Comfort Systems USA revenue jumps 51% on technology demand
The mechanical and electrical contractor reported first-quarter net income of $370.4 million.
Comfort Systems USA (FIX), the provider of mechanical, electrical, and plumbing services, reported a significant increase in first-quarter revenue and profitability driven by organic growth.
The results reflected a shift in the company's project mix toward high-growth sectors. Technology projects accounted for 56% of year-to-date revenue, followed by manufacturing at 19% and healthcare at 8%.
Revenue rose 51% organically to $2.87 billion, up from $1.83 billion in the first quarter of 2025. Net income more than doubled to $370.4 million, or $10.51 a share, compared with $169.3 million, or $4.75 a share, in the prior-year period.
Profitability metrics expanded across the board. Gross margin rose to 26.3% from 22.0% in the first quarter of 2025. Operating income margin increased to 17.0% from 11.4%, while adjusted EBITDA margin expanded to 18.3% from 13.3%.
Workload continued to build as the company leaned into mechanical services, which represented 72% of the segment breakdown compared to 28% for electrical. Backlog reached $12.45 billion as of March 31, 2026, up from $11.94 billion at the end of 2025 and $6.89 billion a year earlier.
Cash flow from operations shifted to an inflow of $388.8 million, compared with a net outflow of $88.0 million in the first quarter of 2025.
The company increased its quarterly dividend by $0.10 to $0.80 a share on April 23, 2026, following a similar $0.10 increase in February.
Comfort Systems USA announced two leadership changes effective July 1, 2026. Craig Sasser will become chief operating officer and Briston Blair will transition to chief strategy and innovation officer.