EMCOR Group (EME) Q1 FY26 earnings call

Earnings call· Mar 2026 (Q1 FY26)· Industrials· Apr 29, 2026

Source: earnings call transcript

EMCOR is compounding off unprecedented data-center/AI infrastructure demand while insisting the thesis is margin dollars and return on capital, not margin percentage. Management leans into a deliberate mix shift toward GMP/prime structures on evolving large AI jobs, accepting lower gross margins for scale, follow-on work and risk-adjusted returns. The binding constraint is field supervision, not craft labor or backlog; raised full-year guidance signals confidence the labor base can convert the record RPO.

You’re reading a preview. Opening the full call uses 1 concall credit.

EME operating KPIs by quarter

EME operating KPIs stated on its earnings calls, by fiscal quarter
KPI	Dec 2024 Q4 FY24	Mar 2025 Q1 FY25	Sep 2025 Q3 FY25	Dec 2025 Q4 FY25	This call Mar 2026 Q1 FY26	Jun 2026 Q2 FY26	Change vs prior quarter
Backlog	$10.1B We exit 2024 with RPO growth of 14% year-over-year and aggregate RPOs of $10.1 billion, another record for the company. Source: earnings call transcript	$11.8B We leave the quarter with diverse RPOs or remaining performance obligations of $11.8 billion versus $9.2 billion at the end of the first quarter of 2024. Source: earnings call transcript	$12.6B For the third quarter, we had a book-to-bill of 1.16, with remaining performance obligations at a record $12.6 billion, which represents an increase of $2.8 billion year-over-year and $2.5 billion from December of 2004. Source: earnings call transcript	—	$15.62B Our RPOs totaled $15.62 billion at the end of the quarter versus $11.75 billion in the year ago period and $13.25 billion as of December 31, 2025. Source: earnings call transcript	$17.14B At quarter end, total RPOs reached a record $17.14 billion, an increase of 44% from the prior year, 29% from December. Source: earnings call transcript	+9.7%
Backlog Network and Communications	$2.8B At the end of 2024, RPOs in the sector were a record $2.8 billion, up $1.25 billion or 80% year-over-year, 31% sequentially from the end of the third quarter. Source: earnings call transcript	$3.6B Notably, RPOs within networking and communications or data centers were $3.6 billion at the end of March. Source: earnings call transcript	$4.3B Driven by robust data center demand, RPOs within network and communications totaled a record $4.3 billion at the end of September, almost double that of the year ago period. Source: earnings call transcript	$4.46B On a sequential basis, RPOs have increased 5.1% since September or 3.6% organically, driven by demand in our data center business, RPOs within the network and communications totaled a record $4.46 billion, at the end of December, an increase of $1.65 billion or normally nearly 60% year-over-year. Source: earnings call transcript	—	—	+3.7%
Backlog Manufacturing and Industrial	$863M Go back to that reshoring and near-shoring trend, which I believe we're in the early innings in and RPOs there are $863 million at the end of the quarter, up nearly 7% year-over-year. Source: earnings call transcript	$1.1B RPOs within the Manufacturing and Industrial segment of $1.1 billion represent an increase of 31% year-over-year or 29% sequentially, with the majority of this increase being organic. Source: earnings call transcript	$1.1B Manufacturing and industrial RPOs totaled $1.1 billion. Source: earnings call transcript	$1.1B Manufacturing and industrial RPOs have increased by $201 million or 23% to $1.1 billion. Source: earnings call transcript	—	—	0%
Backlog Health Care	$1.3B We ended the quarter with another record $1.3 billion in RPOs, up 26% from the year ago period and 8% from the third quarter. Source: earnings call transcript	$1.5B Health care RPOs of $1.5 billion increased 38% year-over-year and 14% sequentially. Source: earnings call transcript	$1.3B Healthcare RPOs totaled $1.3 billion. Source: earnings call transcript	—	—	—	-13.3%
Backlog Water and Wastewater	$683M Our water and wastewater RPOs were $683 million at the end of the quarter, up approximately 6% year-over-year. Source: earnings call transcript	$820M+ And we continue to see demand within our Mechanical Construction segment for water and wastewater projects with RPOs increasing 29% year-over-year and 20% sequentially to over $820 million. Source: earnings call transcript	$1B And led by our Mechanical Construction segment, water and wastewater RPOs increased by over $300 million during the quarter and now total $1 billion as we continue to win projects throughout Florida. Source: earnings call transcript	$1.1B Led by our Mechanical Construction segment, water and wastewater RPOs have increased by $408.5 million or nearly 60% to $1.1 billion as we continue to win projects throughout Florida. Source: earnings call transcript	—	—	+10%
Backlog Institutional	$1.1B RPOs in the institutional sector, which include project work for schools, universities and local state and federal buildings were up 18% year-over-year, coming in at a record $1.1 billion. Source: earnings call transcript	$1.25B Resulting from a combination of new contract awards for existing EMCOR companies and the acquisition of Miller, Institutional RPOs increased to $1.25 billion, representing 21% year-over-year growth or 13% sequentially. Source: earnings call transcript	—	$1.55B Institutional RPOs have increased by just under $440 million or 40% to $1.55 billion, largely as we continue to see demand for our services within the education sector, including from a number of colleges and universities. Source: earnings call transcript	—	—	—
Book-to-bill ratio	—	—	1.16 ratio For the third quarter, we had a book-to-bill of 1.16, with remaining performance obligations at a record $12.6 billion, which represents an increase of $2.8 billion year-over-year and $2.5 billion from December of 2004. Source: earnings call transcript	—	1.5 ratio I mean, I think at 1.5x that was a record book-to-bill for you guys. Source: earnings call transcript	—	—

Operating figures the company stated on at least two of the calls shown, checked against each call's transcript. Click a figure to read the sentence. A dash means it was not stated that quarter.

Inve summary of the company's earnings call; see how call summaries are prepared. Not investment advice.