Quanta Services (PWR) Q2 2026 earnings summary

Executive summary

• Second quarter 2026 results exceeded expectations with revenues of $9.56 billion, net income of $451.4 million, and record backlog of $53.44 billion, driven by strong demand, broad-based organic growth, and recent acquisitions.

• Adjusted diluted EPS reached $4.24, adjusted EBITDA was $1.1 billion, and cash flow from operations was robust at $1.1 billion.

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

• Backlog and remaining performance obligations reached record levels, reflecting continued strong demand and new project awards.

• Full-year 2026 financial expectations were raised across all metrics.

Financial highlights

• Q2 2026 revenues were $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.

• Segment operating margins for the quarter: Electric at 11.5%, Underground and Infrastructure at 9.1%.

• 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.

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

• Management expects sufficient liquidity and cash flow to meet operational and strategic needs over the next twelve months and longer term.