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PWR · Quanta Services

30 filings

10-K

PWR 10-K Annual Reports

Quanta Services - 30 annual reports

Filing record · 2016–202610-K1110-Q338-K108

2025
Quanta Services Annual Report, Year Ended Dec 31, 2025
Quanta Services, Inc. (PWR) reported a strong financial performance for the year ended December 31, 2025, driven by robust demand across its key operating segments. Revenues increased by 20.3% to $28.5 billion, supported by significant growth in the Electric Infrastructure Solutions segment, which benefited from increased utility investments in grid modernization and renewable energy projects. The Underground and Infrastructure segment also showed solid growth, driven by industrial solutions and gas utility services, further bolstered by strategic acquisitions. The company's strategic acquisition approach continues to expand its capabilities and market reach. Notable acquisitions in 2025, including Dynamic Systems, LLC, and several other businesses, have been integrated to enhance service offerings, particularly in the data center and semiconductor markets. Quanta's backlog remains substantial, ending 2025 at $44.0 billion, indicating strong future revenue potential. The company also generated significant operating cash flow, enabling it to fund its strategic priorities, including acquisitions, capital expenditures, and return of capital to shareholders through dividends and share repurchases. Management expresses confidence in continued strong demand for its services moving forward.
Feb 19, 2026
2024
Quanta Services Annual Report, Year Ended Dec 31, 2024
Quanta Services, Inc. (PWR) reported a strong financial performance for the fiscal year ended December 31, 2024, with consolidated revenues increasing by 13.4% to $23.7 billion. This growth was primarily driven by significant increases in the Electric Power and Renewable Energy segments, reflecting robust demand for infrastructure solutions in grid modernization, renewable energy development, and the technology sector, particularly data centers. The company also demonstrated strong operational execution, leading to a 19.4% increase in operating income. Quanta's strategic acquisition of Cupertino Electric, Inc. (CEI) and seven other businesses during the year contributed to revenue growth and expanded its service capabilities, particularly in electrical infrastructure solutions for the technology and data center industries. Despite a decrease in revenues from the Underground and Infrastructure segment, primarily due to lower large pipeline project volumes, the company's overall backlog and remaining performance obligations saw substantial increases, indicating continued demand and a positive outlook for future revenue. The company's liquidity position remains strong, with significant available commitments under its senior credit facility.
Feb 20, 2025
2023
Quanta Services Annual Report, Year Ended Dec 31, 2023
Quanta Services, Inc. (PWR) demonstrated strong performance in its latest fiscal year, with significant revenue growth across all segments, driven by robust demand in the electric power, renewable energy, and underground infrastructure sectors. The company's strategic focus on grid modernization, renewable energy infrastructure, and essential utility services, coupled with a successful acquisition strategy, has propelled revenue and operating income increases. Significant backlog growth, reflecting strong customer demand and investments in infrastructure, positions Quanta favorably for continued expansion and execution of its growth initiatives. Financially, Quanta reported substantial increases in net income and operating cash flow, bolstered by operational efficiencies and strategic investments. The company maintained a strong liquidity position and actively managed its capital resources, including strategic acquisitions and returning capital to shareholders. Despite facing some supply chain challenges and inflationary pressures, Quanta's diversified business model and proactive management of operational risks provide a solid foundation for future growth and profitability.
Feb 22, 2024
2022
Quanta Services Annual Report, Year Ended Dec 31, 2022
Quanta Services, Inc. demonstrated strong performance in 2022, with significant revenue growth driven by increased demand across all three of its operating segments: Electric Power Infrastructure Solutions, Renewable Energy Infrastructure Solutions, and Underground Utility and Infrastructure Solutions. The company experienced a 31.5% increase in revenues year-over-year, reaching $17.1 billion. This growth was fueled by robust utility spending on grid modernization and hardening, the ongoing transition to renewable energy infrastructure, and increased demand for natural gas utility services. Financially, Quanta saw a substantial increase in operating income by 31.4% to $872.1 million and generated $1.13 billion in cash from operating activities. The company also effectively managed its backlog, which grew to $24.1 billion by year-end, indicating strong future revenue potential. Recent acquisitions, particularly Blattner, have significantly contributed to segment growth, especially in the renewable energy sector. Despite some supply chain challenges and inflationary pressures impacting costs, Quanta's strategic focus on infrastructure solutions and its diversified customer base position it for continued growth.
Feb 23, 2023
2021
Quanta Services Annual Report, Year Ended Dec 31, 2021
Quanta Services, Inc. (PWR) demonstrated robust revenue growth in 2021, reaching $12.98 billion, an increase of 15.9% compared to 2020. This growth was driven by strong performance across all segments, particularly Electric Power Infrastructure Solutions and the newly expanded Renewable Energy Infrastructure Solutions, bolstered by the significant acquisition of Blattner Holding Company. Operating income also saw a healthy increase of 8.5% to $663.5 million, reflecting improved operational efficiencies and higher revenue absorption. The company's backlog and remaining performance obligations saw substantial increases, indicating a strong pipeline of future work, particularly in the utility and renewable energy sectors, which are benefiting from ongoing grid modernization, clean energy transition, and infrastructure investments. Despite facing some challenges like supply chain disruptions and labor availability, Quanta's diversified service offerings and strategic focus position it well for continued growth and capitalize on favorable long-term industry trends.
Feb 25, 2022
2020
Quanta Services Annual Report, Year Ended Dec 31, 2020
Quanta Services, Inc. (PWR) reported significant revenue growth in its Electric Power Infrastructure Solutions segment in 2020, driven by increased demand for utility infrastructure upgrades and emergency restoration services. Conversely, the Underground Utility and Infrastructure Solutions segment experienced a notable revenue decline, primarily attributed to the challenging energy market, project cycle timing, and the impact of the COVID-19 pandemic on downstream and midstream energy operations. Despite the revenue dip in one segment, the company saw an overall increase in operating income and net income, bolstered by improved performance in the Electric Power segment and the successful exit from Latin American operations. The company also maintained a strong liquidity position, with substantial availability under its senior credit facility and positive cash flow from operations. Looking ahead, Quanta remains focused on capitalizing on long-term infrastructure spending trends in the utility and communications sectors, particularly those related to grid modernization, renewable energy integration, and 5G deployment. While the company faces ongoing challenges related to market cyclicality and the pandemic's lingering effects, its diversified service offerings and strategic acquisitions position it to navigate these complexities and pursue future growth opportunities.
Mar 1, 2021
2019
Quanta Services Annual Report, Year Ended Dec 31, 2019
Quanta Services, Inc. (PWR) reported strong revenue growth in its 2019 fiscal year, reaching $12.11 billion, an increase of 8.4% over the prior year. This growth was primarily driven by increased customer spending in the Electric Power Infrastructure Services segment, particularly in grid modernization and fire hardening programs, as well as expansion in communications services. The Pipeline and Industrial Infrastructure Services segment also saw growth, fueled by utility infrastructure replacement initiatives and improved execution in industrial services. Despite revenue growth, operating income saw a modest increase of 2.7%, impacted by factors such as a significant project termination charge in Peru and increased SG&A expenses. The company's backlog and remaining performance obligations also grew, signaling continued demand for its services heading into 2020. Financially, Quanta ended 2019 with a robust balance sheet, including substantial available commitments under its senior secured credit facility and healthy cash reserves. The company continued its strategic growth through acquisitions, integrating seven businesses during the year. Management expressed confidence in its positioning to capitalize on future infrastructure spending, driven by trends in electric grid modernization, renewable energy development, and communication technology advancements, while also navigating risks associated with project execution, market cyclicality, and labor availability.
Feb 28, 2020
2018
Quanta Services Annual Report, Year Ended Dec 31, 2018
Quanta Services, Inc. (PWR) reported strong revenue growth of 18.0% to $11.17 billion for the year ended December 31, 2018, driven by both its Electric Power Infrastructure Services and Pipeline and Industrial Infrastructure Services segments. The company demonstrated improved operating income, up 42.6% year-over-year, reflecting effective management of increased revenues and slight improvements in gross margin. A significant highlight was the increase in backlog, reaching $12.34 billion, indicating robust future demand for its services. Despite a challenging industry landscape, Quanta's strategic focus on expanding its service offerings and geographic reach, coupled with disciplined operational execution, positions it well for continued growth. The company also continued its share repurchase program and initiated its first cash dividend, signaling a commitment to returning value to shareholders. Investors should note potential risks related to project execution, labor availability, and economic conditions in the energy sector, though the company's diversified business model and strong customer relationships provide a degree of resilience.
Feb 28, 2019
2017
Quanta Services Annual Report, Year Ended Dec 31, 2017
Quanta Services, Inc. (PWR) reported strong revenue growth in its 2017 10-K filing, with total revenues reaching $9.47 billion, a 23.7% increase year-over-year. This growth was driven by a significant expansion in its Oil and Gas Infrastructure Services segment, largely due to increased capital spending by customers on midstream gas pipeline transmission projects, and a solid performance in the Electric Power Infrastructure Services segment, bolstered by electric transmission projects and emergency restoration services. The company highlighted increased operating income across both segments, with the Electric Power segment showing robust margin expansion. Despite a notable goodwill impairment charge impacting the Oil and Gas segment, Quanta demonstrated operational resilience and strategic execution. The company also reported healthy liquidity and access to credit facilities, positioning it to fund ongoing operations and future growth initiatives. Investors should note the company's strategic acquisitions, ongoing commitment to training and workforce development, and its positive long-term outlook for infrastructure spending across its key markets.
Feb 28, 2018
2016
Quanta Services Annual Report, Year Ended Dec 31, 2016
Quanta Services, Inc. reported revenues of $7.65 billion for the fiscal year ended December 31, 2016. The company operates in two primary segments: Electric Power Infrastructure Services (63% of revenue) and Oil and Gas Infrastructure Services (37% of revenue). The Electric Power segment saw a slight revenue decrease year-over-year, impacted by regulatory and permitting delays on large transmission projects. Conversely, the Oil and Gas segment experienced revenue growth, driven by increased customer capital spending on larger projects and natural gas distribution services. Profitability improved, with gross profit increasing by 9.8% and gross margin expanding to 13.3% from 12.2% in the prior year. This improvement was attributed to better resource utilization, particularly in the second half of 2016, and improved project performance. However, both segments faced project losses, notably on an Alaska power plant construction project for the Electric Power segment. The company also managed an increase in selling, general, and administrative expenses, partly due to acquisition integration costs and employee-related expenses.
Mar 1, 2017
2015
Quanta Services Annual Report, Year Ended Dec 31, 2015
Quanta Services, Inc. reported revenues of $7.57 billion for the fiscal year ended December 31, 2015, a slight decrease of 2.3% compared to the prior year. This decline was primarily driven by reduced customer spending and project delays in the Electric Power Infrastructure Services segment, impacted by regulatory and permitting issues. Conversely, the Oil and Gas Infrastructure Services segment saw revenue growth, bolstered by recent acquisitions. Despite the revenue dip, the company completed significant acquisitions, enhancing its service offerings. However, gross profit declined by 21% due to a less favorable project mix, with a shift towards lower-margin work and specific project losses, alongside a significant goodwill and intangible asset impairment charge of $58.5 million, largely attributed to the prolonged low commodity price environment impacting its Oil and Gas segment. The company continues to manage its operations with a strong focus on strategic growth and financial discipline, reflected in its robust credit facility and ongoing efforts to optimize its service portfolio.
Feb 29, 2016
2014
Quanta Services Annual Report, Year Ended Dec 31, 2014
Quanta Services, Inc. reported robust revenue growth of 20.4% in 2014, reaching $7.85 billion, driven by strong performance in both its Electric Power and Oil & Gas Infrastructure Services segments. The company saw increased demand across transmission, distribution, and power generation projects, alongside significant contributions from acquired businesses. Despite this revenue growth, gross profit margins slightly decreased to 15.7% from 16.2% in the prior year, attributed to challenging weather conditions, particularly in Canada and northern U.S. regions, and lower margins on certain power generation projects. Selling, general, and administrative expenses saw a notable increase, primarily due to significant charges related to a long-term contract receivable and an arbitration decision, impacting overall profitability. The company ended the year with a strong balance sheet, including working capital of $1.42 billion and $190.5 million in cash and cash equivalents, while also continuing its strategic acquisition and share repurchase programs.
Mar 2, 2015
2013
Quanta Services Annual Report, Year Ended Dec 31, 2013
Quanta Services, Inc. (PWR) reported strong revenue growth in 2013, reaching $6.52 billion, a 10.2% increase over 2012. This growth was driven by higher activity in both the Electric Power Infrastructure Services segment (up 6.5%) and the Oil and Gas Infrastructure Services segment (up 21.8%), with acquisitions contributing to these gains. The company also saw an improvement in gross profit margin to 16.2% from 15.8% in the prior year, attributed to better project execution and a favorable revenue mix, partially offset by a decrease in high-margin emergency restoration services. Net income attributable to common stock rose by 31.1% to $401.9 million, reflecting improved operational performance and a significant gain from the sale of an equity ownership interest in Howard Midstream Energy Partners, LLC. The company's robust performance was supported by continued investment in infrastructure, particularly in the North American electric power grid upgrade and expansion, as well as the ongoing development of natural gas and oil infrastructure fueled by shale resource extraction. Despite facing economic uncertainties and stringent regulatory requirements, Quanta's diversified business model and strategic acquisitions positioned it for sustained growth. The company ended the year with a strong balance sheet, including $488.8 million in cash and cash equivalents and significant availability under its credit facility.
Mar 3, 2014
2012-A
Quanta Services Annual Report (Amendment), Year Ended Dec 31, 2012
Quanta Services, Inc. (PWR) reported strong growth in its 2012 fiscal year, with revenues increasing significantly to $5.92 billion, up from $4.19 billion in 2011. This growth was driven by robust performance in both the Electric Power Infrastructure Services and Natural Gas and Pipeline Infrastructure Services segments, bolstered by several strategic acquisitions. Net income attributable to common stock also saw a substantial increase, reaching $306.6 million in 2012, compared to $132.5 million in 2011. The company successfully completed the sale of its domestic telecommunications infrastructure services operations, presenting these as discontinued operations. This strategic divestiture, along with continued investment in its core infrastructure services, positions Quanta for future growth. The company's balance sheet reflects a healthy increase in total assets to $5.14 billion and a solid equity position of $3.77 billion. Investors should note the company's continued focus on expanding its service offerings and geographic reach through acquisitions, as demonstrated by the multiple acquisitions in 2012 and 2011. The company also maintains a significant backlog of work and a strong credit facility, providing flexibility for ongoing operations and future investments. Despite potential risks related to litigation and self-insurance, Quanta appears to be on a solid growth trajectory.
May 31, 2013
2012
Quanta Services Annual Report, Year Ended Dec 31, 2012
Quanta Services, Inc. reported strong revenue growth in 2012, driven by increased capital spending in the electric power and natural gas/oil pipeline infrastructure sectors. The company experienced a significant revenue increase of 41.2% to $5.92 billion, largely due to robust activity in its Electric Power Infrastructure Services segment, which accounted for 71% of total revenues. The Natural Gas and Pipeline Infrastructure Services segment also saw substantial growth, contributing 26% of revenues. Key strategic moves in 2012 included the divestiture of its domestic telecommunications infrastructure services operations, which allowed the company to focus on its core infrastructure businesses. Quanta also completed several strategic acquisitions to enhance its capabilities, particularly in Canada and the United States. The company maintained a solid financial position, ending the year with substantial working capital and a strong credit facility, positioning it well for future growth and investment.
Mar 1, 2013
2011
Quanta Services Annual Report, Year Ended Dec 31, 2011
Quanta Services, Inc. (PWR) reported robust revenue growth in its 2011 10-K filing, driven primarily by its Electric Power Infrastructure Services segment, which accounted for 66% of its $4.62 billion in consolidated revenues. The company highlighted increased project awards and demand for its services, particularly in the latter half of the year, indicating a positive trend following economic challenges. Acquisitions played a significant role in expanding Quanta's capabilities and geographic reach, with notable additions in the electric power sector in Canada and the U.S., as well as a horizontal directional drilling company in Australia. While the Natural Gas and Pipeline Infrastructure Services segment experienced a revenue decline, the company is focusing on diversification within this segment, particularly in midstream gathering systems and pipeline integrity services. Looking ahead, Quanta anticipates continued strength in its Electric Power segment due to ongoing grid modernization and renewable energy project development. The Telecommunications segment is expected to benefit from broadband deployment initiatives and 4G/LTE network build-outs. The company also emphasized its strong financial position and ongoing strategic evaluation of acquisitions to fuel future growth.
Feb 29, 2012
2010
Quanta Services Annual Report, Year Ended Dec 31, 2010
Quanta Services, Inc. reported robust revenue growth in 2010, driven significantly by the acquisition of Price Gregory Services, Inc. The company's Electric Power Infrastructure Services segment remains its largest, contributing 52% of total revenue, followed by Natural Gas and Pipeline Infrastructure Services at 36%. Strategic acquisitions, including Valard Construction LP, demonstrate Quanta's focus on expanding its capabilities, particularly in Canada. Despite an improving economic environment, Quanta continues to navigate challenges such as project timing, weather impacts, and competitive pricing, which affected margins in certain segments. The company maintains a strong financial position with significant working capital and an available credit facility, positioning it to pursue future growth opportunities through organic expansion and potential acquisitions. Investors should monitor the company's ability to manage project execution and adapt to evolving industry trends.
Mar 1, 2011
2009
Quanta Services Annual Report, Year Ended Dec 31, 2009
Quanta Services, Inc. reported revenues of approximately $3.32 billion for the year ended December 31, 2009. The company is a leading national provider of specialty contracting services for the electric power, natural gas, oil, and telecommunications industries. The Electric Power Infrastructure Services segment was the largest contributor to revenue, accounting for 62% of the total. The company experienced a revenue decrease of 12.2% compared to 2008, largely due to reduced capital spending by customers amidst the ongoing economic downturn. Despite the revenue decline, the company saw an improvement in gross margin as a percentage of revenue to 17.9% from 16.8% in the prior year, driven by higher-margin electric transmission services and improved telecommunications margins. Key strategic moves include the acquisition of Price Gregory Services, Inc. on October 1, 2009, which significantly expanded its natural gas and pipeline operations. The company is focused on expanding its service portfolio, enhancing geographic capabilities, and maintaining financial strength. Management anticipates near-term challenges due to economic conditions but remains optimistic about long-term opportunities driven by infrastructure upgrades, renewable energy initiatives, and technological advancements in the telecommunications sector.
Mar 1, 2010
2008
Quanta Services Annual Report, Year Ended Dec 31, 2008
Quanta Services, Inc. (PWR) reported significant revenue growth in 2008, reaching $3.78 billion, driven by strong performance in electric power and gas infrastructure services. The company's acquisition of InfraSource Services, Inc. in August 2007 significantly expanded its scale and service offerings. Despite the macroeconomic challenges of 2008, Quanta demonstrated resilience, with increased gross profit and operating income due to higher revenues and improved margins in certain areas. The company maintains a strong financial position with substantial liquidity and manageable debt. Looking ahead, Quanta is well-positioned to benefit from anticipated infrastructure upgrades, renewable energy projects, and government stimulus spending, although it acknowledges potential near-term impacts from the economic downturn on customer spending.
Mar 2, 2009
2007
Quanta Services Annual Report, Year Ended Dec 31, 2007
Quanta Services, Inc. reported strong revenue growth in 2007, reaching approximately $2.66 billion, a 25.9% increase over 2006. This growth was significantly driven by the acquisition of InfraSource Services, Inc. in August 2007, which contributed approximately $348.4 million in revenues. The company also saw a substantial increase in gross profit, up 37.1% to $428.7 million, driven by improved pricing, higher productivity, and strong performance in electric power and telecommunications services. The company anticipates continued growth, supported by increased capital spending in the electric power transmission and distribution sector, driven by aging infrastructure and the Energy Policy Act of 2005. Additionally, telecommunications initiatives like Fiber to the Premises (FTTP) and Fiber to the Node (FTTN) are expected to boost demand for Quanta's services. The company maintains a strong financial position with significant liquidity, positioning it well to capitalize on future opportunities, including strategic acquisitions. Investors should note the significant goodwill recorded from the InfraSource acquisition and the ongoing integration efforts, which present both opportunities and potential integration risks. The company also highlighted its nationwide presence and diverse customer base as key strengths.
Feb 29, 2008
2006
Quanta Services Annual Report, Year Ended Dec 31, 2006
Quanta Services (NYSE: PWR) closed fiscal 2006 with revenues of $2.13 billion, up 14.7% from $1.86 billion in 2005, and a reported net income of $17.5 million, or $0.15 per diluted share, down from $29.6 million in 2005. The decline was driven by a $56.8 million non-cash goodwill impairment tied to weakness in the cable television-serving business, which also pushed the effective tax rate to 73.2%. Excluding that charge, operating performance improved: gross margin expanded to 14.8% from 13.8%, and gross profit rose 23% to $315.8 million, reflecting better pricing, margin enhancement initiatives, and stronger demand from electric utilities and telecom carriers. Management frames the company as the largest contractor serving North American electric transmission and distribution, with an estimated $30 billion-plus outsourced infrastructure market and backlog of $1.48 billion at year-end. Balance sheet strength is a central investor point. Cash and equivalents were $383.7 million, the revolving credit facility was undrawn with $159.6 million available, and total stockholders' equity reached $729.1 million. Operating cash flow was $120.6 million against capital expenditures of $48.5 million. The main balance sheet watch items are $413.8 million of convertible subordinated notes, including 4.5% notes that were convertible through March 2007 and would issue about 24.2 million shares if fully converted, and the 4.0% notes maturing in July 2007. Earnings quality also depends on percentage-of-completion accounting, self-insurance reserves, and a tax contingency reserve that management expects to reduce materially after the IRS closed its 2000-2004 audit in February 2007, a reduction likely to boost first-quarter 2007 results. Key risks include customer concentration (top 10 customers were 33.3% of revenue), reliance on fixed-price contracts, a casualty insurer in financial distress, roughly 50% union-represented workforce, and cyclical exposure to utility and telecom capital budgets. The outlook is constructive, citing utility transmission spending, Energy Policy Act-driven reliability standards, and fiber-to-the-premises builds, with 2007 capital expenditures guided to about $60 million.
Feb 28, 2007
2005
Quanta Services Annual Report, Year Ended Dec 31, 2005
Quanta Services, Inc. reported strong revenue growth in 2005, reaching approximately $1.9 billion, a 14.3% increase from the previous year. This growth was primarily driven by increased capital expenditures and demand from electric power and gas customers, bolstered by storm restoration services following Hurricanes Katrina and Rita. The company also saw improvements in its gross margin, which rose to 13.8% from 11.2% in 2004, attributed to higher-margin storm work and margin enhancement initiatives. Financially, Quanta demonstrated a solid liquidity position with $304.3 million in cash and cash equivalents and no significant debt maturities before July 2007. The company's strategy focuses on expanding operating efficiencies, leveraging existing customer relationships for organic growth, and broadening its service portfolio. While facing competitive markets and the inherent risks of the contracting industry, Quanta appears well-positioned to capitalize on favorable industry trends such as increased outsourcing, infrastructure upgrades driven by the Energy Policy Act of 2005, and the growing demand for end-to-end network solutions.
Mar 2, 2006
2004
Quanta Services Annual Report, Year Ended Dec 31, 2004
Quanta Services, Inc. reported revenues of $1.6 billion for the year ended December 31, 2004. The company is a leading specialty contractor providing end-to-end network solutions across electric power, gas, telecommunications, and cable television industries. The electric power and gas sector remained the largest revenue contributor at 64.7%, while telecommunications and cable television accounted for 16.8%, and ancillary services made up 18.5%. The company highlighted strong customer relationships, a nationwide presence, and a proprietary technology for energized services as key strengths. Despite a competitive landscape, Quanta focused on expanding operating efficiencies and leveraging existing customer relationships for organic growth. The company ended 2004 with a solid liquidity position of $265.6 million in cash and cash equivalents and no significant debt maturities before 2007.
Mar 16, 2005
2003
Quanta Services Annual Report, Year Ended Dec 31, 2003
Quanta Services, Inc. reported $1.6 billion in consolidated revenues for the fiscal year ended December 31, 2003. The company provides specialized contracting services, with a significant portion of its revenue (60%) coming from electric power and gas customers, followed by telecommunications (15%), cable television (7%), and ancillary services (18%). Despite a challenging market, particularly in the telecommunications and cable sectors, Quanta is focused on expanding operating efficiencies, driving internal growth through comprehensive solutions, and diversifying its service portfolio. The company's strategy includes pursuing new opportunities in the government sector through a new subsidiary, Quanta Government Solutions (QGS). Financially, Quanta ended 2003 with $179.6 million in cash and cash equivalents and $476.7 million in working capital. The company successfully issued $270 million in 4.5% convertible subordinated notes in October 2003 and entered into a new $185 million credit facility in December 2003, enhancing its liquidity. However, the company experienced a net loss of $34.9 million for the year, an improvement from the significant loss in 2002 primarily attributed to goodwill impairments. Despite the loss, management anticipates sufficient cash flow to meet operating needs, debt service, and capital expenditures, while also aiming for stabilization and potential growth in demand from its core customer industries in 2004.
Mar 15, 2004
2002-A
Quanta Services Annual Report (Amendment), Year Ended Dec 31, 2002
Quanta Services, Inc. filed an amendment to its 2002 Form 10-K, primarily to restate its earnings per share calculations due to the exclusion of potentially dilutive convertible preferred stock. The company reported a significant net loss for the year ended December 31, 2002, largely driven by substantial goodwill impairment charges totaling $655.1 million ($166.6 million as an interim charge and $488.5 million as a transitional charge related to adopting SFAS No. 142). This marks a stark contrast to profitability in prior years and reflects the challenging economic environment, particularly the downturn in the telecommunications and cable sectors. Despite the net loss, Quanta's primary revenue streams still show significant contributions from electric power and gas customers (53%), with telecommunications and cable making up smaller portions (16% and 12%, respectively). The company is actively managing its operations by focusing on cost control, evaluating asset sales, and aligning its workforce with current revenue levels. However, its financial flexibility is constrained by debt covenants and a reduced credit facility, with future growth dependent on improving market conditions and disciplined operational management.
Oct 2, 2003
2002
Quanta Services Annual Report, Year Ended Dec 31, 2002
Quanta Services, Inc. reported $1.75 billion in revenues for the fiscal year ended December 31, 2002. The company experienced a significant revenue decline of 13.1% compared to the prior year, largely driven by a downturn in the telecommunications and cable television sectors, characterized by reduced capital spending, customer bankruptcies, and economic pressures. This challenging environment also led to a substantial decrease in gross margins, which fell from 20.5% to 13.5%, attributed to declining volumes, increased pricing pressures, and lower asset utilization. A major development during the year was the significant impact of adopting SFAS No. 142, which requires goodwill impairment testing. Quanta recorded a substantial non-cash goodwill impairment charge of $166.6 million during the year, in addition to a transitional impairment charge of $488.5 million ($445.4 million net of tax) upon adoption. These charges collectively resulted in a reported net loss of $619.6 million for the year, a stark contrast to the net income of $85.8 million in 2001. The company's outlook indicates continued demand from electric power and gas customers but anticipates ongoing weakness in telecommunications and cable sectors, while focusing on cost control and operational efficiencies.
Mar 31, 2003
2001
Quanta Services Annual Report, Year Ended Dec 31, 2001
Quanta Services, Inc. (PWR) in its 2001 10-K filing highlights significant growth in revenues, reaching $2.01 billion, driven primarily by its electric power and gas network services segment. This growth is attributed to deregulation, increased outsourcing by customers, and strategic acquisitions, which have expanded the company's service portfolio and geographic reach. Despite revenue growth, net income saw a decrease compared to the prior year due to increased selling, general, and administrative expenses, including significant allowances for uncollectible receivables and integration costs from numerous acquisitions. The company emphasizes its strategy of focusing on internal growth, expanding its service offerings, and pursuing selective acquisitions, while also managing operational efficiencies. Investors should note the ongoing proxy contest with Aquila, Inc., which has introduced significant legal and operational risks, including potential impacts on debt covenants and employee retention. The company is also navigating a challenging economic environment and industry-specific pressures such as technological changes and competition. Quanta Services is positioning itself to benefit from the ongoing demand for infrastructure upgrades and modernization across the utility and telecommunications sectors.
Apr 1, 2002
2000
Quanta Services Annual Report, Year Ended Dec 31, 2000
Quanta Services, Inc. (PWR) reported significant growth for the fiscal year ended December 31, 2000, with revenues reaching $1.79 billion, a substantial increase driven by strong demand in the telecommunications, electric power, and cable television industries. This growth was further bolstered by strategic acquisitions, with the company completing 25 acquisitions in 2000 to expand its geographic reach and service capabilities. The company emphasizes its strategy of focusing on internal growth, expanding its service portfolio, improving operating efficiencies, and pursuing strategic acquisitions. Financially, Quanta Services demonstrated robust performance, with net income increasing to $105.7 million. The company's balance sheet shows substantial growth in assets and equity, supported by significant debt financing and equity issuances related to its aggressive acquisition strategy. Key risks identified include technological changes, economic downturns, integration challenges with acquired companies, and competition, though the company appears well-positioned to capitalize on industry trends such as increased outsourcing and demand for bandwidth.
Apr 2, 2001
1999
Quanta Services Annual Report, Year Ended Dec 31, 1999
Quanta Services (NYSE: PWR) reported a breakout fiscal 1999, with revenues rising 190% to $925.7 million (up from $319.3 million in 1998) and net income attributable to common stock climbing to $53.7 million, or $1.00 diluted EPS. Much of that growth was acquisition-driven: the company bought 40 businesses in 1999 and has integrated 52 since its February 1998 IPO. Pro forma for all acquisitions, 1999 revenue was $1.15 billion, and operating units owned at year-end grew internally at 21.7%, with a 24.7% compound annual rate from 1996 to 1999. Gross margin improved to 23.2% from 19.4%, though goodwill amortization and merger charges weighed on operating income, and the effective tax rate rose to 47.6%. The balance sheet expanded sharply, with total assets reaching $1.16 billion and goodwill of $625 million, roughly 54% of assets. Financing came largely from a January 1999 follow-on equity offering (net $101.1 million), a $186 million Series A preferred investment from UtiliCorp United, and a $350 million credit facility. Year-end debt totaled roughly $200 million, including $138.6 million drawn on the credit facility, and cash from operations was modest at $46.3 million against $368.3 million of investing outflows. Subsequent to year-end, Quanta closed a $150 million senior secured notes placement at a weighted average rate of 8.52%, which reduced borrowings under the credit facility. Investors should weigh the strong growth and customer concentration against key risks. Ten customers accounted for 28% of revenue, most contracts can be canceled on 30 to 90 days' notice, a significant share of revenue comes from fixed-price contracts, and about 33% of the workforce is unionized. The company also adopted a shareholder rights plan on March 8, 2000, and announced a 3-for-2 stock split payable April 7, 2000. Both the UtiliCorp relationship and the proposed preferred-to-common exchange at the May 2000 annual meeting bear watching for dilution and governance effects.
Mar 30, 2000
1998
Quanta Services Annual Report, Year Ended Dec 31, 1998
Quanta Services, Inc. (NYSE: PWR) reported its first full year as a public company in its FY1998 Form 10-K, filed March 31, 1999. The company was formed in February 1998 through the combination of four specialty electric and telecommunications contracting businesses and has pursued an aggressive roll-up acquisition strategy since. Historical revenues rose to $309.2 million in 1998 from $76.2 million in 1997, and net income rose to $15.2 million ($0.84 diluted EPS) from $2.5 million. On a pro forma basis including all companies acquired before year-end, combined 1998 revenues were $423.6 million, split roughly 45% electric utility, 38% telecommunications, 10% transportation/lighting, and 7% commercial and industrial. Much of the historical growth reflects acquisitions rather than organic expansion, so the pro forma figures are the better guide to scale. The balance sheet expanded sharply, with total assets reaching $335.0 million and goodwill of $150.9 million, which is now a significant share of equity ($170.3 million). Gross margin compressed to 19.4% from 22.7%, mainly because 1997 included high-margin storm work at PAR, and SG&A rose to 8.5% of revenue. Goodwill amortization of about $3.8 million per year will weigh on reported earnings. Leverage increased through $56.0 million drawn on a $175.0 million revolving credit facility, plus $49.4 million of 6 7/8% convertible subordinated notes issued to an Enron affiliate. Cash was modest at $3.2 million, and operating cash flow of $8.3 million was small relative to the $109.1 million invested, largely in acquisitions. The post-year-end period was notably active. A January 1999 secondary offering of 4.6 million shares at $23.25 raised about $101.3 million, and Quanta continued acquiring companies through March 1999. Investors should weigh the strong growth and fragmented-industry opportunity against risks including integration of many independently run businesses, dependence on acquisitions and access to capital, goodwill recoverability, labor shortages, a 43% unionized workforce, fixed-price contract exposure, and the Year 2000 readiness of acquired businesses.
Mar 31, 1999