Legence Corp. Financials
This page shows Legence Corp. (LGN) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 3 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
FY2025 showed a marked cash-conversion step-up, while interest burden and overhead growth kept reported accounting earnings under pressure.
In the latest year, operating cash flow rose to$256.9M from$29.3M even as the net loss deepened. With free cash flow at$218.9M and financing cash flow turning negative, cash generation pulled away from accounting earnings and the company relied less on new borrowing than it did a year earlier.
That cash improvement did not come from cleaner operating leverage: operating margin fell to
Balance-sheet pressure eased as long-term debt dropped to
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Legence Corp.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Legence Corp. has an operating margin of 2.4%, meaning the company retains $2 of operating profit per $100 of revenue. This results in a moderate score of 47/100, indicating healthy but not exceptional operating efficiency. This is down from 3.4% the prior year.
Legence Corp.'s revenue surged 21.5% year-over-year to $2.6B, reflecting rapid business expansion. This strong growth earns a score of 87/100.
Legence Corp. has elevated debt relative to equity (D/E of 2.07), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 17/100, reflecting increased financial risk.
Legence Corp.'s current ratio of 1.57 indicates adequate short-term liquidity, earning a score of 43/100. The company can meet its near-term obligations, though with limited headroom.
Legence Corp. has a free cash flow margin of 8.6%, earning a moderate score of 46/100. The company generates positive cash flow after capital investments, but with room for improvement.
Legence Corp.'s ROE of -15.3% shows moderate profitability relative to equity, earning a score of 60/100. This is down from -14.0% the prior year.
Legence Corp. scores 2.84, placing it in the grey zone between 1.81 and 2.99. The score is driven primarily by a large market capitalization ($5.7B) relative to total liabilities ($1.9B). This signals moderate financial risk that warrants monitoring.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Legence Corp. passes 5 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 2 of 4 profitability signals pass, 1 of 2 leverage/liquidity signals pass, both operating efficiency signals pass.
For every $1 of reported earnings, Legence Corp. generates $-4.30 in operating cash flow ($256.9M OCF vs -$59.8M net income). This mixed ratio suggests some earnings may rely on non-cash accounting items.
Legence Corp. earns $0.6 in operating income for every $1 of interest expense ($61.6M vs $101.8M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
Legence Corp. generated $2.6B in revenue in fiscal year 2025. This represents an increase of 21.5% from the prior year.
Legence Corp.'s EBITDA was $161.9M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 3.3% from the prior year.
Legence Corp. reported -$59.8M in net income in fiscal year 2025. This represents a decrease of 109.4% from the prior year.
Cash & Balance Sheet
Legence Corp. generated $218.9M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 2033.8% from the prior year.
Legence Corp. held $230.2M in cash against $812.4M in long-term debt as of fiscal year 2025.
Margins & Returns
Legence Corp.'s gross margin was 21.0% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 0.5 percentage points from the prior year.
Legence Corp.'s operating margin was 2.4% in fiscal year 2025, reflecting core business profitability. This is down 0.9 percentage points from the prior year.
Legence Corp.'s net profit margin was -2.3% in fiscal year 2025, showing the share of revenue converted to profit. This is down 1.0 percentage points from the prior year.
Legence Corp.'s ROE was -15.3% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 1.2 percentage points from the prior year.
Capital Allocation
Legence Corp. invested $37.9M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 99.6% from the prior year.
LGN Income Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $1.0B | N/A | $708.0M | N/A | $506.0M | N/A | $560.8M | N/A |
| Cost of Revenue | $851.7M | N/A | $559.9M | N/A | $394.2M | N/A | $442.3M | N/A |
| Gross Profit | $186.2M | N/A | $148.1M | N/A | $111.7M | N/A | $118.5M | N/A |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A Expenses | $116.1M | N/A | $85.9M | N/A | $69.5M | N/A | $67.2M | N/A |
| Operating Income | $22.4M | N/A | $37.2M | N/A | $16.6M | N/A | $27.0M | N/A |
| Interest Expense | $17.0M | N/A | $28.2M | N/A | $29.6M | N/A | $23.7M | N/A |
| Income Tax | -$13.4M | N/A | $4.1M | N/A | $4.0M | N/A | $4.6M | N/A |
| Net Income | $16.1M | N/A | -$576K+85.1% | -$3.9M+81.8% | -$21.2M | N/A | -$1.1M-117.5% | $6.2M |
| EPS (Diluted) | $0.13+122.8% | $-0.57 | N/A | N/A | N/A | N/A | N/A | N/A |
LGN Balance Sheet
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $3.5B+30.0% | $2.7B+3.0% | $2.6B | N/A | N/A | $2.4B | N/A | N/A |
| Current Assets | $1.5B+32.4% | $1.1B+7.0% | $1.0B | N/A | N/A | $756.4M | N/A | N/A |
| Cash & Equivalents | $244.6M+6.3% | $230.2M+30.8% | $176.0M | N/A | N/A | $81.2M | N/A | N/A |
| Inventory | $14.2M+26.0% | $11.3M+3.6% | $10.9M | N/A | N/A | $10.2M | N/A | N/A |
| Accounts Receivable | $13.0M | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Goodwill | $842.0M+10.2% | $764.3M-2.4% | $782.9M | N/A | N/A | $781.2M | N/A | N/A |
| Total Liabilities | $2.5B+33.9% | $1.9B+6.6% | $1.8B | N/A | N/A | $2.1B | N/A | N/A |
| Current Liabilities | $1.1B+60.1% | $708.2M+7.3% | $660.0M | N/A | N/A | $411.1M | N/A | N/A |
| Long-Term Debt | $1.0B+24.2% | $812.4M0.0% | $812.6M | N/A | N/A | $1.6B | N/A | N/A |
| Total Equity | $505.4M+28.9% | $392.2M+1.1% | $387.9M | N/A | N/A | $203.6M | N/A | N/A |
| Retained Earnings | -$293.9M+5.2% | -$309.9M-11.8% | -$277.2M | N/A | N/A | -$250.2M | N/A | N/A |
LGN Cash Flow Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $120.1M+26.8% | $94.7M | N/A | N/A | $29.5M+387.8% | $6.0M | N/A | N/A |
| Capital Expenditures | $17.8M+35.0% | $13.2M | N/A | N/A | $5.4M-13.9% | $6.2M | N/A | N/A |
| Free Cash Flow | $102.3M+25.4% | $81.5M | N/A | N/A | $24.1M+12585.5% | -$193K | N/A | N/A |
| Investing Cash Flow | -$299.0M-928.1% | -$29.1M | N/A | N/A | -$5.8M+49.0% | -$11.3M | N/A | N/A |
| Financing Cash Flow | $193.4M+1776.9% | -$11.5M | N/A | N/A | -$15.8M-321.7% | $7.1M | N/A | N/A |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
LGN Financial Ratios
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 17.9% | N/A | 20.9% | N/A | 22.1% | N/A | 21.1% | N/A |
| Operating Margin | 2.2% | N/A | 5.3% | N/A | 3.3% | N/A | 4.8% | N/A |
| Net Margin | 1.6% | N/A | -0.1% | N/A | -4.2% | N/A | -0.2% | N/A |
| Return on Equity | 3.2% | N/A | -0.1% | N/A | N/A | N/A | N/A | N/A |
| Return on Assets | 0.5% | N/A | -0.0% | N/A | N/A | N/A | N/A | N/A |
| Current Ratio | 1.30-0.3 | 1.570.0 | 1.57 | N/A | N/A | 1.84 | N/A | N/A |
| Debt-to-Equity | 2.00-0.1 | 2.07-0.0 | 2.10 | N/A | N/A | 7.79 | N/A | N/A |
| FCF Margin | 9.9% | N/A | N/A | N/A | 4.8% | N/A | N/A | N/A |
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Frequently Asked Questions
What is Legence Corp.'s annual revenue?
Legence Corp. (LGN) reported $2.6B in total revenue for fiscal year 2025. This represents a 21.5% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Legence Corp.'s revenue growing?
Legence Corp. (LGN) revenue grew by 21.5% year-over-year, from $2.1B to $2.6B in fiscal year 2025.
Is Legence Corp. profitable?
No, Legence Corp. (LGN) reported a net income of -$59.8M in fiscal year 2025, with a net profit margin of -2.3%.
What is Legence Corp.'s EBITDA?
Legence Corp. (LGN) had EBITDA of $161.9M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Legence Corp. have?
As of fiscal year 2025, Legence Corp. (LGN) had $230.2M in cash and equivalents against $812.4M in long-term debt.
What is Legence Corp.'s gross margin?
Legence Corp. (LGN) had a gross margin of 21.0% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Legence Corp.'s operating margin?
Legence Corp. (LGN) had an operating margin of 2.4% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Legence Corp.'s net profit margin?
Legence Corp. (LGN) had a net profit margin of -2.3% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Legence Corp.'s return on equity (ROE)?
Legence Corp. (LGN) has a return on equity of -15.3% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Legence Corp.'s free cash flow?
Legence Corp. (LGN) generated $218.9M in free cash flow during fiscal year 2025. This represents a 2033.8% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Legence Corp.'s operating cash flow?
Legence Corp. (LGN) generated $256.9M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Legence Corp.'s total assets?
Legence Corp. (LGN) had $2.7B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Legence Corp.'s capital expenditures?
Legence Corp. (LGN) invested $37.9M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is Legence Corp.'s current ratio?
Legence Corp. (LGN) had a current ratio of 1.57 as of fiscal year 2025, which is generally considered healthy.
What is Legence Corp.'s debt-to-equity ratio?
Legence Corp. (LGN) had a debt-to-equity ratio of 2.07 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Legence Corp.'s return on assets (ROA)?
Legence Corp. (LGN) had a return on assets of -2.2% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Legence Corp.'s Altman Z-Score?
Legence Corp. (LGN) has an Altman Z-Score of 2.84, placing it in the Grey Zone (moderate risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Legence Corp.'s Piotroski F-Score?
Legence Corp. (LGN) has a Piotroski F-Score of 5 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Legence Corp.'s earnings high quality?
Legence Corp. (LGN) has an earnings quality ratio of -4.30x, considered mixed quality. This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Legence Corp. cover its interest payments?
Legence Corp. (LGN) has an interest coverage ratio of 0.6x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Legence Corp.?
Legence Corp. (LGN) scores 50 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.