CECO ENVIRONMENTAL (CECO) Company Report

CECO Environmental announced a transformational merger with Thermon, a global leader in process heat and temperature management, in a $2.2 billion stock and cash transaction expected to close in mid-2026.
The combined entity is projected to achieve $1.5 billion in revenue and $295 million in adjusted EBITDA (including $40 million in synergies), with a pro forma net leverage of 2.5 times. This combination is expected to be accretive in year one.
CECO reported strong Q4 2025 results, including $215 million in revenue and $29.8 million in adjusted EBITDA, and full-year 2025 orders exceeding $1 billion for the first time.
The company raised its full-year 2026 guidance (excluding Thermon), with revenue now expected between $925 million-$975 million and adjusted EBITDA between $115 million-$135 million, supported by a record backlog of $793 million.

4 days ago

Transcript

CECO Environmental Reports Record Q4 and Full-Year 2025 Results, Announces Acquisition of Thermon, and Raises 2026 Guidance

CECO

Earnings

M&A

Guidance Update

CECO Environmental delivered record Q4 and full-year 2025 financial results, with Q4 revenue growth of 35% and adjusted EBITDA growth of 57%. The company's backlog reached a record $793 million, up 47% year-over-year, and full-year 2025 orders surpassed $1 billion for the first time.
The company announced a transformational transaction to acquire Thermon for approximately $2.2 billion in a stock and cash merger, expected to close in mid-2026. The combined entity is projected to have $1.5 billion in revenue and $295 million in adjusted EBITDA (including $40 million in synergies), with CECO shareholders owning approximately 62.5%.
CECO Environmental raised its full-year 2026 guidance (excluding Thermon) for revenue to between $925 million-$975 million (up from $850 million-$950 million) and adjusted EBITDA to between $115 million-$135 million.
The company has had a strong start to 2026, booking over $270 million in orders quarter-to-date as of February 24th.

4 days ago

Transcript

CECO Environmental Announces Transformational Acquisition of Thermon and Raises 2026 Guidance

CECO

M&A

Guidance Update

Revenue Acceleration/Inflection

CECO Environmental announced a transformational transaction to combine with Thermon for approximately $2.2 billion in stock and cash, with CECO shareholders owning 62.5% of the combined entity upon closing, expected in mid-2026.
The combined company is projected to achieve pro forma revenues of approximately $1.5 billion and adjusted EBITDA of $295 million, including $40 million in identified annualized synergies by year three, with the transaction expected to be accretive in year one.
CECO reported a strong Q4 and full-year 2025, with record backlog approaching $800 million (up almost 50% year-over-year), 35% revenue growth, and 57% adjusted EBITDA growth in Q4, and full-year orders surpassing $1 billion for the first time.
The company raised its standalone full-year 2026 guidance, now expecting revenue between $925 million-$975 million (up from $850 million-$950 million) and adjusted EBITDA between $115 million-$135 million, reflecting strong backlog and sales pipeline.

4 days ago

Transcript

CECO Environmental Announces Strategic Combination with Thermon Group and Reports Record Q4 and Full-Year 2025 Results, Raising 2026 Outlook

CECO

M&A

Earnings

Guidance Update

CECO Environmental announced a strategic combination with Thermon Group Holdings, Inc., which is expected to create a global industrial leader and rebalance the business mix to increase short-cycle exposure to 45%. Todd Gleason will lead the combined company as CEO.
The company reported record financial results for full-year 2025, with revenue of $774 million (+39% year-over-year), Adjusted EBITDA of $90.3 million (+44% year-over-year), and an ending backlog of $793 million (+47%).
For Q4 2025, CECO achieved $215 million in revenue (+35% year-over-year), $329 million in orders (+50% year-over-year), and $29.8 million in Adjusted EBITDA (+57% year-over-year), with an Adjusted EBITDA margin of 13.9%.
CECO is raising its standalone 2026 outlook, anticipating orders exceeding $1.2 billion, revenue between $925 million and $975 million, and Adjusted EBITDA between $115 million and $135 million.

4 days ago

Presentation

CECO Environmental Announces Strategic Combination with Thermon Group and Updates Outlook

CECO

M&A

Guidance Update

Earnings

CECO Environmental announced a definitive agreement to combine with Thermon Group in a stock and cash transaction valued at approximately $2.2 billion, creating a global industrial leader in environmental and thermal solutions. Thermon shareholders will receive mixed consideration of $10.00 in cash and 0.6840 shares of CECO common stock, representing a 26.8% premium to Thermon's closing stock price on February 23, 2026.
The transaction is expected to generate approximately $40 million of annual cost synergies within 36 months and is anticipated to close in mid-2026.
The combined company is projected to achieve approximately $1.5 billion in revenue and $296 million in pro forma Adjusted EBITDA (including synergies) for CY26, with a pro forma net leverage of ~<2.5x.
CECO separately reported its Q4 and Full Year 2025 results and raised its standalone FY 2026 outlook, projecting revenue between $925 million and $975 million and Adjusted EBITDA between $115 million and $135 million.

4 days ago

8-K

CECO Environmental Reports Q4 and Full Year 2025 Results, Announces Thermon Merger, and Raises 2026 Outlook

CECO

Earnings

M&A

Guidance Update

CECO Environmental reported strong financial results for Q4 2025, with orders increasing 50 percent to $329.3 million, revenue up 35 percent to $214.7 million, and Adjusted EBITDA rising 57 percent to $29.8 million.
For the full year 2025, the company achieved record orders greater than $1 billion ($1,064.3 million, up 59 percent), revenue of $774.4 million (up 39 percent), and Adjusted EBITDA of $90.3 million (up 44 percent).
CECO announced a strategic transaction to combine with Thermon Group.
The company raised its 2026 full-year outlook (non-inclusive of Thermon), projecting revenue between $925 million and $975 million and Adjusted EBITDA between $115 million and $135 million.

4 days ago

8-K

CECO Environmental Announces Strategic Combination with Thermon Group

CECO

M&A

New Projects/Investments

CECO Environmental Corp. and Thermon Group Holdings, Inc. have entered into a definitive agreement to combine in a stock and cash transaction valued at approximately $2.2 billion.
The combined company will continue as CECO Environmental under CEO Todd Gleason.
Thermon shareholders can elect to receive mixed consideration of $10.00 in cash and 0.6840 shares of CECO common stock, all-cash consideration of $63.89 per share, or all-stock consideration of 0.8110 shares of CECO common stock per share. The mixed consideration represents approximately $63.13 per share, which is a 26.8% premium to Thermon's closing stock price on February 23, 2026.
Upon completion of the transaction, CECO and Thermon shareholders are expected to own approximately 62.5% and 37.5%, respectively, of the combined company.
The transaction is anticipated to close in mid-2026 and is expected to generate approximately $40 million of annual cost synergies within 36 months.

4 days ago

Press Release

CECO Environmental Corp. Enters New Credit Agreement

CECO

Debt Issuance

On January 30, 2026, CECO Environmental Corp. entered into a Fourth Amended and Restated Credit Agreement.
This agreement establishes a senior secured revolving credit facility with an initial aggregate principal amount of up to $700.0 million, and an option to increase it by an additional $150.0 million.
The credit facility is set to mature on January 30, 2031.
The agreement includes financial covenants, requiring the Consolidated Fixed Charge Coverage Ratio to be no less than 1.25 to 1.00, the Consolidated Net Leverage Ratio no greater than 4.00 to 1.00, and the Consolidated Secured Net Leverage Ratio no greater than 3.50 to 1.00, all commencing with the fiscal quarter ending December 31, 2025.

Feb 4, 2026, 2:04 PM

8-K

CECO Environmental Reports Strong Q3 2025 Results and Introduces Positive 2026 Outlook

CECO

Earnings

Guidance Update

Revenue Acceleration/Inflection

CECO Environmental reported strong Q3 2025 performance, with backlog up 64%, orders up 44%, and revenue up 46% year-over-year, driving a 62% increase in Adjusted EBITDA and a 120bps margin improvement.
The company reaffirmed its Full Year 2025 outlook, anticipating revenue growth of approximately 35% and Adjusted EBITDA to increase by about 50% year-over-year.
For Full Year 2026, CECO introduced an outlook projecting revenue between $850 million and $950 million (up 15% to 25% YoY) and Adjusted EBITDA between $110 million and $130 million (up 20% to 40% YoY).
CECO is well-positioned in strong markets like Power, Natural Gas, and Global Industrial Water, supported by a record opportunity pipeline of approximately $5.8 billion.

Jan 14, 2026, 6:30 PM

Presentation

CECO Environmental Discusses Transformation, Growth Drivers, and 2026 Outlook

CECO

M&A

New Projects/Investments

Guidance Update

CECO Environmental has undergone a significant transformation over the last five years, focusing on organic expansion and executing approximately 14 programmatic acquisitions in the last three and a half years to strengthen its positions in industrial air, energy, and industrial water.
The company has experienced enormous growth in bookings, driven by AI-related power generation demand, including an $80 million order in Q3 and a $135 million order in Q4. Its pipeline has grown to $6 billion, with approximately 20% from discrete power jobs.
CECO aims to build a $200-$300 million industrial water platform over the next few years, expecting this to become a $100-$200 million revenue business with attractive margins and recurring revenue, with over 50% of its total revenue generated outside North America.
For 2026, CECO provided guidance of $850-$950 million in revenue and $110-$130 million in EBITDA. Management noted being a year behind its goal of 15% EBITDA margins due to strategic investments for growth, expecting volume to absorb SG&A.