Company Profile · FY2025 10-K PWR · NYSE
Quanta Services, Inc.
cyclical mature-market
1958 2025
1997 Quanta Founded
1998 IPO and Public Trading
2001 UtiliCorp Takeover Attempt
2002 UtiliCorp Settlement
2009 Joins S&P 500 Index
2012 Sells Telecom Division
2015 Sells Fiber-Optic Business
2016 Duke Austin Becomes CEO
2021 Acquires Blattner Company
2023 Wins SunZia and Colorado Power Projects
2024 Acquires Cupertino Electric
2025 Over 200 Companies and 62,000 Employees
Wikipedia history · XBRL financial data

Quanta Services builds, repairs, and maintains the infrastructure that moves electricity and energy across North America. It sends crews to string high-voltage transmission lines, construct wind and solar farms, modernize gas utility systems, and wire the inside of data centers. Customers, mostly large electric utilities, power developers, and technology companies, hire Quanta under long-term service agreements or project-by-project contracts, and Quanta gets paid when the work is done. Revenue comes from the sheer volume of projects completed across two segments: Electric Infrastructure Solutions, which covers the power grid and renewable energy, and Underground and Infrastructure, which covers gas pipelines and large industrial facilities. The diagram below traces where the money goes.

How Quanta Services Makes Money
flowchart TD A["Customer Contracts 28.5B revenue"] --> B["Service Delivery Electric 23.0B Underground 5.5B"] B --> C["Operating Income 1.6B at 5.7% margin"] C --> D["Operating Cash Flow 2.2B annually"] D --> E["Fleet & Equipment 80k units owned/leased"] E --> B D --> F["Acquisitions & Growth 8 companies in 2025"] F --> G["Expanded Service Portfolio Civil, mechanical, helicopter"] G --> B C --> H["Long-term Customer Relationships MSAs"] H --> A B --> I["Manufacturing Capabilities Transformers, poles, components"] I --> B

Five years of financial data tell a consistent story: this business is growing fast and converting more of that growth into usable cash every year. Revenue has risen from $13.0 billion in 2021 to $28.5 billion in 2025. That is more than a doubling in four years. Free cash flow, the money left over after the company pays for equipment and operations, has grown from $0.2 billion to $1.6 billion over the same period. That shift matters because it shows Quanta is not just getting bigger, it is getting better at turning projects into actual cash.

Quanta Services Revenue (2021 to 2025)
2021
$13.0B
2022
$17.1B
2023
$20.9B
2024
$23.7B
2025
$28.5B
Revenue in billions of dollars. Source: XBRL financials.

Operating cash flow followed the same path, rising from $0.6 billion in 2021 to $2.2 billion in 2025. Gross margin has stayed nearly flat across the entire five-year stretch, hovering between 14% and 15%. That steadiness is important. It means that even as Quanta takes on far more work, it is not sacrificing profit on each dollar of revenue to win contracts. The business is scaling without giving away margin.

$43.98B
Total backlog as of December 31, 2025, up 27.3% from a year earlier

That backlog figure is the most forward-looking signal in the filing. It represents work that customers have already committed to, or that Quanta expects to receive based on long-standing service agreements. A backlog nearly equal to one and a half years of current revenue suggests demand is not slowing. Remaining performance obligations alone, the firmest category of future work, rose 41.8% in a single year to $23.76 billion.

What is a Master Service Agreement?
A master service agreement, or MSA, is a standing contract between Quanta and a customer that covers ongoing repair and maintenance work. The customer does not promise a specific amount of work, but they agree to use Quanta whenever they need that type of service. MSAs accounted for 44% of Quanta's total backlog at the end of 2025. They provide a steady base of recurring revenue between larger construction projects.

The debt picture is the one area that deserves careful attention. Net debt, meaning total borrowings minus cash on hand, fell from $3.5 billion in 2021 to $2.9 billion in 2023, suggesting the business was paying down obligations. But it has since risen to $5.6 billion by the end of 2025. That jump reflects deliberate spending: Quanta acquired Cupertino Electric for $1.5 billion in 2024, completed the acquisition of Dynamic Systems in 2025, and issued $1.5 billion of new senior notes in August 2025. The company is borrowing to buy capabilities, not to cover operating shortfalls. Still, higher debt means higher interest costs, and interest and other financing expenses rose from $202.7 million in 2024 to $261.4 million in 2025.

$2.9B
Net Debt, 2023
$5.6B
Net Debt, 2025
Net debt roughly doubled in two years as Quanta funded major acquisitions. Source: XBRL financials.
2021
milestone
Blattner Acquisition Reshapes the Business
Quanta paid $2.7 billion to acquire Blattner Company in 2021, making it one of the largest renewable energy contractors in North America. The deal was the single biggest purchase in Quanta's history at that point and signaled a clear pivot toward wind, solar, and battery storage work. The Electric segment now accounts for 80.8% of total revenue, and renewable energy construction has become a central part of what Quanta does.

Quanta's risk profile is specific, not generic. The company works on electrical infrastructure in areas prone to wildfires, and the filing states plainly that if Quanta or its customers are found responsible for catastrophic wildfires, the resulting legal claims could be massive and might exceed insurance coverage. Wildfire insurance has become more expensive and harder to obtain, and Quanta self-insures a large portion of its risk through its own captive insurance company.

What is a Captive Insurance Company?
A captive insurance company is an insurance business that a larger company creates and owns itself. Instead of paying premiums to an outside insurer for every risk, Quanta pays those premiums into its own internal insurance entity. This can reduce costs in normal years, but it also means Quanta absorbs the losses directly if claims turn out to be larger than expected.

Fixed-price contracts present a second specific risk. A large share of Quanta's biggest projects are priced before the work begins. If costs run over, Quanta absorbs the loss, not the customer. The filing also discloses $983.6 million in unapproved change orders and claims as of December 31, 2025. These are amounts Quanta believes it is owed but has not yet collected. Resolving them takes time and legal effort, and full recovery is not guaranteed. A third risk is customer concentration: the ten largest customers account for 30% of total revenue, meaning a decision by even one major utility to reduce work could be felt across the income statement.

$983.6M
Unapproved change orders and claims outstanding as of December 31, 2025

Technology and manufacturing customers, a category that includes data center operators and industrial facilities, now make up 13% of revenue, up from just 6% in 2023. That shift is one of the fastest-moving parts of the business right now. Quanta has explicitly positioned itself to wire data centers from the inside out, connecting them to the power grid and building the generation infrastructure they need. Whether that demand holds at its current pace is one of the central open questions facing the company.

Quanta operates a fleet of roughly 80,000 owned and leased vehicles and equipment units as of December 31, 2025, plus a large fleet of helicopters used for utility work. Moving that equipment efficiently across hundreds of job sites is a logistical challenge the company's management explicitly flags as a factor in profitability.
The Bet
Quanta's financial trajectory holds only if the wave of electricity demand driving its backlog, from data centers, manufacturing reshoring, electrification, and grid hardening, stays large and durable enough to absorb an expanding workforce, a growing debt load, and the cost overruns that come with fixed-price contracts on complex projects. The company has nearly doubled its revenue in four years by acquiring capabilities and pursuing bigger, more complicated jobs. If utility and technology customers slow their capital spending, delay projects, or take more work in-house, the revenue growth that justifies the acquisition spending and the rising interest burden disappears faster than the obligations do.
Open question
Quanta has $43.98 billion in backlog, gross margins that have barely moved in five years, and free cash flow that has grown eightfold since 2021. The business looks like one that is benefiting from a genuine, long-running buildout of energy infrastructure. But it is also a cyclical contractor with rising debt, wildfire liability exposure, and nearly $1 billion in disputed billings sitting unresolved. Is the electricity demand driving Quanta's backlog a decade-long structural shift that keeps the pipeline full, or is it a concentrated surge that will slow before the company has finished paying for all the capabilities it has acquired to serve it?
Compiled · 10-K · FY2025
Electric Segment
$23.0B
Underground and Infrastructure Segment
$5.5B
Electric Segment is the largest revenue source at 80.8% of total.
XBRL · Revenue segments · FY2025
Revenue by segment (3-year view)
Electric Segment
2023
$15.9B
2024
$19.0B
2025
$23.0B
Underground and Infrastructure Segment
2023
$5.0B
2024
$4.7B
2025
$5.5B
Gross Margin Trend (5-year)
2021 2025
Gross margin moved from 15.0% (2021) to 15.0% (2025).
Operating Cash Flow (5-year)
2021
$0.6B
2022
$1.1B
2023
$1.6B
2024
$2.1B
2025
$2.2B
Cash Conversion
2.17×
At 2.17×, the company converts more than $1 of cash for every $1 it earns, a sign that reported earnings are backed by real cash coming in the door.
XBRL · 10-K Financial Statements · FY2025
FY2025
$5.6B
↑ 62% year over year
FY2024
$3.4B
Net debt rose 62% year over year, the company added more debt than it repaid.
XBRL · Balance Sheet · 10-K · FY2025
Earl C. (Duke) Austin, Jr.
Chief Executive Officer
$16M
Jayshree Desai
Chief Financial Officer
Compensation data not available
Karl Studer
(7) President, Electric Power
Compensation data not available
Donald C. Wayne
(8) Executive Vice President and General Counsel
Compensation data not available
DEF 14A · Proxy Statement
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$4.22M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$1.17M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$3.12M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$23.43M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$21.06M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$16.44M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$8.26M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$4.08M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$2.40M
May 5, 2026
Austin Earl C. Jr.
President and CEO
Disc.
$3.53M
No open-market purchases and 43 sales, insiders have been net sellers over the past two years.
Form 4 · SEC filings · Last 24 months
Vanguard Group
12.2%
BlackRock
7.5%
State Street
4.2%
JPMorgan Asset Mgmt
4.1%
Geode Capital Management
2.8%
Fidelity (FMR LLC)
2.8%
Morgan Stanley
1.4%
Goldman Sachs
1.3%
Vanguard Group is the largest institutional holder with 12.2% of shares outstanding.
13F filings
Operational Hazards & Liability
The company operates in areas experiencing increasing wildfires and performs services on electrical infrastructure that can ignite fires. If the company or its customers are found responsible for catastrophic wildfires, the resulting legal claims and liabilities could be massive and might exceed insurance coverage.
Insurance & Claims
The company self-insures a large portion of its risks through a captive insurance company and relies on third-party insurance for additional coverage. Insurance for wildfire events has become more expensive and less available, and actual claims could far exceed what the company has reserved, materially harming finances.
Fixed-Price Contracts
The company generates significant revenue from fixed-price contracts for large projects like power generation and data centers where costs are hard to estimate accurately. If actual project costs exceed estimates, the company could recognize large losses and see profits disappear.
Customer Concentration
The company's ten largest customers account for 30 percent of total revenues. If any major customer reduces business, encounters financial difficulty, or files for bankruptcy, the company could lose substantial revenue and profits.
Contract Change Orders & Claims Recovery
The company has $983.6 million in unapproved change orders and claims as of December 31, 2025. Resolving these claims through negotiation or litigation is lengthy and costly, and the company may not recover the full amounts owed, resulting in reduced profits or losses.
10-K Item 1A · Risk Factors
Cash vs earnings
AR growth
Inventory
Share dilution
Debt trend
One-time charges
Goodwill
Customer conc.
Money owed to the company is growing faster than sales.
10-K · XBRL · Computed signals