Quanta Services
Quanta Services · Power EPC
01Wall Street Consensus
02Earnings Results
Key Takeaways
- Adj. EPS $2.68 — beat consensus $2.04 by +31.4%, up from $1.78 (+51% YoY)
- GAAP EPS $1.45 — up from $0.96 (+51% YoY)
- Revenue $7.87B — beat consensus $7.0B by +12.5%, +26.3% YoY
- Backlog $48.5B — all-time record
- FY2026 revenue guide raised to $34.7-35.2B
- FY2026 adj. EPS guide $13.55-14.25 — midpoint +7%
- Street: 21 buy / 4 hold — strong buy bias intact
- AI data centers, T&D infrastructure, and renewables driving demand on three axes
Key Checkpoints
- 01Electric Power segment revenue — transmission and distribution project backlog
- 02Renewable Energy Infrastructure segment growth — solar, wind, and battery storage EPC
- 03Underground Utility and Infrastructure segment performance
- 04Total backlog — $30B+ and growing from data center and grid projects
- 05Operating margin expansion — 8%+ target from operational efficiency
- 06Data center power connection project wins and revenue contribution
Upside Catalysts
- Data center grid connections — every new AI campus needs transmission infrastructure
- Grid hardening and modernization — $1T+ US grid upgrade opportunity
- IRA-driven renewable energy construction — solar and battery storage EPC boom
- Iran conflict: Energy security driving transmission and grid reliability investments
- Acquisition strategy — bolt-on deals expanding geographic and capability footprint
Risk Factors
- Labor shortage — skilled electrical workers in high demand across all segments
- Weather-related project delays — Q1 winter conditions can impact outdoor construction
- Fixed-price contract risk on large infrastructure projects
- Iran conflict: Material costs (copper, steel, aluminum) rising with commodity prices
- Interest rate sensitivity — higher rates impact construction project economics
1Final Verdict
Quanta Services is the largest electrical power infrastructure contractor in North America — the company that physically builds the grid connections, transmission lines, and substations that power data centers and the broader economy. Consensus EPS $2.10, Revenue $6.8B.
The AI data center buildout is creating unprecedented demand for Quanta's services — every new hyperscaler campus needs high-voltage transmission connections to the grid, which Quanta designs and constructs. Combined with grid modernization, renewable energy EPC, and the Iran conflict's energy security spending, Quanta faces a multi-year demand supercycle.
The main constraint is labor — skilled high-voltage electrical workers are in severe shortage. Quanta's training programs and scale advantage in workforce development are a competitive moat.
2Data Center & Grid Projects
Data Center Grid Connections:
- Every AI data center campus (500MW-2GW) needs new transmission infrastructure
- Substation construction, transmission line routing, utility interconnection
- Revenue per project: $50-500M depending on scope
- Multi-year construction timelines — backlog visibility extends to 2028+
Grid Modernization:
- US grid: 40+ years average age — massive replacement cycle
- Transmission line construction for renewable energy integration
- Distribution system upgrades for EV charging and electrification
- Federal and state funding: IIJA, IRA providing multi-year budget support
Energy Security (Iran Conflict Impact):
- Grid hardening against physical and cyber threats
- Undergrounding of critical transmission lines
- Emergency generator and microgrid installations
- Federal defense and critical infrastructure priority projects
3Renewable Energy & Workforce
Renewable Energy EPC:
- Utility-scale solar farm construction
- Battery energy storage system (BESS) installation
- Wind farm balance-of-plant (foundation, electrical)
- Revenue growth: 25%+ YoY from IRA-driven project pipeline
Workforce Challenge:
- Skilled electrical worker shortage: 50,000+ unfilled positions industrywide
- Quanta's training programs: 5,000+ apprentices in pipeline
- Scale advantage: Largest employer of skilled electrical workers in North America
- Wage inflation: 5-8% annually for skilled trades — passed through in contracts
Financial Profile:
- 2026 revenue target: $28-30B (full year)
- Operating margin: 8-9% — improving from scale and mix
- Backlog: $32B+ — record levels
- Free cash flow: $2B+ supporting acquisitions and shareholder returns
- M&A: 2-3 bolt-on acquisitions annually expanding capabilities
SEPS 서프라이즈 히스토리
분기별 EPS 컨센서스 대비 서프라이즈(%) — 막대: EPS, 점선: 매출
컨센서스 대비 실제 EPS/매출 서프라이즈 (%)