Company: LGN
Filing Date: 2025-04-30
Form Type: DRS/A
Source: 0000950123-25-003868
Chunk: 134

Company: Legence Corp.
Filing Date: 2025-04-30
Form: DRS/A
Chunk 134
---
-based compensation expense, profits from an accelerated project sale, credit agreement amendment fees and litigation settlements. Adjusted EBITDA Margin is defined as Adjusted EBITDA divided by revenue. Self-Perform Contribution should not be considered an alternative to gross profit that is derived in accordance with GAAP. Adjusted EBITDA should not be considered an alternative to net loss that is derived in accordance with GAAP. Management believes that the exclusion of the above-described items from gross profit and net loss in the presentation of the non-GAAP measures identified above enables us and our investors to more effectively evaluate our operations period over period and to identify operating trends that might not be apparent due to, among other reasons, the variable nature of these items, both in value and frequency, period over period. In addition, management believes these measures may be useful for investors in comparing our operating results with those of other companies. Our non-GAAPfinancial measures may not be comparable to similarly titled measures used by other companies, have limitations as analytical tools and should not be considered in isolation, or substitutes for analysis of our operating results as reported under GAAP. Additionally, we do not consider our non-GAAPfinancial measures superior to, or a substitute for, the equivalent measures calculated and presented in accordance with GAAP. Some of the limitations are that such measures:

| • |     | may exclude recurring expenses of Subcontractor Expense in our jobs; |

| • |     | may exclude the recurring expenses of depreciation and amortization of property and equipment and definite-lived 
 intangible assets and the assets being depreciated and amortized may have to be replaced in the future;          |

89

Confidential Treatment Requested by Legence Corp. Pursuant to 17 C.F.R. Section 200.83

| • |     | do not reflect changes in our working capital needs; |

| • |     | do not reflect the interest (income) expense on our indebtedness; or |

| • |     | do not reflect the income tax (benefit) provision we are required to make. |

In order to evaluate our business, we encourage you to review the financial statements included elsewhere in this prospectus, and not rely on a single financial measure to evaluate our business. Please review the reconciliation of Net Loss to Adjusted EBITDA, a calculation of Adjusted EBITDA Margin, the reconciliation of Gross Profit to Self-Perform Contribution and a calculation of Self-Perform Margin set forth below. The following table provides a reconciliation of our Net Loss, the