Company: LGN
Filing Date: 2025-08-25
Form Type: S-1/A
Source: 0001193125-25-186788
Chunk: 145

Company: Legence Corp.
Filing Date: 2025-08-25
Form: S-1/A
Chunk 145
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,985 | ) |
| Financing activities                                                 |     |                         |  173,807 |   |     |   |  128,471 |   |     |   |  206,964 |   |
| Increase (decrease) in cash and cash equivalents and restricted cash |     | $                       |   40,428 |   |     | $ |   28,486 |   |     | $ |   (7,753 | ) |

Please refer to the supplemental cash flow information included in “Note 19—Other Financial Information” in the Notes to Consolidated Financial Statements and “Note 15—Other Financial Information” in the Notes to Condensed Consolidated Financial Statements for further details. Operating Activities Cash flow from operating activities is primarily influenced by the level of revenue we generate and the gross margin we earn on that revenue. It is also influenced by the timing of working capital investment associated with the services that we provide. Our working capital needs may increase when we commence large volumes of work under circumstances where project costs are required to be paid before the associated receivables are billed and collected. Our management strives to negotiate payment terms that minimize the working capital investment that we are required to make in connection with large projects. Additionally, changes in project timing due to delays or accelerations and other economic, regulatory, market and political factors may affect customer spending and, thus, impact cash flows from operating activities. We typically require the most working capital during the second half of the year as activity levels increase in the spring and summer months and less working capital in the first half of the year as activity levels decrease and we receive final payments on completed jobs. For the six months ended June 30, 2024 cash used in operating activities was $18.7 million, compared to cash provided by operating activities of $62.5 million for the six months ended June 30, 2025. The $81.2 million increase in cash flows from operating activities mainly reflects fluctuations in the primary components of working capital, as detailed in the Condensed Consolidated Statements of Cash Flows. Operating cash flows from contract liabilities increased by $54.9 million during the six months ended June 30, 2025 compared to the six months ended June 30, 2024, primarily due to increased billings. Operating cash flows from accounts payable increased by $41.7 million during the six months ended June 30, 2025 compared to the six months ended June 30, 2024,