<PAGE>   1

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549


                                    FORM 10-Q

             [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
                    OF THE SECURITIES EXCHANGE ACT OF 1934

                       For the quarter ended June 30, 2001

                                       OR

             [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
                    OF THE SECURITIES EXCHANGE ACT OF 1934


                          Commission File No. 333-81139

                     American Plumbing & Mechanical, Inc.
            (Exact name of Registrant as Specified in Its Charter)

                  DELAWARE                            76-0577626
        (State or Other Jurisdiction                 (IRS Employer
     of Incorporation or Organization)            Identification No.)

           1950 LOUIS HENNA BLVD.                        78664
             ROUND ROCK, TEXAS                        (ZIP Code)
      (Address of Principal Executive
                  Offices)



                                (512) 246-5260
             (Registrant's telephone number, including area code)




      Indicate by check mark whether the registrant: (1) has filed all reports
required to be filed by Section 13 of 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes [ ]   No [X]

       As of August 10, 2001, there were outstanding 13,271,383 shares of common
stock and 331,116 shares of Class B common stock of the Registrant.
<PAGE>   2
             AMERICAN PLUMBING & MECHANICAL, INC. AND SUBSIDIARIES

                FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2001

                                TABLE OF CONTENTS


<TABLE>
<S>                                                                               <C>
Part I - Financial Information..................................................    2
  ITEM 1. - Financial Statements................................................    2
  ITEM 2.  - Management's Discussion and Analysis of Financial Condition and
             Results of Operations..............................................    8
  ITEM 3. - Quantitative and Qualitative Disclosures About Market Risks.........   11


Part II - Other Information.....................................................   13
  ITEM 1. - Legal Proceedings...................................................   13
  ITEM 2. - Changes in Securities and Use of Proceeds...........................   13
  ITEM 3. - Defaults Upon Senior Securities.....................................   13
  ITEM 4. - Submission of Matters to a Vote of Security Holders.................   13
  ITEM 5. - Other Information...................................................   14
  ITEM 6. - Exhibits and Reports on Form 8-K....................................   14
SIGNATURES......................................................................   15
</TABLE>


                                       1
<PAGE>   3
                         PART I - FINANCIAL INFORMATION
ITEM 1. - Financial Statements

             AMERICAN PLUMBING & MECHANICAL, INC. AND SUBSIDIARIES

                           CONSOLIDATED BALANCE SHEETS

                        (In Thousands, Except Share Data)

<TABLE>
<CAPTION>
                                                                December 31,   June 30,
                                                                    2000          2001
                                                                --------        ---------
                          ASSETS                                              (Unaudited)
<S>                                                             <C>             <C>
CURRENT ASSETS:
  Cash and cash equivalents                                     $     87        $     931

  Accounts receivable, net                                        96,616          103,969
  Inventories                                                      8,678           10,097
  Costs and estimated earnings in excess of billings on
   uncompleted contracts                                          23,888           26,955
  Prepaid expenses and other current assets                        3,083            3,211
                                                                --------        ---------
      Total current assets                                       132,352          145,163
PROPERTY AND EQUIPMENT, net                                       21,741           23,157
GOODWILL, net                                                    160,387          157,565
OTHER NONCURRENT ASSETS                                            3,986            4,471
                                                                --------        ---------
      Total assets                                              $318,466        $ 330,356
                                                                ========        =========
CURRENT LIABILITIES:
  Accounts payable and accrued expenses                         $ 57,117        $  61,877
  Accounts payable, related parties, including
   acquisition consideration payable                               3,920              916
  Billings in excess of costs and estimated earnings on
   uncompleted contracts                                          13,544           16,474
                                                                --------        ---------
      Total current liabilities                                   74,581           79,267
LONG-TERM LIABILITIES:
  Long-term debt                                                 165,225          168,628
  Deferred income taxes                                            1,717            1,564
                                                                --------        ---------
      Total liabilities                                          241,523          249,459
                                                                --------        ---------
COMMITMENTS AND CONTINGENCIES
SERIES A REDEEMABLE PREFERRED STOCK, $.01 par value, $13
  liquidation value, 10,000,000 shares authorized,                13,635           13,635
  1,048,820 shares issued and outstanding
STOCKHOLDERS' EQUITY:
  Common stock, $.01 par value, 100,000,000 shares
   authorized, 13,271,383 shares issued and outstanding              133              133
  Class B common stock, $.01 par value, 5,000,000 shares
   authorized, 331,116 shares issued and outstanding                   3
                                                                                        3
  Additional paid-in capital                                      41,952           42,055
  Retained earnings                                               21,220           25,309
  Accumulated other comprehensive loss                                --             (238)
                                                                --------        ---------
      Total stockholders' equity                                  63,308           67,262
                                                                --------        ---------
      Total liabilities and stockholders' equity                $318,466        $ 330,356
                                                                ========        =========
</TABLE>

                 The accompanying notes are an integral part of
                    these consolidated financial statements.


                                       2
<PAGE>   4
            AMERICAN PLUMBING & MECHANICAL, INC. AND SUBSIDIARIES

                        CONSOLIDATED STATEMENTS OF INCOME
                                   (Unaudited)
                                 (In Thousands)


<TABLE>
<CAPTION>
                                               Three Months Ended                 Six Months Ended
                                                     June 30,                          June 30,
                                          ---------------------------         ---------------------------
                                              2000             2001             2000               2001
                                          ---------         ---------         ---------         ---------
<S>                                       <C>               <C>               <C>               <C>
REVENUES                                  $ 141,679         $ 160,687         $ 266,816         $ 304,081
COST OF REVENUES
(including depreciation)                    115,163           132,498           218,153           253,370
                                          ---------         ---------         ---------         ---------
      Gross profit                           26,516            28,189            48,663            50,711

SELLING, GENERAL AND
     ADMINISTRATIVE EXPENSES                 11,699            14,852            23,188            29,116
GOODWILL AMORTIZATION                         1,446             1,411             2,746             2,822
                                          ---------         ---------         ---------         ---------
      Income from operations                 13,371            11,926            22,729            18,773

OTHER INCOME (EXPENSE):
  Interest expense                           (4,343)           (4,686)           (9,083)           (9,412)
  Other                                         194               253               407               424
                                          ---------         ---------         ---------         ---------
      Other expense, net                     (4,149)           (4,433)           (8,676)           (8,988)
                                          ---------         ---------         ---------         ---------
INCOME BEFORE PROVISION FOR INCOME
  TAXES                                       9,222             7,493            14,053             9,785

PROVISION FOR INCOME TAXES                    4,208             3,521             6,593             5,011
                                          ---------         ---------         ---------         ---------
NET INCOME                                    5,014             3,972             7,460             4,774
                                          ---------         ---------         ---------         ---------
PREFERRED DIVIDENDS                             341               341               682               682
                                          ---------         ---------         ---------         ---------
NET INCOME AVAILABLE TO
 COMMON STOCKHOLDERS                      $   4,673         $   3,631         $   6,778         $   4,092
                                          =========         =========         =========         =========
</TABLE>

                 The accompanying notes are an integral part of
                    these consolidated financial statements.

                                       3
<PAGE>   5
            AMERICAN PLUMBING & MECHANICAL, INC. AND SUBSIDIARIES


                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)
                                 (In Thousands)

<TABLE>
<CAPTION>
                                                                    Six Months Ended
                                                                       June 30,
                                                                -------------------------
                                                                   2000          2001
                                                                --------         -------
<S>                                                             <C>              <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net income                                                    $  7,460         $ 4,774

  Adjustments to reconcile net income to net cash
     provided by operating activities-
     Depreciation and amortization                                 5,193           5,602
     Amortization of deferred compensation expense                   177             103
     (Gain) on disposal of property and equipment                   (133)           (144)
     Deferred income taxes                                        (1,190)           (406)
     Increase (decrease) in cash flows from:
      Accounts receivable, net                                    (9,127)         (7,354)
      Inventories                                                   (712)         (1,419)
      Costs and estimated earnings in excess of billings
         on uncompleted contracts                                  1,736          (3,067)
      Prepaid expenses and other current assets                     (198)           (542)
      Accounts payable and accrued expenses                        4,655           4,019
      Billings in excess of costs and estimated earnings
         on uncompleted contracts                                  1,651           2,930
      Other                                                          524             171
                                                                --------         -------
  Net cash provided by operating activities                       10,036           4,667
                                                                --------         -------
CASH FLOWS FROM INVESTING ACTIVITIES:
  Additions of property and equipment                             (3,132)         (4,388)
  Proceeds from sale of property and equipment                       347             271
  Earnout payments to founding company stockholders                   --          (1,623)
  Acquisition of companies, net of cash acquired                 (12,031)             --
                                                                --------         -------
  Net cash used in investing activities                          (14,816)         (5,740)
                                                                --------         -------
CASH FLOWS FROM FINANCING ACTIVITIES:
  Payments of long-term debt                                        (944)           (202)
  Net borrowings on bank credit facility                          16,400           3,500
  Distributions to stockholders                                     (878)         (1,381)
  Buy back of Class B shares                                      (6,966)             --
  Preferred dividends                                               (682)             --
                                                                --------         -------
  Net cash provided by financing activities                        6,929           1,917
                                                                --------         -------
NET INCREASE IN CASH AND CASH EQUIVALENTS                          2,149             844

CASH AND CASH EQUIVALENTS, beginning of period                       393              87
                                                                --------         -------
CASH AND CASH EQUIVALENTS, end of period                        $  2,542         $   931
                                                                ========         =======

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
  Cash paid for-
   Interest                                                     $  8,355         $ 8,818
   Income taxes                                                    5,512             253
</TABLE>


                 The accompanying notes are an integral part of
                    these consolidated financial statements.


                                       4
<PAGE>   6
            AMERICAN PLUMBING & MECHANICAL, INC. AND SUBSIDIARIES


            NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)


1.    ORGANIZATION AND BASIS OF PRESENTATION:

      American Plumbing & Mechanical, Inc. ("AMPAM" or the "Company") is the
largest company in the United States focused primarily on the plumbing
contracting services industry. AMPAM also provides heating, ventilation and air
conditioning ("HVAC") and mechanical contracting services to single family
residential, multifamily residential and commercial/institutional customers.
AMPAM (a Delaware corporation) was organized in June 1998, and acquired ten U.S.
businesses (the "Founding Companies") on April 1, 1999. The acquisitions were
accounted for using the purchase method of accounting with Christianson
Enterprises, Inc. and affiliates ("Christianson") being reflected as the
accounting acquiror. Subsequently, the Company acquired the outstanding stock of
three additional companies and the assets of a fourth company. The "Subsequent
Acquisitions," collectively with the Founding Companies are referred to as the
"Acquired Companies."

      These unaudited interim statements should be read in conjunction with the
Company's historical consolidated financial statements and related notes
included in the Annual Report on Form 10-K for the year ended December 31, 2000
as filed with the Securities and Exchange Commission.

      These unaudited interim financial statements have been prepared in
accordance with accounting principles generally accepted in the United States of
America and the rules and regulations of the Securities and Exchange Commission
for reporting interim financial information. Accordingly, they do not include
all of the information and footnotes required by accounting principles generally
accepted in the United States of America for complete financial statements. The
Company believes all adjustments necessary for a fair presentation of these
interim statements have been included and are of a normal and recurring nature.
The results of operations for interim periods are not necessarily indicative of
the results for the fiscal year.

2.    COMMITMENTS AND CONTINGENCIES:

      The Company is involved in disputes or legal actions arising in the
ordinary course of business. Management does not believe the outcome of such
legal actions will have a material adverse effect on the Company's financial
position or results of operations.

      As of January 1, 2000, the Company became self insured for health care,
workers' compensation, and general, property and auto liability up to
predetermined amounts above which third party insurance applies. The Company is
fully insured through third party insurance for all other types of exposures
including an umbrella policy.

      Effective January 1, 2001, the company adopted Financial Accounting
Standards Board ("FASB") Statement No. 133, "Accounting for Derivative
Instruments and Hedging Activities," as amended by FASB Statement No. 138,
"Accounting for Certain Derivative Instruments and Certain Hedging Activities,"
which requires the Company to measure all derivative instruments at fair value
and to recognize them in the balance sheet as an asset or liability, depending
on the Company's rights or obligations under the applicable derivative contract.

      On January 2, 2001, the Company entered into an interest rate swap
agreement, which effectively converted $30 million of its variable rate debt
under its bank agreement to fixed rate debt. The Company's risk management
policy related to this swap agreement is to hedge the exposure to interest rate
movements on a portion of its long-term debt. Under the swap agreement, payments
are made

                                       5
<PAGE>   7
based on a fixed rate of 6.34% and received on a LIBOR based variable rate
(3.71% at June 29, 2001). Differentials to be paid or received under the
agreement are recognized as interest expense and settled quarterly. The
agreement matures on December 31, 2001. The Company has designated the interest
rate swap agreement as a cash flow hedge of future interest payments on its
variable rate long-term debt.

      On June 30, 2001, the Company has a derivative liability of $389,000
included in the accounts payable and accrued liabilities section of the balance
sheet. A corresponding amount, net of income tax benefit of $151,000, was
recorded as a component of stockholders' equity as accumulated other
comprehensive income.


3.    ACQUISITION:

      On March 1, 2000, the Company acquired the stock of Lindy Dennis
Industries and related affiliates (collectively "LDI"), headquartered in Corona,
California. LDI operates primarily as a heating, ventilation and air
conditioning ("HVAC") contractor specializing in the multifamily residential
market. The consideration paid by the Company for LDI consisted of 1,346,154
shares of the Company's common stock and approximately $12 million in cash. The
cash portion of the consideration was funded through borrowings under the
Company's existing $95 million Credit Facility.

 The Company accounted for the acquisition of LDI using the purchase method of
accounting, and the results of operations of LDI are included in the
accompanying financial statements from the date of acquisition forward. The
accompanying consolidated balance sheet as of June 30, 2001, includes a final
allocation of the purchase price to the assets acquired and liabilities assumed,
as well as the amount of goodwill generated by the transaction.

      The unaudited pro forma data presented below consists of the income
statement data presented in the accompanying consolidated financial statements
plus pro forma income statement data for LDI as if the acquisition and related
financing were effective on January 1, 2000 (in thousands):

<TABLE>
<CAPTION>
                                                        Six months ended
                                                             June 30,
                                                              2000
                                                          (Pro Forma)
                                                        ----------------
<S>                                                     <C>
Revenues                                                      $275,646
Net income available to common stockholders                      7,528
</TABLE>


4.    COMPREHENSIVE INCOME ($ IN THOUSANDS):

      Comprehensive income is a measure of all changes in stockholders' equity
that result from recognized transactions and other economic events of a
particular period, other than transactions with owners in their capacity as
owners. Total comprehensive income for the three months ended June 30, 2000 and
June 30, 2001 is $5,014 and $3,734, respectively. Total comprehensive income for
the six months ended June 30, 2000 and June 30, 2001 is $7,460 and $4,536,
respectively.



                                       6
<PAGE>   8
5.    RECENT ACCOUNTING PRONOUNCEMENTS

      In July 2001, the Financial Accounting Standards Board issued Statement of
Financial Accounting Standards No. 141, "Business Combinations," and Statement
of Financial Accounting Standards No. 142, "Goodwill and Other Intangible
Assets." Statement of Financial Accounting Standards No. 141 ("SFAS 141"),
requires the purchase method of accounting for business combinations initiated
after June 30, 2001 and eliminates the pooling-of-interests method. Statement of
Financial Accounting Standards No. 142 ("SFAS 142"), "Goodwill and Other
Intangible Assets," is effective January 1, 2002. SFAS 142 requires, among other
things, the discontinuance of goodwill amortization. In addition, the standard
includes provisions for the reclassification of certain existing recognized
intangibles as goodwill, reassessment of the useful lives of existing recognized
intangibles, and reclassification of certain intangibles out of previously
reported goodwill. SFAS 142 also requires the Company to complete a transitional
goodwill impairment test six months from the date of adoption.

      The Company is currently evaluating the impact of the new accounting
standards on existing goodwill and other intangible assets. While the ultimate
impact of the new accounting standards has yet to be determined, the Company has
$157.6 million of goodwill on the balance sheet at June 30, 2001, and has
recognized $2.8 million of goodwill amortization expense for the first six
months of the year.


6.    RECLASSIFICATIONS:

      Certain reclassifications have been made to the prior-year financial
statements to conform to the current-year presentation.


                                       7
<PAGE>   9
ITEM 2.  - Management's Discussion and Analysis of Financial Condition and
Results of Operations

      THE FOLLOWING DISCUSSION SHOULD BE READ IN CONJUNCTION WITH THE COMPANY'S
UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS AND RELATED NOTES INCLUDED ELSEWHERE
IN THIS QUARTERLY REPORT ON FORM 10-Q, THE CONSOLIDATED FINANCIAL STATEMENTS AND
RELATED NOTES AND OTHER DETAILED INFORMATION REGARDING THE COMPANY INCLUDED IN
THE COMPANY'S ANNUAL REPORT ON FORM 10-K FOR THE FISCAL YEAR ENDED DECEMBER 31,
2000 AND OTHER REPORTS FILED BY THE COMPANY WITH THE SECURITIES AND EXCHANGE
COMMISSION.

      This Form 10-Q contains forward-looking statements within the meaning of
Section 27A of the Securities Act and Section 21E of the Exchange Act which are
intended to be covered by safe harbors created thereby. Readers are cautioned
that such information involves risks and uncertainties, including those created
by general market conditions, competition and the possibility that events may
occur which limit the ability of the Company to maintain or improve its
operating results. All statements, other than statements of historical facts,
included or incorporated by reference in this section that address activities,
events or developments that the Company expects or anticipates will or may occur
in the future, including such things as future capital expenditures (including
the amount and nature thereof), business strategy and measures to implement such
strategy, competitive strengths, goals, expansion and growth of the Company's
business and operations, plans, references to future success as well as other
statements which include words such as "anticipate," "believe," "plan,"
"estimate," "expect," and "intend" and other similar expressions, constitute
forward-looking statements. Although the Company believes that the assumptions
underlying the forward-looking statements contained herein are reasonable, any
of the assumptions could be inaccurate, and the inclusion of such information
should not be regarded as a representation by the Company or any other person
that the objectives and plans of the Company will be achieved.


GENERAL

      American Plumbing and Mechanical, Inc. ("AMPAM" or the "Company"), a
Delaware corporation, is the largest company in the United States focused
primarily on the plumbing contracting services industry. The Company provides
plumbing, heating, ventilation and air conditioning ("HVAC") and mechanical
contracting services to single family residential, multifamily residential and
commercial/institutional customers. On April 1, 1999, AMPAM acquired ten U.S.
companies (the "Founding Companies"), which, individually, were leading regional
providers of plumbing and mechanical contracting services, and commenced
operations as one company. AMPAM believes that by combining these regional
leaders into one organization, it has created a national provider capable of
strengthening and broadening relationships with its consolidating customer base
and enhancing its operating efficiency. Prior to being acquired by AMPAM, the
Founding Companies performed plumbing and mechanical contracting services for an
average of approximately 31 years in 25 states. AMPAM subsequently acquired all
of the outstanding stock of three companies and the assets of a fourth company
(the "Subsequent Acquisitions," and collectively with the Founding Companies,
the "Acquired Companies").

      During the first half of this year, AMPAM incorporated three new operating
subsidiaries and expanded operations at three existing locations. The Company
commenced operations in Dallas, Texas, Charlotte, North Carolina and Sacramento,
California. Operations in Dallas and Charlotte will initially focus on the
single-family plumbing markets. Operations in Sacramento have been directed
towards commercial and multi-family plumbing operations during the first half of
the year, and will expand to include single family operations during the second
half of this year. Together with its Colorado location, the Company has opened
four new locations during the past nine months.


                                       8
<PAGE>   10
      In addition to these new locations, AMPAM has expanded its operations in
its Houston location to include single-family plumbing and its Orlando and
Baltimore locations to include multi-family HVAC.


RESULTS OF OPERATIONS

      The following unaudited historical consolidated financial information
represents the operations of the Company for the periods presented. LDI, which
was acquired on March 1, 2000, is include from the acquisition date forward.

<TABLE>
<CAPTION>
                                             Three Months Ended June 30,                       Six Months Ended June 30,
                                  ----------------------------------------------       ------------------------------------------
                                          2000                       2001                   2000                       2001
                                  -----------------          -------------------       ----------------         ------------------
                                                                                (Unaudited)
                                                                           (Dollars in thousands)
<S>                               <C>           <C>          <C>           <C>          <C>         <C>          <C>          <C>
Revenues                          $ 141,679     100%         $ 160,687     100%         $ 266,816   100%         $ 304,081    100%
Cost of revenues                    115,163      81            132,498      82            218,153    82            253,370     83
                                  ---------     ---          ---------     ---          ---------   ---          ---------    ---
Gross Profit                         26,516      19             28,189      18             48,663    18             50,711     17

Selling, general and
  administrative expenses            11,699       8             14,852       9             23,188     9             29,116     10
Goodwill amortization                 1,446       1              1,411       1              2,746     1              2,822      1
                                  ---------     ---          ---------     ---          ---------   ---          ---------    ---
Income from operations               13,371      10             11,926       8             22,729     8             18,773      6

Interest expense                     (4,343)     (3)            (4,686)     (3)            (9,083)   (3)            (9,412)    (3)
Other, net                              194      --                253      --                407    --                424     --
                                  ---------     ---          ---------     ---          ---------   ---          ---------    ---

Income before taxes                   9,222       7              7,493       5             14,053     5              9,785      3

Provision for income taxes            4,208       3              3,521       2              6,593     2              5,011      2
                                  ---------     ---          ---------     ---          ---------   ---          ---------    ---
Net income                            5,014       4              3,972       3              7,460     3              4,774      1
                                  ---------     ---          ---------     ---          ---------   ---          ---------    ---
Preferred dividends                     341      --                341      --                682    --                682     --
                                  ---------     ---          ---------     ---          ---------   ---          ---------    ---
Net income available
  to common  shareholders         $   4,673       4%         $   3,631       2%         $   6,778     3%         $   4,092      1%
                                  =========     ===          =========     ===          =========   ===          =========    ===
</TABLE>


Three months ended June 30, 2000 compared to three months ended June 30, 2001

      Revenues increased $19.0 million, from $141.7 million for the three months
ended June 30, 2000, to $160.7 million for the three months ended June 30, 2001.
The increase in revenues resulted from a $16.9 million increase in same store
revenues, combined with $2.1 million generated by start-ups. The increase in
"same store" revenue was primarily generated in single family markets.

      Gross profit increased $1.7 million, from $26.5 million for the three
months ended June 30, 2000, to $28.2 million for the three months ended June 30,
2001. The increase in gross profit resulted from a $2.0 million increase in same
store gross profit, combined with a $0.3 million loss from the start-ups. The
increase in same store gross profit was generated in single family and
commercial markets offset by a decline in gross profit from multi-family
markets. Same store gross margin decreased from 19% for the

                                       9
<PAGE>   11
three months ended June 30, 2000, to 18% for the three months ended June 30,
2001, reflecting increased competition and higher material costs primarily in
multi-family markets.

      Selling, general and administrative expenses increased $3.2 million, from
$11.7 million for the three months ended June 30, 2000 to $14.9 million for the
three months ended June 30, 2001. The increase in selling, general and
administrative expenses was primarily due to higher health and business
insurance costs of $2.1 million, and increased volume. Additionally, the Company
incurred costs of approximately $1.1 million on certain previously announced
strategic initiatives, primarily start-ups, branding and warranty programs.

      Net income decreased $1.0 million, from $5.0 million for the three months
ended June 30, 2000, to $4.0 million for the three months ended June 30, 2001.
The decrease is primarily due to higher material costs, higher selling, general
and administrative expenses, and losses from the start-ups.

      AMPAM's backlog at the end of the second quarter was $227 million
(excluding single family).

Six months ended June 30, 2000 compared to six months ended June 30, 2001

      Revenues increased $37.3 million from $266.8 million for the six months
ended June 30, 2000, to $304.1 million for the six months ended June 30, 2001.
The growth was due to an increase of $34.0 million in same store revenues, and
$3.3 million in revenues from start-ups. The growth in same store revenue was
generated by the single family and multi-family markets offset by a decline in
commercial markets. The decline in revenue from commercial markets is the result
of a focus on higher margin commercial projects.

      Gross profit increased $2.0 million, from $48.7 million for the six months
ended June 30, 2000, to $50.7 million for the six months ended June 30, 2001.
The increase in gross profit was primarily due to $2.5 million increase in same
store gross profit, offset by $0.5 million loss from start-ups. The same store
increase in gross profit was primarily generated by single family markets. Gross
margin declined from 18% for the six months ended June 30, 2000, to 17% for the
six months ended June 30, 2001. Declines were noted in all markets with the most
significant decline resulting from the multi-family market. The decrease in
gross margin has resulted primarily from increased competition and higher
material costs.

      Selling, general and administrative expenses increased $5.9 million, from
$23.2 million for the six months ended June 30, 2000 to $29.1 million for the
six months ended June 30, 2001. The increase in selling, general and
administrative expenses was primarily due to higher health and business
insurance costs of $2.5 million, and increased volume. Additionally, the Company
incurred costs of approximately $2.2 million on certain previously announced
strategic initiatives, primarily start-ups, branding and warranty programs.

      Interest expense increased $0.3 million for the six months ended June 30,
2001 as compared to the same period in 2000. This is a result of higher levels
of debt, offset by lower interest rates.

      The decrease in the provision for income taxes of $1.6 million results
from lower taxable income.

      Net income decreased $2.7 million, from $7.5 million for the six months
ended June 30, 2000, to $4.8 million for the six months ended June 30, 2001. The
decrease is primarily due to higher material costs, higher selling, general and
administrative expenses, and losses from the start-ups.


                                       10
<PAGE>   12
LIQUIDITY AND CAPITAL RESOURCES

      As of June 30, 2001, the Company had $65.9 million in working capital and
$168.6 million of outstanding long-term indebtedness, including capital lease
obligations totaling $1.6 million.

      For the six months ended June 30, 2001, net cash provided by operating
activities of $4.7 million was offset by cash used in investing activities of
$5.7 million, which was primarily capital expenditures of $4.4 million and
earnout payments of $1.6 million. Cash provided by financing activities for the
six months ended June 30, 2001, was $1.9 million and was primarily obtained from
net borrowings on the Company's Credit Facility.

      The Company's Credit Facility, with a total commitment of $95 million,
matures on March 31, 2004. The Credit Facility bears interest, at the option of
the Company, at the base rate of the arranging bank plus an applicable margin,
or at LIBOR plus an applicable margin. As of June 30, 2001, the company had
borrowings of $73.5 million and letters of credit outstanding in the amount of
$0.8 million, leaving $20.7 million available under the Credit Facility.

      The Company anticipates that its cash flow from operations and borrowings
under the Credit Facility will provide sufficient cash to enable the Company to
meet its working capital needs, debt service requirements, and planned capital
expenditures for property and equipment through the foreseeable future.


SEASONALITY

      The plumbing and mechanical contracting services industry is influenced by
seasonal factors, which generally result in lower activity during winter months
than in other periods. As a result, the Company expects that its revenues and
profits will generally be lower in the first and fourth quarters of each fiscal
year, and higher in the second and third quarters.



ITEM 3. - Quantitative and Qualitative Disclosures About Market Risks

      The Company is exposed to various market risks primarily related to
potential adverse changes in interest rates. In the normal course of business,
the Company employs established policies and procedures to manage this risk. The
Company is not exposed to any other significant market risks, such as foreign
currency exchange risk. The Company's exposure to changes in interest rates
primarily results from its short-term and long-term debt with both fixed and
floating interest rates. The Company's debt with fixed interest rates consists
of Senior Subordinated Notes and capital leases. AMPAM's debt with variable
interest rates consists primarily of the Credit Facility.

      Effective January 1, 2001, the company adopted Financial Accounting
Standards Board Statement No. 133, "Accounting for Derivative Instruments and
Hedging Activities," as amended by FASB Statement No. 138, "Accounting for
Certain Derivative Instruments and Certain Hedging Activities," which requires
the company to measure all derivative instruments at fair value and to recognize
them in the balance sheet as an asset or liability, depending on the Company's
rights or obligations under the applicable derivative contract. AMPAM utilizes
certain "derivative instruments" to manage its exposure to market risk.

      During the first quarter, the Company entered into an interest rate swap
agreement, which effectively converted $30 million of its variable rate debt
under the Credit Facility to fixed rate debt. The Company's risk management
policy related to this swap agreement is to hedge the exposure to interest rate
movements on a portion of its long-term debt. On June 30, 2001, the Company has
a derivative

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<PAGE>   13
liability of $389,000 included in the accounts payable and accrued liabilities
section of the balance sheet. A corresponding amount, net of income tax benefit
of $151,000 was recorded as a component of stockholders' equity as accumulated
other comprehensive income. Any change in value of this contract, real or
hypothetical, would be significantly offset by an inverse change in the value of
the variable rate (LIBOR) on the Credit Facility.

      Other than the items mentioned above, there were no other material
quantitative or qualitative changes during the first six months of fiscal 2001
in the Company's market risk sensitive instruments.


                                       12
<PAGE>   14
                           PART II - OTHER INFORMATION

ITEM 1. - Legal Proceedings

      From time to time the Company is involved in litigation relating to claims
arising out of operations in the normal course of business. The Company
maintains insurance coverage against potential claims in an amount which
management believes to be adequate. Currently, the Company is not aware of any
legal proceedings or pending claims that management believes will have a
material adverse effect on the Company's consolidated financial position or
consolidated results of operations.

ITEM 2. - Changes in Securities and Use of Proceeds

      None.

ITEM 3. - Defaults Upon Senior Securities

      None

ITEM 4. - Submission of Matters to a Vote of Security Holders

(a)   The Annual Meeting of the Company's shareholders was held on May 10, 2001.

(b)   The meeting was held to consider and vote upon (i) election of four (4)
      Class II Directors, and (ii) the approval of Deloitte & Touche LLP as the
      Company's independent auditors for the 2001 fiscal year.

The votes cast with respect to the election of four Class II Directors are
summarized as follows:

<TABLE>
<CAPTION>
   Director Name         For             Against      Abstain      Total Votes
   -------------         ---             -------      -------      -----------
<S>                      <C>            <C>           <C>          <C>
Robert Christianson      10,690,922        5,000       77,194      10,773,116
Albert Niemi, Jr.        10,503,025      192,397       77,694      10,773,116
Robert Sherwood          10,690,922        5,000       77,194      10,773,116
Michael Workman          10,503,025        5,000      265,091      10,773,116
</TABLE>

The votes cast with respect to approval of Deloitte & Touche LLP as the
Company's independent auditors as follows:

<TABLE>
<CAPTION>
   For              Against         Abstain         Total Votes
   ---              -------         -------         -----------
<S>                 <C>             <C>             <C>
   10,053,211       455,314         264,591         10,773,116
</TABLE>

Consequently, the stockholders elected each of the directors nominated by the
Board, and approved Deloitte & Touche LLP as the Company's independent auditors
for the 2001 fiscal year.


                                       13
<PAGE>   15
ITEM 5. - Other Information

      None

ITEM 6. - Exhibits and Reports on Form 8-K

(a)   The exhibits to this report are listed below

      *3.1  Amended and Restated Certificate of Incorporation (American
            Plumbing& Mechanical, Inc. Registration Statement on Form S-4
            (File No. 333-81139), Exhibit 3.1).

      *3.2  Amended and Restated Bylaws (American Plumbing & Mechanical, Inc.
            Registration Statement on Form S-4 (File No. 333-81139), Exhibit
            3.2).

      *3.3  Certificate of Designations of 10% Cumulative Redeemable
            Convertible Preferred Stock,  Series A (American Plumbing &
            Mechanical, Inc. Registration Statement on Form S-4 (File No.
            333-81139), Exhibit 3.3).

      *4.1  Indenture, dated May 19, 1999, by and among American Plumbing &
            Mechanical, Inc., State Street Bank and Trust Company and the other
            parties named therein with respect to $125,000,000 11 5/8% Senior
            Subordinated Notes due 2008 (American Plumbing & Mechanical, Inc.
            Registration Statement on Form S-4 (File No. 333-81139), Exhibit
            4.1).

      *Incorporated by reference

      (b)   The registrant filed no reports on Form 8-K during the period
            covered by this quarterly report on Form 10-Q.


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<PAGE>   16
                                   SIGNATURES

      Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

                                        AMERICAN PLUMBING AND MECHANICAL, INC.

      Date:  August 10, 2001              By:  /s/ David C. Baggett
                                              -----------------------------
                                          David C. Baggett
                                          President
                                          and Chief Financial Officer

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