Revenue from Contracts with Customers (Tables)

12 Months Ended

Dec. 31, 2018

New Accounting Pronouncements or Change in Accounting Principle [Line Items]

The following tables provide further disaggregation of our revenues by categories we use to evaluate our financial performance within each of our reportable segments (in thousands):



	2018			% of Total
United States electrical construction and facilities services:
Commercial market sector	$	839,045		43	%
Institutional market sector	110,046			6	%
Hospitality market sector	32,338			2	%
Manufacturing market sector	388,157			20	%
Healthcare market sector	126,218			6	%
Transportation market sector	284,464			14	%
Water and wastewater market sector	23,337			1	%
Short duration projects ⁽¹⁾	120,109			6	%
Service work	34,105			2	%
	1,957,819
Less intersegment revenues	(3,496		)
Total segment revenues	$	1,954,323

________


(1)	Represents those projects which generally are completed within three months or less.



	2018			% of Total
United States mechanical construction and facilities services:
Commercial market sector	$	1,063,571		35	%
Institutional market sector	292,255			9	%
Hospitality market sector	93,827			3	%
Manufacturing market sector	430,286			14	%
Healthcare market sector	241,113			8	%
Transportation market sector	19,415			1	%
Water and wastewater market sector	176,574			6	%
Short duration projects ⁽¹⁾	335,953			11	%
Service work	385,671			13	%
	3,038,665
Less intersegment revenues	(18,358		)
Total segment revenues	$	3,020,307

________


(1)	Represents those projects which generally are completed within three months or less.



	2018		% of Total
United States building services:
Commercial site-based services	$	519,641	28	%
Government site-based services	213,677		11	%
Mechanical services	1,032,082		55	%
Energy services	110,085		6	%
Total segment revenues	$	1,875,485



United States industrial services:
Field services	$	694,994	80	%
Shop services	170,651		20	%
Total segment revenues	$	865,645

Total United States operations	$	7,715,760



United Kingdom building services:
Service work	$	216,880	52	%
Projects & extras	197,991		48	%
Total segment revenues	$	414,871

Total worldwide operations	$	8,130,631

Contract Assets and Contract Liabilities

Net contract liabilities consisted of the following (in thousands):



	2018			2017
Contract assets, current	$	158,243		$	122,621
Contract assets, non-current	—			—
Contract liabilities, current	(552,290		)	(524,156		)
Contract liabilities, non-current	(2,069		)	—
Deferred revenue ⁽¹⁾	—			(47,328		)
Net contract liabilities	$	(396,116	)	$	(448,863	)

Net Contract Liabilities on Uncompleted Construction Projects

Included within net contract liabilities were $359.2 million and $401.5 million of net contract liabilities on uncompleted construction projects as of December 31, 2018 and 2017, respectively, as follows:



	2018			2017
Costs incurred on uncompleted construction contracts	$	8,656,642		$	8,258,802
Estimated earnings, thereon	1,172,224			1,081,509
	9,828,866			9,340,311
Less: billings to date	10,188,023			9,741,846
	$	(359,157	)	$	(401,535	)

Remaining Performance Obligations

The following table presents the transaction price allocated to remaining unsatisfied performance obligations (“remaining performance obligations”) for each of our reportable segments and their respective percentages of total remaining performance obligations (in thousands, except for percentages):



	2018		% of Total
Remaining performance obligations:
United States electrical construction and facilities services	$	1,085,571	27	%
United States mechanical construction and facilities services	2,245,584		57	%
United States building services	435,074		11	%
United States industrial services	67,529		2	%
Total United States operations	3,833,758		97	%
United Kingdom building services	130,524		3	%
Total worldwide operations	$	3,964,282	100	%

Remaining Performance Obligations, Expected Timing of Satisfaction

Refer to the table below for additional information regarding our remaining performance obligations, including an estimate of when we expect to recognize such remaining performance obligations as revenue (in thousands):



	Within one year		Greater than one year
Remaining performance obligations:
United States electrical construction and facilities services	$	996,524	$	89,047
United States mechanical construction and facilities services	1,742,587		502,997
United States building services	424,462		10,612
United States industrial services	67,529		—
Total United States operations	3,231,102		602,656
United Kingdom building services	77,884		52,640
Total worldwide operations	$	3,308,986	$	655,296

Accounting Standards Update 2014-09 [Member]

New Accounting Pronouncements or Change in Accounting Principle [Line Items]

Schedule of Changes in Accounting Principles

The impact of our adoption of ASC 606 on the Consolidated Balance Sheet and Consolidated Statement of Operations, as of and for the year ended December 31, 2018 was as follows (in thousands):



	As reported		As adjusted
	December 31, 2018
ASSETS
Current assets:
Cash and cash equivalents	$	363,907	$	363,907
Accounts receivable	1,773,620		1,778,930
Contract assets	158,243		145,583
Inventories	42,321		54,173
Prepaid expenses and other	48,116		46,687
Total current assets	2,386,207		2,389,280
Investments, notes and other long-term receivables	2,899		2,899
Property, plant and equipment, net	134,351		134,351
Goodwill	990,887		990,887
Identifiable intangible assets, net	488,286		488,286
Other assets	86,177		86,177
Total assets	$	4,088,807	$	4,091,880
LIABILITIES AND EQUITY
Current liabilities:
Current maturities of long-term debt and capital lease obligations	$	16,013	$	16,013
Accounts payable	652,091		652,091
Contract liabilities	552,290		511,089
Accrued payroll and benefits	343,069		343,069
Other accrued expenses and liabilities	170,935		219,166
Total current liabilities	1,734,398		1,741,428
Borrowings under revolving credit facility	25,000		25,000
Long-term debt and capital lease obligations	254,764		254,764
Other long-term obligations	333,204		333,204
Total liabilities	2,347,366		2,354,396
Total equity	1,741,441		1,737,484
Total liabilities and equity	$	4,088,807	$	4,091,880



	As reported			As adjusted
	2018
Revenues	$	8,130,631		$	8,117,087
Cost of sales	6,925,178			6,918,281
Gross profit	1,205,453			1,198,806
Selling, general and administrative expenses	799,157			799,157
Restructuring expenses	2,306			2,306
Impairment loss on identifiable intangible assets	907			907
Operating income	403,083			396,436
Net periodic pension (cost) income	2,743			2,743
Interest expense	(13,544		)	(13,544		)
Interest income	2,746			2,746
Income from continuing operations before income taxes	395,028			388,381
Income tax provision	109,106			107,270
Income from continuing operations	285,922			281,111
Loss from discontinued operation, net of income taxes	(2,345		)	(2,345		)
Net income including noncontrolling interests	283,577			278,766
Less: Net income attributable to noncontrolling interests	(46		)	(46		)
Net income attributable to EMCOR Group, Inc.	$	283,531		$	278,720

Basic earnings per common share:
From continuing operations attributable to EMCOR Group, Inc. common stockholders	$	4.92		$	4.84
Diluted earnings per common share:
From continuing operations attributable to EMCOR Group, Inc. common stockholders	$	4.89		$	4.81