,217 11,338 9,867 $ 53,373 $ 50,355 $ 134,926 $ 117,671 Diluted Earnings per Share: Net income attributable to Watsco, Inc. shareholders $ 57,968 $ 54,461 $ 146,439 $ 127,315 Less: distributed and undistributed earnings allocated to non-vested restricted common stock 4,592 4,103 11,505 9,635 Earnings allocated to Watsco, Inc. shareholders $ 53,376 $ 50,358 $ 134,934 $ 117,680 Weighted-average common shares outstanding - Basic 32,458,906 32,330,888 32,421,350 32,292,559 Effect of dilutive stock options 39,951 45,051 47,963 52,509 Weighted-average common shares outstanding - Diluted 32,498,857 32,375,939 32,469,313 32,345,068 Diluted earnings per share for Common and Class B common stock $ 1.64 $ 1.56 $ 4.16 $ 3.64 Anti-dilutive stock options not included above 16,332 28,565 58,169 7,788 Diluted earnings per share for our Common stock assumes the conversion of all of our Class B common stock into Common stock as of the beginning of the fiscal year; therefore, no allocation of earnings to Class B common stock is required. At September 30, 2015 and 2014, our outstanding Class B common stock was convertible into 2,724,464 and 2,707,725 shares of our Common stock, respectively.

OTHER COMPREHENSIVE LOSS

OTHER COMPREHENSIVE LOSS	9 Months Ended
	Sep. 30, 2015
OTHER COMPREHENSIVE LOSS	3. OTHER COMPREHENSIVE LOSS Other comprehensive loss consists of the foreign currency translation adjustment associated with our Canadian operations’ use of the Canadian dollar as its functional currency and changes in the unrealized (losses) gains on cash flow hedging instruments and available-for-sale securities. The tax effects allocated to each component of other comprehensive loss were as follows: Quarter Ended Nine Months Ended 2015 2014 2015 2014 Foreign currency translation adjustment $ (14,682 ) $ (11,996 ) $ (31,585 ) $ (12,648 ) Unrealized gain on cash flow hedging instruments 1,294 — 3,192 — Income tax expense (348 ) — (861 ) — Unrealized gain on cash flow hedging instruments, net of tax 946 — 2,331 — Reclassification of gain on cash flow hedging instruments into earnings (356 ) — (1,910 ) — Income tax expense 96 — 516 — Reclassification of gain on cash flow hedging instruments into earnings, net of tax (260 ) — (1,394 ) — Unrealized (loss) gain on available-for-sale securities (25 ) (9 ) 9 (21 ) Income tax benefit (expense) 10 4 (3 ) 8 Unrealized (loss) gain on available-for-sale securities, net of tax (15 ) (5 ) 6 (13 ) Other comprehensive loss $ (14,011 ) $ (12,001 ) $ (30,642 ) $ (12,661 ) The changes in each component of accumulated other comprehensive loss, net of tax, were as follows: Nine Months Ended September 30, 2015 2014 Foreign currency translation adjustment: Beginning balance $ (23,623 ) $ (11,181 ) Current period other comprehensive loss (18,853 ) (7,394 ) Ending balance $ (42,476 ) $ (18,575 ) Cash flow hedging instruments: Beginning balance $ 168 — Current period other comprehensive income 1,398 — Less reclassification adjustment (837 ) — Ending balance $ 729 — Available-for-sale securities: Beginning balance $ (292 ) $ (293 ) Current period other comprehensive income (loss) 6 (13 ) Ending balance $ (286 ) $ (306 ) Accumulated other comprehensive loss, net of tax $ (42,033 ) $ (18,881 )

DERIVATIVE FINANCIAL INSTRUMENT

DERIVATIVE FINANCIAL INSTRUMENTS	9 Months Ended
	Sep. 30, 2015
DERIVATIVE FINANCIAL INSTRUMENTS	4. DERIVATIVE FINANCIAL INSTRUMENTS We enter into foreign currency forward contracts to offset the earnings impact that foreign exchange rate fluctuations would otherwise have on certain monetary liabilities that are denominated in nonfunctional currencies. Cash Flow Hedging Instruments We enter into foreign currency forward contracts that are designated as cash flow hedges. The settlement of these derivatives results in reclassifications from accumulated other comprehensive loss to earnings for the period in which the settlement of these instruments occur. The maximum period for which we hedge our cash flow using these instruments is 12 months, and accordingly, at September 30, 2015, all of our open foreign currency forward contracts had maturities of one year or less. The total notional value of our foreign currency exchange contracts designated as cash flow hedges at September 30, 2015 was $24,900, and such contracts have varying terms expiring through April 2016. At September 30, 2014, our foreign currency forward contracts either were not designated as cash flow hedges or did not qualify for hedge accounting. The impact from foreign exchange derivative instruments designated as cash flow hedges was as follows for the periods indicated: Quarter Ended Nine Months Ended 2015 2014 2015 2014 Gain recorded in accumulated other comprehensive loss $ 1,294 — $ 3,192 — Gain reclassified from accumulated other comprehensive loss into earnings $ (356 ) — $ (1,910 ) — At September 30, 2015, we expected an estimated $1,666 pre-tax gain to be reclassified into earnings to reflect the fixed prices obtained from foreign exchange hedging within the next 12 months. Derivatives Not Designated as Hedging Instruments We have also entered into foreign currency forward contracts that are either not designated as hedges or do not qualify for hedge accounting. These derivative instruments were effective economic hedges for all of the periods presented. The fair value gains and losses on these contracts are recognized in earnings as a component of selling, general and administrative expenses. The total notional value of our foreign currency exchange contracts not designated as hedging instruments at September 30, 2015 was $14,600, and such contracts have varying terms expiring through November 2015. We recognized a gain of $955 and $2,127 from foreign currency forward contracts not designated as hedging instruments in our condensed consolidated unaudited statements of income for the quarters ended September 30, 2015 and 2014, respectively. We recognized a gain of $2,249 and $572 from foreign currency forward contracts not designated as hedging instruments in our condensed consolidated unaudited statements of income for the nine months ended September 30, 2015 and 2014, respectively. The following table summarizes the fair value of derivative instruments, which consist solely of foreign currency forward contracts, included in other current assets in our condensed consolidated unaudited balance sheets. See Note 5. Asset Derivatives September 30, 2015 December 31, 2014 Derivatives designated as hedging instruments $ 1,137 $ 384 Derivatives not designated as hedging instruments 268 260 Total asset derivative instruments $ 1,405 $ 644

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Sep. 30, 2015
FAIR VALUE MEASUREMENTS	5. FAIR VALUE MEASUREMENTS The following tables present our assets and liabilities carried at fair value that are measured on a recurring basis: Fair Value Measurements Balance Sheet Location Total Level 1 Level 2 Level 3 Assets: Available-for-sale securities Other assets $ 275 $ 275 — — Derivative financial instruments Other current assets $ 1,405 — $ 1,405 — Fair Value Measurements Balance Sheet Location Total Level 1 Level 2 Level 3 Assets: Available-for-sale securities Other assets $ 266 $ 266 — — Derivative financial instruments Other current assets $ 644 — $ 644 — The following is a description of the valuation techniques used for these assets and liabilities, as well as the level of input used to measure fair value: Available-for-sale securities Derivative financial instruments There were no transfers in or out of Level 1 and Level 2 during the nine months ended September 30, 2015.

PURCHASE OF OWNERSHIP INTEREST

PURCHASE OF OWNERSHIP INTEREST IN JOINT VENTURE	9 Months Ended
	Sep. 30, 2015
PURCHASE OF OWNERSHIP INTEREST IN JOINT VENTURE	6. PURCHASE OF OWNERSHIP INTEREST IN JOINT VENTURE On July 1, 2014, we exercised our second option to acquire an additional 10% ownership interest in Carrier Enterprise, LLC (“Carrier Enterprise I”) for cash consideration of $87,735, following which we have an 80% controlling interest in Carrier Enterprise I. Neither we nor Carrier has any remaining options to purchase additional ownership interests in Carrier Enterprise I, or any of our other joint ventures with Carrier.

DEBT

DEBT	9 Months Ended
	Sep. 30, 2015
DEBT	7. DEBT We maintain an unsecured, syndicated revolving credit agreement that provides for borrowings of up to $600,000. Borrowings are used to fund seasonal working capital needs and for other general corporate purposes, including acquisitions, dividends (if and as declared by our Board of Directors), stock repurchases and issuances of letters of credit. The credit agreement matures on July 1, 2019. At September 30, 2015 and December 31, 2014, $304,941 and $303,199, respectively, were outstanding under the revolving credit agreement. The revolving credit agreement contains customary affirmative and negative covenants, including financial covenants with respect to consolidated leverage and interest coverage ratios, and other customary restrictions. We believe we were in compliance with all covenants at September 30, 2015. At September 30, 2015, $2,353 of short-term borrowings were outstanding under a credit line established by our Mexican subsidiary. This line of credit has a one-year term, maturing on June 15, 2016, is non-committed and provides for borrowings of up to approximately $8,800 (MXN $150,000) for general corporate purposes. No short-term borrowings were outstanding under this credit line at December 31, 2014.

SHAREHOLDERS' EQUITY

SHAREHOLDERS' EQUITY	9 Months Ended
	Sep. 30, 2015
SHAREHOLDERS' EQUITY	8. SHAREHOLDERS’ EQUITY Common Stock Dividends We paid cash dividends of $0.70, $0.60, $2.10 and $1.40 per share of Common stock and Class B common stock during the quarters and nine months ended September 30, 2015 and 2014, respectively. Non-Vested Restricted Stock During the quarters ended September 30, 2015 and 2014, we granted 17,500 and 10,700 shares of non-vested restricted stock, respectively. During the nine months ended September 30, 2015 and 2014, we granted 189,479 and 213,725 shares of non-vested restricted stock, respectively. During the nine months ended September 30, 2015, 7,206 shares of Common stock with an aggregate fair market value of $889 were withheld as payment in lieu of cash to satisfy tax withholding obligations in connection with the vesting of restricted stock. During the nine months ended September 30, 2014, 21,028 shares of Common stock with an aggregate fair market value of $2,125 were withheld as payment in lieu of cash to satisfy tax withholding obligations in connection with the vesting of restricted stock. These shares were retired upon delivery. Exercise of Stock Options During the quarters ended September 30, 2015 and 2014, 14,250 and 17,850 stock options, respectively, were exercised for a combination of Common stock and Class B common stock. During the nine months ended September 30, 2015 and 2014, 80,450 and 41,350 stock options, respectively, were exercised for a combination of Common stock and Class B common stock. Cash received from the exercise of stock options during the quarters and nine months ended September 30, 2015 and 2014, was $999, $613, $3,681 and $1,942, respectively. During the nine months ended September 30, 2015, 14,760 shares of Class B common stock with an aggregate fair market value of $1,837 were withheld as payment in lieu of cash for stock option exercises and related tax withholdings. During both the quarter and nine months ended September 30, 2014, 5,454 shares of Class B common stock with an aggregate fair market value of $490 were withheld as payment in lieu of cash for stock option exercises and related tax withholdings. These shares were retired upon delivery. Employee Stock Purchase Plan During the quarters ended September 30, 2015 and 2014, 2,433 and 2,741 shares of Common stock were issued under our employee stock purchase plan for which we received net proceeds of $294 and $259, respectively. During the nine months ended September 30, 2015 and 2014, 7,402 and 6,984 shares of Common stock were issued under our employee stock purchase plan for which we received net proceeds of $847 and $662, respectively. 401(k) Plan During the nine months ended September 30, 2015 and 2014, we issued 18,343 and 18,309 shares of Common stock, respectively, to our profit sharing retirement plan, representing the Common stock discretionary matching contribution of $1,963 and $1,759, respectively. Non-controlling Interest Of our three joint ventures with Carrier, we have an 80% controlling interest in one and a 60% controlling interest in each of the other two, while Carrier has either a 20% or 40% non-controlling interest in such joint ventures, as applicable. The following table reconciles shareholders’ equity attributable to Carrier’s non-controlling interest: Non-controlling interest at December 31, 2014 $ 248,079 Net income attributable to non-controlling interest 43,746 Distributions to non-controlling interest (13,266 ) Foreign currency translation adjustment (12,732 ) Gain recorded in accumulated other comprehensive loss 933 Gain reclassified from accumulated other comprehensive loss into earnings (557 ) Non-controlling interest at September 30, 2015 $ 266,203

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2015
COMMITMENTS AND CONTINGENCIES	9. COMMITMENTS AND CONTINGENCIES Litigation, Claims and Assessments We are involved in litigation incidental to the operation of our business. We vigorously defend all matters in which we or our subsidiaries are named defendants and, for insurable losses, maintain significant levels of insurance to protect against adverse judgments, claims or assessments that may affect us. Although the adequacy of existing insurance coverage and the outcome of any legal proceedings cannot be predicted with certainty, based on the current information available, we do not believe the ultimate liability associated with any known claims or litigation will have a material adverse effect on our financial condition or results of operations. Self-Insurance Self-insurance reserves are maintained relative to company-wide casualty insurance and health benefit programs. The level of exposure from catastrophic events is limited by the purchase of stop-loss and aggregate liability reinsurance coverage. When estimating the self-insurance liabilities and related reserves, management considers a number of factors, which include historical claims experience, demographic factors, severity factors and valuations provided by independent third-party actuaries. Management reviews its assumptions with its independent third-party actuaries to evaluate whether the self-insurance reserves are adequate. If actual claims or adverse development of loss reserves occur and exceed these estimates, additional reserves may be required. Reserves in the amounts of $3,687 and $4,630 at September 30, 2015 and December 31, 2014, respectively, were established related to such programs and are included in accrued expenses and other current liabilities in our condensed consolidated unaudited balance sheets.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Sep. 30, 2015
RELATED PARTY TRANSACTIONS	10. RELATED PARTY TRANSACTIONS Purchases from Carrier and its affiliates comprised 62% and 63% of all inventory purchases made during the quarters ended September 30, 2015 and 2014, respectively. Purchases from Carrier and its affiliates comprised 62% and 61% of all inventory purchases made during the nine months ended September 30, 2015 and 2014, respectively. At September 30, 2015 and December 31, 2014, approximately $82,000 and $61,000, respectively, was payable to Carrier and its affiliates, net of receivables. Our joint ventures with Carrier also sell HVAC products to Carrier and its affiliates. Revenues in our condensed consolidated unaudited statements of income for the quarters and nine months ended September 30, 2015 and 2014 included $18,389, $11,518, $47,293 and $29,181, respectively, of sales to Carrier and its affiliates. We believe these transactions are conducted at arm’s-length in the ordinary course of business.

SUBSEQUENT EVENT

SUBSEQUENT EVENT	9 Months Ended
	Sep. 30, 2015
SUBSEQUENT EVENT	11. SUBSEQUENT EVENT On October 23, 2015, our Board of Directors approved an increase to the quarterly cash dividend per share of Common and Class B common stock to $0.85 per share from $0.70 per share beginning with the dividend that will be paid in January 2016.

BASIS OF PRESENTATION (Policies

BASIS OF PRESENTATION (Policies)	9 Months Ended
	Sep. 30, 2015
Basis of Consolidation	Basis of Consolidation Watsco, Inc. (collectively with its subsidiaries, “Watsco,” “we,” “us” or “our”) was incorporated in Florida in 1956 and is the largest distributor of air conditioning, heating and refrigeration equipment and related parts and supplies (“HVAC/R”) in the HVAC/R distribution industry in North America. The accompanying September 30, 2015 interim condensed consolidated unaudited financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and note disclosures normally included in the annual financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to those rules and regulations, but we believe the disclosures made are adequate to make the information presented not misleading. In the opinion of management, all adjustments, consisting of normal and recurring adjustments, necessary for a fair presentation have been included in the condensed consolidated unaudited financial statements included herein. These statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2014 Annual Report on Form 10-K. The condensed consolidated unaudited financial statements contained in this report include the accounts of Watsco, all of its wholly owned subsidiaries and the accounts of three joint ventures with Carrier Corporation (“Carrier”), in each of which Watsco maintains a controlling interest. All significant intercompany balances and transactions have been eliminated in consolidation. The results of operations for the quarter and nine months ended September 30, 2015 are not necessarily indicative of the results to be expected for the year ending December 31, 2015. Sales of residential central air conditioners, heating equipment and parts and supplies are seasonal. Furthermore, results of operations can be impacted favorably or unfavorably based on weather patterns, primarily during the Summer and Winter selling seasons. Demand related to the residential central air conditioning replacement market is typically highest in the second and third quarters, and demand for heating equipment is usually highest in the fourth quarter. Demand related to the new construction market is fairly consistent during the year, subject to weather and economic conditions, including their effect on the number of housing completions.
Reclassifications	Reclassifications Certain reclassifications of prior year amounts have been made to conform to the 2015 presentation. These reclassifications had no effect on net income or earnings per share as previously reported.
Use of Estimates	Use of Estimates The preparation of condensed consolidated unaudited financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated unaudited financial statements and the reported amounts of revenues and expenses for the reporting period. Significant estimates include valuation reserves for accounts receivable, inventories and income taxes, reserves related to self-insurance programs and the valuation of goodwill and indefinite lived intangible assets. While we believe that these estimates are reasonable, actual results could differ from such estimates.
New Accounting Standards	New Accounting Standards Revenue Recognition In May 2014, the Financial Accounting Standards Board (the “FASB”) issued a standard on revenue recognition that provides a single, comprehensive revenue recognition model for all contracts with customers. The standard is principle-based and provides a five-step model to determine the measurement of revenue and timing of when it is recognized. The core principle is that a company will recognize revenue to reflect the transfer of goods or services to customers at an amount that the company expects to be entitled to in exchange for those goods or services. In July 2015, the FASB deferred the effective date of this standard by one year. As a result, this standard is effective for our interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted for annual reporting periods beginning after December 15, 2016. We are currently evaluating the impact on our condensed consolidated unaudited financial statements. Presentation of Debt Issuance Costs In April 2015, the FASB issued guidance that will require debt issuance costs related to a recognized debt liability be presented on the balance sheet as a direct deduction from the carrying amount of that debt liability, rather than as an asset. This guidance is to be applied retrospectively and will be effective for interim and annual reporting periods beginning after December 15, 2015. We do not expect the adoption of this guidance to have a material impact on our condensed consolidated unaudited financial statements. Measurement of Inventory In July 2015, the FASB issued guidance that simplifies the measurement of inventory by replacing the lower of cost or market test with a lower of cost and net realizable value test. The guidance applies to all inventory that is measured using first-in, first-out or average cost methods. This guidance must be applied prospectively and will be effective for interim and annual reporting periods beginning after December 15, 2016. We do not expect the adoption of this guidance to have a material impact on our condensed consolidated unaudited financial statements.
Self-Insurance	Self-Insurance Self-insurance reserves are maintained relative to company-wide casualty insurance and health benefit programs. The level of exposure from catastrophic events is limited by the purchase of stop-loss and aggregate liability reinsurance coverage. When estimating the self-insurance liabilities and related reserves, management considers a number of factors, which include historical claims experience, demographic factors, severity factors and valuations provided by independent third-party actuaries. Management reviews its assumptions with its independent third-party actuaries to evaluate whether the self-insurance reserves are adequate. If actual claims or adverse development of loss reserves occur and exceed these estimates, additional reserves may be required. Reserves in the amounts of $3,687 and $4,630 at September 30, 2015 and December 31, 2014, respectively, were established related to such programs and are included in accrued expenses and other current liabilities in our condensed consolidated unaudited balance sheets.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	9 Months Ended
	Sep. 30, 2015
Schedule of Basic and Diluted Earnings Per Common Share	The following table presents the calculation of basic and diluted earnings per common share for our Common and Class B common stock: Quarter Ended Nine Months Ended 2015 2014 2015 2014 Basic Earnings per Share: Net income attributable to Watsco, Inc. shareholders $ 57,968 $ 54,461 $ 146,439 $ 127,315 Less: distributed and undistributed earnings allocated to non-vested restricted common stock 4,595 4,106 11,513 9,644 Earnings allocated to Watsco, Inc. shareholders $ 53,373 $ 50,355 $ 134,926 $ 117,671 Weighted-average common shares outstanding - Basic 32,458,906 32,330,888 32,421,350 32,292,559 Basic earnings per share for Common and Class B common stock $ 1.64 $ 1.56 $ 4.16 $ 3.64 Allocation of earnings for Basic: Common stock $ 48,893 $ 46,138 $ 123,588 $ 107,804 Class B common stock 4,480 4,217 11,338 9,867 $ 53,373 $ 50,355 $ 134,926 $ 117,671 Diluted Earnings per Share: Net income attributable to Watsco, Inc. shareholders $ 57,968 $ 54,461 $ 146,439 $ 127,315 Less: distributed and undistributed earnings allocated to non-vested restricted common stock 4,592 4,103 11,505 9,635 Earnings allocated to Watsco, Inc. shareholders $ 53,376 $ 50,358 $ 134,934 $ 117,680 Weighted-average common shares outstanding - Basic 32,458,906 32,330,888 32,421,350 32,292,559 Effect of dilutive stock options 39,951 45,051 47,963 52,509 Weighted-average common shares outstanding - Diluted 32,498,857 32,375,939 32,469,313 32,345,068 Diluted earnings per share for Common and Class B common stock $ 1.64 $ 1.56 $ 4.16 $ 3.64 Anti-dilutive stock options not included above 16,332 28,565 58,169 7,788

OTHER COMPREHENSIVE LOSS (Table

OTHER COMPREHENSIVE LOSS (Tables)	9 Months Ended
	Sep. 30, 2015
Schedule of Tax Effects Allocated to Each Component of Other Comprehensive Loss	The tax effects allocated to each component of other comprehensive loss were as follows: Quarter Ended Nine Months Ended 2015 2014 2015 2014 Foreign currency translation adjustment $ (14,682 ) $ (11,996 ) $ (31,585 ) $ (12,648 ) Unrealized gain on cash flow hedging instruments 1,294 — 3,192 — Income tax expense (348 ) — (861 ) — Unrealized gain on cash flow hedging instruments, net of tax 946 — 2,331 — Reclassification of gain on cash flow hedging instruments into earnings (356 ) — (1,910 ) — Income tax expense 96 — 516 — Reclassification of gain on cash flow hedging instruments into earnings, net of tax (260 ) — (1,394 ) — Unrealized (loss) gain on available-for-sale securities (25 ) (9 ) 9 (21 ) Income tax benefit (expense) 10 4 (3 ) 8 Unrealized (loss) gain on available-for-sale securities, net of tax (15 ) (5 ) 6 (13 ) Other comprehensive loss $ (14,011 ) $ (12,001 ) $ (30,642 ) $ (12,661 )
Schedule of Accumulated Other Comprehensive Loss	The changes in each component of accumulated other comprehensive loss, net of tax, were as follows: Nine Months Ended September 30, 2015 2014 Foreign currency translation adjustment: Beginning balance $ (23,623 ) $ (11,181 ) Current period other comprehensive loss (18,853 ) (7,394 ) Ending balance $ (42,476 ) $ (18,575 ) Cash flow hedging instruments: Beginning balance $ 168 — Current period other comprehensive income 1,398 — Less reclassification adjustment (837 ) — Ending balance $ 729 — Available-for-sale securities: Beginning balance $ (292 ) $ (293 ) Current period other comprehensive income (loss) 6 (13 ) Ending balance $ (286 ) $ (306 ) Accumulated other comprehensive loss, net of tax $ (42,033 ) $ (18,881 )

DERIVATIVE FINANCIAL INSTRUME21

DERIVATIVE FINANCIAL INSTRUMENTS (Tables)	9 Months Ended
	Sep. 30, 2015
Impact from Foreign Exchange Derivative Instruments Designated as Cash Flow Hedges	The impact from foreign exchange derivative instruments designated as cash flow hedges was as follows for the periods indicated: Quarter Ended Nine Months Ended 2015 2014 2015 2014 Gain recorded in accumulated other comprehensive loss $ 1,294 — $ 3,192 — Gain reclassified from accumulated other comprehensive loss into earnings $ (356 ) — $ (1,910 ) —
Fair Value of Derivative Instruments and Location in the Balance Sheets	The following table summarizes the fair value of derivative instruments, which consist solely of foreign currency forward contracts, included in other current assets in our condensed consolidated unaudited balance sheets. See Note 5. Asset Derivatives September 30, 2015 December 31, 2014 Derivatives designated as hedging instruments $ 1,137 $ 384 Derivatives not designated as hedging instruments 268 260 Total asset derivative instruments $ 1,405 $ 644

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	9 Months Ended
	Sep. 30, 2015
Assets and Liabilities Measured at Fair Value on Recurring Basis	The following tables present our assets and liabilities carried at fair value that are measured on a recurring basis: Fair Value Measurements Balance Sheet Location Total Level 1 Level 2 Level 3 Assets: Available-for-sale securities Other assets $ 275 $ 275 — — Derivative financial instruments Other current assets $ 1,405 — $ 1,405 — Fair Value Measurements Balance Sheet Location Total Level 1 Level 2 Level 3 Assets: Available-for-sale securities Other assets $ 266 $ 266 — — Derivative financial instruments Other current assets $ 644 — $ 644 —

SHAREHOLDERS' EQUITY (Tables)

SHAREHOLDERS' EQUITY (Tables)	9 Months Ended
	Sep. 30, 2015
Schedule of Rollforward of Non-controlling Interest Balance	The following table reconciles shareholders’ equity attributable to Carrier’s non-controlling interest: Non-controlling interest at December 31, 2014 $ 248,079 Net income attributable to non-controlling interest 43,746 Distributions to non-controlling interest (13,266 ) Foreign currency translation adjustment (12,732 ) Gain recorded in accumulated other comprehensive loss 933 Gain reclassified from accumulated other comprehensive loss into earnings (557 ) Non-controlling interest at September 30, 2015 $ 266,203

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Detail)	Sep. 30, 2015Entity
Significant Accounting Policies [Line Items]
Number of joint ventures	3

Schedule of Basic and Diluted E

Schedule of Basic and Diluted Earnings per Common Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Net income attributable to Watsco, Inc. shareholders	$ 57,968	$ 54,461	$ 146,439	$ 127,315
Less: distributed and undistributed earnings allocated to non-vested restricted common stock	4,595	4,106	11,513	9,644
Earnings allocated to Watsco, Inc. shareholders - Basic	$ 53,373	$ 50,355	$ 134,926	$ 117,671
Weighted-average common shares outstanding - Basic	32,458,906	32,330,888	32,421,350	32,292,559
Basic earnings per share for Common and Class B common stock	$ 1.64	$ 1.56	$ 4.16	$ 3.64
Net income attributable to Watsco, Inc. shareholders	$ 57,968	$ 54,461	$ 146,439	$ 127,315
Less: distributed and undistributed earnings allocated to non-vested restricted common stock	4,592	4,103	11,505	9,635
Earnings allocated to Watsco, Inc. shareholders - Diluted	$ 53,376	$ 50,358	$ 134,934	$ 117,680
Weighted-average common shares outstanding - Basic	32,458,906	32,330,888	32,421,350	32,292,559
Effect of dilutive stock options	39,951	45,051	47,963	52,509
Weighted-average common shares outstanding - Diluted	32,498,857	32,375,939	32,469,313	32,345,068
Diluted earnings per share for Common and Class B common stock	$ 1.64	$ 1.56	$ 4.16	$ 3.64
Anti-dilutive stock options not included above	16,332	28,565	58,169	7,788
Common Stock
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Earnings allocated to Watsco, Inc. shareholders - Basic	$ 48,893	$ 46,138	$ 123,588	$ 107,804
Class B Common Stock
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Earnings allocated to Watsco, Inc. shareholders - Basic	$ 4,480	$ 4,217	$ 11,338	$ 9,867

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Detail) - shares	Sep. 30, 2015	Sep. 30, 2014
Earnings Per Share [Line Items]
Convertible Class B common stock outstanding	2,724,464	2,707,725

Schedule of Tax Effects Allocat

Schedule of Tax Effects Allocated to Each Component of Other Comprehensive Loss (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Components Of Other Comprehensive Income Loss [Line Items]
Foreign currency translation adjustment	$ (14,682)	$ (11,996)	$ (31,585)	$ (12,648)
Unrealized gain on cash flow hedging instruments	1,294		3,192
Income tax expense	(348)		(861)
Unrealized gain on cash flow hedging instruments, net of tax	946		2,331
Reclassification of gain on cash flow hedging instruments into earnings	(356)		(1,910)
Income tax expense	96		516
Reclassification of gain on cash flow hedging instruments into earnings, net of tax	(260)		(1,394)
Unrealized (loss) gain on available-for-sale securities	(25)	(9)	9	(21)
Income tax benefit (expense)	10	4	(3)	8
Unrealized (loss) gain on available-for-sale securities, net of tax	(15)	(5)	6	(13)
Other comprehensive loss	$ (14,011)	$ (12,001)	$ (30,642)	$ (12,661)

Schedule of Accumulated Other C

Schedule of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	$ (23,747)
Ending balance	(42,033)	$ (18,881)
Foreign currency translation adjustment
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(23,623)	(11,181)
Current period other comprehensive (loss) income	(18,853)	(7,394)
Ending balance	(42,476)	(18,575)
Cash flow hedging instruments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	168
Current period other comprehensive (loss) income	1,398
Less reclassification adjustment	(837)
Ending balance	729
Available-for-sale securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(292)	(293)
Current period other comprehensive (loss) income	6	(13)
Ending balance	$ (286)	$ (306)

Derivative Financial Instrume29

Derivative Financial Instruments - Additional Information (Detail) - Foreign Currency Forward Contracts - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Cash Flow Hedge
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Notional value of derivatives	$ 24,900		$ 24,900
Contract maturity period			One year or less
Contract expiring terms			2016-04
Foreign currency forward contracts designated as cash flow hedges		$ 0		$ 0
Pre-tax gain to be reclassified into earnings within the next 12 months	1,666		$ 1,666
Derivatives not Designated as Hedging Instruments
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Notional value of derivatives	14,600		$ 14,600
Contract expiring terms			2015-11
Gain from foreign currency forward contracts not designated as hedging instruments	$ 955	$ 2,127	$ 2,249	$ 572

Impact from Foreign Exchange De

Impact from Foreign Exchange Derivative Instruments Designated in Cash Flow Hedges (Detail) - Cash Flow Hedge - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Gain recorded in accumulated other comprehensive loss	$ 1,294	$ 3,192
Gain reclassified from accumulated other comprehensive loss into earnings	$ (356)	$ (1,910)

Fair Value of Derivative Instru

Fair Value of Derivative Instruments and Location in the Balance Sheets (Detail) - Foreign Currency Forward Contracts - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Derivatives, Fair Value [Line Items]
Derivative instruments, assets derivatives	$ 1,405	$ 644
Derivatives Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Derivative instruments, assets derivatives	1,137	384
Derivatives not Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Derivative instruments, assets derivatives	$ 268	$ 260

Assets and Liabilities Carried

Assets and Liabilities Carried at Fair Value Measured on Recurring Basis (Detail) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Other assets
Assets:
Available-for-sale securities	$ 275	$ 266
Other Current Assets
Assets:
Derivative financial instruments	1,405	644
Fair Value Measurements, Level 1 | Other assets
Assets:
Available-for-sale securities	275	266
Fair Value Measurements, Level 2 | Other Current Assets
Assets:
Derivative financial instruments	$ 1,405	$ 644

Purchase of Ownership Interes33

Purchase of Ownership Interest in Joint Venture - Additional Information (Detail) - Carrier Enterprise I - USD ($) $ in Thousands	Jul. 01, 2014	Sep. 30, 2015
Business Acquisition [Line Items]
Additional ownership interest acquired	10.00%
Cash consideration	$ 87,735
Controlling interest, ownership percentage	80.00%	80.00%

Debt - Additional Information (

Debt - Additional Information (Detail) MXN in Thousands, $ in Thousands	Sep. 30, 2015USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2015MXN	Dec. 31, 2014USD ($)
Debt Instrument [Line Items]
Borrowings under revolving credit agreement	$ 304,941	$ 304,941		$ 303,199
Revolving credit agreement maximum borrowing capacity	600,000	$ 600,000
Revolving credit agreement maturity date		Jul. 1, 2019
Short-term debt	2,353	$ 2,353
MEXICO
Debt Instrument [Line Items]
Revolving credit agreement maximum borrowing capacity	$ 8,800	8,800	MXN 150,000
Revolving credit agreement maturity date	Jun. 15, 2016
Short-term debt	$ 2,353	$ 2,353		$ 0
Short-term borrowings maturity period	1 year

Shareholders Equity - Additiona

Shareholders Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	Jul. 01, 2014	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Stockholders Equity Note [Line Items]
Cash dividends paid per share of Common and Class B common stock		$ 0.70	$ 0.60	$ 2.10	$ 1.40
Shares of non-vested restricted stock granted		17,500	10,700	189,479	213,725
Common stock issued under employee stock purchase plan, shares		2,433	2,741	7,402	6,984
Common stock issued under employee stock purchase plan, net proceeds		$ 294	$ 259	$ 847	$ 662
Class B Common Stock
Stockholders Equity Note [Line Items]
Shares withheld as payment for tax withholdings related to share based compensation, shares			5,454	14,760	5,454
Shares withheld as payment for tax withholdings related to share based compensation, market value			$ 490	$ 1,837	$ 490
Carrier Enterprise I
Stockholders Equity Note [Line Items]
Controlling interest, ownership percentage	80.00%			80.00%
Non-controlling interest, ownership percentage		20.00%		20.00%
Carrier Enterprise II
Stockholders Equity Note [Line Items]
Controlling interest, ownership percentage				60.00%
Non-controlling interest, ownership percentage		40.00%		40.00%
Carrier Enterprise III
Stockholders Equity Note [Line Items]
Controlling interest, ownership percentage				60.00%
Non-controlling interest, ownership percentage		40.00%		40.00%
Common Stock | Class B Common Stock
Stockholders Equity Note [Line Items]
Stock options exercised, shares		14,250	17,850	80,450	41,350
Stock options exercised, proceeds		$ 999	$ 613	$ 3,681	$ 1,942
Common Stock | Restricted Stock
Stockholders Equity Note [Line Items]
Shares withheld as payment for tax withholdings related to share based compensation, shares				7,206	21,028
Shares withheld as payment for tax withholdings related to share based compensation, market value				$ 889	$ 2,125
401(k) Plan
Stockholders Equity Note [Line Items]
Common stock contribution to 401(k) Plan, shares				18,343	18,309
Common stock contribution to 401(k) plan				$ 1,963	$ 1,759

Schedule of Rollforward of Non-

Schedule of Rollforward of Non-controlling Interest Balance (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Noncontrolling Interest [Line Items]
Non-controlling interest beginning balance			$ 248,079
Net income attributable to non-controlling interest	$ 16,676	$ 16,670	43,746	$ 46,604
Distributions to non-controlling interest			(13,266)
Foreign currency translation adjustment			(12,732)
Non-controlling interest ending balance	$ 266,203		266,203
Noncontrolling Interest
Noncontrolling Interest [Line Items]
Gain recorded in accumulated other comprehensive loss			933
Gain reclassified from accumulated other comprehensive loss into earnings			$ (557)

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Commitments and Contingencies Disclosure [Line Items]
Self-insurance reserves	$ 3,687	$ 4,630

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Detail) - Carrier and Its Affiliates - Supplier Concentration Risk - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Related Party Transaction [Line Items]
Amount payable to Carrier and its affiliates, net of receivables	$ (82,000)		$ (82,000)		$ (61,000)
Revenues from sales to Carrier and its affiliates	$ 18,389	$ 11,518	$ 47,293	$ 29,181
Cost of Goods, Total
Related Party Transaction [Line Items]
Percentage of purchases from key suppliers	62.00%	63.00%	62.00%	61.00%

Subsequent Event - Additional I

Subsequent Event - Additional Information (Detail) - Common and Class B Common Stock - $ / shares	Oct. 23, 2015	Sep. 30, 2015
Subsequent Event [Line Items]
Cash dividend		$ 0.70
Subsequent Event
Subsequent Event [Line Items]
Cash dividend approved	$ 0.85