Legence Q1 revenue jumps 105% on data center demand, outlook raised

Legence

14/05/2026 12:13

Overview

US engineering and building systems provider's Q1 revenue more than doubled yr/yr, driven by acquisitions

Company posted positive net income after a loss in the prior-year quarter

Legence raised full-year 2026 revenue and adjusted EBITDA guidance

Outlook

Legence sees Q2 2026 revenue of $1.05 bln to $1.1 bln

Company expects Q2 2026 non-GAAP adjusted EBITDA of $115 mln to $125 mln

Legence raises 2026 revenue guidance to $4.1 bln to $4.3 bln, up from $3.7 bln to $3.9 bln

Result Drivers

ACQUISITIONS - Co said revenue growth was driven in part by recent acquisitions, particularly The Bowers Group

DATA CENTER DEMAND - Installation & Maintenance segment growth was fueled by demand from data centers and technology clients

MARGIN PRESSURE - Engineering & Consulting segment gross margin declined due to higher subcontractor expenses and a shift in revenue mix

Company press release: ID:nGNX7rjmVL

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
$1.04 bln
Q1 EPS
$0.13
Q1 Net Income
$16.10 mln
Q1 Adjusted EBITDA
$118.10 mln
Q1 Gross Profit
$186.20 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 16 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the construction & engineering peer group is "buy"

Wall Street's median 12-month price target for Legence Corp is $77.00, about 23% below its May 13 closing price of $100.00

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)