Emcor Group Inc
Q1 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +6.60%.
Did EME Beat Earnings? Q1 2026 Results
EMCOR Group delivered a standout first quarter for fiscal 2026, posting earnings and revenue that cleared Wall Street's expectations by a wide margin as the electrical and mechanical construction giant continued to capitalize on surging demand across key infrastructure markets. Diluted EPS of $6.84 beat the consensus estimate of $5.90 by 15.85%, while revenue of $4.63 billion topped expectations by 10.23% and grew 19.7% year-over-year, with organic growth of 16.8% after adjusting for acquisitions and the completed sale of UK operations. The quarter's strength was underscored by record remaining performance obligations of $15.62 billion, up 32.9% year-over-year, reflecting particularly robust demand in Network and Communications, Water and Wastewater, and Healthcare sectors. Operating margins expanded to 8.7% from 8.2% a year ago, aided by improving SG&A leverage. Notably, some investors had expressed concern about the company's revenue outlook heading into the print; management's decision to raise full-year 2026 revenue guidance to $18.50 billion to $19.25 billion, alongside a higher diluted EPS range of $28.25 to $29.75, should provide reassurance about the durability of current momentum.
- Sustained momentum across several key market sectors and geographies
- Strong organic revenue growth of 16.8% excluding acquisitions and UK divestiture
- Operating margin expansion to 8.7% from 8.2% year-over-year
- SG&A expense improvement as a percentage of revenue from 10.4% to 9.9%
- Contribution from Miller Electric Company acquisition
- Record remaining performance obligations of $15.62 billion, up 32.9% year-over-year
“We started the year well, with record quarterly revenues and strong operating performance as we experienced sustained momentum across several key market sectors and geographies. These results reflect our strategic positioning and operational excellence across our construction and services platforms while demonstrating our customers' confidence in EMCOR as a partner of choice for complex and mission-critical projects. Our Remaining Performance Obligations are again at record levels and we are pleased with the quality and diversity of our bookings during the quarter. The fundamentals of our business remain strong and we are well-positioned for the remainder of 2026.”
EMCOR CEO, on the earnings call
Forward Guidance & Outlook
EMCOR raised its full-year 2026 guidance: revenue is now expected to be $18.50 billion to $19.25 billion (up from $17.75 billion to $18.50 billion), operating margin is expected at 9.0% to 9.4% (unchanged), and diluted EPS is now expected at $28.25 to $29.75 (up from $27.25 to $29.25). The guidance increase reflects anticipated project mix and improved visibility into the remainder of the year, supported by record remaining performance obligations of $15.62 billion with particular strength in Network and Communications, Water and Wastewater, Institutional, and Healthcare sectors.
EME YoY Financials
EME Revenue by Segment
EME Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.