EMCOR (NYSE:EME) Reports Q3 In Line With Expectations But Stock Drops 13.5%

EMCOR, a specialty construction contractor, reported Q3 results for CY2025, matching Wall Street expectations with $4.3 billion revenue (16.4% YoY increase) and $6.57 EPS (slightly above predictions). The company's annual outlook is $16.75 billion revenue, aligning with consensus forecasts. EMCOR's growth is driven by strong execution across sectors and new business wins, with a 12.7% annualized sales growth over the past five years. The Mechanical Construction and Facilities Services group, accounting for 40% of revenue, saw over 20% growth in the past two years. EMCOR's operating margin remained stable at 9.4%, while free cash flow margin dipped slightly. Earnings per share have surged 58% compounded annually over five years, outpacing revenue growth, partly due to share buybacks. Despite a post-results stock drop, EMCOR's predictable growth and profitability make it an attractive option for stable, growing business investors.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.