10 Biggest HVAC Companies in the USA

In this article, we will take a look at the 10 biggest HVAC companies in the USA.

The heating, ventilation and air conditioning (HVAC) industry has seen tremendous growth and advancements in the last few decades. Every year, companies are coming up with new products to drive the industry forward and increase the efficiency and effectiveness of HVAC systems. These systems have come into the limelight due to extreme weather conditions, and there has been an increased focus on improving energy efficiency amongst the constituents of the HVAC industry. Interestingly, the total number of HVAC units in the US has surpassed the total population of the country. This reflects the significance of the industry and the demand for HVAC services. HVAC is the single biggest source of energy consumption in the US. In 2020, the number of air conditioner units stood at 399 million, which is forecasted to rise to 542 million by 2050. The shipment of air conditioners reached a peak of 6.28 million in December 2020. According to Grandview Research, the size of the HVAC systems market in the US was estimated at $16.54 billion in 2021, and from 2022 to 2030, it is anticipated to expand at a compound annual growth rate (CAGR) of 5.6%.

According to the 2020 Residential Energy Consumption Survey (RECS) conducted by the US Energy Information Administration (EIA), 88% of households in the US use air conditioning (AC). Meanwhile, around 66% of the households have central AC or central heat pumps installed on their premises. The Midwest and the South region have the highest level of penetration at 92% and 93%, respectively. Meanwhile, the Western region has the lowest penetration at 73%. In the future, all air-conditioning and air-source heat pumps sold in the US residential sector will be required to meet the latest energy efficiency standards, according to the regulatory updates in the Seasonal Energy Efficiency Ratio (SEER), effective January 2023. The change in regulation will amend the baseline efficiency of the HVAC equipment sold and installed in the US. All these developments are taking place to quicken the pace of the transition toward carbon-neutral HVAC systems.

Growth Catalysts

The high level of HVAC systems penetration provides original equipment manufacturers (OEMs) with a market opportunity of around 20% to 30% in the form of new unit sales and replacement of older units. This is expected to provide a boost to the growth of HVAC services. Furthermore, the HVAC industry is moving towards smart solutions that are resulting in the integration of the Internet of Things (IoT). The adoption of HVAC is gaining pace in the US as it is resulting in power-saving, which is critical during the current period of high inflation. On top of that, the increased outlay on construction by the residential and commercial sectors is resulting in the higher installation of HVACs in new establishments as well.

Tax credits ranging from 20% to 30% of the installation cost are aiding the increased adoption of HVACs in the US. For instance, the state of New Jersey has the COOLAdvantage Program that provides tax credits and rebates on using or building central heat pumps or air conditioners that save energy. Furthermore, the state government is supporting long-term product sales through financial initiatives and supportive government policies. The overall nature of the HVAC industry is competitive, and the players are consolidated. Some of the biggest HVAC companies in the USA include Carrier Global Corporation (NYSE:CARR), Trane Inc., and Lennox International Inc. (NYSE:LII).

Photo by Taylor Vick on Unsplash

Our Methodology

We have shortlisted the 10 biggest HVAC companies in the USA according to their revenue posted in 2021. The companies have been ranked in ascending order of their revenue.

10 Biggest HVAC Companies in the USA

10. Bryant

2021 Revenue: $38 million

Bryant is a brand of HVAC equipment founded in 1904 and is now a part of Carrier Global Corporation (NYSE:CARR). The company produces a wide range of HVAC equipment, including gas and oil furnaces, heat pumps, air conditioners, and indoor air quality products.

Bryant’s products are known for their energy efficiency, reliability, and long lifespan. The company also offers a line of air purifiers and thermostats. These products are intended to improve the energy efficiency of homes and businesses and provide indoor comfort. The company offers an ecobee Smart Thermostat, which claims to provide energy savings of up to 23%. The system can be customized to the user’s preferences and household schedule. Bryant’s equipment is sold through a network of authorized dealers and distributors. The models assembled and sold by Bryant are similar to Carrier Global Corporation (NYSE:CARR) and are made in the same factory with the same parts, but they sell for slightly less because Bryant is a lesser-known brand compared to Carrier Global Corporation (NYSE:CARR). The top-tier models of Bryant are known for noise-less operations, and its furnaces are considered the most efficient in the industry.

8. Nortek Global HVAC

2021 Revenue: $149.3 million

Nortek Global HVAC, previously known as Nordyne, is a renowned manufacturer of HVAC equipment. The company is known for its high-efficiency gas furnaces, air conditioners, and heat pumps. The entity was founded in 1919 and is headquartered in O’Fallon, Missouri.

Nortek Global HVAC also produces air handlers, coils, and thermostats. It offers both residential and commercial HVAC products and solutions under the brand names Frigidaire, Tappan, Westinghouse, and Gibson. Nordyne became Nortek Global HVAC in January 2015 and is now one of the biggest HVAC manufacturers in North America. The Nordyne brand still exists and continues to be offered to customers, along with the other smaller brands of Nortek Global HVAC. The company is a leading authority in innovation and technology as it came up with oil burners for corrosion-resistant coils. Nortek Global HVAC is focused on forecasting the needs of its customers and providing creative solutions accordingly.

7. York International Corporation

2021 Revenue: $323 million

York International Corporation is a renowned provider of HVAC products and services for both residential and commercial use. The company was founded in 1874 and is headquartered in York, Pennsylvania. The company is at the seventh position on our list of the 10 biggest HVAC companies in the USA.

York International Corporation offers a wide range of HVAC products, including gas and electric furnaces, air conditioners, heat pumps, and packaged units, as well as indoor air quality products, such as humidifiers, air purifiers, and ventilators. They also provide HVAC systems for large commercial and industrial applications. York International Corporation is now a part of Johnson Controls, as they were acquired by the company in 2005 and operate under Johnson Controls’ Building Technologies & Solutions business segment. Johnson Controls is a multi-industrial company that provides various building and energy solutions. York International Corporation products and services continue to be offered under the York brand name, with a strong reputation in the HVAC industry.

6. Goodman Manufacturing Company L.P.

2021 Revenue: $1.4 billion

Goodman Manufacturing Company L.P. is a Houston, Texas-based manufacturer of HVAC equipment for residential and light commercial use founded in 1982.

Goodman Manufacturing Company L.P. has been a renowned brand for nearly four decades and is relied upon by millions of households for providing a wide range of HVAC products at an affordable price. The company builds its heat pumps and central air conditioners with Copeland components and houses them in galvanized steel enclosures that have undergone a 500-hour spray-salt test to verify that they can resist harsh weather conditions. Goodman Manufacturing Company L.P. is one of the biggest HVAC manufacturers in the US and North America and is amongst the fastest-growing companies in the industry. The company also has a network of independent distributors and dealers across North America and Latin America who sell and service its products. Goodman Manufacturing Company L.P is known to have strong customer service and provide good warranty options. The company has made an investment of over $100 million for manufacturing new and latest equipment as of 2023, which is expected to provide it with a competitive edge in the coming years.

6. American Standard

2021 Revenue: $2 billion

American Standard is a Piscataway, New Jersey-based brand of HVAC equipment produced by American Standard Companies, Inc. The company offers a wide range of HVAC products for the residential and commercial markets. The company was founded in 1872 and is known for producing high-quality and energy-efficient HVAC equipment designed to provide optimal comfort and efficiency.

In 2018, American Standard Heating & Air Conditioning was acquired by Nortek Global HVAC, one of the largest HVAC manufacturers in North America. Under Nortek, American Standard continues to produce HVAC equipment and offer them under its own brand name. The company has an extensive line of products designed to meet various needs and budgets.

In addition to American Standard, Carrier Global Corporation (NYSE:CARR), Trane Inc., and Lennox International Inc. (NYSE:LII) are also some of the biggest HVAC companies in the USA.

5. Rheem Manufacturing Company

2021 Revenue: $3 billion

Rheem Manufacturing Company is an Atlanta, Georgia-based manufacturer of HVAC equipment for residential and commercial use founded in 1925. The corporation has the distinction of being one of the biggest producers of water heating products in the North American region.

Rheem Manufacturing Company places emphasis on sustainability as it is focused on developing a line of HVAC devices that will result in a 50% decline in the emission of greenhouse gas by 2025. Furthermore, the company intends to train 250,000 professionals on its sustainable products and best practices related to sustainable installation and recycling. Rheem Manufacturing Company also claims to save over 134 million gallons of water annually due to improvements in its factories.

4. Lennox International Inc. (NYSE:LII)

2021 Revenue: $4.19 billion

Lennox International Inc. (NYSE:LII) is a Richardson, Texas-based publicly listed manufacturer of HVAC equipment for residential and commercial purposes founded in 1895. The company also provides a wide variety of HVAC products to fulfill large commercial and industrial applications.

Lennox International Inc. (NYSE:LII) is known for its innovation in technology and design. The company’s variable speed and communication systems are designed to provide optimal performance. Lennox International Inc. (NYSE:LII) provides quality products in installments with no markup for six months and offers a rebate of up to $1,700. The company has a diverse range of product lines related to heating and cooling, comfort controls, indoor air quality enhancement, and other systems for its customers.

Millennium Management raised its stake in Lennox International Inc. (NYSE:LII) by 109% during Q3 2022.

3. Ingersoll Rand Inc (NYSE:IR)

2021 Revenue: $5.15 billion

Ingersoll Rand Inc (NYSE:IR) is a Davidson, North Carolina-based market leader providing a wide range of cutting-edge and essential air, fluid, and energy solutions. The company is a pioneer in developing environmentally friendly and productive environments.

In order to provide excellent service and boost sales, Ingersoll Rand Inc (NYSE:IR), which serves clients from a variety of industries, focuses on the unique requirements and preferences of each market segment. In 2021, Ingersoll Rand Inc (NYSE:IR) posted revenue of $5.15 billion, reflecting an increase of 29.7% from last year.

Here’s what Artisan Partners said about Ingersoll Rand Inc (NYSE:IR) in its Q4 2022 investor letter:

“Ingersoll Rand Inc. (NYSE:IR) is a global market leader in a broad range of mission-critical flow creation technologies (pumps, compressors, etc.) for industrial and medical applications. Recent earnings results beat expectations and revealed record orders and revenues. Management also raised its full-year guidance for 2022, sending shares higher. Notably, orders within its largest segment were up 16% organically, driven by strong growth in compressors vacuums and blowers. We are cognizant of cyclical industrial risks in the quarters ahead but think Ingersoll’s compressed air technologies will remain in demand as customers seek to operate using less energy and water, while generating fewer emissions. We also continue to be impressed by management’s internal execution in areas such as acquisition integration, marketing lead generation, new product development and employee engagement.”

2. Carrier Global Corporation (NYSE:CARR)

2021 Revenue: $11.39 billion

Carrier Global Corporation (NYSE:CARR) is a Palm Beach Gardens, Florida-based provider of HVAC equipment, as well as commercial and industrial refrigeration and food service equipment, founded in 1915.

The company has developed 100 new products for the seventh consecutive year and has more than 80 brands in its portfolio. Out of these 80 brands, 21 brands operate in the HVAC segment. Overall, Carrier Global Corporation (NYSE:CARR) is one of the world’s biggest and most reputable HVAC manufacturers and has a global presence with products and services sold in over 160 countries. Carrier Global Corporation (NYSE:CARR) products continue to be well-regarded for their reliability, efficiency, and long service life. The company has numerous clients in the data centers, education, entertainment, healthcare, hospitality, and retail industries.

1. Trane Inc.

2021 Revenue: $14.13 billion

Trane Inc. is a Davidson, North Carolina-based HVAC equipment maker for residential and commercial purposes founded in 1885 out of La Crosse, Wisconsin. The company is a subsidiary of Ingersoll Rand Inc. (NYSE:IR), a diversified industrial company.

Trane Inc. is known for its innovative technology and engineering and producing energy-efficient and high-performance systems. The company’s Trane XL series is widely popular amongst customers as efficient central air conditioners designed to regulate temperatures evenly. The company has provided solutions to some of the world’s most renowned landmarks, like the Burj Khalifa tower in Dubai, the Moscow Kremlin, and New York’s Grand Central Station. Trane Inc is known for being one of the most distinguished brands in the HVAC industry and has more than 900 patents approved in the US as of 2023.

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Disclosure: None. 10 Biggest HVAC Companies in the USA is originally published on Insider Monkey.