Slide 1: First Quarter 2024 Operational and Financial Commentary
May 2, 2024 First Quarter 2024 Operational and Financial Commentary This document is a supplement to our press release reporting first quarter 2024 results for Quanta Services, Inc. (Quanta, we, us or our). Our earnings release was previously distributed by Cision and can also be found in the Invest
Slide 2: 1Q24 Financial Results and Commentary: Electric Power
1Q24 Financial Results and Commentary Electric Power Infrastructure Solutions Segment (Electric Power) * Operating Income Margins are calculated by dividing operating income by revenues Our Electric Power segment operations performed well in the first quarter of 2024, with revenues of $2.3 billion a
Slide 3: Electric Power Segment Backlog and Demand Drivers
Electric Segment backlog was $15.3 billion at the end of the first quarter of 2024, which was lower than segment backlog at year end 2023, primarily due to the timing of awards and the recognition of revenues under multi-year master service agreements (MSAs). We continue to experience increased dema
Slide 4: Renewable Energy Infrastructure Solutions Segment
Renewable Energy Infrastructure Solutions Segment (Renewable Energy) * Operating Income Margins are calculated by dividing operating income by revenues Our Renewable Energy segment revenues were $1.6 billion in the first quarter of 2024. While this reflects sizable growth compared to the first quart
Slide 5: Renewable Energy Segment Backlog
Renewable Energy segment total backlog reached $8.5 billion as of March 31, 2024, driven by various renewable generation, transmission and substation projects. We believe the segment’s backlog reflects our strong customer partnerships and our collaborative, solutions-based approach, as well as our a
Slide 6: Underground and Infrastructure Segment Results
Underground and Infrastructure segment revenues were $1.1 billion in the first quarter of 2024, in line with the first quarter of 2023 and reflected normal seasonality. Revenues were driven by higher volumes of base business activity and approximately $60 million of revenues attributable to acquired
Slide 7: Consolidated Backlog and Free Cash Flow
Consolidated Backlog *Refer to the Appendix for a definition and reconciliation of this non-GAAP financial measure to its most directly comparable GAAP measure At March 31, 2024, total backlog was $29.9 billion and twelve-month backlog was $16.6 billion. While the timing of awards and normal seasona
Slide 8: Cash Flow, DSO, Balance Sheet and Liquidity
Cash flow in the first quarter of 2024 was greater than the first quarter of 2023 and reflects the favorable working capital profile across our portfolio and our efforts to collaborate with customers to improve our collection cycle. DSO measured 71 days in the first quarter of 2024, which includes 8
Slide 9: Full-Year 2024 Guidance
companies and sold a strategic ownership interest in a midstream pipeline. We continue to evaluate an active pipeline of acquisitions and investment opportunities which we believe have the opportunity to generate incremental returns for our stockholders. Full-Year 2024 Guidance *The investment commu
Slide 10: Segment Guidance: Electric Power
While segment designations help investors better understand the work we are performing, we will continue to emphasize the power of our aggregate portfolio of solutions and the cash flow, earnings and returns they generate. The following commentary details our expectations for our reportable operatin
Slide 11: Segment Guidance: Renewable and Underground
8.75% for the full year of 2024. As was the case in 2023, we expect to experience some operating income margin pressure in this segment as we continue to scale operations to address multi-year growth opportunities. Underground and Infrastructure Segment Guidance 2024 Estimated Range Low Mid High Rev
Slide 12: Positive Multi-Year Outlook
Positive Multi-Year Outlook We believe the transition towards a reduced-carbon economy is gaining momentum and that increased load growth will require significant grid investment, placing Quanta in the early stages of a multi-decade infrastructure build. Our comprehensive capabilities and breadth of
Slide 13: Appendix
Certain information may be provided in this commentary that includes financial measurements that are not required by, or presented in accordance with, generally accepted accounting principles (GAAP). These non-GAAP financial measures should not be considered as alternatives to GAAP financial measure
Slide 14: Non-GAAP Measure Definitions
Equity in (earnings) losses of non-integral unconsolidated affiliates varies from period to period depending on the activity and financial performance of non-integral unconsolidated affiliates, the operations of which are not operationally integral to Quanta; and Gains and losses on sales of investm
Slide 15: Reconciliation of Adjusted Net Income and Adjusted Diluted EPS
Reconciliation of Adjusted Net Income Attributable to Common Stock and Adjusted Diluted Earnings Per Share Attributable to Common Stock ($000s, except per share amounts) 2023 2024 FY 2024 GUIDANCE RANGE 1Q 1Q Low Mid High Reconciliation of adjusted net income attributable to common stock: Net income
Slide 16: Reconciliation of Adjusted EBITDA and Free Cash Flow
Reconciliation of Adjusted EBITDA ($000s) 2023 2024 FY 2024 GUIDANCE RANGE 1Q 1Q Low Mid High Net income attributable to common stock (GAAP as reported) $ 95,046 $ 118,360 $ 867,400 $ 905,100 $ 942,800 Interest expense, net 40,177 33,049 135,000 138,000 141,000 Benefit from (provision for) income ta
Slide 17: Reconciliation of Backlog
Reconciliation of Backlog ($000s) March 31, 2023 June 30, 2023 September 30, 2023 December 31, 2023 March 31, 2024 12 Month Total 12 Month Total 12 Month Total 12 Month Total 12 Month Total Electric Power Infrastructure Solutions Remaining performance $ 2,420,570 $ 3,986,724 $ 2,584,140 $ 4,128,988
Slide 18: Cautionary Statement About Forward-Looking Statements and Information
Cautionary Statement About Forward-Looking Statements and Information This commentary (and oral statements regarding the subject matter of this press release, including those made on the conference call and webcast announced herein) contains forward-looking statements intended to qualify for the “sa