Company: EME
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0000105634-25-000015
Chunk: 67

Company: EMCOR Group, Inc.
Filing Date: 2025-02-26
Form: 10-K
Item: Item 7
Chunk 67
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 of additional headcount to support our organic revenue growth as well as annual cost of living adjustments, and (b) incentive compensation expense at certain of our operating subsidiaries, due to higher operating results than in the prior year.

Operating income (loss) 

The following table presents by segment our operating income (loss) and each segment’s operating income (loss) as a percentage of such segment’s revenues (“operating margin”) for the years ended December 31, 2024 and 2023 (in thousands, except for percentages): 

 2024% ofSegmentRevenues 2023% ofSegmentRevenues Operating income (loss):    United States electrical construction and facilities services$447,186 13.4 %$230,640 8.3 %United States mechanical construction and facilities services799,613 12.5 %530,644 10.5 %United States building services176,720 5.7 %182,995 5.9 %United States industrial services44,213 3.5 %35,375 3.0 %Total United States operations1,467,732 10.4 %979,654 8.1 %United Kingdom building services21,485 5.0 %25,681 5.9 %Corporate administration(144,354)— (127,229)— Impairment loss on long-lived assets— — (2,350)— Consolidated operating income1,344,863 9.2 %875,756 7.0 %Other items:    Net periodic pension income (cost)894 (1,119)Interest expense(3,779)(17,199)Interest income35,404  15,415  Income before income taxes$1,377,382  $872,853  

26

Operating income for the year ended December 31, 2024 was $1,344.9 million, an increase of $469.1 million compared to operating income of $875.8 million for the year ended December 31, 2023. Operating margin was 9.2% and 7.0% in 2024 and 2023, respectively. As described in more detail below, these increases in profitability were predominantly a result of improved operating performance within our United States construction segments, due to a more favorable mix of work and better project execution, including enhanced productivity