Heating, Air-conditioning and Refrigeration Distributors International reported a 9.1 percent sales increase for July. The annualized growth through July is 6.4 percent, the highest annual growth rate of the year for HVAC distributors.

“The growth rate this quarter reflects residential construction activity and the associated consumer spending,” said HARDI Senior Economist Connor Lokar. “Annual retail sales of building material and supplies stores have increased 5.5 percent over the past 12 months.”

The Days Sales Outstanding, a measure of how quickly customers pay their bills, is now at 48, up from 46 at this point the past two years.