Quanta Services (PWR) investor relations material

Executive summary

• Q2 2026 delivered record revenues of $9.56 billion, net income of $451.4 million, and double-digit growth in adjusted EBITDA and EPS, driven by strong demand, broad-based organic strength, and recent acquisitions.

• Backlog and remaining performance obligations reached record levels, with backlog at $53.4 billion and remaining performance obligations at $33.6 billion, reflecting robust demand and new project awards.

• Recent acquisitions (Phalcon, Enerfab, Percheron, PSD) enhanced geographic presence and diversified end markets, with minimal Q2 contribution but expected to drive future growth.

• Net income nearly doubled year-over-year, with improved margins and robust cash flow from operations.

• Significantly increased full-year 2026 financial expectations across all metrics.

Financial highlights

• Q2 2026 revenues reached $9.56 billion, net income attributable to common stock was $451.4 million ($2.96 per diluted share), adjusted EPS was $4.24, and adjusted EBITDA was $1.1 billion.

• Operating income increased 87.6% to $694.8 million; gross profit margin improved to 16.2%.

• Cash provided by operating activities for the first six months was $1.49 billion, a 176% increase year-over-year.

• Acquisitions contributed approximately $11 million of adjusted EBITDA in Q2 and $930.3 million in net cash paid for acquisitions in the first half.

• Free cash flow for the quarter was $886 million; for the six months, $1.07 billion.

Outlook and guidance

• Full-year 2026 guidance raised: revenues expected at $39.3–$39.7 billion, adjusted EBITDA at $4.09–$4.21 billion, adjusted EPS at $16.45–$16.95, and free cash flow at $2–$2.5 billion.

• Net income for 2026 expected between $1.74–$1.82 billion; diluted EPS forecasted at $11.41–$11.92.

• Acquisitions expected to contribute $1.2–$1.4 billion in revenues and $120–$140 million in adjusted EBITDA for the year.

• Management anticipates continued record backlog into Q3 and Q4, with large projects expected to stack in coming years.

• Sufficient liquidity and cash flow expected to meet operational and strategic needs over the next twelve months and longer term.