Quanta Services Reports 23.9% Revenue Growth to $6.23 Billion in Latest Quarter

Quanta Services, Inc. reported significant financial growth in its latest quarterly results, with revenues reaching $6.23 billion for the three months ended March 31, 2025, a 23.9% increase from $5.03 billion in the same period last year. The company's net income also rose to $149.0 million, or $0.96 per diluted share, compared to $126.1 million, or $0.79 per diluted share, in the prior year. This growth was driven by increased demand across both of its operating segments: Electric Infrastructure Solutions and Underground Utility and Infrastructure Solutions.

The company experienced a notable increase in operating income, which rose by 53.9% to $239.1 million, up from $155.4 million in the previous year. This improvement was attributed to higher revenues and better execution in its Electric segment, which saw a revenue increase of 26.4% to $4.94 billion. The Underground and Infrastructure segment also contributed positively, with revenues growing by 15.0% to $1.29 billion. The overall gross profit margin improved to 13.4%, up from 12.4% in the prior year, reflecting enhanced operational efficiency.

Quanta's strategic initiatives included the acquisition of two businesses during the quarter, which contributed to its revenue growth. The company paid approximately $394.3 million in cash for these acquisitions, which are expected to enhance its capabilities in civil solutions and electrical engineering. Additionally, Quanta's backlog increased to $35.25 billion, a 2.1% rise from the previous quarter, indicating a strong pipeline of future work. The company also reported a 5.3% increase in remaining performance obligations, totaling $17.65 billion.

Operationally, Quanta's cash flow from operating activities was $243.2 million, a slight increase from $238.0 million in the same quarter last year. The company maintained a strong liquidity position, with available commitments under its senior credit facility and cash totaling approximately $2.91 billion as of March 31, 2025. Quanta's days sales outstanding (DSO) improved to 63 days, down from 71 days a year earlier, reflecting better cash collection practices.

Looking ahead, Quanta Services anticipates continued strong demand for its services, driven by ongoing investments in electric power delivery systems and infrastructure modernization. However, the company remains cautious about potential challenges, including supply chain disruptions and regulatory uncertainties that could impact project timelines and costs. Overall, Quanta's management is optimistic about the company's growth trajectory and its ability to capitalize on emerging opportunities in the infrastructure sector.