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PWR's Q2 revenue rose 21.1% to $6.77B, topping estimates and marking a new quarterly record.
Earnings surged 30.5% to $2.48 per share, aided by scale, operating leverage, and acquisitions.
Quanta raised its 2025 revenue and EPS guidance following robust results and recent deal activity.
Quanta Services, Inc. (PWR - Free Report) posted a robust second-quarter 2025 performance, highlighted by double-digit revenue growth, margin expansion, and strategic capital deployment. The results reflect strong demand for utility-scale infrastructure and energy transition projects, as well as operational execution across its diversified service portfolio.
Meanwhile, Quanta completed the $1.35 billion acquisition of Dynamic Systems in July, adding significant turnkey mechanical and process infrastructure capabilities. Additionally, it made two smaller acquisitions worth $226.8 million in electric and civil utility services.
Shares of this leading national provider of specialty contracting services dipped slightly by 0.7% following the release.
More on Quanta’s Q2 Earnings & Revenues
Quanta’s adjusted EPS came in at $2.48, up 30.5% year over year and above the Zacks Consensus Estimate of $2.43. The outperformance was led by revenue scale and operating leverage, as well as contributions from acquisitions.
Quanta reported revenues of $6.77 billion, up 21.1% year over year and ahead of the Zacks Consensus Estimate of $6.55 billion. This marks a new second-quarter revenue record, driven by sustained strength in both Electric Infrastructure and Underground Utility segments. The revenue growth was fueled by increased project activity in high-voltage transmission, grid modernization, and renewable energy, supported by ongoing customer investments in electrification, technology-driven load centers, and manufacturing reshoring.
Quanta Services, Inc. Price, Consensus and EPS Surprise
Gross margin expanded to 14.9% from 14.5%, supported by favorable project execution and scale benefits. Adjusted EBITDA grew 27.8% year over year to $668.8 million, representing an adjusted EBITDA margin of 9.9%, up from 9.4%. Consolidated operating income rose to $370.3 million (up 20.5% year over year) with a 5.5% margin, flat from the prior-year period.
Margin expansion was achieved despite higher SG&A expenses and amortization, which were partially offset by synergies from acquisitions and a strong project mix in the Electric segment.
Quanta’s Backlog and Project Wins: Momentum Continues
Quanta ended the second quarter with a record total backlog of $35.84 billion, up from $31.31 billion a year ago, underscoring robust demand visibility. Remaining performance obligations rose to $19.16 billion. Notably, the company was selected for Idaho Power’s Boardman to Hemingway high-voltage transmission line—an estimated 300-mile project now underway.
Quanta’s Segment Details
The company reports results under two segments — Electric Infrastructure Solutions and Underground Utility and Infrastructure Solutions. Electric (80.6% of total revenue) delivered $5.46 billion in revenues, up 21.7% year over year. Our model predicted segment revenues to grow 16.9% year over year to $5.24 billion. Segment operating margin was 10.1% (above our expectation of 10%), improving from 9.5% in the year-ago quarter. The segment benefited from robust utility demand, data center and energy transition projects, and contributions from the LUMA joint venture in Puerto Rico and the Bell Lumber equity investment.
Underground and Infrastructure (19.4% of total revenue) contributed $1.31 billion in revenues (above our projection of $1.29 billion), up 18.7% year over year. Segment margin stood at 6.9% (below our expectation of 7.7%), lower than the 7.4% reported a year ago but sequentially stronger. Growth was supported by recent acquisitions in utility construction and civil infrastructure.
Quanta’s Balance Sheet
As of June 30, 2025, Quanta held $509 million in cash and cash equivalents (down from $742 million at 2024-end) and had total liquidity of approximately $1.3 billion. Long-term debt increased to $4.65 billion from $4.10 billion at the end of 2024, partly reflecting the $1.35 billion acquisition of Dynamic Systems. Year-to-date free cash flow stood at $288.2 million, down from $439.8 million a year ago. Quanta repurchased 538,559 shares for $134.6 million, with $365.1 million remaining under its buyback program.
Quanta’s Outlook for 2025 Raised
Encouraged by the strong second-quarter results and recent acquisitions, Quanta raised its full-year 2025 outlook. It now expects revenues between $27.4 billion and $27.9 billion (up from $26.7-$27.2 billion prior), and adjusted EPS in the range of $10.28 to $10.88 (up from $10.05–$10.65). Adjusted EBITDA is forecasted to range from $2.76 billion to $2.89 billion (up from $2.68-$2.81 billion).
MasTec presently has a Zacks Rank #1 (Strong Buy). The company delivered a trailing four-quarter earnings surprise of 26%, on average. The stock has surged 41.7% in the past three months. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for MasTec’s 2025 sales indicates an increase of 11%, and the same for earnings implies an increase of 53.7% year over year.
Orion currently flaunts a Zacks Rank #1. The company delivered a trailing four-quarter earnings surprise of 253.9%, on average. The stock has gained 23% in the past three months.
The consensus estimate for Orion’s 2025 sales and EPS implies an increase of 3.9% and 13.3%, respectively, from a year ago.
Primoris currently carries a Zacks Rank #1. The company delivered a trailing four-quarter earnings surprise of 44.8%, on average. The stock has gained 47.5% in the past three months.
The Zacks Consensus Estimate for Primoris’ 2025 sales and EPS implies an increase of 6.4% and 15.8%, respectively, from a year ago.
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Quanta Tops Q2 Earnings & Revenue Estimates, Lifts 2025 View
Key Takeaways
Quanta Services, Inc. (PWR - Free Report) posted a robust second-quarter 2025 performance, highlighted by double-digit revenue growth, margin expansion, and strategic capital deployment. The results reflect strong demand for utility-scale infrastructure and energy transition projects, as well as operational execution across its diversified service portfolio.
Meanwhile, Quanta completed the $1.35 billion acquisition of Dynamic Systems in July, adding significant turnkey mechanical and process infrastructure capabilities. Additionally, it made two smaller acquisitions worth $226.8 million in electric and civil utility services.
Shares of this leading national provider of specialty contracting services dipped slightly by 0.7% following the release.
More on Quanta’s Q2 Earnings & Revenues
Quanta’s adjusted EPS came in at $2.48, up 30.5% year over year and above the Zacks Consensus Estimate of $2.43. The outperformance was led by revenue scale and operating leverage, as well as contributions from acquisitions.
Quanta reported revenues of $6.77 billion, up 21.1% year over year and ahead of the Zacks Consensus Estimate of $6.55 billion. This marks a new second-quarter revenue record, driven by sustained strength in both Electric Infrastructure and Underground Utility segments. The revenue growth was fueled by increased project activity in high-voltage transmission, grid modernization, and renewable energy, supported by ongoing customer investments in electrification, technology-driven load centers, and manufacturing reshoring.
Quanta Services, Inc. Price, Consensus and EPS Surprise
Quanta Services, Inc. price-consensus-eps-surprise-chart | Quanta Services, Inc. Quote
Quanta’s Q2 Margins: Broad-Based Expansion
Gross margin expanded to 14.9% from 14.5%, supported by favorable project execution and scale benefits. Adjusted EBITDA grew 27.8% year over year to $668.8 million, representing an adjusted EBITDA margin of 9.9%, up from 9.4%. Consolidated operating income rose to $370.3 million (up 20.5% year over year) with a 5.5% margin, flat from the prior-year period.
Margin expansion was achieved despite higher SG&A expenses and amortization, which were partially offset by synergies from acquisitions and a strong project mix in the Electric segment.
Quanta’s Backlog and Project Wins: Momentum Continues
Quanta ended the second quarter with a record total backlog of $35.84 billion, up from $31.31 billion a year ago, underscoring robust demand visibility. Remaining performance obligations rose to $19.16 billion. Notably, the company was selected for Idaho Power’s Boardman to Hemingway high-voltage transmission line—an estimated 300-mile project now underway.
Quanta’s Segment Details
The company reports results under two segments — Electric Infrastructure Solutions and Underground Utility and Infrastructure Solutions. Electric (80.6% of total revenue) delivered $5.46 billion in revenues, up 21.7% year over year. Our model predicted segment revenues to grow 16.9% year over year to $5.24 billion. Segment operating margin was 10.1% (above our expectation of 10%), improving from 9.5% in the year-ago quarter. The segment benefited from robust utility demand, data center and energy transition projects, and contributions from the LUMA joint venture in Puerto Rico and the Bell Lumber equity investment.
Underground and Infrastructure (19.4% of total revenue) contributed $1.31 billion in revenues (above our projection of $1.29 billion), up 18.7% year over year. Segment margin stood at 6.9% (below our expectation of 7.7%), lower than the 7.4% reported a year ago but sequentially stronger. Growth was supported by recent acquisitions in utility construction and civil infrastructure.
Quanta’s Balance Sheet
As of June 30, 2025, Quanta held $509 million in cash and cash equivalents (down from $742 million at 2024-end) and had total liquidity of approximately $1.3 billion. Long-term debt increased to $4.65 billion from $4.10 billion at the end of 2024, partly reflecting the $1.35 billion acquisition of Dynamic Systems. Year-to-date free cash flow stood at $288.2 million, down from $439.8 million a year ago. Quanta repurchased 538,559 shares for $134.6 million, with $365.1 million remaining under its buyback program.
Quanta’s Outlook for 2025 Raised
Encouraged by the strong second-quarter results and recent acquisitions, Quanta raised its full-year 2025 outlook. It now expects revenues between $27.4 billion and $27.9 billion (up from $26.7-$27.2 billion prior), and adjusted EPS in the range of $10.28 to $10.88 (up from $10.05–$10.65). Adjusted EBITDA is forecasted to range from $2.76 billion to $2.89 billion (up from $2.68-$2.81 billion).
PWR’s Zacks Rank & Key Picks
Quanta currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the Construction sector are MasTec (MTZ - Free Report) , Orion Group (ORN - Free Report) and Primoris Services (PRIM - Free Report) .
MasTec presently has a Zacks Rank #1 (Strong Buy). The company delivered a trailing four-quarter earnings surprise of 26%, on average. The stock has surged 41.7% in the past three months. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for MasTec’s 2025 sales indicates an increase of 11%, and the same for earnings implies an increase of 53.7% year over year.
Orion currently flaunts a Zacks Rank #1. The company delivered a trailing four-quarter earnings surprise of 253.9%, on average. The stock has gained 23% in the past three months.
The consensus estimate for Orion’s 2025 sales and EPS implies an increase of 3.9% and 13.3%, respectively, from a year ago.
Primoris currently carries a Zacks Rank #1. The company delivered a trailing four-quarter earnings surprise of 44.8%, on average. The stock has gained 47.5% in the past three months.
The Zacks Consensus Estimate for Primoris’ 2025 sales and EPS implies an increase of 6.4% and 15.8%, respectively, from a year ago.