EME - Earnings call transcript Q4 2024

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Operator

Good morning. My name is Betsy, and I will be your conference operator today. At this time, I would like to welcome everyone to the EMCOR Group Fourth Quarter and Full Year 2024 Earnings Conference Call. [Operator Instructions]

I would now like to turn the call over to Andy Backman, Vice President of Investor Relations. Mr. begin. may you Backman,

Andrew Backman

and and everyone, Conference Full Betsy, EMCOR's Call. welcome Fourth Quarter Year good you, and morning, to Thank XXXX Earnings

at Relations remarks today. For webcast, presentation will slide joining you in This our that the the website archived are emcorgroup.com. Investor presentation our those our of beginning accompany us will be of section of we by at

and Jason EMCOR's Guzzi, today Chairman, President General Officer; Officer; are Chief Executive and President Tony and our Mauricio, President, Nalbandian, me Vice Vice With Chief Senior Officer Executive Chief Maxine Financial and Administrative Counsel.

provide For XXXX discuss today's our call, on up our guidance Miller Electric recent before our turning RPOs quarter Tony XXXX; it for numbers Q&A. then year will and year the acquisition well review of Jason it full will as our reviewing comments full before Company, back to fourth Tony as open and quarter we fourth our to

Securities during a our may forward-looking and the accompanying in reminder, is presentation to non-GAAP call detail release disclosures our as information of both and Exchange our forward-looking morning this within Form and described presentation press begin, finally, a encourage I and disclosures. information. issued financial X in review financial financial and with statements Commission. statements information both discussed this our discussion we filed these Before conjunction statements reminder, slides. Slide contain contain non-GAAP in And this consolidated all in and discussion as the with morning's everyone certain financial included our XX-K certain earnings

Tony? to turn me let the with And over call Tony. that,

Anthony Guzzi

brief highlight In earnings today, will discuss I opening and our outlining to Andy, then some XXXX quarter in outlook over went XXXX, the Jason, and it to the Thanks, provide good Yes. before also guidance. in performance comments cover our to I'll challenges close and who's and welcome the well remarks my our by what I'll going on turning I'll quarter fourth face. we XXXX quarter detail. call. morning, primarily

comments, and to I'd initial And X ask for to Pages turn you my X.

we operating great on financial quarter For million; an $X.XX; per of $X.XX finishing year. year-over-year XXXX, cash and income flow billion, of $XXX earnings a of X.X% exceptional was quarter, $XXX operating metric, the operating XX.X%; share million; of increase. had every fourth margin nearly of record including relevant of again diluted It revenues a performance

of of For margin We had $X.X we operating per an long-term earned income terrific supported across growth and that billion well and cash billion. X.X%. XX.X%. technically business, timed, year execution in investors with had of flow markets. billion, earnings year-over-year $X.X we to serve XXXX, of by operating had $XX.XX, growing, revenues, a diverse us It share $XX.X sophisticated end positions our diluted achieving was revenue operating strong We of

Our performance for in shareholders. and on retain First, reward Always performance an our our centered strong which to People develop, workforce, drives culture our Mission attract, and turn enables exceptional customers both us

I'd provide has to as So XXXX. as really some recap a well an over overview I'd years what and is the to an X year, thought segment-by-segment morning well the this of what I challenges providing do exceptional went well we than last XXXX in overcame the X of rather gone deliver

long-term First, for in opportunities success. offer that markets we growing operate

retain must well labor. the have develop However, to skilled to perform you exceptionally and ability in attract, these markets,

our Building includes prefabrication project BIM excellence BDC. virtual or And construction, planning some You Information that BDC in then operations. design I'll must automation exhibit leads to and of that and Modeling, to refer prefabrication development, and then as and of

we confidence the without levels have of of the the and performance segment highlighting to leaders earn work safety. have to who can need down the execute conditions also that demanding projects and the most under experienced the through ability manage compromising maintain subsidiary and our efficiently You customers,

to many and to growth. value where customers they projects and and our really and to demonstrated the care, capabilities, and in At manufacturing, years, balance our exists, provide XXXX energy centers, sheet. opportunities ability and teams growth our workforce high we and tech traditional again projects, perform water have markets generate opportunity above-market pivot most health deploy us EMCOR, wastewater difficult well we skilled tackle we retrofits leadership As and strong experience for over sectors the like to in who data growing

have offering the and depth execute offering. a service we broad Further, that trade to effectively

allow for to our scope more across the electrical customers. give mechanical capabilities and us the comprehensive us provide and a extensive trades scale Our desired

across the can medium of geographies, trades, end customers. and the we electrical solutions low-voltage and markets range offer In full

large capabilities oil safe manufacturing, gas, span and superior that mechanical tech mechanical piping traditional and ensure Our execution. often high and and and systems prefabrication efficient, capabilities complex and in precise to and projects require care, wastewater health industrial, BDC water

design, extend we capabilities and the systems. most mechanical and fire install of where life safety some fire the complex Our alarm suppression service,

the HVAC solutions we Beyond service life to construction, building our skills safety above. fire ] and aftermarket [ capabilities extend meet control to well as as the and projects low retrofit our work electrical scale have well and customers' service as voltage as mentioned the where retrofits, needs with

company by fill for At invested are united core, our People are capital of disciplined First, people, labor finally, Always. of and because our And EMCOR leadership allocators. term values in and excellence Mission skilled the we [indiscernible] a we long we and

success. development enable comprehensive segment managers have skills program and to We from corporate [indiscernible] extensively train leadership leadership. We that project the a our across

as evidenced have and well also subsidiary management internal our are leading promotions planned. by and of XX% segment that We the fact succession

we a subsidiary segment results X a are work and leadership levels near our collectively Our at have turnover culture, for voluntary we as team pay-for-performance superior and achieve rate the to customers. as

model business first on the organic allocation and through capital effective, Our balanced focused is building investment.

the business capital CapEx with in $XX in X the XXXX over investment more past doubled have example, than of For years, we now our million.

our shareholders in cash we our share through In and to we successful for we and repurchases. dividends million a $XX to approximately and acquisition through X million have We XXXX, $XXX returned completed dividends acquisitions very returned cash program, shareholders share on we'll great capital closed through and acquisition, discuss our discipline X, The action. presentation, is repurchases. million example later to of which in XXXX, Miller a and our February in and shareholders this $XXX

offering As demands on across we the And disciplined business happen diverse have to markets our focused happen. said our the better and customers past, when geographies. deals acquirers overall services they in we serve are through of of building

labor the issues. intense competition we While that some have was and pre-COVID XXXX [indiscernible], finished we work finished that greatest had sourcing, U.K. the in a some and training challenge, face but retention. was and services leaders Building best-in-class These site-based planning, a exceptionally is U.S. we chain always supply business. are not field maintaining include We our ongoing challenges. skilled in and now workforce our

But results. the prefabrication some potential We achieve done and challenges in as to work XXXX. improvise we macro contractual right and structures excessive with in acceptable as in we've the automation is with contractors, and other to adapt and will where and training past, DNA to ourselves and coupled appropriate terms protect anticipate facing planning our it

above. million record year-over-year number exit billion, $XX.X RPOs of We for in the $XXX our in XX% $XX.X X aggregate added RPOs with of over that billion and RPO XXXX the discussed as is February another year-end closing XXXX company. Miller growth not of

$XXX acquisition sheet Miller. after Our and even remains balance liquid million of the strong,

With that, turn you. the I'll to Jason, discussion over

Jason Nalbandian

data impact Thank touch some performance financial our XXXX. Starting well for X, compared to our as for XXXX. of going review key performance the of Slide to in on some of full the the of the Electric you, also our I'm guidance morning, as and for quarter Miller quarter good for fourth XXXX Tony, everyone. as our our and to fourth of highlights on the I'll each of operating acquisition addition on year segments

of were As most billion, record led the million X.X%, serve. our Tony a to across sectors and we was strong well as On which basis, increase grew demand segments key continue that organic consolidated revenues remains by mentioned, of X.X%. Construction we or $XXX.X $X.XX an revenues execute an

center of experienced Electrical growth the and segments, each our increase Construction at most $XXX.X broad-based was of The this of XX%. over in sector this manufacturing, were revenue If But market and significant Institutional. Transportation segment to notable be number and we Network Communications demand just an beyond million, with within revenues continues centers, to look projects. in data segment data a increases Traditional of due U.S. within High-Tech

was Mechanical U.S. XX.X%. during Electrical generated and billion, Communications. Network Similar increasing within Construction, Construction seen largest revenues to the quarter the of growth $X.XX

our mechanical of in as In addition, care. in which sectors fire number benefited maintenance a from we protection operate, health levels this Manufacturing within higher increases of the High-Tech the experienced work Mechanical segment grow also and to we continue other service Revenues including base. revenue and segment

partially decrease in the of real consistent projects. comments various from a distribution quarters, and warehousing my with demand either our commercial estate across both expected offsetting in and the completion on As reduced several or sector was Construction industry growth market the of segments last the due commercial to the revenues

billion, Construction remain a of of year-over-year of underlying Further, of segment experience On With a increase to this robust with decrease in from within project the Mechanical XX% part demand and in the along Manufacturing X% due sector. increase in Industrial startups. an quarterly of revenues pipeline and timing traditional revenues drivers segment, the year-over-year. did our we a we a basis, projects, the processing food $X.X RPOs, manufacturing confident manufacturing combined sector generated in

contracts revenues in representing a the nonrenewal revenues maintenance facilities X.X% U.S. calls. million due our than discussed division, million. $XXX.X revenues of government $XX and mechanical growth Looking of site-based reduction Building Mechanical Services, commercial An our each certain by on prior our at to strength across Services revenue million, service of were decrease the experienced offset We lines. grew $XX.X of operations continued which more from

we loss headwind forward, as we as the for of XXXX, XXXX. quarter Building the a in site-based million first just Services U.S. of see to do quarter of anticipate such, of revenue $XX contracts $XX the a within when the And reminder, we look impact to second million began

by an of with Field of Services, line the segment's $XXX.X generally year made acquisition to And move U.K. by year. inclusive we in an X.X%, $XXX.X ago that million, us lastly, revenues the the million, division, If Services of Services Industrial of revenues period. during delivered were increase Building driven

our XXX million both income performance Let's records new represents operating margin. expanded of nearly turn XX.X% $XXX basis this revenues, margin established XX.X% income quarterly of or for $XXX.X income XXXX, the With points. operating by or operating and fourth X. against has in When operating compared to a increase operating quarter Slide million of and

represents again, XX.X%, outstanding an Once a segments. income million, Construction each Electrical which operating a basis margin $XXX.X XXX XX% U.S. of improvement. was turning Operating our generated to of increase. point

the to operating testament favorable addition to more this teams. project performance mix and is true execution a by work, exceptional our In of a companies

greater from an perspective, of we profit generated Construction of improvement Construction, a the Similar XX.X% Operating operate more is the increase reported in sector And drivers were $XXX.X for operating largest an gross expanded XX.X% U.S. XX.X%, to income XXX was year-over-year. margin basis basis work our sectors increases growth a which Mechanical primary of favorable by mix performance. Electrical tracking million, revenues. market Construction point of of points. majority in with segments year-over-year a our excellent the operating and the margin which segments this the together, From project Construction execution of XX and generally

U.S. slight decline Operating a million, year-over-year. Services income Building was $XX.X for

strong remained margin at operating However, X.X%.

has the site-based revenues composition With and resulting of to the in gross of a shifted increase this profit greater in the loss contracts, an segment's of margins. operating Services, proportion referenced Mechanical previously

due Services. to Industrial decrease increase in given profit points. to gross was revenues, Operating a operating basis margin and a profit services Moving a gross $XX.X Despite and $X.X part experienced margin of this from favorable of lower contribution shop work mix segment million, division. decrease a X.X%, revenue our income reduction the was less of XXX million in in

income Building million. lastly, Services operating $X.X And earned U.K. of

a greater In the as in have project fourth operating the addition opportunities. year's points margins by portfolio impact to declined number U.K. segment's quarter of XX of higher-margin basis in last the revenues, slightly included lower

Services on by with starting profit. Building slide, Construction XXX Mechanical gross If profit few profit segments with has we by Driven segment, basis X, by move and quarterly Slide U.S. this margin increasing highlights gross well to as XX.X%. points a as our expanded gross Electrical our

to across is their includes fourth which quarter incremental under remainder improved by support as to due from $X.X companies greater employment increased head The Our increase million, well expenses companies. higher count our this expense of million operating SG&A to organic given both performance. of compensation acquired $XX our growth due levels just as incentive of largely costs,

a of referenced. SG&A page, increase increase XX XX.X%. share a year $X.XX result margin a compensation earnings X.X% margin of to and in the for the compared on gross to is point finally, profit $X.XX expansion incentive And direct increase in quarter The X.X% that was just of per basis and subsidiary ago. I diluted compared this an corresponding

If opening our full we summarizes commentary. turn performance page briefly his to for X. of touched year. on Slide This in Tony this already much the

of So profit XXXX, simply want results net income and margin, detail, for in earnings I including and to and every operating sets that for margin year a X.X%. virtually rather that than walk annual we earned new these diluted company performance through we Notably, our operating full records per revenues, profit income gross gross highlight for margin, XXXX operating metric share. track,

of remain ahead, look fundamentals our we As business. underlying in the confident we

that guidance with outlined of a to stemming projecting that asset strong though, important When operating year again impact Electric are XX basis X.X%. a XX range, XXXX, Tony Miller we it the from see X.X% point acquisition. anticipate range is from will looking a intangible to once at incremental this note When margins amortization you of to for we

if incremental end when high first within of despite match is said, incremental amortization. midpoint line At X.X%, margin, to of some we this scenario, And earned due range, with assumptions which assumed of have the XXXX operating a end margin the XXXX. and remember essentially forecasting a move includes this for our the essentially around and range, margin business, of we in margins, operating full to operating mix our we of record the we which being full Under margin an we that X.X% year looking low underlying we on are work. earned a that in of from of timing a When at are margins quarter-to-quarter margin have also With our in we're finally, accounting year the margin X.X%, amortization assumed look which margin margin a based uncertainties. we the at projecting level business. macroeconomic range, approximately measured expansion to would it's our other important and project-based and will can the operating the

now turn XX, Let's Slide our is balance sheet. to which

our generation, capital As history growth to to us combined invest the remains of acquisitions stated, sheet balance we've flexibility previously and strong strategic operating cash when flow our need organic our pursue liquid. And return shareholders. provides with we and in

over shown and operating fourth not for operating nearly slide, operating on Although of full income. the flow to cash we cash, the for the quarter billion of was generated million, equivalent year, $X.X XXX% $XXX

committed and announcement is acquisition increase of philosophy I Miller slide, both share Directors million our program. $XXX speak our and our believe and the repurchase on has of next will this balanced to our Tony to of capital through remain We to today Board a our reflected that approved Electric, which allocation

Based Electric limited expands Jacksonville, presence Southeast, the the operations. Slide had where in in So we we electrical Florida, XX, to our acquisition. Miller previously highlight let's turn where Miller

in the million estimated February of For from With contribute that XXXX, company approximately our projected contribution $XXX to coming and generated growth over million, million in XX% meaningfully $XXX in revenue our with XXXX, December Miller's RPOs of EBITDA. full as Miller to growth adjusted XXXX. beginning anticipate of just we revenues XX $XX will XX% of year of

million consider all-cash to intangible include from factors to interest XXXX that EPS from XXXX first a X EPS in and business; we diluted accretion the there's with underlying operating also the estimate $X.XX. earnings be be amortization, off. we future per years as the factors, accretion, those We runs acquisition to considered. be When resulting and amortization you asset which income we When $X.XX the in contribution in estimate modestly further approximately in the year; purchase. in anticipate reduction need the between of $XX will backlog X which Those incremental accretive of accretion share referenced all

With before want call words a I to about now who we acquisition that, to I'll few say Tony, continue. turn the the back

Anthony Guzzi

get in employees for execution other and to they're disciplined just than finally you, and and And are. other leader for also a our shareholders this to each because and years with his ago, to their that leader almost to be like customers have know couldn't the ESOP Miller talking And Brown, look, a Thank their Electric, we family and we're for gotten brother excited they've a professionalism, of space, always Jason. the care for team more company. reputation first each We Henry space. to allocators much we had capital excellent Yes. started deal X in the unbelievable

is It It's to the past to expand but and at for more. customers to our substantially. acquisition also over better the and even that provide grow substantially us to business serve throughout the Southeast grown XX really the already positions an Miller opportunity opportunity grow team X years,

when much Henry lot quite their big acquisition, I a I already the company frankly, a an on with contractor, responsibility changes based IBW inclusive an like and talked does. their what First, values match acquisition and of like culture. because, They Mission they our an have leader very fiduciary training public run They're public Their of was care they a not it operation in operation. about think company have identically People almost EMCOR and values Always. company look They programs. the

manner. Without talk there, at really question, are for team EMCOR [indiscernible] customers safe, excellence past and execution. acquisition, the productive deliver And a a folks in the in an does when excellent look and first you've about acceptable and me heard the in execution field the field we Electric Miller

align do our values we discipline of and that teamwork. integrity Miller community, they do. back can nothing and the safety conclusively it, trust of EMCOR of then embrace and values There's and we the also go transparency of especially share Miller. that local many main around values? they our said, And Electric add and which the say to and they And to to companies specifically, and like change also we Then office want the would the really

Miller. our we We're EMCOR it to Henry to top And want into of and expect team the his What report under a prosperous do best business country. of bring is take are segment and the Electrical EMCOR we best the future. it one to that and bring take Fitzgibbons. is excited the and future. say long Miller Dan it of going and in leading into data center people to will I'll be that modestly the And

mix of to more work to centers, commercial. their put about So care, diversity They also know entertainment They Miller brings work XX% Florida growing do the growth XX% how XX% actually organic the both in know market. how is and Jacksonville, in to we us. of and to be industrial market, health They work the hardest part footprint sports data will and acquisition. Florida, through the and throughout Southeast the which Florida based Jacksonville, from look grow are a

and near Brown EMCOR. Henry his going parts be match perfect at of forward. run is as And key as the a it's leadership what about we've team So seen EMCOR company will of how

take You you almost and run of alongside lay Miller's they're the it EMCOR, can how subsidiaries best identical.

what side see side you'll market Page couple Pages have actually some move where pages to will see by and key I'd now times. of we ask on the I'd being With we to you to to XX. out And be XX growth. pull like trends turn or those I'll look attention at in XX RPOs, with And sectors there your and that said, them continue which on last

the At centers were XX% network demand in we year-over-year, we sector up of at see which sector. billion, sequentially billion record from center strong include the our RPOs these end look quarter. data and to for the hyperscale $X.X you XXXX, a communications in of connectivity, If end data XX% $X.XX continue growth, or third

overall the in key several to early we're center we ourselves geographies on As over prior innings I successfully expansion, positioned of years. said the data data the calls, continue and have in we center believe last

expanding serve capability and in capability. the brings us building we our geography data And those more to acquisitions market. organic capabilities, do even through that center both more -- acquisition building by Miller

also and innings of the I Manufacturing Industrial and continue and near-shoring Manufacturing us the will provide the believe it we're to sectors. High-Tech opportunities both reshoring and for early in

in to projects. as strengthen We well expect even invest sectors these and this as in more oil capital customers as more gas

of that. will We long be But lot EMCOR a long part hiccups we of trade nearshoring tariffs. believe near-term plus trade good talk will as will be of around equalization of Look, for term, term, a some a but equalization like do. thing is we is work There go through will the and EMCOR. always reshoring for

at is chain. High-Tech respectively. these life that of electric multiyear had of includes then the XX.X% next projects, Look, sciences $X over episodic down projects, were this ready just space, quarter, and phase. pharma, multiphase you this nature the XX.X%, of Manufacturing, get billion reload we year-over-year for driving RPOs especially the sequentially phases initial biotech, semiconductor the and vehicle in by through they end go and semiconductor, the and locations sector in and value

our electric continue continue customers in BioLife Also, the believe it's pharma. sites, especially certain especially we Look, fire manufacturing continue and That's on completed, especially value to that's we the semiconductor protection true certain side, Manufacturing. of true to High-Tech believe long-term chain to in projects. vehicle defined believe, and EV I or as in fundamentals

-- and we to to more on sectors have than and going share EVs, that. positive they're There's battery Manufacturing. today. built and have long High-Tech each We going value chain to And need remain the hybrids in to do term EVs one the of these all be plants of expansion and place we're going

healthy up we're which sector. at in, to Go In $XXX market that innings early year-over-year. believe within the and I the of a a million RPOs of see to the continue Manufacturing trend, quarter, nearly RPOs are X% reshoring/nearshoring addition, back traditional and base in we there end Industrial

for finally, as as a long then for and sustainability, energy market good remember. I looking can long-term at And us efficiency

work, our over Services had within we project to retrofit continue Building excel We with where Services the Mechanical billion. division U.S. segment, $X.X especially of RPOs of

this on more and and efficient system reminder, reducing updated performance. integrating also it's really and increase the focused tenant As overall is These a making projects retrofitting space building on better, based costs. usage equipment, controls, also

to XX, strong Going the see We quarter. in to health to X% period from year you're billion ago XX% demand in quarter continue record going Page the care. $X.X from ended up another RPOs, third the with and

Our million These us, water wastewater up approximately nature. are this at $XXX a year-over-year. us. were and RPO for market the These is end of X% size episodic for the projects are and big in scope quarter, projects Florida mostly

state Spending include driving this $X.X the market indoor new project base, upgrades campuses sector, billion. consumption what's sector. renovation on demand institutional in universities, XX% coming in up retrofits air and a technology federal really reduced in RPOs research and and record local and across year-over-year, [indiscernible] quality schools, is energy at were facilities, buildings, which classroom with

all driven grew RPOs talked to largely then efficient, by had $XXX of finally, retrofit cleaner and Go construction. is airport And duration projects $XXX more productive to smarter, Transportation about back projects XX% short This we million. about. million buildings. the energy year-over-year we

Partially and RPO in no expected declines there's were our surprises offsetting increases commercial, there.

really 'XX years. into the say, have -- the X and for be X some them back now will as happens at have half mandates we'll prevalent been become of because needing I Although more of or they 'XX buildings retrofitted occupied return-to-office what see will

of the in strong with demand another pleased We're at and $XX.X company total growth up and mentioned similar to of $X.XX end our year the light we strong number, earlier, that will of billion, for million As December through add project be XX.X% were services, we the RPOs billion. revenue which fourth sort or that and with $XXX XX, pipeline, additive strong the will $XX.X billion quarter, and had in of are diverse. that continued Miller remains year-over-year. I demonstrates particularly quarter fourth our which sort pleased performance, RPO the

get over believe I with year. to we on this. what our what we what we RPOs the very past question X done years. talked outlook is of the we to you Obviously, gave bidding in Jason also very ahead the last similar you we're we've we what executed similar on margins believe with have the is And over on now about,

closing, great for EMCOR, to in So Obviously, XX. was year Page to year. another go XXXX, I'm record going another

Our February and talked the of already to team future Miller solid and for added addition much with about and I we team foundation Electric accomplished on this, for great our XXXX beyond. X, already another growth

we obviously, our profile. we margin optimistic prospects guidance, growth about and our As set XXXX remain

the economic And will acknowledge can from in I While we always year There's environment to economic these challenges, in there's adjust challenges you to in challenges and broader we here, done. copy will paste broader year. this order the environment. what do have always

you to industry. your develop what you you you well, the contingency for overcommit resources also don't continue workforce the and develop control, leaders you best and your continue execute control skilled great train don't plan what retrain, and focus and on leaders you You to and in

you If work things do out to that, okay. tend

customers' these to project their confidence know our and service and most earn continue buildings build we things, What should we manufacturing campuses, challenging, to do is plants.

provide earn our XXXX to the As such, sectors we that And our us market the earnings Miller expect to -- $XX. and that's $XX.X acquisition. opportunity business in believe inclusive and diluted we per between of $XX.XX for to revenues, diverse billion to share billion grow $XX.X of

basis about amortization, intangible through he full to went will XX anticipate year. in points to an well. operating going pre-Miller this kick EMCOR year But expect talked We it's to to Miller this, us all our first asset the and overall, XX be strong continue acquisition, perform Jason of between for margins the you take

negative you be is not may need people XX potential might for and a we I the think in may important that missed headwinds I overcome that to planned, quarterly, Project from go us be And I and positive right? the quarter-to-quarter And we out be for last to to of this always releases years, this I don't. just clear, timing said We as and X remember tariffs, I've always business. it's term, one, it have believe drive Also, not long as customer will plant recognize more reshoring. this, may term. said guys so short which more do

volatility global see supply face and on constant understand our always state pricing in vigilant on supply a delay certain customers. business these probably just also it administration the think we planning now on manage benefited our I and we to under around vigilant the and vigilant uncertainty. will We we new chain challenges funding that will continue and terms. chains. that's have. as may and uncertainties Further, cost, legislation We're Overall, be contractual of to going

We're under costs bring under contracts control. to and control, and prefabrication keep costs SG&A automation overcommit won't We'll or to going schedule. bear keep our to either to we our

balanced we return will more expansion allocated shareholders to -- continue and We to will balanced We the our will to XXXX, share the market cash continue capital the to to program. active. continue as we'll expect through to of evidenced than allocate remain acquisitions be We remain XXXX, and more organically, invest to We'll remainder continue acquisition by we allocators. acquisitions. repurchase to -- allocate of capital and

of EMCOR last, customers. our teammates Mission I exceptional care to value safe all continuing way Always People a to productive not work Finally, taking want and each and values our our of other, deliver thank living for to in First, to and

you. questions. take over I'll that, Betsy, with to And

Operator

question Davidson. first with comes The D.A. Brent Instructions] today from Thielman [Operator

Brent Thielman

on Congrats comments mean Miller deal. guess maybe I Tony, I take I Miller. your the just sounds strong from year well-run and business. [indiscernible] like [indiscernible]. really more a on the

opportunities sort operations to with combine your existing are in when there it revenue can of or synergies if gain you some the Southeast? wondering So of future

Anthony Guzzi

Yes. any both. in and additive X in We think size, we have net only it's markets overlap really of

so We in have some some overlap overlap think Virginia. both in Southern Texas, places, mid part have of we to in additive. But we opportunity. that's that's the And

we that in customers have part we whether of we synergies as and some health the with manufacturing especially going where you to the term. is data not other The I have Those Miller's want opportunity these to places plants be of do them, are more. centers, projects, to going think where customers they're Miller we near the Miller us confidence want in and or bring relationships or into to the relationships care share have expand most may they're the services. larger play, have

into Southeast, better to our more platform and EMCOR, ones is the as build in us in companies not through contractors, allow -- acquisitions markets. customers Miller serve window bigger but small it platform some scale we Miller will that serve look, in as a us of We think think Southeast. then midsize a and large electrical companies will the for our to Southeastern opens And company

Brent Thielman

new centers And Tony, of data data mean, what it influence know I to yet. seeing you're really approaching centers degree XX% hasn't may it your be looks I now? your AI like to influential sort the of been Maybe RPOs. bookings of and revenue

Anthony Guzzi

way because the Yes, now. kind of for comment. I of kind is do a now, think we still know little to with we're AI work cloud But we starting in putting on the But it data I AI. the that say, our of execute to those is mix most are some data for systems centers fair building mix of we way what of with they're based exactly to about that's they're in use and storage The the know data customers going come the think expect megawatts centers a XXXX, the using. centers. would still we

early X most sites capital nothing know innings, maybe that. building like think cooling, It's that we're the a centers And hyperscale only they and more any need electrically is country Today, are data X through X or only were would always of we we step there like to I of all in to we reality still the and ever doing we're this need on more believe last couple about did of sites, X The There's and major through centers said a systems I people was geography-wise. X using, to I XX in I is megawatt in been linear. know building in back the I XXXX expansions, where we the power. or the they things is always take scale. upmarkets. And these say talked way that different years. about -- react how they locations you data when

these think privilege I They I I've the and had of don't some planning work. caught think -- surprise. clearly -- watching are smartest So the of people them DeepSeek that by

But sites of think South the plan, in if up And have Chicago been I you as they've us as right? and search different they -- to a think outside there's strong were or X what in, And sites, aren't that it's you they're risk labor bring also manufacturing Michigan their executing. power, expansion Lake to of the about to that they're they towards things, bear. go mitigating for Bend. they've shores of been allows

at major in time. Iowa, in to Oklahoma, were places to go sites you places one You manufacturing go there

power is there's and excess there power. The

And sites dearth this more somewhere in excess they it worried I get around some data starting power. to of so power think, of would the held moving XXXX, may were have about they've towards what a mature developing been center And up, XXXX. be

the one grid of in and think industrial become support only AI. new baseload administration to any need also the leader stabilize I of the power reshoring is expansion the also but you a realization to and to and also near-shoring, positives And not that

think have is visibility and next those enabler see years, but contractors you'll that. what to I plants we visibility more sites build, built gas gas think do the those it continue I develop. enable or far and existing center So X a or to will that's to decent And X extends decent the beyond flourish key I say think into data for plants

Brent Thielman

you question on in I build field? love get and there but the here I in question, margins appreciate on I execution, just And last here phenomenal that? few the has opening move one, from mean the get comments. have how is, utilization Really do I Tony, your your margins. to in Open-ended to guess, guess last I ask I upon years. comments this? still electric opportunities Are But been the helpful. efficiencies

Anthony Guzzi

these you the be to now they're from a business right, we stability in operating I the basis though, the Look, in we're quarter. profile cautious if margins Yes. we on on would great. doing the efficiency margins, margin will say businesses, in have return the especially capital, we're margin based on fourth say of going obviously to [indiscernible] I believe build combine the right our And with net Construction guidance. . of our asset

run flow quarter-to-quarter, to And could tell me, If take EBITDA, forever, XX% you generate mechanical at that to And around deal, and take told that X.X% that take will to to deal told continue opportunities me it I me if you XXX% that I of XX% could bounce margins, and leading if a could would our mix to we'll right? between cash I size, from EMCOR you. the that I right? And you continue smaller business also service have we'll we're business deal. which solidify expand has site-based would move going a and

They're done and our they country. most So when on They're methods. has I have means the innovative how to have little of to. and in for what still efficiently paying price. the around with difficult achieving more We why sharing We're to customers get methods customers world. not demanding. nickel and the things at we're my us in in means margins, being of do we look more the very those have estimation, on it some than We're those

have a great business. safety our life center mechanically, fire groups, data in We both peer electrically and

the done how we know our involved come and they're to that get to going people for to efficiently, BDC help us capabilities integrate We also we safe, it's to know can with design going And further upstream they know in to to get get -- constructability. earlier because design productively to work. it

been of in the -- prefabrication the feel the really the investment And made. earlier BIM prefabrication way talk excellence targeted for talked we we've and prefab been about very that that's the very targeted they and design and software-enabling it's earlier. link can then and where We design still I BDC the that constructability We capital linkage it's in is is so investments confident the customers speed to profile, tools, think our in the which happens BDC the and expansion small. and us of unmatched. share about knowledge,

that large all these projects think on together, allowed superior I to margins. have us especially achieve

to the gets management of down a destination the then to And the we're the quite working employer, union with And mix labor is or then in field. right frankly, basis the right crew whether crew assembled. assemble a the in us and it field and union having non-union you're great mix,

the project together, up matter out forming supervision in manager the all put and that superintendent company you through you financial from drive to results. to a metrics good train You a that to people CEO, on your project you get hell of

you to have market, good market, those have But as a to things Brent, you right? that, If all are of good a don't easy do. have not

Jason Nalbandian

provided I on The add a obviously on I'd only thing full expectations margins, think the year right, for we basis. our consolidated

bounce of you you XX, around months, look the trailing say, margins you segments XX, quarter-to-quarter, a just our you think that look where If if will XX would at gives of I and think between good quarters.

Anthony Guzzi

Yes, good point, Jason.

Unknown Executive

I make got to though. comment, a

we to on on in delivered late starts getting had -- bring news. early of anybody bit some We had we're data up we the here on some 'XX, about little analysts on time. some better and held Brent, offense, It I think but the a sure leading no bad we're to XXXX, sort that early our in excess fire But still was than not contractor pretty margins specifically was electric -- execute it the wasn't switchgear said and field. can projects. labor were of we center in quarter

Here's what's going on.

not hold again? best short-term take opportunity not foretelling there's not control, react can anything a to here margins. on you will quarter-to-quarter always with is -- our I I'm think and And But variables to business of anytime the happen filled blip. that why And but supervision this don't going aren't to bet we're soon. a so margins to -- that's

Operator

The next question comes Davis. from Adam Thompson, Thalhimer with

Adam Thalhimer

acquisition. and the year the on Miller Congrats

Anthony Guzzi

Right? you one outlook. outlook? . could the then And on good It's add pretty

Adam Thalhimer

the I brief, but thoughts trying outlook. was on to on be trying get allocation. capital I'm your high-level congrats to

buyback into you So wanted quickly? would If Miller another lean you really net you willing the to or hold to of be little guys if a bit found debt?

Anthony Guzzi

I the former, not on think latter. the

many that. on period debt I X look, -- comfortable short for we're would at comfortable we're X.X:X I'm time, don't Miller, it's lean there's in found another They If still we on the there another that sizable. really synergies of run or and from to perfect out a then fit. net still we are was that. Xx create company do think if like sure you and I few field Miller, take needed basis think problems that sustained of like between profile the there too we There's not the go if not a much they smaller by, with that a but and exactly There that out and to which and yes, destructive fund execution the Because would business. we acquisition. it are values company, for back a one us a overlap

sheet just try So to answer to right? happen Deals you And the happen. that enough is, I is this, that. take Jason, advantage make when your think, flexible of yes. And you balance agree to me with on they sure

do And a to think I excess so up buyback? buyback do that. of don't use not would lever capital we goes, would that But a good is capital. No, the and we're afraid where be for us to

Jason Nalbandian

. Tony. Agreed,

Adam Thalhimer

kind And should wanted is high I that of better over how margins we ask to growth curious, about time? the or Building Services segment level? think then about slow a from I'm

Anthony Guzzi

have of a contract through off. couple I that -- middle tough have of comparison probably the the the year think rolls tough a we as still we year-over-year

growth quarter think maybe this I coming sort of will fourth of year. return

it be weighted always -- towards think towards will been I more it's mechanical service. weighted

soon. won't won't -- We we was. of it site-based kind contract near be level think we to term, the I that business the anytime building win in

team bottom. their a the And not base. to They're down real estate site to chase smart in people going it's also, management

then So real capability they fast if for and knock right in them. solution themselves the we're management technical capability, values If equipment actually program the turn guy, want really their our how someone our the estate buck understanding can with buildings, out. a they works

Jason Nalbandian

in we're think this right? like we're margin or strength and like expansion higher decline one, in when on a We're I reason even the quarter that's of work revenue, revenue why part seeing margins, still letting where a And seeing [indiscernible]. focused

Anthony Guzzi

buy that quietly of leading service have a do business opportunity right? mechanical built We look to to position companies, that. a do for us companies, controls and the in to means service building of for continue our They works, service And of still us which see growth acquisitions. And still through see in we'll every front a small to one capability. world project HVAC real tuck-in out retrofits, we -- we continue organic mechanical markets opportunity small to add

Operator

The next Brian Stifel. comes [indiscernible] from with question

Unknown Analyst

my nice here demand terms guess, quarter, can strong as the dynamics in extend on would Very health very in there congratulations was seeing you performance nice ask care. of That performance. well. of another I margin Wanted area currently? RPO talk what I quarter. to about you're

Anthony Guzzi

patient centered hospitals, patient new operating patient didn't a I because towers. enough podium, dynamics and and demand suites they hospitals are think little really new we're some being rooms. of COVID bit and And had have they updated updated the realized this in is The accelerated new they seeing of there towers, Yes. around

rehabbed and just the also you're And so in growth just the old Texas, the like growing. expansion, in growth Southeast seeing the Southwest, balance being there. seeing and on there's hospitals and in rebuilt. you're in there places a the Northeast, going demographically Florida And

while putting in this hospitals they're I of leading right Boston mean world. of we're care how hospital It's the one the doing keep now. health some work they -- up going the together in magical project

would system-rich And hospital stuff. plant. center, up, data like of good manufacturing And at stand and the a bottom hospital you look we're if at semiconductor plant, the much a like much a a it's environment, think much about and if so that like a you

you're be to systems, in, be [indiscernible] bringing Hospitals us trying have HVAC make sometimes. you're negative little electrically and more Because purification to heavy centers more you're positive them about data gases tend Like Hospitals and you in, think flexible. a rooms air to heavier. are you're heavy. you bringing doing for med tend mechanically

patient happen that changes within air to rooms. have have not the You

to have You isolate things.

of mean that You have to have a it. go constant lot humidity. there's into I things

the we out to with engineers, it to working And where able but is engineers best figure right working being and system commission them design then which with the the going to work that's don't way, lucky service then usually very times, or it after complex commissioning. in those them. can hand get year maybe lot we And operations to a so, have of and off a we markets

Unknown Analyst

helpful. that's to then side And ask the wanted things. on Yes, also of really I warehousing

you you We and that can for you're seeing continue kind end guys? Curious market hear to remind -- if how of us there. the shoots important is green of similar

Anthony Guzzi

Look, back contractors. go for again,

down, building the mainly on of they -- where And the anyway. we're And for And data warehouse. so and perspective, we the life frankly, electrical fire pivoting warehousing electric where power quite high margins, like only were came kind the trying safety. us our warehousing substations from vehicles, substation Amazon centers fire doing when were a a input where for where major -- were work at people was

warehousing from So the centers. data underway reality was to -- is, fire life safety, an that's that easy pivot We us anyway. from

projects. fire much into fire you within But some to now you more closer, have but also to racks that, need bear therefore, in you because those more the of has They're becoming like offer major safety warehousing. We them. and are do is picking lot much of been lately. seeing reracking storage automated warehouses. would secondarily, these up become more smaller lot in Cold of And us do work. automated. fire that the because as -- protection a some a are more I green for sort racks shoots warehouses going where more on to of there's stacked been We there's it's in when bring scale. much protection

Unknown Analyst

Yes, one And that's then here. helpful. real me for other quickly one

in you as tariffs you remind may be that potentially factor. impacted have you talk out And how managed called guys through the us about how there? You Can a past? risk

Anthony Guzzi

Yes.

rewind unplanned of prepared it quick will and we're Very to XXXX. abrupt price everything just for increases it that let's be from I already think that about course, did. don't So just And we isn't. it.

a on terms prices, we on to we're you. pass if going say, to which hey, place, So get how we to that think we've there's sudden been in first, Well, it? working about do change in if XXXX, can since the contractual

to about that's project we're on think EMCOR, X/X, a getting service, right? our projects small X/X, continuously that's large I'd X/X to that it's happen. going Any repriced. goes and we're if X/X, going what's in -- Secondarily, pricing say of is up business

this So on all. at the find is, not is if to of to going going to impact able statement business That material income are impacted part we're us. it the going be meaningful it really pricing tariffs isn't And to any what be in way.

X/X projects, of part second That's We That's a are across projects nicked or look EMCOR's probably $XX if The return. And little get of right? sort you the business. again, that, not of what at million quick happen. little that's take. will a EMCOR whole give material about $X to or may business, million bit,

[indiscernible] time, XX years we get to bifurcate And end big let's ago, then have third we major is you that data work, jobs at center doing bought these the semiconductor work would larger When one all projects. then And the third. we're systems. manufacturing the

switchgear. buying a through owners, We basically have now times to brought the we the because purchased if and owners handlers, GCs in the they're GCs of get the that the chillers, of air would chain, even us, we the mainly and bought handling have the the supply lead they lousy the send fee. the equipment But

probably more of half So -- there. of our exposed our We're much hogs. really of not material that -- all that's XX%, at that's or probably

got EMCOR. got it's working and a to wire we've overall may our And on protect conduit. the and to balance we a bit and pipe inventory And of commitment. and long-term with -- is folks to distribution then We now, the little have we've compared us size up right local small that of uptick our prices

of project. price little wire, inventory we a certain the where be a bit able have We lock uptick on in conduit to and to pipe build

to add have you that? on anything do Jason,

Jason Nalbandian

I you Tony. summarized it, think

Anthony Guzzi

figure lot paid spent about solution is And out to back situations a to it. more to a we thinking ready. of adapt contractors, really this. We've get difficult how our and And to again, overcome team time go

Operator

from Markets. Dwyer with comes The next question Capital KeyBanc Alex

Alexander Dwyer

Yes.

investments just where investment are wanted center seeing wondering these you're like being and start to better projects there and areas that to force? this for? more moves I'm something about data in a it of I you're center this planning could to shift if just if scenario? make data any If in your So labor geographies bid ask can are where ahead harder position you any business remote be to is this hire EMCOR And

Anthony Guzzi

yes, answer the yes. be So and would yes

about were center to If XX Miller, expansion serving market market little a you happened rewind we Today Washington, were most so my the electrically. secondary electrically XXXX, mechanically. that's, XX not has about bit forever markets worked we've addition not secondary or in D.C., in and And or of Metro with X the data markets. -- And not means Atlanta, a Metro of Portland, Texas. of in

for been There's are really quest right? happened, people. for smart a what These planning So surge the power, power.

power. the surety build And going able be to have so of X a are pretty going said, they That next power. dearth of we a to to without where for having years we're

cash over better they as about seeing time a places And you're the last worried think years, them And really. generation. they're feel over because little not so to go I X

You're this not XX XXX hours a to at be It renewable to with the that but expansion for megawatts. a power. part day power solution run to to that's intermittent never of going solution, needs was XX something going

coming have why build expanded you Virginia, That's were have have know power. you to but to weren't we're into you you're That's they power. you Think And sources where Virginia think down to to about you in and for had why where Richmond power power if centers also of centers out data centers That's going renewable right? didn't expanding going had some traditional in Ohio looking all if generation. you that gas did why still going to were centers be. of so able up, power, they Southern why nuclear, Ohio. Oklahoma, be of going say, it's of the data Columbus, power, did River, Indiana. coming coal moved you of that? intermittent where parts do West data you some to were more data you and That's why Because out And pockets but Virginia, I'd coming area, surety power originally, Northern have or

go had Carolina, Atlanta. that That's going right? That's you did that could you bring you You with also Charleston, see South but to wind, baseload power you have of why some into bear. them fossil to see why them

big you built are That Atlanta. campus an were being nuclear in center being campus Atlanta. give reactors south center were data aside There's I'll being built -- that built. center -- just built data X a of there

brought new That electron the It's campus The about a doesn't where it from. nuclear X/X reactors, online. give first will one X/X The center X,XXX take lot or care data of one comes of of in megawatts. is right? is use center those data one power, campus. and one

that's why they've expanded. So

that some have So with build that how and plants, can our teams what can plants hospitals taking ability service our cross-training, right. is it Well, we of existing manufacturing done skill some and that? our those learned capacity. we've handle we've teams also through acquisition. manufacturing And and build We've it the some teams done training and

folks we built So they the end data we've work with the in the on and where help from centers, and methods. front of places take and and go estimating developing plan means

a more of there That's become the serve done formed market or X-year then one called of train over work. [indiscernible]. and a [indiscernible] to teams the teams Kent We lot. They came operating contractors. in We've but that now the in Ohio. good And our and electrical mechanically we'll that's An can center out Upland. X best with clients, it is and serve center and period, company Columbus, us. of one up of mechanical what mechanical come mechanical now in we a Bachelor companies more teams to done we've do organic those together hadn't leading through broadly. done Ohio, data for and example specifically of then really expansion. and X- new And And Columbus, We data a data took construction leading and also we can

that of low means X Arizona. voltage with pivot can there jobs team electrically prefabrication now in same the Arizona, months the a a We recruiting data the building bringing building be in with couple growth capability Arizona innovation, through know-how from the team thing with we in There, started excellence did in shop down semiconductor they started and virtually and data day Portland, X that to and organic investment. the space, and with our broader servicing great to [indiscernible] and method center do prefabrication Portland center a workforce with of a creativity work workforce, and in they'll market the leadership year

that's just how So a think snippet we it. about of

rewind people, XXX-megawatt supply said I able data especially more both [indiscernible] but which XXX and now is X,XXX XX the be go also would centers, usage power, of a data data the idea the XXX. and is between XX X,XXX And needed as when policy surety potentially really, being I cloud for you have from and which homes, you somewhere and give at necessary megawatts power say power, traditional baseload will earlier, tape reshoring brings the to look clean then storage take that to or to that which I power to the to expansion, provide believe, in AI, to which to construction, it significant think gas expansion megawatts an And is continue energy plant also just to game center XXX an centers. will

Alexander Dwyer

the to perform it a with there the do gas and meaningful to think a my Industrial for revenue is continue super how impact room Thanks, Tony, there's for an second this the know here? margin and kind perspective? margins could that over is just built guess question. a administration guidance and friendly answer. on And into what years? helpful you couple about I then is be outlook oil next of just of was last growth from think more and year I of And Services

Anthony Guzzi

think I will the and real 'XX benefit beyond. be

bit caveat of aid the a a I of off slow what first bit a stuck in in which seeing little place got everything and start snowstorm season little for for were of a the then is as had got year everything little the market with geared week. more we turnaround in of a up bit this to traditional labor which start quarter means nothing labor, Texas, a week We a a Texas delayed we think -- the is because you're significant. week, to turnaround

demand. 'XX a back see But half force but half see back march we we of continue that to -- We thing. hopefully more year-to-year around -- into loaded season, little a see normal to turnaround going the it's somewhere We -- do we normal probably than happens 'XX. are

the business, electrical North Dakota bringing the Texas is in the team opportunity area. in there, upstream site. also stations and into there's and of if compressor great up a and if take -- That they people. the some it. have [indiscernible] They're we We the where exposure. they through come should the well best have services of in that electrical And to will form really advantage more Louisiana And midstream [indiscernible] of

Jason Nalbandian

I'd only would assumptions in thing did would of The I point growth say I terms into terms extreme for an we have Industrial The XXXX. thing Yes. in there's out is what's this one acquisition nothing in Services of guidance, year. say baked

the we came saw growth this So an some acquisition. of from year

more we're expands year next down expect organic hoping would through as methane. whole is services team year. 'XX middle our of we was out asset focused mean years. we with the helping the -- own bought we focused say, Industrial we I from was great I I'll of of puts control And it coming that up. will It in be it. and in it Ardent. why look at on that on middle a the glad out and 'XX.X, segment Services of the So really And normal that's upstream, that acquisition solutions a And growth level it control around

Operator

from Adam Goldman comes Bubes today with question The last Sachs.

Adam Bubes

how of high-tech Can guide you X.X% balance growth data end organic around growth. your compares the markets, your and I think us between and the the growth just bifurcate seems that manufacturing to business? help organic highest of midpoint centers

Anthony Guzzi

have think it do get significant [indiscernible] into the you, Jason. revenues in center to sort don't going it? see but and it's XX-XX, We manufacturing. over it RPOs I'll before throw growth of there Jason, first high-tech We'll isn't over I'm Yes. to we first. see growth data to kick we growth I this see growth. But

Jason Nalbandian

I you XXX excess probably grew against look points of at growth I that's traditional you basis this non-res, we fair, think in and our think XXX to at I non-res. Tony. mean year when look

business, I we the of basis excess when XXX think points about to assumptions for in grow we for rest year and think the so to continue we'll say, somewhere And XXX the non-ress. between next the what's assumptions high-growth versus sectors the what's of

Anthony Guzzi

. That's -- EMCOR and overall.

Jason Nalbandian

our EMCOR right? almost segment, Mechanical overall. twice Electrical that, In it's

Adam Bubes

how Got there. are utilization by continue And it. I further color organic capacity to much thinking employee would of to And growth that your versus appreciate XXXX? how for the be employee ability improvements? in then grow you about driven X.X% room count

Anthony Guzzi

all revenues, Our growing about able clearly count in been in X-year grew our doing fast X% X% they're going. if what or or estimating period, goes man X- they've that XXXX. of to doing right? XX% has growing those are been what to folks that to a our as XX% been And we hours, revenue And Our over to expect be in growth. take trend they're what hours And probably it prefab, our you continue hasn't as doing man things. and head in growing planning,

of people. I back -- to I always wonderful not But go people. find complain some able to about do of you, what I career. At day, field job always we you to how project, in the attract of do for being And for work a sometimes and finding right? our don't always come folks the a to the a people for them the say, the great want [indiscernible] end

are in think order. or particular down X things, no these right? think it I X gets I to

into to First, week. the they're employees, union know also you're And to know they they want to every get paying fund. that if they're benefits going paid want

know make they sure order, only The in going to second that you're safe. thing, want again, make not and the the no means the to investments right, to That's to them particular In years we and also methods but planned, safety EMCOR, well investment, XX-plus successful. at my we have never have never is then equipment will. they the down a job be they turned need to keep

challenge am Operations. level know the superintendence the job led the on and job above, we'll situation to That through about, -- local the site. me but come and to care manager I the really is and from CEO people VP what that they what at and they the through thing if third by on project help that I'm a a of tough the local can mainly in get know doing need foreman The being level, through they and

want that I your is of good thing do for us, career to I you another with team. that build a will be make someone a think job you, -- if part permanent

I of you think finally, our I'm project or do or a them take lot team a with the us that pride the We takes that was project that. they market quite trade I most be of does have I -- the And part lot if to like jobs. career to And Trades care lot to build X/X built a rework. of said, team want And point the and point They they like take, like part that. are in in and with it, think frankly, a built that. quite to people company workforce us. the space. about well-planned they I with of of to don't frankly, of that. some to And to that a skyline of of work project the take from interesting give

Miller check, check, So check, to check, We the goes with EMCOR Miller They talked also right? success their the thing them. build It's think check, for earlier. check, emphatically environment about long-term do can same check. in check, trades that I markets. people check, provide

Unknown Executive

as not about revenues. as to add to on just head fast comment growing And count, Tony's

period, number CAGR XX-year revenue a over look you XX%. round our is If

headcount at and XX%. X%, ratio. alone, X.X%, is up you up just X%, head a CAGR Our is count is if right? even look X.X% growth this year X:X kind And almost of And revenue

true is even and So holding ratio we [indiscernible]. today, that expect

Jason Nalbandian

go We expect to as much revenue. we count back, grow right? we have to as head XX% grow to only X/X half

Anthony Guzzi

that why different. we reason be no see would And

Jason Nalbandian

of XX% What trying sort was say I to covered. gets

Adam Bubes

XXXX? specific positive and And And the outlook understand in margins then your expectation in heading but mind last driving mentioned any intangible around one other by Really any or margins of any in margin the the pieces pieces quarter into me. bounce the of keep quarter? amortization should and other major any moving variance terms can margins you versus driver quarter-to-quarter, strong in other in puts we incremental for takes mix

Jason Nalbandian

Yes.

I really think in no terms there's of the quarter, anomalies.

segment, look I think we to right, When which to anyone expectations I our beat the came when intangible it a particularly else of outside or of execution, any the anomalies to amortization, we XXXX, in asset Electrical don't north XX% think had margin. considered. be there's

Anthony Guzzi

heard also, EMCOR we we forever growth. cognizant to at levels, and we I good right run are that. X.X% keeping XX these would margin between give margins. of margins say that, good to also points And percentages, than to we're of combined XX% me if margin could right? with margin want think dollars. I are basis margin, now, very grow levels do At you before, had Where up But these we worried now we about right dollars do to more if

Operator

question-and-answer our back over Mr. like closing turn for would session. This Guzzi to any I conference the remarks. concludes to

Anthony Guzzi

analysts Look, got your have more you interest than I thank there's most questions asked Hopefully, questions. know the for all a in you lot EMCOR. answered. your of

year. excited to back good productively another better off work to in even the . that, to you team, And in and call. And future. expect 'XX. let's it I'll with close safe than throw we We're about We the XXXX Andy, were did our

Andrew Backman

Jason, and Thanks, Thanks. you Great. all Thanks, for joining Tony. thank us today.

Thank If a the close all you should day. directly. have call. any follow-up great not again, please questions, to and me to you And hesitate Betsy, have do please reach out you will

Operator

Thank attending conference today's now you concluded. The has for presentation.

You disconnect. may now

EMCOR (EME) 26 Feb 252024 Q4 Earnings call transcript