second quarter of 2026
Filed Jul 30, 2026Quanta Services reported record quarterly second-quarter revenue, GAAP diluted EPS, adjusted diluted EPS, adjusted EBITDA, operating cash flow, free cash flow, remaining performance obligations and total backlog, while significantly increasing 2026 financial expectations across all metrics.
Second-quarter revenue, net income attributable to common stock, GAAP diluted EPS, adjusted diluted EPS, adjusted EBITDA, cash flow from operations, free cash flow, RPO and total backlog were reported as record results, with revenue and earnings substantially above the prior-year quarter.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenuesGAAP | $9.56 billion | – | – |
| Net income attributable to common stockGAAP | $451.4 million | – | – |
| Diluted earnings per share attributable to common stockGAAP | $2.96 per diluted share | – | – |
| Adjusted diluted earnings per share attributable to common stocknon-GAAP | $4.24 | – | – |
| Adjusted EBITDAnon-GAAP | $1.1 Billion | – | – |
| Cash Flow From OperationsGAAP | $1.1 Billion | – | – |
| Free Cash Flownon-GAAP | $0.9 Billion | – | – |
| Remaining Performance Obligations (RPO)other | $33.6 Billion | – | – |
| Total Backlogother | $53.4 Billion | – | – |
| Revenues for the six months ended June 30GAAP | $17.43 billion | – | – |
| Net income attributable to common stock for the six months ended June 30GAAP | $672.0 million | – | – |
| Diluted earnings per share for the six months ended June 30GAAP | $4.41 per diluted share | – | – |
full year of 2026 outlook
- NotePhalcon, Percheron, PSD and Enerfab are expected to contribute approximately $1.2 billion - $1.4 billion of revenues.
- NotePhalcon, Percheron, PSD and Enerfab are expected to contribute approximately $120 million to $140 million of adjusted EBITDA.
- NoteThe majority of the financial contribution from these companies is expected to be included in the Electric segment.
- NoteQuanta is significantly increasing its full-year 2026 financial expectations across all metrics.
Capital returns
- In May 2026, Quanta’s Board of Directors authorized a new stock repurchase program under which the company may repurchase, from time to time, up to $1 billion of its outstanding common stock.
- Under the company’s prior repurchase program, which expired June 30, 2026, Quanta had acquired 540,788 shares of its outstanding common stock in the open market for a total cost of approximately $135 million.
- In May 2026, Quanta’s Board of Directors declared a quarterly cash dividend of $0.11 per share, or $0.44 per share on an annualized basis.
What drove it
- Revenue, adjusted EBITDA and adjusted diluted earnings per share achieved strong double-digit growth, according to management.
- Management cited improved visibility into the back half of the year and expected contributions from recently completed acquisitions.
- Management identified customer investment in the electric grid, power generation and mission-critical infrastructure as support for profitable growth.
- Phalcon, Enerfab, Percheron and PSD expand self-perform, craft-skilled capabilities across electrical, mechanical, fabrication and front-end disciplines.
- Phalcon, Percheron and PSD were acquired in the second quarter of 2026 and did not materially contribute to Quanta’s financial performance during the period. Enerfab was acquired in July 2026.
- Quanta formed Hyosung HICO Breaker, LLC to manufacture high-voltage circuit breakers in the United States for utility, industrial, technology and load center markets.
Concerns
- The four acquisitions require aggregate upfront consideration, net of cash acquired, of approximately $1.24 billion and include contingent consideration of up to approximately $242.3 million.
- The cash portion of the acquisition transactions was funded with drawings under existing debt financing arrangements and cash on hand.
- The reported second-quarter contribution from Phalcon, Percheron and PSD was not material, while Enerfab was acquired after the quarter in July 2026.
What to watch
- Realization of the approximately $1.2 billion - $1.4 billion of expected full-year 2026 revenue contribution from Phalcon, Percheron, PSD and Enerfab.
- Realization of the approximately $120 million to $140 million of expected full-year 2026 adjusted EBITDA contribution from the acquisitions.
- Whether the majority of acquisition-related financial contribution is included in the Electric segment as expected.
- Execution against the record $33.6 Billion of RPO and $53.4 Billion of total backlog.
- Use of the new stock repurchase program authorizing repurchases of up to $1 billion.
Balance sheet and cash flow
- Cash Flow From Operations of $1.1 Billion
- Free Cash Flow of $0.9 Billion
- The aggregate upfront consideration, net of cash acquired, for the Phalcon, Enerfab, Percheron and PSD transactions was approximately $1.24 billion.
- The aggregate upfront consideration consisted of approximately $1.07 billion in cash, subject to customary adjustments, and approximately $173.3 million in Quanta common stock.
- Certain contingent consideration amounts of up to approximately $242.3 million are payable if the acquired businesses achieve certain financial and other operating performance targets during post-acquisition measurement periods.
- Quanta funded the cash portion of the transactions with drawings under its existing debt financing arrangements and cash on hand.
Analysis
Quanta reported record second-quarter results. Revenues were $9.56 billion versus $6.77 billion in the second quarter of 2025. Net income attributable to common stock was $451.4 million, versus $229.3 million, and GAAP diluted earnings per share was $2.96 per diluted share versus $1.52 per diluted share. Adjusted diluted earnings per share was $4.24 versus $2.48. The release also identified adjusted EBITDA of $1.1 Billion as a record quarterly or record second-quarter result.
Cash generation was another stated strength. Cash Flow From Operations was $1.1 Billion and Free Cash Flow was $0.9 Billion, both identified as record results. Quarter-end RPO of $33.6 Billion and total backlog of $53.4 Billion were also record results, providing the central reported indicators of contracted future work and execution visibility.
The first-half figures reinforced the quarter’s momentum. Revenues in the six months ended June 30, 2026 were $17.43 billion, compared with $13.01 billion in the six months ended June 30, 2025. Net income attributable to common stock for the six-month period was $672.0 million, or $4.41 per diluted share. The provided filing text does not include the remainder of the six-month comparison sentence or the financial tables.
Acquisitions are a material component of the company’s full-year outlook. Phalcon, Percheron and PSD were acquired in the second quarter but did not materially contribute during the period, while Enerfab was acquired in July. Together, the four businesses are expected to contribute approximately $1.2 billion - $1.4 billion of revenues and approximately $120 million to $140 million of adjusted EBITDA for the full year of 2026, with the majority expected in the Electric segment. The transactions involved approximately $1.24 billion of aggregate upfront consideration, net of cash acquired, and up to approximately $242.3 million of contingent consideration.
Capital allocation included authorization of a new repurchase program for up to $1 billion, following approximately $135 million spent to acquire 540,788 shares under the prior program, as well as a quarterly cash dividend of $0.11 per share. Management said it was significantly increasing full-year 2026 financial expectations across all metrics, but the provided text does not contain the revised company-wide numerical outlook ranges. Attention should center on backlog execution, acquisition integration and contribution, and the effect of acquisition financing on the balance sheet.
Management, verbatim
Quanta delivered an exceptional first half of the year, highlighted by second-quarter results that meaningfully exceeded expectations and reflect the compounding strength and momentum of our operating model. Revenue, adjusted EBITDA and adjusted diluted earnings per share all achieved strong double-digit growth, cash flow was robust and total backlog reached a record level at quarter end.
Duke Austin, President and Chief Executive Officer of Quanta Services
Given this outperformance, our improved visibility into the back half of the year, and the expected contribution from recently completed acquisitions that strengthen our platform, we are significantly increasing our full-year 2026 financial expectations across all metrics.
Duke Austin, President and Chief Executive Officer of Quanta Services
We recently completed the acquisitions of Phalcon, Enerfab, Percheron and PSD and are pleased to welcome them to the Quanta family. These businesses deepen our self-perform, craft-skilled capabilities across electrical, mechanical, fabrication and front-end disciplines, bolster our geographic density in key markets, and further diversify our end-market exposure across the utility, technology and load center, industrial and energy sectors in the United States and Australia.
Duke Austin, President and Chief Executive Officer of Quanta Services
Not in the filing
stated, not guessed- Full financial statements and supplemental tables were not included in the provided filing text.
- Second-quarter gross profit and gross margin.
- Second-quarter operating income and operating margin.
- Second-quarter adjusted EBITDA prior-year comparison and percentage change.
- Second-quarter cash flow from operations prior-year comparison.
- Second-quarter free cash flow prior-year comparison.
- Second-quarter revenue, earnings and cash-flow prior-quarter comparisons.
- Segment revenue, segment profitability, and segment comparisons.
- Company-wide full-year 2026 numerical revenue guidance.
- Company-wide full-year 2026 numerical gross margin guidance.
- Company-wide full-year 2026 numerical operating expense guidance.
- Company-wide full-year 2026 numerical tax-rate guidance.
- Company-wide full-year 2026 numerical adjusted EBITDA and diluted EPS guidance.
- Prior-quarter outlook for comparison.
- Cash balance, debt balance and net debt.
- Six-month 2025 net income attributable to common stock and diluted earnings per share, because the provided filing text is truncated before those figures.
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.