vs
Side-by-side financial comparison of KB HOME (KBH) and WATSCO INC (WSO). Click either name above to swap in a different company.
KB HOME is the larger business by last-quarter revenue ($1.7B vs $1.6B, roughly 1.1× WATSCO INC). KB HOME runs the higher net margin — 6.0% vs 4.5%, a 1.4% gap on every dollar of revenue. On growth, WATSCO INC posted the faster year-over-year revenue change (-10.0% vs -15.3%). WATSCO INC produced more free cash flow last quarter ($388.5M vs $290.1M). Over the past eight quarters, KB HOME's revenue compounded faster (7.4% CAGR vs 0.4%).
KB Home is an American homebuilding company founded in 1957 as Kaufman & Broad in Detroit, Michigan. It was the first company to be traded on the New York Stock Exchange as a home builder. Its headquarters are in Los Angeles, California.
Watsco, Inc. is a distributor of air conditioning, heating and refrigeration equipment, and related parts and supplies (HVAC/R) in the United States. Watsco was founded more than 60 years ago as a manufacturer of parts, components, and tools used in the HVAC/R industry. In 1989, the company shifted from manufacturing to distribution, by acquiring Gemaire Distributors Inc., a South Florida-based Rheem distributor.
KBH vs WSO — Head-to-Head
Income Statement — Q4 FY2025 vs Q4 FY2025
| Metric | | |
|---|---|---|
| Revenue | $1.7B | $1.6B |
| Net Profit | $101.5M | $71.7M |
| Gross Margin | — | 27.1% |
| Operating Margin | — | 6.4% |
| Net Margin | 6.0% | 4.5% |
| Revenue YoY | -15.3% | -10.0% |
| Net Profit YoY | -46.7% | -25.9% |
| EPS (diluted) | $1.55 | $1.82 |
Green = leading value per metric. Periods may differ when fiscal calendars don't align.
8-Quarter Revenue & Profit Trend
Side-by-side quarterly history. Quarters aligned by calendar period so offset fiscal years line up.
| Q4 25 | $1.7B | $1.6B | ||
| Q3 25 | $1.6B | $2.1B | ||
| Q2 25 | $1.5B | $2.1B | ||
| Q1 25 | $1.4B | $1.5B | ||
| Q4 24 | $2.0B | $1.8B | ||
| Q3 24 | $1.8B | $2.2B | ||
| Q2 24 | $1.7B | $2.1B | ||
| Q1 24 | $1.5B | $1.6B |
| Q4 25 | $101.5M | $71.7M | ||
| Q3 25 | $109.8M | $161.6M | ||
| Q2 25 | $107.9M | $183.6M | ||
| Q1 25 | $109.6M | $80.1M | ||
| Q4 24 | $190.6M | $96.8M | ||
| Q3 24 | $157.3M | $171.0M | ||
| Q2 24 | $168.4M | $181.4M | ||
| Q1 24 | $138.7M | $87.0M |
| Q4 25 | — | 27.1% | ||
| Q3 25 | — | 27.5% | ||
| Q2 25 | — | 29.3% | ||
| Q1 25 | — | 28.1% | ||
| Q4 24 | — | 26.7% | ||
| Q3 24 | — | 26.2% | ||
| Q2 24 | — | 27.1% | ||
| Q1 24 | — | 27.5% |
| Q4 25 | — | 6.4% | ||
| Q3 25 | — | 11.4% | ||
| Q2 25 | — | 13.2% | ||
| Q1 25 | — | 7.3% | ||
| Q4 24 | — | 7.8% | ||
| Q3 24 | — | 11.6% | ||
| Q2 24 | — | 12.6% | ||
| Q1 24 | — | 8.1% |
| Q4 25 | 6.0% | 4.5% | ||
| Q3 25 | 6.8% | 7.8% | ||
| Q2 25 | 7.1% | 8.9% | ||
| Q1 25 | 7.9% | 5.2% | ||
| Q4 24 | 9.5% | 5.5% | ||
| Q3 24 | 9.0% | 7.9% | ||
| Q2 24 | 9.9% | 8.5% | ||
| Q1 24 | 9.4% | 5.6% |
| Q4 25 | $1.55 | $1.82 | ||
| Q3 25 | $1.61 | $3.98 | ||
| Q2 25 | $1.50 | $4.52 | ||
| Q1 25 | $1.49 | $1.93 | ||
| Q4 24 | $2.50 | $2.42 | ||
| Q3 24 | $2.04 | $4.22 | ||
| Q2 24 | $2.15 | $4.49 | ||
| Q1 24 | $1.76 | $2.17 |
Balance Sheet & Financial Strength
Snapshot of each company's liquidity, leverage and book value from the latest quarter.
| Metric | | |
|---|---|---|
| Cash + ST InvestmentsLiquidity on hand | — | $733.3M |
| Total DebtLower is stronger | — | $361.6M |
| Stockholders' EquityBook value | $3.9B | $2.8B |
| Total Assets | $6.7B | $4.4B |
| Debt / EquityLower = less leverage | — | 0.13× |
8-quarter trend — quarters aligned by calendar period.
| Q4 25 | — | $733.3M | ||
| Q3 25 | — | $524.3M | ||
| Q2 25 | — | $293.0M | ||
| Q1 25 | — | $431.8M | ||
| Q4 24 | — | $781.9M | ||
| Q3 24 | — | $550.0M | ||
| Q2 24 | — | $424.9M | ||
| Q1 24 | — | $478.9M |
| Q4 25 | — | $361.6M | ||
| Q3 25 | — | $340.8M | ||
| Q2 25 | — | $338.7M | ||
| Q1 25 | — | $346.4M | ||
| Q4 24 | — | $337.2M | ||
| Q3 24 | — | $321.0M | ||
| Q2 24 | — | $307.1M | ||
| Q1 24 | — | $306.3M |
| Q4 25 | $3.9B | $2.8B | ||
| Q3 25 | $3.9B | $2.8B | ||
| Q2 25 | $4.0B | $2.8B | ||
| Q1 25 | $4.1B | $2.7B | ||
| Q4 24 | $4.1B | $2.7B | ||
| Q3 24 | $4.0B | $2.7B | ||
| Q2 24 | $4.0B | $2.6B | ||
| Q1 24 | $3.9B | $2.5B |
| Q4 25 | $6.7B | $4.4B | ||
| Q3 25 | $7.0B | $4.6B | ||
| Q2 25 | $7.0B | $4.7B | ||
| Q1 25 | $7.0B | $4.5B | ||
| Q4 24 | $6.9B | $4.5B | ||
| Q3 24 | $6.8B | $4.5B | ||
| Q2 24 | $6.8B | $4.4B | ||
| Q1 24 | $6.7B | $4.4B |
| Q4 25 | — | 0.13× | ||
| Q3 25 | — | 0.12× | ||
| Q2 25 | — | 0.12× | ||
| Q1 25 | — | 0.13× | ||
| Q4 24 | — | 0.13× | ||
| Q3 24 | — | 0.12× | ||
| Q2 24 | — | 0.12× | ||
| Q1 24 | — | 0.12× |
Cash Flow & Capital Efficiency
How much cash each business actually produces after reinvestment. Cash flow is harder to manipulate than net income.
| Metric | | |
|---|---|---|
| Operating Cash FlowLast quarter | $303.8M | $399.8M |
| Free Cash FlowOCF − Capex | $290.1M | $388.5M |
| FCF MarginFCF / Revenue | 17.1% | 24.6% |
| Capex IntensityCapex / Revenue | 0.8% | 0.7% |
| Cash ConversionOCF / Net Profit | 2.99× | 5.57× |
| TTM Free Cash FlowTrailing 4 quarters | $287.3M | $535.1M |
8-quarter trend — quarters aligned by calendar period.
| Q4 25 | $303.8M | $399.8M | ||
| Q3 25 | $197.7M | $354.9M | ||
| Q2 25 | $168.4M | $-7.4M | ||
| Q1 25 | $-334.3M | $-177.6M | ||
| Q4 24 | $362.6M | $378.9M | ||
| Q3 24 | $-89.9M | $232.8M | ||
| Q2 24 | $61.5M | $57.7M | ||
| Q1 24 | $28.5M | $103.7M |
| Q4 25 | $290.1M | $388.5M | ||
| Q3 25 | $185.8M | $346.1M | ||
| Q2 25 | $156.9M | $-14.3M | ||
| Q1 25 | $-345.5M | $-185.2M | ||
| Q4 24 | $352.6M | $370.9M | ||
| Q3 24 | $-99.4M | $223.0M | ||
| Q2 24 | $51.2M | $51.3M | ||
| Q1 24 | $19.1M | $97.9M |
| Q4 25 | 17.1% | 24.6% | ||
| Q3 25 | 11.5% | 16.7% | ||
| Q2 25 | 10.3% | -0.7% | ||
| Q1 25 | -24.8% | -12.1% | ||
| Q4 24 | 17.6% | 21.1% | ||
| Q3 24 | -5.7% | 10.3% | ||
| Q2 24 | 3.0% | 2.4% | ||
| Q1 24 | 1.3% | 6.3% |
| Q4 25 | 0.8% | 0.7% | ||
| Q3 25 | 0.7% | 0.4% | ||
| Q2 25 | 0.8% | 0.3% | ||
| Q1 25 | 0.8% | 0.5% | ||
| Q4 24 | 0.5% | 0.5% | ||
| Q3 24 | 0.5% | 0.5% | ||
| Q2 24 | 0.6% | 0.3% | ||
| Q1 24 | 0.6% | 0.4% |
| Q4 25 | 2.99× | 5.57× | ||
| Q3 25 | 1.80× | 2.20× | ||
| Q2 25 | 1.56× | -0.04× | ||
| Q1 25 | -3.05× | -2.22× | ||
| Q4 24 | 1.90× | 3.91× | ||
| Q3 24 | -0.57× | 1.36× | ||
| Q2 24 | 0.37× | 0.32× | ||
| Q1 24 | 0.21× | 1.19× |
Financial Flow Comparison
Revenue → gross profit → operating profit → net profit for each company.
Revenue Breakdown by Segment
KBH
| Home Building | $1.7B | 99% |
| Financial Service | $8.7M | 1% |
WSO
Segment breakdown not available.
