ASA’s Monthly Sales Report: August Sales Remain Strong as Industrial PVF Continues to Lead

By primary business emphasis, Industrial PVF distributors reported August sales up 19.4% year-over-year (y/y). Year-to-date (YTD) sales were up 9.7% and trailing twelve months (TTM) sales increased 13.5%. PHCP distributors reported August sales up 12.8% y/y, with YTD and TTM sales both up 7.8%. Combined PHCP & PVF distributors reported August sales up 11.9% y/y, YTD sales up 8.0% and TTM sales up 9.6%.

All respondents overall reported median August sales increased 13.0% year-over-year, but declined 5.1% compared with July 2026. YTD sales were up 8.4% and TTM sales increased 8.5%. Inventory: +7.6% versus August 2025. Cash cycle: Median three-month average Days Sales Outstanding (DSO) retreated to 42.8 days, after reaching its highest level since 2020 last month.

“ASA distributors continued to report strong top-line performance in August, with median sales increasing 13.0% year-over-year and year-to-date growth reaching 8.4%, while all three primary business segments posted double-digit monthly gains. These results reflect robust nominal dollar growth, although the sizable gap between nominal and inflation-adjusted growth in the broader wholesale sector suggests that higher prices continue to account for a meaningful portion of reported sales gains, even as Industrial PVF and large-project activity remain particular areas of strength.”— Industry Insights Senior Vice President Greg Manns

Economic Indicators:

Recent economic data suggest the U.S. economy remained resilient through late summer, although underlying conditions continue to vary considerably across sectors. Real GDP expanded at a 1.5% annualized rate in the second quarter, moderating from 2.1% in the first quarter, while stronger consumer spending and private domestic demand indicate that the headline slowdown may somewhat understate underlying economic momentum.

The labor market remains mixed: unemployment held at a relatively low 4.1% in August and unemployment claims remain subdued, but labor-force participation remains below the beginning of the year and the overall labor force has contracted, suggesting conditions are less tight than the headline unemployment rate alone implies.

Housing also remains constrained by elevated borrowing costs, with August housing starts and permits both declining and existing-home sales remaining sluggish. AI- and data-center-related construction remains an important source of strength within an otherwise uneven nonresidential construction market.

Inflation also remains a concern, particularly as the continuing Iran conflict and disruptions around the Strait of Hormuz have contributed to sharply higher diesel, freight and energy costs that are creating continued risks for businesses and consumers.

What ASA members are saying:

• “Activity slowed slightly after consecutive strong months, but continued to exceed expectations and budget. Cost increases and competitor pressures on pricing resulted in ongoing margin compression, especially on larger bid projects.”
• “August was a slightly better month than expected - a fair amount of large project work finally shipped in the month. We are optimistic heading into the fall but do face some difficult comps and price increases are less of a tailwind than earlier in the year.”
• “Business challenges I am seeing is finding a balance of having inventory on hand, but also sitting on too much inventory.”
• “Business is marginally better than last year but with no data centers in our coverage area we are not seeing the ‘spikes’ that other areas are seeing.”
• “It was a very slow August and a slow start to September.”
• “Sales have softened mid-August and have yet to pick back up.”