The massive revenue beat and raised guidance, driven by data-center demand and the Bowers acquisition, confirm strong momentum. Watch for continued organic growth trajectory and margin expansion in upcoming quarters; the stock may gap up on this release.
Price Chart
Executive Summary
Legence Corp reported Q1 2026 GAAP EPS of $0.13 (diluted), significantly below the $0.17 consensus estimate, but this is a non-GAAP-adjusted metric for a construction-services firm. Revenue surged 105% YoY to $1.04B, well above the $930.5M consensus, driven by the Bowers acquisition and 57% organic growth. Full-year 2026 guidance was raised: revenue to $4.1B-$4.3B (from $3.7B-$3.9B) and Adjusted EBITDA to $470M-$490M (from $400M-$430M), signaling strong demand in data centers and other end markets.
Key Financial Metrics
Key Facts
- Q1 2026 revenue of $1.04B (+105% YoY) beat $930.5M consensus; organic growth ex-Bowers was 57%.
- GAAP diluted EPS of $0.13 vs consensus $0.17 (miss), but GAAP net income was $16.1M vs a -$21.2M loss a year ago.
- Adjusted EBITDA of $118.1M (+132% YoY) with margin of 11.4% vs 10.0% a year ago.
- Record backlog and awarded contracts of $5.38B (+104% YoY); book-to-bill ratio of 1.2x.
- Full-year 2026 guidance raised: revenue to $4.1B-$4.3B (from $3.7B-$3.9B) and Adjusted EBITDA to $470M-$490M (from $400M-$430M).
- Net leverage at 2.1x; adjusted net leverage (including Bowers EBITDA) at 1.8x.
Financial Impact
Revenue beat consensus by ~12%; guidance raised by ~10% at midpoint; Adjusted EBITDA guidance raised by ~14% at midpoint.
Risk Factors
- Integration risk from Bowers and other acquisitions; gross margin declined from 22.1% to 17.9% (GAAP) due to mix shift.
- High leverage (net debt $777M) despite improving coverage; interest expense remains elevated at $17M/quarter.
- Dependence on data-center capex cycle; any slowdown could impact backlog conversion.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3294765 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Aug 13, 2026 7w ago | 8-K | $63.24 $56.65 | ▼ −10.42% | ▼ −8.67% | $53.61 (−15.23%) |
Aug 9, 2026 7w ago | Institutional Cluster | $64.16 $57.04 | ▼ −11.10% | ▼ −10.18% | $53.61 (−16.44%) |
Jul 27, 2026 9w ago | Press Release | $67.63 $56.38 | ▼ −16.63% | ▼ −19.93% | $53.61 (−20.73%) |
Jun 11, 2026 16w ago | 8-K | $86.00 $73.66 | ▼ −14.35% | ▼ −16.13% | $53.61 (−37.66%) |
Jun 11, 2026 16w ago | Institutional Cluster | $85.12 $73.97 | ▼ −13.10% | ▼ −14.99% | $53.61 (−37.02%) |
May 14, 2026 20w ago | 8-K | $89.00 $86.00 | ▼ −3.37% | ▼ −2.51% | $53.61 (−39.76%) |
May 14, 2026 20w ago | Press Release | $89.00 $86.00 | ▼ −3.37% | ▼ −2.51% | $53.61 (−39.76%) |
May 4, 2026 21w ago | Press Release | $91.41 $86.55 | ▼ −5.32% | ▼ −10.96% | $53.61 (−41.35%) |
Apr 29, 2026 22w ago | DEFA14A | $80.74 $83.26 | ▲ +3.12% | ▼ −2.93% | $53.61 (−33.60%) |
Apr 8, 2026 25w ago | 424B4 | $59.75 $102.27 | ▼ −71.16% | ▼ −63.60% | $53.61 (+10.28%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Try SecBot Free Coming soon: SecBot Pro with alerts, watchlists, and API access