EMCOR Group (EME) Cantor Fitzgerald Global Technology & Industrial Growth Conference summary

Business Performance and Market Positioning

• Emphasizes a long record of disciplined growth, avoiding fads and focusing on core strengths in mechanical and electrical construction and services.

• Significant exposure to the data center sector, with mechanical business up 100% and electrical up 70%-80% year-over-year; RPOs in data centers now $4.4 billion.

• RPOs have grown from $4.1 billion in 2019 to $13.25 billion at year-end, with strong growth in institutional, industrial, and manufacturing sectors.

• Maintains a diversified portfolio and disciplined capital allocation, focusing on markets with sustainable growth and manageable risk.

• Actively manages sector and geographic mix, recently exiting less profitable transportation and commercial markets.

Strategic Positioning and Sector Diversity

• Operates across mechanical, electrical, HVAC, fire protection, lighting, security, and power generation systems, serving critical infrastructure in diverse growth sectors.

• Positioned at the intersection of megatrends such as data centers, reshoring, sustainability, and energy transition.

• Demonstrates resilience and flexibility by pivoting to high-demand sectors like semiconductors, biotech, manufacturing, and healthcare.

• Revenue mix spans construction services, building services, and industrial services, with broad exposure to commercial, healthcare, high-tech manufacturing, and infrastructure.

• RPOs have grown at a 22% CAGR since 2019, reflecting expansion in resilient sectors like data centers, network and communications, and life sciences.

Margin Guidance and Execution

• 2025 ended with a record operating margin of 9.35%; 2026 guidance is 9%-9.4%, with mix and execution as key drivers.

• Margin variability is driven by project mix, timing, and execution, not by fundamental business changes.

• Margins are best assessed over rolling 12-24 month periods due to inherent project variability.

• Margin improvement also comes from exiting low-margin businesses and focusing on high-quality backlog.