01—Abstract
Summary
Summary of the 10-K filed February 19, 2026. Cited figures are marked; the original filing is the authoritative source.
Comfort Systems USA, Inc. (FIX) reported a robust fiscal year 2025, characterized by significant revenue growth driven by strong market demand, particularly in the technology sector, and strategic acquisitions.
Revenue increased by 29.5% year-over-year, with same-store activity showing a 26.1% increase. The company's backlog also nearly doubled year-over-year, reaching $11.94 billiona by year-end 2025, indicating strong future revenue potential. Profitability improved substantially, with gross profit increasing by 48.7% and operating income more than doubling, reflecting improved execution and operational efficiencies.
Financially, Comfort Systems USA demonstrated strong cash flow generation, with operating cash flow and free cash flow both showing substantial increases. The company also strengthened its balance sheet by amending and increasing its credit facility to $1.10 billionb, providing ample liquidity.
The company continued its commitment to shareholder returns through share repurchases and dividends. Management anticipates continued strong demand in 2026, supported by a robust backlog and favorable market conditions, particularly in industrial and technology sectors, although it remains mindful of potential economic headwinds.
02—Key points
Key Highlights
- Revenue increased by 29.5% to $9.10 billion in 2025, driven by strong demand, especially in the technology sector.
- Backlog nearly doubled year-over-year, reaching $11.94 billion, signaling robust future revenue.
- Gross profit surged by 48.7% to $2.20 billion, with gross profit margin improving to 24.1% from 21.0% in 2024.
- Operating income significantly increased by 75.4% to $1.31 billion, reflecting improved execution and efficiency.
- Net income grew by 95.7% to $1.02 billion.
- Free cash flow increased by 39.2% to $1.04 billion, demonstrating strong operational cash generation.
- The company amended and increased its revolving credit facility to $1.10 billion, enhancing liquidity and financial flexibility.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Comfort Systems USA kept $0.56.
- Revenue$1.83B100.0%
- Cost of revenue−$1.43B78.0%
- Gross profit$403.4M22.0%
- Operating costs−$194.3M10.6%
- Operating income$209.1M11.4%
- Interest, other & tax$813.5M44.4%
- Net income$1.02B55.8%
Where FY2025 revenue went
$1.83B- Cost of revenue: $1.43B, 78% of revenue
- Operating income: $209.1M, 11% of revenue
- SG&A: $194.9M, 11% of revenue
Kept 11% as operating incomeOperating income $209.1M · 11%
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 19, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $1.83B$7.03B | −73.9% |
| Cost of Revenue | $1.43B$5.55B | −74.3% |
| Gross Profit | $403.42M$1.48B | −72.7% |
| SG&A Expenses | $194.87M$730.07M | −73.3% |
| Operating Income | $209.10M$749.37M | −72.1% |
| Interest Expense | $9.01M$6.65M | +35.5% |
| Net Income | $1.02B$522.43M | +95.7% |
| EPS (Basic) | $28.93$14.64 | +97.6% |
| EPS (Diluted) | $28.88$14.60 | +97.8% |
| Shares Outstanding (Basic) | 35.35M35.69M | −1.0% |
| Shares Outstanding (Diluted) | 35.41M35.77M | −1.0% |
05—Questions
Frequently Asked Questions
What was Comfort Systems USA's revenue performance in 2025?
Comfort Systems USA reported a significant revenue increase of 29.5% in 2025, reaching $9.10 billion, up from $7.03 billion in 2024. This growth was attributed to strong market conditions, particularly in the technology sector, and the positive impact of recent acquisitions.
How did the company's backlog evolve in 2025?
The company's backlog saw substantial growth, increasing by 99.3% year-over-year to $11.94 billion as of December 31, 2025. This increase was driven by strong project bookings, especially in the technology and manufacturing sectors, indicating strong future business prospects.
What is the company's outlook for 2026?
Management anticipates continued high demand in 2026, driven by strong advance bookings and favorable market conditions, particularly for industrial and technology customers. While the company is prepared for potential economic challenges, it expects solid earnings supported by its substantial backlog.
How has the company managed its financial resources and liquidity?
Comfort Systems USA demonstrated strong financial management, with operating cash flow increasing to $1.19 billion and free cash flow rising to $1.04 billion in 2025. The company also amended its senior credit facility to increase borrowing capacity to $1.10 billion, ensuring ample liquidity and financial flexibility to support operations and strategic initiatives.
06—Continue