Heating and cooling are becoming a bigger business for Home Depot as the company expands deeper into HVAC distribution through a new acquisition by its SRS Distribution unit, and that could matter for homeowners looking for ways to lower their utility bills.

Upgrading an HVAC system is one of the clearest ways to reduce energy use, improve comfort, and protect yourself from rising power costs. A new acquisition by Home Depot-owned SRS Distribution — a sub-company that itself was acquired by Home Depot in 2024 — shows just how much momentum is building in the market for more efficient home heating and cooling.

Here's what to know

Home Depot subsidiary SRS Distribution, a building-supply distributor previously known as Suncoast Roofers Supply, said it had reached a definitive agreement to acquire Denver-based Lohmiller & Company for an undisclosed price, according to HomePros. Lohmiller distributes Carrier products for residential and commercial use from four Colorado locations and employs 220 people.

For Home Depot, the purchase is another step deeper into contractor-focused HVAC distribution.

Lohmiller president Tim Brooks said, "By leveraging the resources and expertise of SRS, we plan to further strengthen relationships with our customers while providing even more opportunities for our employees to grow their own careers."

When major companies invest more heavily in heating and cooling supply chains, it can improve access to the equipment and installer networks homeowners rely on when it is time to replace an aging furnace or air conditioner.

If you're exploring your options, Palmetto can help you find efficient heating and cooling solutions for your home through its Comfort Plan network, which connects you with vetted installers and can help slash your energy bills with new, efficient HVACs and heat pumps.

More background

With this agreement, SRS is now on its second HVAC acquisition. The first came in March, when it announced plans to buy Mingledorff's, described as the Southeast's biggest Carrier and Bryant distributor. Together, the purchases suggest SRS is assembling a broader heating and cooling platform rather than making a one-off move.

That strategy traces back to 2024, when Home Depot bought SRS for more than $18 billion. The goal was to win more contractor spending across multiple trades, not just in the company's traditional home-improvement aisles.

Lohmiller also brings notable scale: Brooks said in a 2024 interview with Distribution Strategy Group that the company generated "just under" $250 million in revenue in 2023.

Home Depot has also been direct about why the HVAC space is so appealing, writing in May that "HVAC distribution represents a total addressable market of approximately $100 billion and increases The Home Depot's total addressable market to $1.2 trillion."

Heating and cooling upgrades are becoming increasingly central to the home economy, and a more efficient system can help lower monthly bills, improve indoor comfort, and reduce exposure to future energy-price spikes.

What can be done?

If your current system is old, loud, or costly to run, this could be a good time to compare efficient HVACs and heat pumps before an emergency replacement forces a rushed decision. Larger investments in distribution can mean greater equipment availability and more installer options, which may make it easier to choose a smarter solution.

Through Palmetto's Comfort Plan, you can connect with vetted installers, and if you're not ready to spend up front, the plan includes $0-down options that can lower your heating and cooling costs by up to 50%. The Comfort Plan also includes 12 years of free maintenance.

You can go even further by pairing solar panels with electric appliances such as efficient HVACs, driving your utility costs lower. EnergySage makes it easy to find the best solar system and installer for your home and budget, saving you up to $10,000 on installations.

For now, Home Depot's latest move is another sign that the race to shape the future of home heating and cooling is accelerating.

As SRS CEO Dan Tinker put it, "Lohmiller and Mingledorff's are both strategically aligned with Carrier, and we are thrilled to support this partnership as we continue expansion in the HVAC space."

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