The Level Market Monitor
What the biggest contractors in America tell us about your business
These five public companies aren’t your peers — they’re what an exit looks like at scale. PE firms use their financials as the starting comp set when they value your business.
Updated quarterly · Last update: April 2026 · All data from SEC filings
$38.9B
Combined Revenue
5 public contractors
$31.6B+
Combined Backlog
Record levels across the group
20.5x
Median EV/EBITDA
What the market pays
8
Acquisitions Tracked
Major deals since 2024
Industry Scorecard
Five public contractors, side by side
| Company | Revenue | Growth | Gross Margin | EBITDA Margin | Backlog | EV/EBITDA | Rev/Employee |
|---|---|---|---|---|---|---|---|
| FIXComfort Systems USA | $9.1B | +29.5% | 24.1% | 16% | $11.9B | 39x | $401K |
| EMEEMCOR Group | $17.0B | +16.6% | 19.3% | 11.2% | $13.3B | 18.2x | $386K |
| APGAPi Group | $7.9B | +12.7% | 31.4% | 13.2% | $4.0B | 20.5x | $273K |
| LMBLimbach Holdings | $647M | +24.7% | 26.2% | 12.6% | N/A | 12.7x | $431K |
| IESCIES Holdings | $3.4B | +16.9% | 25.5% | 13% | $2.4B | 24.6x | $337K |
What this means for you
A $10M contractor won’t trade at 18x or 25x EBITDA. But these public multiples set the ceiling for the entire industry. Private contractors in the $5–30M range typically trade at 4–8x EBITDA. The gap is explained by size, liquidity, reporting quality, and recurring revenue mix. Understanding the ceiling helps you understand what to work toward — and what PE firms are benchmarking you against.
Operating Benchmarks
How these companies manage cash, spend, and overhead
Revenue and margins only tell half the story. These are the numbers that show how efficiently a contracting business actually runs — how fast they collect, how much they spend on trucks and equipment, and how much cash they actually take home. When a PE firm or buyer looks at your books, these are the metrics they dig into.
| Metric | FIX | EME | APG | LMB | IESC |
|---|---|---|---|---|---|
Collection SpeedHow many days before you get paid | 108 days | 91 days | 72 days | 75 days | 60 days |
Supplier Payment SpeedHow many days you take to pay vendors | 37 days | 33 days | 35 days | 57 days | N/A |
Short-Term LiquidityCan you cover bills due in 12 months? | 1.21x | 1.22x | 1.50x | 1.44x | 1.71x |
Cash Actually Generated% of revenue that becomes real cash | 11.3% | 7% | 8.4% | 6.5% | 6.5% |
Equipment & Vehicle SpendTrucks, tools, facilities as % of revenue | 1.7% | 0.7% | 1.2% | 0.6% | 2% |
Return on Owner’s InvestmentProfit per dollar invested in the business | 41.8% | 34.6% | 8.9% | 20% | 34.6% |
Overhead RateNon-job costs as % of revenue | 9.7% | 10.1% | 24.4% | 16.9% | 14.1% |
Click any row to see what the metric means for your business and where private contractors typically stand.
The cash conversion gap
Public contractors collect in 60–108 days (DSO) and pay suppliers in 33–57 days (DPO). That 30–70 day gap is the cash conversion cycle — and it’s where most private contractors bleed cash. If your DSO is 90 days and you’re paying suppliers in 15 days, you’re financing 75 days of working capital out of your own pocket. At $10M revenue and 8% cost of capital, that gap costs you $164K per year in float.
The Valuation Bridge
From public multiples to your exit number
PE firms start with public company valuations as the ceiling, then adjust down. Here’s how the math works.
Public Companies (15–39x EBITDA)
FIX, EME, IESC, APG — these multiples reflect liquidity, scale, diversification, and institutional investor demand. They set the ceiling.
PE Platform Companies (8–12x EBITDA)
Professionalized contractors at $50M–$500M revenue with management teams, recurring revenue, clean financials, and audit-ready books.
Private Contractors (4–8x EBITDA)
Owner-operated contractors at $5M–$50M revenue. The typical entry point for PE acquisitions. Multiple depends heavily on revenue quality and owner dependence.
Small / Owner-Operator (2–5x SDE)
Under $5M revenue. Often valued on seller's discretionary earnings (SDE), not EBITDA. Buyer pool is individuals, SBA loans, and search funds.
What drives the gap between public and private multiples
Size & Scale
Larger companies have more customers, more locations, and more management depth. A $10M contractor losing its owner is an existential risk. A $500M contractor losing a branch manager is Tuesday.
Liquidity Premium
Public company shares trade instantly. Selling a private contracting business takes 6–18 months. Buyers pay more for the ability to exit quickly.
Recurring Revenue Mix
APi Group gets 54% of revenue from recurring service contracts and trades at 20x EBITDA. A project-heavy contractor with no service agreements might get 4–5x. Revenue predictability is the single biggest multiple driver.
Financial Reporting Quality
Public companies have audited GAAP financials, clean backlog reports, and detailed segment data. Most private contractors run on cash-basis QuickBooks with no job costing. PE discounts for uncertainty.
Customer Concentration
If one GC represents 30% of your revenue, that's a risk PE explicitly prices. Public companies spread risk across thousands of customers and dozens of markets.
Management Depth
Can the business run without the owner for 90 days? If the answer is no, the multiple drops. Public companies have deep management benches by definition.
Multiple arbitrage: why PE keeps buying contractors
This is the mechanic driving 800+ contractor acquisitions since 2022: PE buys your company at 5–6x EBITDA, bolts it onto a platform with better systems and management, and exits the combined entity at 10–12x. The value creation isn't magic — it's the gap between private contractor multiples and platform multiples. Every dollar of your EBITDA becomes worth twice as much inside the right platform.
What private contractors sell for (by revenue tier)
| Revenue Tier | Typical Multiple | Typical Buyer | Key Drivers |
|---|---|---|---|
| Under $5M revenue | 2–5x SDE / 3–6x EBITDA | Individuals, SBA loans, search funds | Owner dependence, customer concentration, local market position |
| $5M–$15M revenue | 5–8x EBITDA | Lower middle-market PE, strategic add-ons | Management team quality, recurring revenue %, margin stability, clean financials |
| $15M–$50M revenue | 6–10x EBITDA | PE platforms, strategic acquirers | Service agreement book, geographic density, end-market mix, backlog quality |
| $50M+ / platform | 8–12x+ EBITDA | Large PE, public company strategics (FIX, EME) | Scale, diversification, management depth, audit-ready financials, data center/healthcare exposure |
Company Profiles
Inside each company’s financials
Comfort Systems USA
The largest pure-play MEP contractor in the U.S. — and the most acquisitive. Commercial and industrial mechanical contracting across 170+ locations.
$9.1B
Revenue
16%
EBITDA Margin
39x
EV/EBITDA
22,700
Employees
Why contractors should care
Comfort Systems is what a $10M mechanical contractor looks like scaled to $9B. They grew 30% last year — almost entirely through acquisitions. If you're a commercial HVAC or mechanical contractor doing $15M+, you're exactly the company they (or their competitors) want to buy. Their acquisition pace tells you what the market is willing to pay for well-run contracting businesses.
“We continue to experience persistent demand and strong pipelines. Given the strength and excellence of our workforce, we are optimistic about our prospects for 2026.”
— Brian Lane, CEO — FY2025 Earnings Release (Feb 2026)
EMCOR Group
The largest specialty contractor in the U.S. by revenue. Electrical construction, mechanical construction, building services, and industrial services nationwide.
$17.0B
Revenue
11.2%
EBITDA Margin
18.2x
EV/EBITDA
44,000
Employees
Why contractors should care
EMCOR paid $865M for Miller Electric — a single electrical contractor — at nearly 11x EBITDA. That's one deal worth more than most contractors will generate in a lifetime. It shows what a large, well-run electrical or mechanical business is worth to a strategic buyer hungry for backlog and talent. EMCOR's 42% mechanical construction segment is essentially a massive version of your business.
“We are executing well across numerous sectors where demand for our services persists, bolstered by long-term underlying secular trends.”
— Tony Guzzi, CEO — FY2025 Earnings Release (Feb 2026)
APi Group
Safety and specialty services platform built through 500+ acquisitions. Fire protection, HVAC, and specialty contracting with a heavy recurring revenue model.
Limbach Holdings
Mid-cap MEP contractor focused on owner-direct relationships. The closest public comp to what a $50–100M mechanical contractor looks like at scale.
M&A Deal Tracker
The consolidation wave is real
Major contractor acquisitions since 2024. Who’s buying, what they’re paying, and what it means for the industry.
| Buyer | Target | Deal Value | Multiple | Date |
|---|---|---|---|---|
| EMCOR Group | Miller Electric Company Largest electrical contractor acquisition in years. Southeast-focused, heavy data center/industrial exposure. | $865M | ~10.8x | Feb 2025 |
| APi Group | Elevated Facility Services Elevator/escalator services platform. Premium multiple reflects recurring maintenance revenue model. | ~$570M | ~13x | Jun 2024 |
| Comfort Systems USA | Summit Industrial Construction Specialty industrial mechanical contractor. Modular construction and process piping. | ~$360M | ~9–10x | Feb 2024 |
| Quanta Services | Cupertino Electric Premier electrical infrastructure contractor. Technology, renewables, and data center work. | ~$1.5B | ~9–10x | Jul 2024 |
| Quanta Services | Dynamic Systems Turnkey mechanical and process infrastructure. Semiconductor, healthcare, data center end markets. | $1.35B + $216M earnout | ~8–9x | Jul 2025 |
| Comfort Systems USA | J & S Mechanical Commercial/industrial mechanical contractor in the Mountain West. | ~$120M | ~8–10x | Feb 2024 |
| Goldman Sachs Alternatives | Sila Services (from MSCP) Residential HVAC/plumbing/electrical platform. One of the largest home services PE deals ever. | ~$1.5B (reported) | N/A | Nov 2024 |
| Comfort Systems USA | Century Contractors Mechanical contractor, Charlotte NC area. | $84M | N/A | Jan 2025 |
Sources: Company IR press releases, SEC filings, Reuters. Deal values and multiples as disclosed by buyers. “N/A” where terms were not publicly disclosed.
What the CEOs Are Saying
Key themes from recent earnings calls
Backlogs at record highs
Comfort Systems reported $11.9B in backlog. EMCOR hit $13.3B in remaining performance obligations — up 31% year-over-year. Data centers, healthcare facilities, and semiconductor manufacturing are driving unprecedented demand for MEP contractors.
Sources: FIX FY2025 10-K; EME FY2025 earnings release
Recurring revenue is the strategic priority
APi Group now generates 54% of revenue from inspection, service, and monitoring — up from 40% in 2021. Limbach hit 75% owner-direct revenue. The industry is shifting from project-dependent to relationship-dependent, and valuations are following.
Sources: APG Q4 FY2025 earnings call; LMB FY2025 earnings release
M&A pace accelerating at premium multiples
EMCOR paid 10.8x EBITDA for Miller Electric. APi paid ~13x for Elevated Facility Services. Comfort Systems completed 5 acquisitions in 2025 alone. Public companies are paying 8–13x for contractors with strong backlogs and the right end-market exposure.
Sources: EMCOR IR; APG IR; FIX FY2025 10-K acquisition footnotes
Data centers reshaping contractor economics
IES Holdings — with heavy data center exposure — trades at nearly 25x EBITDA, the highest multiple in the group. EMCOR, Comfort Systems, and Limbach all called out data center demand as a growth driver. Electrical and mechanical contractors with data center capabilities are commanding premium valuations.
Sources: IESC FY2025 earnings release; EME FY2025 release; LMB FY2025 release
Labor remains the constraint — not demand
Every CEO in this group cited workforce as both a competitive advantage and a constraint. Comfort Systems grew headcount from 18,300 to 22,700 in one year. The companies that can attract, train, and retain skilled tradespeople are winning the backlog race.
Sources: FIX FY2025 10-K (employee count); industry earnings commentary across all 5 companies
Get the full report: Level Market Monitor Q1 2026
All 5 company profiles, operating benchmarks, M&A deal tracker, valuation bridge, and private contractor multiple ranges. Free PDF.
Financial data sourced from SEC EDGAR filings (10-K) and company earnings releases. Market valuations from publicly available data. Updated quarterly.
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Methodology & Sources
Financial Data
All company financials sourced from SEC EDGAR filings (Form 10-K) and official company earnings releases. Revenue, margins, backlog, and employee counts are as reported by each company for their most recent completed fiscal year.
Valuations & Multiples
Enterprise value and EV/EBITDA multiples use publicly available market data. Private contractor multiple ranges are sourced from M&A advisory reports and disclosed transaction terms. Multiples are point-in-time estimates.
Disclaimer: The Level Market Monitor is for educational and informational purposes only. Level is not a registered investment advisor, broker-dealer, or valuation firm. The information presented does not constitute investment advice, financial advice, or a recommendation to buy or sell securities. All forward-looking statements reflect company guidance and public analyst estimates, not Level projections. Past performance does not guarantee future results.
SEC Filings Referenced
- FIX — FY2025 10-K (filed Feb 13, 2026); FY2025 earnings release (Feb 19, 2026)
- EME — FY2025 10-K (filed Feb 26, 2026); FY2025 earnings release (Feb 26, 2026)
- APG — FY2025 10-K (filed Feb 25, 2026); FY2025 earnings release (Feb 25, 2026)
- LMB — FY2025 10-K (filed Mar 2, 2026); FY2025 earnings release (Mar 2, 2026)
- IESC — FY2025 10-K (filed Nov 21, 2025); FY2025 earnings release (Nov 2025)
Frequently Asked Questions
Why should a $10M contractor care about companies doing $9B or $17B in revenue?
Because these companies set the valuation math for the entire industry. When a PE firm evaluates your business, they start with public company multiples as the ceiling, then adjust down for size, risk, and reporting quality. Understanding the ceiling helps you understand your floor — and what you need to do to close the gap.
What EBITDA multiple can a private contractor realistically expect?
It depends on size and quality. Under $5M revenue: 3–6x EBITDA. $5–15M: 5–8x. $15–50M: 6–10x. $50M+ platforms: 8–12x+. The biggest drivers are recurring revenue percentage, customer concentration, management depth, and financial reporting quality. A $10M HVAC company with 50%+ service agreement revenue and clean books can command the top of its range.
What is multiple arbitrage and why does it matter?
PE firms buy private contractors at 5–6x EBITDA, combine them into a larger platform, and sell the combined entity at 10–12x. Your $1M in EBITDA at 5x is worth $5M standalone. Inside a platform valued at 10x, that same EBITDA is worth $10M. This arbitrage is why PE has made 800+ contractor acquisitions since 2022 — the math works every time if the operations are clean.
How often is this data updated?
We update the Market Monitor quarterly, after each earnings season. All financial data is sourced directly from SEC filings (10-K and 10-Q) and company earnings releases. Market valuations reflect publicly available data at the time of update.
Is this investment advice?
No. The Level Market Monitor is for educational purposes — helping contractors understand the capital markets context around their industry. We are not a registered investment advisor. All financial data is sourced from public filings and is presented as-is.
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