Company: LGN
Filing Date: 2025-02-14
Form Type: DRS
Source: 0000950123-25-002471
Chunk: 38

Company: Legence Corp.
Filing Date: 2025-02-14
Form: DRS
Chunk 38
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 share and our revenue may decrease. A significant portion of our revenue is earned directly or indirectly from clients in various industries. Accordingly, our brands, reputation and relationships with these customers are among our most important assets, and our ability to attract and retain customers and employees depends on brand recognition and reputation. Such dependence makes our business susceptible to reputational damage and to competition from other companies. A variety of events could result in damage to our reputation or brands, some of which are outside of our control, including:

| • |     | acts or omissions that adversely affect our business such as a crime, scandal, cyber-related incident, litigation 
 or other negative publicity;                                                                                      |

| • |     | failure to successfully perform, or negative publicity related to, a high-profile project; |

| • |     | misconduct, fraud or other improper activities caused by our employees’, subcontractors’, 
 partners’ or consultants’ failure to comply with laws or regulations;                     |

| • |     | engagements in or perceived connections to politically or socially sensitive activities; |

| • |     | infringement of our trademarks or other intellectual property by third parties or accusations that our operations 
 infringe the intellectual property rights of third parties;                                                       |

| • |     | actual or potential involvement in a catastrophic fire, explosion or similar event; or |

| • |     | actual or perceived responsibility for a serious accident or injury. |

Increased media coverage and interest in many of the industries that we serve, along with the intensification of media coverage generally, including through the considerable expansion in the use of social media, have increased the volume and speed at which negative publicity arising from any such events can be generated and spread, and we may be unable to timely respond to, correct any inaccuracies in, or adequately address negative perceptions arising from such media coverage. If the reputation or perceived quality of our brands declines or customers lose confidence in us, our business, financial condition and results of operations could be adversely affected. We place significant decision-making powers with our brands’ management, which presents certain risks. Substantially all of our business is conducted through our brands, which are separate and distinct legal entities. We believe that our practice of placing significant decision-making powers with local management is important to our successful growth and allows us to be responsive to opportunities and to our customers’ needs. However, this practice presents certain risks, including, for example, the risk that because we lack a single enterprise resource planning system, we may be slower or less effective in our attempts to identify or react