Limbach (LMB) CJS Securities 26th Annual "New Ideas for the New Year” Investor Conference summary

Business model and strategy

• Focuses on building systems solutions for mission-critical MEP infrastructure, emphasizing proactive, long-term partnerships and custom-engineered solutions.

• Operates in six verticals: healthcare, industrial manufacturing, data centers, life science, higher education, and cultural entertainment, targeting customers with critical infrastructure needs.

• Pursues a three-pillar strategy: shifting revenue mix toward owner-direct relationships (ODR), expanding margins through evolved offerings, and scaling via acquisitions.

• Maintains a unified platform across 21 locations, enabling consistent service and data-driven customer solutions.

• Seeks durable, repeatable demand by focusing on environments where downtime is unacceptable.

Revenue mix and market approach

• ODR segment targets existing buildings with long-term, direct owner relationships; about one-third of ODR revenue is quick-turn work, two-thirds is project-based with an average size of $245,000.

• GCR (general contractor relationships) is more cyclical, with smaller average project sizes ($2 million) and is approached selectively to maximize risk-adjusted returns.

• Strategic goal is to achieve an 80/20 ODR/GCR revenue mix, with GCR supporting geographic expansion and ODR providing long-term stability.

• Customer relationships are developed both locally (solving complex problems, on-site account management) and nationally (professional services leading to capital projects).

• Healthcare and industrial manufacturing are the most penetrated verticals due to institutional knowledge and consistent demand.

Competitive landscape and differentiation

• Competes with OEMs, contractors, property managers, and consulting firms by being system-agnostic and offering integrated, one-stop solutions.

• Differentiates through internal training, bundled offerings, and a focus on long-term value rather than price.

• Market for ODR is stable with no significant increase in competitors; success depends on influencing customer decisions and demonstrating value.