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MasTec, Inc. MTZ reported results for the third quarter of 2025, with earnings and revenues beating the Zacks Consensus Estimate. Both the top and bottom lines increased on a year-over-year basis.
MasTec delivered a solid third-quarter performance, supported by strong activity across communications, clean energy and power delivery markets. Higher wireless and fiber deployments, steady renewable and industrial project momentum and ongoing grid modernization work all boosted results. Better execution also aided margins, while a record backlog highlighted persistent demand tied to energy transition and infrastructure investment, helping MasTec beat expectations on both revenues and earnings.
However, MasTec’s solid quarterly results came with some challenges. Pipeline Infrastructure margins weakened due to lower efficiencies and an unfavorable project mix. Free cash flow dropped sharply as large project ramp-ups required more working capital.
Despite the impressive year-over-year growth, shares of MasTec declined 2.3% in the after-hours trading session yesterday following the earnings release.
In the third quarter, the company reported adjusted earnings per share (EPS) of $2.48, beating the Zacks Consensus Estimate of $2.31 by 7.4% and increasing 48% year over year.
MasTec, Inc. price-consensus-eps-surprise-chart | MasTec, Inc. Quote
Revenues of $3.97 billion topped the consensus mark of $3.89 billion by 1.6%. The top line jumped 22% from a year ago, driven by double-digit growth across all segments.
As of Sept. 30, 2025, MTZ had an 18-month backlog of $16.78 billion, up 21.1% year over year and 2% sequentially. This upside was fueled by increases across all four segments, most significantly by Pipeline Infrastructure, which more than doubled its backlog since the end of last year.
Revenues from Communications rose 32.9% to $914.6 million from a year ago, fueled by increased activity in wireless and wireline projects. However, it was partially offset by a decline in install-to-the-home project activity. Adjusted EBITDA margin expanded 40 basis points (bps) to 11.3%, supported by greater operational efficiencies in both the wireless and wireline segments.
Clean Energy and Infrastructure’s revenues increased 19.8% year over year to $1.36 billion, largely driven by higher project volumes and a favorable mix, particularly within renewables initiatives. Adjusted EBITDA margin was 8.5%, up 100 bps from the year-ago quarter, reflecting gains from a favorable project mix, enhanced productivity and efficiency and the positive effects of industrial project close-outs.
Revenues from the Power Delivery (formerly known as Electrical Transmission) segment increased to $1.11 billion from the year-ago figure of $950.6 million, driven by increased project volumes. Adjusted EBITDA margin expanded 30 bps to 9.4%, mainly driven by improved efficiencies, which was partially offset by a reduction in emergency restoration services.
The Pipeline Infrastructure (formerly known as Oil and Gas) segment’s revenues totaled $597.8 million, up 20.1% from the year-ago quarter. Adjusted EBITDA margin was 15.4%, down 530 bps year over year, mainly due to reduced efficiencies, as well as the effects of an unfavourable project mix.
MasTec reported an adjusted EBITDA of $373 million, up 20.3% from the prior-year period. Adjusted EBITDA margin decreased 13 bps to 9.4% from the year-ago quarter.
As of Sept. 30, 2025, MasTec had cash and cash equivalents of $231.4 million, down from $399.9 million at 2024-end. Long-term debt (including finance leases) was $2.199 billion, slightly up from $2.038 billion at 2024-end.
Free cash flow was $36 million in the quarter, down 85.7% from a year ago. The metric was $35.6 million during the first nine months of 2025, down significantly from $598.4 million a year ago.
In the first nine months of 2025, the company provided $173 million in cash from operating activities, down from $649.9 million a year ago.
The company expects to generate revenues of approximately $14.07 billion (earlier $13.9-14 billion), up from $12.30 billion in 2024.
Adjusted EBITDA is expected to be $1.14 billion (earlier in the range of $1.13-$1.16 billion), with an adjusted EBITDA margin at 8.1% (compared with the prior expectation of 8.1-8.3 %).
Adjusted earnings are anticipated to be $6.40 per share (compared with $6.23 and $6.44 per share expected earlier). The Zacks Consensus Estimate for 2025 earnings is currently pegged at $6.32 per share. In 2024, MasTec reported adjusted EPS of $3.95.
MasTec currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here
Quanta Services Inc. PWR reported solid results for the third quarter of 2025, wherein adjusted earnings and revenues beat the Zacks Consensus Estimate. Both the top and bottom lines grew year over year.
Quanta expects revenues between $27.8 billion and $28.2 billion (up from $27.4 billion and $27.9 billion), and adjusted EPS in the range of $10.33 to $10.83 (compared with the prior estimate of $10.28 to $10.88). Adjusted EBITDA is forecasted to range from $2.77 billion to $2.88 billion (compared with the prior estimate of $2.76 billion to $2.89 billion).
Builders FirstSource, Inc. BLDR delivered better-than-expected third-quarter 2025 results, beating the Zacks Consensus Estimates on both earnings and revenues even as a weak housing backdrop pressured year-over-year comparisons.
Builders FirstSource continues to be supported by its increasing value-added product mix (now 47.1% of sales), ongoing digital and operational efficiency initiatives and strategic acquisitions that expand geographic reach and higher-margin offerings. Strong free cash flow provides flexibility to keep investing while returning capital to its shareholders.
United Rentals, Inc.’s URI third-quarter 2025 EPS missed the Zacks Consensus Estimate and revenues beat the same. On a year-over-year basis, the top line increased, but the bottom line declined.
United Rentals reported record third-quarter revenues and adjusted EBITDA, driven by strong demand across construction and industrial end markets. Growth in both general rentals and specialty segments supported the results. Customer optimism, healthy backlogs and seasonal activity contributed to the overall strength. For 2025, United Rentals expects total revenues to be in the range of $16-$16.2 billion compared with $15.8-$16.1 billion expected earlier.
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This article originally published on Zacks Investment Research (zacks.com).
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