Quanta Services Surges 7% on Q4 Earnings Beat and Positive Outlook
Energy contractor Quanta Services reported strong fourth-quarter results, driven by increased demand for its power and infrastructure services.
Key Highlights:
* Quarterly adjusted EPS: $2.94, beating analysts' estimates of $2.62
* Quarterly revenue: $6.55 billion, up 13.3% year-over-year, slightly missing estimates of $6.61 billion
* 2025 full-year revenue guidance: $26.60 - $27.10 billion, in line with analysts' estimates of $26.77 billion
* 2025 full-year adjusted EPS guidance: $9.90 - $10.50 per share, slightly below analysts' estimates of $10.22 per share
Drivers of Growth:
* Increased demand for power grid restoration and related services due to extreme weather conditions
* Robust U.S. power market driven by clean energy transitions and data center expansion
Challenges:
* Weather, regulatory, and supply chain challenges could impact future project execution and financial results
Analyst Outlook:
Analysts remain bullish on Quanta Services, citing its strong demand environment and positive guidance. However, they note that supply chain and cost pressures could pose potential risks to profitability.