• Watsco average gross margin for 2023 was 27.67%, a 0.36% decline from 2022.
• Watsco average gross margin for 2022 was 27.77%, a 8.69% decline from 2021.
• Watsco average gross margin for 2021 was 25.55%, a 5.75% increase from 2020.

Gross margin can be defined as a company's total sales revenue minus its cost of goods sold, divided by the total sales revenue, expressed as a percentage.