Company: LGN
Filing Date: 2025-07-15
Form Type: DRS/A
Source: 0000950123-25-006399
Chunk: 137

Company: Legence Corp.
Filing Date: 2025-07-15
Form: DRS/A
Chunk 137
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 selected to provide the system for the                                         
 client. The fee is typically earned and paid when the client enters into a binding contract with the project developer and permits to begin construction have been issued. If a contract is not signed or permits are not issued, Black Bear is typically 
 not owed a fee from the project developer. In the fourth quarter of 2023, a project developer who had been selected for a large number of projects by Black Bear’s clients offered to immediately pay Black Bear all of the fees that Black Bear          
 would earn in the future if all of the projects received permits, provided that Black Bear would agree to discount the fee amounts. Black Bear agreed to discount the fee amounts and recorded significantly higher revenues than would be typical in a   
 quarter. Given the unique nature of the transaction, we consider it to be non-recurring in nature. This adjustment is to eliminate the approximately $7.4 million profit we recorded from the transaction.                                                |

| (7) | Refer to “Note 18—Commitments and Contingencies” in the Notes to Consolidated Financial 
 Statements, for details on the nature of the settlement.                                |

Quarterly Non-GAAP Information The following table provides a reconciliation of our Net Loss, the most directly comparable financial measure presented in accordance with GAAP, to Adjusted EBITDA, and a calculation of Adjusted EBITDA Margin for the quarterly periods indicated below (dollars in thousands):

|                                                                   |     | For the Three Months Ended | March 31, 
      2024 |    |     |   | June 30, 
     2024 |   |     |   | September 30, 
          2024 |    |     |   | December 31, 
         2024 |    |     |   | March 31, 
      2025 |    |
|:------------------------------------------------------------------|:----|:---------------------------|----------:|:---|:----|:--|---------:|:--|:----|:--|--------------:|:---|:----|:--|-------------:|:---|:----|:--|----------:|:---|
| Net (Loss) Income                                                 |     | $                          |   (14,957 | )  |     | $ |    6,190 |   |     | $ |          (676 | )  |     | $ |      (18,200 | )  |     | $ |   (19,139