Limbach Reports Record Third-Quarter Revenue as ODR Returns to Organic Growth

The Tip Desk · November 10, 2026 · 4 min read

Third-quarter revenue reached a record $230.5 million as organic operations rose 14.4% and the company said it is tracking near the high end of 2026 guidance.

Limbach Holdings, Inc. (LMB), a building systems solutions firm, reported record third-quarter revenue of $230.5 million, up 24.9% from $184.6 million a year earlier, after a second quarter in which ODR organic revenue declined 3.4%, total organic revenue increased slightly and results fell below the company’s expectations.

Organic operations contributed $26.6 million of the increase, or 14.4%, which the company attributed to project commencements and execution within existing backlog. The remainder of the year-over-year gain came from CYMCOR, Inc. and 1901 Inc., acquired during the quarter, which added $19.3 million, or 10.5% of total revenue, with no comparable contribution a year earlier.

President and Chief Executive Officer Michael McCann said the results reflected improving customer activity and a return to organic growth in the owner-direct business, and that project-timing issues discussed earlier in the year were beginning to ease.

Owner Direct Relationships revenue rose 6.6%, or $9.3 million, to $150.7 million, or 65.4% of the total. Organic ODR revenue increased 2.2%, or $3.1 million, after a 3.4% organic decline in the second quarter. Acquisition-related ODR revenue rose 4.4%, or $6.2 million.

General Contractor Relationships revenue increased 84.7%, or $36.6 million, to $79.8 million. Organic GCR revenue rose 54.4%, or $23.5 million, and acquisition-related GCR revenue rose 30.4%, or $13.1 million.

Total gross profit increased 20.5% to $53.8 million from $44.7 million. Gross margin compressed to 23.4% from 24.2%. The company said the mix included a higher share of GCR work, which typically carries lower margins, and that certain recently acquired businesses currently operate at lower gross-margin profiles than Limbach’s historical levels. Management is implementing operational and pricing initiatives, with the goal of bringing those businesses’ margins closer to historical averages over the next two to three years.

ODR gross profit increased 7.1% to $38.2 million, with ODR gross margin at 25.4%. GCR gross profit increased 73.6% to $15.6 million, with GCR gross margin at 19.6%.

Selling, general and administrative expense rose to $34.6 million from $28.3 million. The company said the increase was primarily driven by $1.2 million of acquisition-related SG&A, $2.8 million of professional services and $2.7 million of payroll, partially offset by a $0.4 million decrease in stock-based compensation. SG&A as a percentage of revenue decreased to 15.0% from 15.3%.

Net income increased 7.5% to $9.5 million, or $0.79 a share, from $8.8 million, or $0.73 a share. Adjusted net income increased 29.0% to $16.4 million, or $1.37 a share, from $12.7 million, or $1.05 a share. Record adjusted EBITDA increased 25.9% to $27.4 million from $21.8 million. Adjusted EBITDA margin was 11.9%.

Net cash provided by operating activities was $20.3 million compared with $13.3 million. Cash and cash equivalents were $29.1 million on September 30, 2026. Borrowings included $75.0 million under the PNC Revolving Credit Facility and $50.0 million under the PNC Term Loan Facility, with about $125.0 million remaining available on the revolver. The company said it intends to deploy free cash flow to continue to reduce revolving borrowings for the remainder of the year.

Total bookings were $311.2 million, generating a book-to-bill ratio of 1.4x. The company said it expects continued execution of its backlog, together with anticipated new bookings, to support further organic revenue growth during the remainder of 2026.

Limbach maintained full-year 2026 guidance of revenue of $760 million to $790 million and adjusted EBITDA of $78 million to $84 million, saying it expects to be at or near the high end of the ranges. Assumptions include 9% to 14% total organic revenue growth, ODR at 70% to 80% of total revenue, ODR organic growth of 6% to 10%, gross margin of 23% to 24%, SG&A of 15% to 16% of revenue, and free cash flow of 75% of adjusted EBITDA.