Summary
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.
Financial Highlights
50 data points| Revenue | $3.32B |
| Gross Profit | $593.49M |
| SG&A Expenses | $312.41M |
| Operating Income | $242.12M |
| Interest Expense | $11.27M |
| Net Income | $162.16M |
| EPS (Basic) | $0.81 |
| EPS (Diluted) | $0.81 |
| Shares Outstanding (Basic) | 200.73M |
| Shares Outstanding (Diluted) | 201.31M |
Key Highlights
- 1Consolidated revenues of $3.32 billion for the year ended December 31, 2009, a decrease of 12.2% from 2008.
- 2Electric Power Infrastructure Services segment remains the largest revenue contributor at 62% of total revenue.
- 3Acquisition of Price Gregory Services, Inc. on October 1, 2009, significantly expanding natural gas and pipeline operations.
- 4Gross margin improved to 17.9% in 2009 from 16.8% in 2008, driven by higher-margin services and improved segment performance.
- 5Telecommunications Infrastructure Services segment experienced a significant revenue decrease of 29.5% due to reduced fiber build-out initiatives.
- 6Emergency restoration services revenue decreased significantly in 2009 compared to 2008 due to fewer major weather events.
- 7Company is managing cash effectively, with $699.6 million in cash and cash equivalents at year-end 2009.