Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2020

Summary of Significant Accounting Policies

Schedule of disaggregation of revenue

	Three Months Ended June 30,								Six Months Ended June 30,
Revenue by Service Provided	2020				2019				2020				2019
Mechanical Services	$	622,700	83.8	%	$	553,031	85.0	%	$	1,188,164	82.3	%	$	1,087,616	91.5	%
Electrical Services		120,768	16.2	%		97,271	15.0	%		255,435	17.7	%		101,159	8.5	%
Total	$	743,468	100.0	%	$	650,302	100.0	%	$	1,443,599	100.0	%	$	1,188,775	100.0	%
	Three Months Ended June 30,								Six Months Ended June 30,
Revenue by Type of Customer	2020				2019				2020				2019
Industrial	$	300,870	40.5	%	$	198,002	30.5	%	$	576,068	39.9	%	$	366,662	30.8	%
Education		130,004	17.5	%		100,220	15.4	%		239,588	16.6	%		166,963	14.1	%
Office Buildings		75,594	10.2	%		105,483	16.2	%		151,166	10.5	%		171,695	14.4	%
Healthcare		96,050	12.9	%		87,878	13.5	%		195,309	13.5	%		179,901	15.1	%
Government		39,832	5.4	%		44,443	6.8	%		78,813	5.5	%		76,722	6.5	%
Retail, Restaurants and Entertainment		64,628	8.7	%		58,086	8.9	%		125,831	8.7	%		117,477	9.9	%
Multi-Family and Residential		20,555	2.8	%		29,061	4.5	%		39,286	2.7	%		59,296	5.0	%
Other		15,935	2.0	%		27,129	4.2	%		37,538	2.6	%		50,059	4.2	%
Total	$	743,468	100.0	%	$	650,302	100.0	%	$	1,443,599	100.0	%	$	1,188,775	100.0	%
	Three Months Ended June 30,								Six Months Ended June 30,
Revenue by Activity Type	2020				2019				2020				2019
New Construction	$	377,433	50.8	%	$	291,479	44.8	%	$	724,833	50.2	%	$	515,439	43.4	%
Existing Building Construction		225,103	30.3	%		199,398	30.7	%		432,269	29.9	%		381,694	32.1	%
Service Projects		58,378	7.8	%		58,808	9.0	%		110,026	7.6	%		109,192	9.2	%
Service Calls, Maintenance and Monitoring		82,554	11.1	%		100,617	15.5	%		176,471	12.3	%		182,450	15.3	%
Total	$	743,468	100.0	%	$	650,302	100.0	%	$	1,443,599	100.0	%	$	1,188,775	100.0	%

Schedule of activity in allowance for credit losses

Activity in our allowance for credit losses consisted of the following (in thousands):

	Service		Construction		Other		Total
Balance at beginning of year	$	3,192	$	3,400	$	315	$	6,907
Impact of new accounting standard		310		331		54		695
Bad debt expense (benefit)		2,384		2,219		(10)		4,593
Deductions for uncollectible receivables written off, net of recoveries		(728)		(81)		—		(809)
Credit allowance of acquired companies on the acquisition date		—		502		—		502
Purchase accounting adjustments		—		72		—		72
Reclass to other current liabilities		—		—		(315)		(315)
Balance at June 30, 2020	$	5,158	$	6,443	$	44	$	11,645

Schedule of contract assets and liabilities

The following table presents the changes in contract assets and contract liabilities (in thousands):

	Six Months Ended June 30,					Year Ended December 31,
	2020				2019
	Contract		Contract		Contract		Contract
	Assets		Liabilities		Assets		Liabilities
Balance at beginning of period	$	2,736	$	166,918	$	10,213	$	130,986
Change due to acquisitions / disposals		7,469		37,047		6,573		31,556
Change due to conditional versus unconditional		13,389		—		(14,050)		—
Change in timing for performance obligation to be satisfied		—		22,082		—		4,376
Change related to credit allowance		(79)		—		—		—
Balance at end of period	$	23,515	$	226,047	$	2,736	$	166,918

Schedule of lease assets and liabilities

The following table summarizes the lease assets and liabilities included in the consolidated Balance Sheet as follows (in thousands):

	June 30, 2020		December 31, 2019
Lease right-of-use assets	$	97,586	$	84,073
Lease liabilities:
Other current liabilities		16,701		14,016
Long-term lease liabilities		83,753		72,697
Total lease liabilities	$	100,454	$	86,713

Schedule of maturities of lease liabilities

The maturities of lease liabilities are as follows (in thousands):

Year ending December 31—
2020 (excluding the six months ended June 30, 2020)	$	10,598
2021		19,113
2022		16,138
2023		13,767
2024		12,294
Thereafter		46,744
Total Lease Payments		118,654
Less—Present Value Discount		(18,200)
Present Value of Lease Liabilities	$	100,454

Schedule of supplemental information related to leases

Supplemental information related to leases was as follows (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
Cash paid for amounts included in the measurement of lease liabilities	$	5,305	$	4,095	$	9,778	$	7,873
Lease right-of-use assets obtained in exchange for lease liabilities	$	19,922	$	14,223	$	22,200	$	14,397