Summary
Quanta Services, Inc. (PWR) reported total revenues of $748.3 million for the first quarter ended March 31, 2010, a slight increase of 1.3% compared to the same period in the prior year. The company experienced mixed segment performance, with growth in Natural Gas and Pipeline Infrastructure Services (up 69.6% driven by the Price Gregory acquisition) and Fiber Optic Licensing (up 28.7%). However, the Electric Power Infrastructure Services segment saw a notable decline of 14.6% in revenue, primarily due to reduced customer capital spending and adverse weather conditions. Net income attributable to common stock rose to $23.7 million from $21.4 million year-over-year, representing a 3.2% net profit margin, up from 2.9%. The company highlighted strong liquidity with $659.8 million in cash and cash equivalents and a $1.1 billion working capital position, though it announced plans to redeem its 3.75% convertible subordinated notes on May 14, 2010, for approximately $146.1 million. Management anticipates improving economic conditions will drive increased demand for services in the latter half of 2010, particularly in transmission infrastructure and natural gas services.
Financial Highlights
48 data points| Revenue | $748.28M |
| Gross Profit | $129.14M |
| SG&A Expenses | $81.00M |
| Operating Income | $42.29M |
| Interest Expense | $2.86M |
| Net Income | $23.74M |
| EPS (Basic) | $0.11 |
| EPS (Diluted) | $0.11 |
| Shares Outstanding (Basic) | 208.67M |
| Shares Outstanding (Diluted) | 210.34M |
Key Highlights
- 1Total revenues for Q1 2010 were $748.3 million, a 1.3% increase year-over-year.
- 2Net income attributable to common stock increased to $23.7 million from $21.4 million in Q1 2009.
- 3The Natural Gas and Pipeline Infrastructure Services segment revenue surged 69.6%, largely due to the acquisition of Price Gregory.
- 4The Electric Power Infrastructure Services segment experienced a revenue decline of 14.6% due to reduced customer spending and weather impacts.
- 5The company maintained strong liquidity with $659.8 million in cash and cash equivalents as of March 31, 2010.
- 6Quanta Services announced the redemption of its $143.8 million in 3.75% convertible subordinated notes scheduled for May 14, 2010.
- 7Management expects improving economic conditions to boost demand for services in the second half of 2010.