Revenue growth has decelerated to 4.3% in 2026Q1 as the firm prioritizes higher-margin service contracts, which helped achieve a peak operating margin of 9.2% in 2025Q4.
| Sales/Revenue | 652.55M | 646.8M | 518.78M | 516.35M | 496.78M | 490.35M | 568.21M | 553.33M | 546.53M | 485.74M | 446.99M | 331.35M | 0 |
| Revenue Growth % | 22.45% | 24.68% | 0.47% | 3.94% | 1.31% | -13.7% | 2.69% | 1.25% | 12.51% | 8.67% | 34.9% | - | - |
| Cost of Goods Sold | 488.79M | 477.49M | 374.5M | 397.06M | 403.04M | 404.44M | 486.82M | 481.46M | 487.1M | 420.12M | 394.44M | 285.94M | 0 |
| COGS % of Revenue | - | 73.82% | 72.19% | 76.9% | 81.13% | 82.48% | 85.68% | 87.01% | 89.13% | 86.49% | 88.24% | 86.29% | - |
| Gross Profit | 163.76M | 169.31M | 144.28M | 119.29M | 93.74M | 85.91M | 81.39M | 71.88M | 59.43M | 65.62M | 52.55M | 45.41M | 0 |
| Gross Margin % | 25.1% | 26.18% | 27.81% | 23.1% | 18.87% | 17.52% | 14.32% | 12.99% | 10.87% | 13.51% | 11.76% | 13.71% | - |
| Gross Profit Growth % | - | 17.35% | 20.95% | 27.25% | 9.12% | 5.56% | 13.23% | 20.94% | -9.44% | 24.87% | 15.72% | - | - |
| Operating Expenses | 121.09M | 119.86M | 105.66M | 90.01M | 81.73M | 71.92M | 64.23M | 63.81M | 58.36M | 59.6M | 443M | 390.97K | 264.41K |
| OpEx % of Revenue | - | 18.53% | 20.37% | 17.43% | 16.45% | 14.67% | 11.3% | 11.53% | 10.68% | 12.27% | 99.11% | 0.12% | - |
| Selling, General & Admin | 111.41M | 109.52M | 97.2M | 87.4M | 77.88M | 71.44M | 63.6M | 63.17M | 57.09M | 56.02M | 46.24M | 390.97K | 263.65K |
| SG&A % of Revenue | - | 16.93% | 18.74% | 16.93% | 15.68% | 14.57% | 11.19% | 11.42% | 10.45% | 11.53% | 10.34% | 0.12% | - |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 3M | 10.34M | 8.46M | 2.61M | 3.85M | 484K | 630K | 642K | -335K | 3.58M | 443M | 0 | 0 |
| Operating Income | 42.68M | 49.45M | 38.62M | 29.28M | 12.01M | 13.99M | 17.16M | 8.07M | 1.07M | 6.02M | -443M | -390.97K | -263.65K |
| Operating Margin % | 6.54% | 7.65% | 7.45% | 5.67% | 2.42% | 2.85% | 3.02% | 1.46% | 0.2% | 1.24% | -99.11% | -0.12% | - |
| Operating Income Growth % | - | 28.04% | 31.89% | 143.83% | -14.15% | -18.45% | 112.66% | 653.93% | -82.22% | 101.36% | -113206.77% | -48.29% | - |
| EBITDA | 56.48M | 67.59M | 50.51M | 37.53M | 20.17M | 19.94M | 23.33M | 14.35M | 6.75M | 15.14M | -435.66M | -392.6K | 0 |
| EBITDA Margin % | 8.65% | 10.45% | 9.74% | 7.27% | 4.06% | 4.07% | 4.11% | 2.59% | 1.24% | 3.12% | -97.46% | -0.12% | - |
| EBITDA Growth % | 6.06% | 33.8% | 34.6% | 86.08% | 1.15% | -14.52% | 62.52% | 112.54% | -55.38% | 103.47% | -110869.83% | - | - |
| D&A (Non-Cash Add-back) | 13.8M | 18.13M | 11.89M | 8.24M | 8.16M | 5.95M | 6.17M | 6.29M | 5.68M | 9.12M | 7.34M | -1.62K | 263.65K |
| EBIT | 44.91M | 51.76M | 41.84M | 30.15M | 11.75M | 12.04M | 15.62M | 8.07M | 1.07M | 6.02M | 4.57M | 7.64M | -263.65K |
| Net Interest Income | -2.7M | -2.32M | 358K | -829K | -2.14M | -2.57M | -8.63M | -6.29M | -3.31M | -2.03M | 0 | -3.2M | 0 |
| Interest Income | 460K | 815K | 2.23M | 1.22M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 49.75K | 0 |
| Interest Expense | 2.44M | 3.13M | 1.87M | 2.05M | 2.14M | 2.57M | 8.63M | 6.29M | 3.31M | 2.28M | 0 | 3.25M | 0 |
| Other Income/Expense | -1.31M | -825K | 1.34M | -1.18M | -2.4M | -4.51M | -10.17M | -10.12M | -3.55M | -2.15M | -8.77M | -3.27M | 11.4K |
| Pretax Income | 41.36M | 48.63M | 39.97M | 28.1M | 9.61M | 9.48M | 6.99M | -2.06M | -2.48M | 3.86M | -2M | -339.6K | -253.01K |
| Pretax Margin % | 6.34% | 7.52% | 7.7% | 5.44% | 1.93% | 1.93% | 1.23% | -0.37% | -0.45% | 0.8% | -0.45% | -0.1% | - |
| Income Tax | 8.13M | 0 | 9.09M | 7.35M | 2.81M | 2.76M | 1.18M | -282K | -635K | 3.15M | -3.87M | -51.37K | 0 |
| Effective Tax Rate % | 19.66% | 0% | 22.75% | 26.14% | 29.24% | 29.15% | 16.91% | 13.71% | 25.6% | 81.57% | 193.45% | 15.13% | 0% |
| Net Income | 33.23M | 48.63M | 30.88M | 20.75M | 6.8M | 6.71M | 5.81M | -1.77M | -1.84M | 712K | 1.87M | -339.6K | -253.01K |
| Net Margin % | 5.09% | 7.52% | 5.95% | 4.02% | 1.37% | 1.37% | 1.02% | -0.32% | -0.34% | 0.15% | 0.42% | -0.1% | - |
| Net Income Growth % | -0.81% | 57.5% | 48.77% | 205.25% | 1.27% | 15.62% | 427.15% | 3.79% | -359.13% | -61.93% | 650.64% | -34.23% | - |
| Net Income (Continuing) | 33.23M | 48.63M | 30.88M | 20.75M | 6.8M | 6.71M | 5.81M | -1.77M | -1.84M | 712K | 1.87M | 4.37M | -253.01K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 2.75 | 4.02 | 2.57 | 1.76 | 0.64 | 0.66 | 0.72 | -0.23 | -0.24 | -0.13 | 0.25 | -0.06 | -0.14 |
| EPS Growth % | -1.43% | 56.42% | 46.02% | 175% | -3.03% | -8.33% | 413.04% | 4.17% | -84.62% | -152% | 537.83% | 59.21% | - |
| EPS (Basic) | - | 4.18 | 2.75 | 1.93 | 0.65 | 0.67 | 0.74 | -0.23 | -0.24 | -0.13 | 0.25 | -0.06 | -0.14 |
| Diluted Shares Outstanding | 12.07M | 12.11M | 12.03M | 11.81M | 10.68M | 10.23M | 8.07M | 7.66M | 7.56M | 7.47M | 7.47M | 5.95M | 1.85M |
| Basic Shares Outstanding | 11.76M | 11.63M | 11.24M | 10.77M | 10.43M | 10.01M | 7.87M | 7.66M | 7.56M | 7.26M | 7.45M | 5.95M | 1.85M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - |
Skilled labor supply constraints
As reported in financial statements, Limbach's revenue trajectory shows significant volatility, with quarterly growth peaking at 37.8% in 2025Q3 before decelerating to 4.3% in 2026Q1, reflecting the ongoing transition from traditional general contracting to higher-margin, owner-direct service relationships that prioritize long-term facility maintenance over project-based volume.
The inconsistent revenue growth suggests that the company is actively pruning its backlog to favor higher-quality ODR contracts, which may temporarily suppress top-line expansion. Investors should monitor whether this shift creates a more durable, recurring revenue base or if the company remains susceptible to the inherent lumpiness of its legacy construction business.
Based on reported figures, Limbach has demonstrated a notable improvement in gross margins, which reached a peak of 30.3% in 2024Q4, suggesting that the strategic focus on owner-direct relationships is successfully insulating the firm from the low-margin competitive bidding environment typical of the broader construction industry.
The ability to maintain gross margins consistently above 22% indicates a degree of pricing power derived from specialized mechanical expertise. However, the recent compression to 22.4% in 2026Q1 warrants further investigation into whether this represents a seasonal anomaly or a potential ceiling in the company's ability to pass through rising labor costs.
According to recent SEC filings, Limbach has maintained relatively stable SG&A expenses, which have hovered between $22.9M and $28.6M over the last ten quarters, allowing operating income to scale more effectively during periods of revenue growth, particularly evident in the strong 9.2% operating margin achieved in 2025Q4.
The company appears to be achieving operating leverage by keeping corporate overhead fixed while scaling its service-oriented revenue. This efficiency suggests that the current management team is prioritizing disciplined cost control, though the recent drop in operating margin to 0.8% in 2026Q1 suggests that revenue scale remains a critical factor for profitability.
As indicated by the provided data, stock-based compensation remains a consistent line item, averaging approximately $1.6M per quarter, which represents a meaningful portion of operating income and suggests that management's incentive structure is tied to long-term equity performance rather than purely short-term cash-based operational targets.
The variability in net income, ranging from $4.4M to $12.3M, implies that reported earnings are sensitive to project-specific accounting adjustments under percentage-of-completion methods. Investors should monitor the frequency of these adjustments, as they may mask the underlying cash-generating capability of the core service business.
While the shift toward owner-direct relationships is compelling, the company's reliance on specialized labor in a tightening market, as noted in industry trends, poses a significant risk to the sustainability of current margin expansion if wage inflation outpaces the company's ability to adjust service contract pricing.
Short-sellers may focus on the potential for 'catch-up' adjustments in POC accounting, which could lead to earnings volatility if project estimates prove overly optimistic. Furthermore, the company's smaller scale compared to peers like Comfort Systems USA may limit its ability to absorb sudden shocks in commodity prices or regional economic downturns.
Quick answers to the most common questions about buying LMB stock.
For fiscal year 2025, Limbach Holdings, Inc. (LMB) reported total revenue of $646.8M.
Limbach Holdings, Inc. (LMB) is profitable, generating $48.6M in net income for the fiscal year ending 2025 with a net profit margin of 7.5%.
Limbach Holdings, Inc. (LMB) reported an operating income of $49.5M, resulting in an operating profit margin of 7.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Limbach Holdings, Inc. (LMB) generated $169.3M in gross profit for the year, representing a gross profit margin of 26.2%. This demonstrates the company's core pricing power and production efficiency.