Summary
Quanta Services, Inc. (PWR) reported strong revenue growth for the nine months ended September 30, 2019, with revenues increasing by 11.7% to $9.00 billion compared to the same period in the prior year. This growth was driven by both the Electric Power Infrastructure Services segment and the Pipeline and Industrial Infrastructure Services segment. The company also successfully managed its gross profit margin, which remained relatively stable year-over-year, despite a notable charge related to a terminated telecommunications project in Peru impacting the Electric Power segment. The company continued its strategic acquisition activity, integrating several businesses to expand its service offerings and geographic reach. Financially, Quanta Services maintained a solid liquidity position, supported by its senior secured credit facility, and demonstrated effective cash flow management.
Financial Highlights
55 data points| Revenue | $3.35B |
| Cost of Revenue | $2.88B |
| Gross Profit | $473.44M |
| SG&A Expenses | $245.01M |
| Operating Income | $209.39M |
| Interest Expense | $18.37M |
| Net Income | $136.07M |
| EPS (Basic) | $0.93 |
| EPS (Diluted) | $0.92 |
| Shares Outstanding (Basic) | 145.91M |
| Shares Outstanding (Diluted) | 147.44M |
Key Highlights
- 1Total revenues for the first nine months of 2019 reached $9.00 billion, an increase of 11.7% compared to the prior year's period.
- 2Gross profit margin remained solid at 12.9% for the nine months ended September 30, 2019, compared to 13.2% in the prior year.
- 3The company completed several acquisitions during the nine months ended September 30, 2019, including Hallen Construction Co., Inc., expanding its service capabilities.
- 4Operating income for the nine months increased to $407.5 million from $390.8 million in the prior year.
- 5A significant charge of $79.2 million was recognized in the third quarter related to the termination of a telecommunications project in Peru, impacting the Electric Power segment.
- 6The company's total backlog stood at $13.28 billion as of September 30, 2019, indicating robust future revenue potential.
- 7Debt levels increased, with borrowings under the senior secured credit facility reaching $1.87 billion as of September 30, 2019, primarily to refinance existing debt and fund operations.