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Sep 30
Legence Corp Q3 2025 Earnings Report
Legence Corp reported a slight net loss despite record Q3 revenues of $708 million, with strong performance in both Engineering & Consulting and Installation & Maintenance segments.
Key Takeaways
Legence Corp delivered a record-breaking Q3 2025 with $708 million in revenue and strong adjusted EBITDA growth. However, the company posted a small net loss of $576,000 due to higher interest and strategic expenses. Robust backlog and acquisitions signal strong momentum going forward.
Achieved record Q3 revenue of $708 million, up 26% from prior year
Adjusted EBITDA rose to $88.8 million, a 39% increase YoY
Ended the quarter with a $3.1 billion backlog, reflecting strong market demand
Net loss narrowed to $576,000, showing improvement from prior year’s $1.1 million loss
Legence Corp
Legence Corp
Legence Corp Revenue by Segment
Revenue by Segment
Engineering & Consulting Revenue
CapyFin.comInstallation & Maintenance Revenue
CapyFin.comEngineering & Design Revenue
CapyFin.comProgram & Project Mgmt Revenue
CapyFin.comInstallation & Fabrication Revenue
CapyFin.comMaintenance & Service Revenue
CapyFin.com Forward Guidance
Legence expects Q4 2025 revenues between $600–$630 million and FY2026 revenues between $2.65–$2.85 billion, supported by a strong backlog and recent acquisitions.
Positive Outlook
- Q4 2025 revenue guidance: $600M–$630M
- Q4 2025 adjusted EBITDA guidance: $60M–$65M
- FY2026 revenue outlook: $2.65B–$2.85B
- FY2026 adjusted EBITDA outlook: $295M–$315M
- Strong momentum from Bowers and other strategic acquisitions
Challenges Ahead
- Modest decline in gross margin for Engineering & Consulting
- Higher interest and debt extinguishment costs impacted net income
- Book-to-bill ratio slightly lower YoY for nine months
- Ongoing strategic initiative and system deployment costs
- Continued exposure to variability from subcontractor expenses
Revenue & Expenses
Visualization of income flow from segment revenue to net income