Company: LGN
Filing Date: 2025-07-15
Form Type: DRS/A
Source: 0000950123-25-006399
Chunk: 143

Company: Legence Corp.
Filing Date: 2025-07-15
Form: DRS/A
Chunk 143
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 nature and is
detailed on the Consolidated Statements of Cash Flows.

Cash flows from operating activities increased $6.9 million during 2023
compared to 2022. This increase is primarily attributable to a smaller net loss from the business adjusted for noncash items and fluctuations in the main components of working capital, as detailed in the Consolidated Statements of Cash Flows.
Specifically, net loss decreased by $36.2 million, while the benefit was partially offset by a $25.7 million decrease in cash provided by the effects of changes in operating assets and liabilities. The decrease from changes in operating
assets and liabilities is primarily attributable to an increase in contract assets of $21.8 million due to increased revenue and contract retentions, as well as a decrease in accounts payable of $22.3 million due to the volume and timing
of payments to vendors. These changes were partially offset by other operating assets and liabilities, primarily a $14.3 million benefit from changes in accounts receivable due to the timing of collections from customers. The impact of
adjustments for noncash items was mostly offsetting in nature and is detailed on the Consolidated Statements of Cash Flows.

Investing Activities

Cash flows used in investing activities primarily consist of capital expenditures, proceeds from investments and payments for
acquisition of businesses.

Cash flows used in investing activities decreased by $62.2 million for the three months ended
March 31, 2025, compared to the three months ended March 31, 2024. The decrease is primarily attributable to $64.6 million compared to $0.5 million paid for acquisitions during the three months ended March 31, 2024 and 2025,
respectively.

Cash flows used in investing activities increased by $110.1 million during 2024 compared to 2023. The increase is
primarily attributable to a $105.4 million increase in consideration paid for acquisitions.

Cash flows used in investing activities
decreased by $26.5 million during 2023 compared to 2022. The decrease is primarily attributable to a $14.3 million decrease in consideration paid for acquisitions and a $9.2 million decrease in purchases of property and equipment.

Financing Activities

Financing cash
flows primarily consist of the issuance and repayment of short-term and long-term debt, debt issuance costs, contingent earnouts from acquisitions, financing lease payments, and cash distributions and contributions to and from Legence Parent.

Cash flows used in financing