PVF

Definition

Pipe, valves and fittings, the industrial piping half of what a plumbing supply house carries.

Why It Matters

It is worth knowing as a category because it behaves differently from fixtures. PVF is bought by the job, substituted freely between brands, and priced against a moving metal cost, so its margin swings with commodity prices in a way a boiler's does not. A house heavy in PVF is running a small commodity book whether it thinks so or not. Ask how prices are set on it, how often they are reviewed, and whether the last two years of gross margin were earned or simply inherited from a rising market.