Legence Corp. (NASDAQ: LGN)

Legence is a leading provider of engineering, installation and maintenance services for mission critical systems in buildings. The company focuses on high growth sectors such as technology, life sciences, healthcare and education, delivering integrated mechanical, electrical and plumbing (MEP) solutions that lower total cost, reduce change orders and accelerate project timelines for clients.

Legence generates revenue from engineering and consulting services as well as installation and maintenance services. In 2025, approximately 40% of its revenue came from new building projects and 60% from retrofits, upgrades and maintenance of existing facilities. The company reported total revenue of $2.55 billion for the year ended December 31, 2025 and a backlog of $3.7 billion as of the same date, representing a 49% increase year over year. Revenue by end market showed that data centers and technology accounted for 42.7%, life sciences and healthcare for 18.0%, education for 16.8%, mixed use for 4.6%, state and local government for 4.2% and other industries for 13.7%.

The company operates through the following segments: Engineering & Consulting and Installation & Maintenance.

• Engineering & Consulting: This segment designs HVAC and other MEP systems, develops strategies to reduce energy usage and improve building sustainability, and provides program and project management services, with approximately 59% of its 2025 revenue from Engineering & Design and 41% from Program & Project Management.

• Installation & Maintenance: This segment fabricates and installs HVAC, process piping and other MEP systems in new and existing buildings and provides preventative and corrective maintenance services, with approximately 82% of its 2025 revenue from Installation & Fabrication and 18% from Maintenance & Service.

Legence competes with national, regional and local firms in both its engineering and installation businesses. National competitors for the Engineering & Consulting segment include Affiliated Engineers Inc., Stantec Inc. and WSP Global Inc., while the Installation & Maintenance segment faces competition from Comfort Systems USA Inc., ACCO Engineered Systems Inc. and Southland Industries Inc., and the company’s advantage lies in offering a full suite of engineering, consulting, installation and maintenance services that smaller rivals often lack.

Legence serves approximately 20,000 clients ranging from technology and industrial firms to public sector institutions such as hospitals, schools and universities. The company maintains long term relationships, with an average tenure of 23 years for its top ten clients and several relationships exceeding 40 years. Its customer base spans data centers, life sciences, healthcare, semiconductors, manufacturing, and education sectors.