--- title: "Legence - CL | 10-Q: FY2026 Q1 Revenue Beats Estimate at USD 1.038 B" type: "News" locale: "en" url: "https://longbridge.com/en/news/286463779.md" datetime: "2026-05-14T20:30:39.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/286463779.md) - [en](https://longbridge.com/en/news/286463779.md) - [zh-HK](https://longbridge.com/zh-HK/news/286463779.md) --- # Legence - CL | 10-Q: FY2026 Q1 Revenue Beats Estimate at USD 1.038 B Revenue: As of FY2026 Q1, the actual value is USD 1.038 B, beating the estimate of USD 930.48 M. EPS: As of FY2026 Q1, the actual value is USD 0.13. EBIT: As of FY2026 Q1, the actual value is USD 38.05 M. #### Segmented Financial Metrics (Three Months Ended March 31) #### Revenue - **Total Revenue** for Legence Corp. increased by $531,940 thousand, or 105.1%, to $1,037,893 thousand in 2026 from $505,953 thousand in 2025 . - **Engineering & Consulting Segment**: Revenue increased by $20,354 thousand, or 14.0%, to $165,801 thousand in 2026 from $145,447 thousand in 2025 . - _Engineering & Design_: Revenue decreased by - $8,971 thousand, or -8.4%, to $97,571 thousand in 2026 from $106,542 thousand in 2025 . - _Program & Project Management_: Revenue increased by $29,325 thousand, or 75.4%, to $68,230 thousand in 2026 from $38,905 thousand in 2025 . - **Installation & Maintenance Segment**: Revenue increased by $511,586 thousand, or 141.9%, to $872,092 thousand in 2026 from $360,506 thousand in 2025 . - _Installation & Fabrication_: Revenue increased by $468,910 thousand, or 161.9%, to $758,592 thousand in 2026 from $289,682 thousand in 2025 . - _Maintenance & Service_: Revenue increased by $42,676 thousand, or 60.3%, to $113,500 thousand in 2026 from $70,824 thousand in 2025 . #### Gross Profit - **Total Gross Profit** increased by $74,450 thousand, or 66.6%, to $186,154 thousand in 2026 from $111,704 thousand in 2025 . - **Engineering & Consulting Segment**: Gross profit decreased by - $9,240 thousand, or -15.5%, to $50,413 thousand in 2026 from $59,653 thousand in 2025 . Gross margin decreased by -10.6% to 30.4% in 2026 from 41.0% in 2025 . - **Installation & Maintenance Segment**: Gross profit increased by $83,690 thousand, or 160.8%, to $135,741 thousand in 2026 from $52,051 thousand in 2025 . Gross margin increased by 1.2% to 15.6% in 2026 from 14.4% in 2025 . #### Operating Costs - **Selling, General and Administrative (SG&A) expenses**: Increased by $46,636 thousand to $116,095 thousand in 2026 from $69,459 thousand in 2025 . As a percentage of revenue, SG&A declined to 11.2% in 2026 from 13.7% in 2025 . - **Depreciation and Amortization**: Increased by $10,736 thousand to $36,828 thousand in 2026 from $26,092 thousand in 2025 . - **Acquisition-related Costs**: Increased by $11,275 thousand to $11,432 thousand in 2026 from $157 thousand in 2025 . - **Interest Expense**: Decreased by - $12,641 thousand to $17,000 thousand in 2026 from $29,641 thousand in 2025 . - **Credit Agreement Amendment Fees**: Increased by $366 thousand to $3,243 thousand in 2026 from $2,877 thousand in 2025 . #### Net Income - **Net income (loss) attributable to Legence Corp.**: Was $16,094 thousand in 2026 compared to - $21,213 thousand in 2025 . #### Cash Flow (Three Months Ended March 31) - **Cash provided by operating activities**: Increased by $90,651 thousand to $120,112 thousand in 2026 from $29,461 thousand in 2025 . - **Cash used in investing activities**: Increased by $293,269 thousand to - $299,019 thousand in 2026 from - $5,750 thousand in 2025 . - **Cash provided by (used in) financing activities**: Was $193,361 thousand in 2026 compared to - $15,753 thousand in 2025 . #### Unique Metrics - **Subcontractor Expense**: Increased to $156,109 thousand in 2026 from $71,583 thousand in 2025 . - **Equipment Expense**: Increased to $282,682 thousand in 2026 from $109,602 thousand in 2025 . - **Backlog and Awarded Contracts**: Totaled $5,382,850 thousand as of March 31, 2026, up from $2,639,875 thousand as of March 31, 2025 . - **Engineering & Consulting**: Backlog and awarded contracts were $1,011,678 thousand in 2026, up from $896,295 thousand in 2025 . - **Installation & Maintenance**: Backlog and awarded contracts were $4,371,172 thousand in 2026, up from $1,743,580 thousand in 2025 . - **Book-to-Bill Ratio**: For the three months ended March 31 was 1.2x in 2026, down from 1.4x in 2025 . - **Engineering & Consulting**: Book-to-bill ratio was 1.0x in 2026, down from 1.3x in 2025 . - **Installation & Maintenance**: Book-to-bill ratio was 1.2x in 2026, down from 1.4x in 2025 . - **Remaining Performance Obligations**: Were approximately $4,196,500 thousand as of March 31, 2026, with 65% to 75% expected to be recognized within the next 12 months . - **Adjusted EBITDA**: Was $118,101 thousand in 2026, up from $50,819 thousand in 2025 . - **Adjusted EBITDA Margin**: Was 11.4% in 2026, up from 10.0% in 2025 . #### Outlook and Strategy Legence Corp. plans to pursue acquisitions to increase scale, expand capabilities, access new clients, or broaden geographic reach, targeting those that enhance growth and profitability . The company anticipates increased future capital expenditures for fabrication capacity expansion within its Installation & Maintenance segment . While primary liquidity sources are deemed sufficient for ongoing needs for at least the next twelve months, additional capital may be sought through equity, equity-linked arrangements, and debt if necessary . ### Related Stocks - [LGN.US](https://longbridge.com/en/quote/LGN.US.md) ## Related News & Research - [Legence Q1 revenue jumps 105% on data center demand, outlook raised](https://longbridge.com/en/news/286406365.md) - [The Home Depot Announces First Quarter Fiscal 2026 Results; Reaffirms Fiscal 2026 Guidance | HD Stock News](https://longbridge.com/en/news/286890512.md) - [ONWARD Medical to Announce First Quarter 2026 Results on May 26, 2026 | ONWRY Stock News](https://longbridge.com/en/news/286858298.md) - [OceanPal Inc. 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