QUANTA SERVICES INC, QUANTA SERVICES MANAGEMENT ...

Company Summary: QUANTA SERVICES INC - Hoovers Company Profiles, 12/5/2012
Overview
Hoover's In-Depth Company Records
Date: December 05, 2012
Quanta Services, Inc.
To quickly quantify Quanta's services: This specialty contractor designs, installs, repairs, and maintains network infrastructure in the US
and Canada. The company serves the electric, natural gas, oil pipeline, renewable energy, and telecommunications industries. Quanta,
which was founded in 1997, also owns fiber optic telecommunications infrastructure. Quanta's other services include outsource
management and other specialty work such as installing traffic and light rail control systems, directional drilling, and constructing wind
and solar power facilities. More than 65% of the company's revenues come from its electric power infrastructure segment. It is exiting
telecommunications infrastructure services.
Quanta typically expands through acquisitions. Most recently the company has been focusing on expanding its capabilities and growing
internationally. In 2011 Quanta acquired Coe Drilling, a horizontal directional drilling company in Australia. Canada also has been a
target for growth for Quanta. In another 2011 deal Quanta bought McGregor Construction, an electric power infrastructure services
company in Canada. Also that year Quanta acquired two other smaller businesses based in British Columbia. Both mainly provided
electric power infrastructure services. The deals enhanced Quanta's previous electric power acquisition of Valard Construction in
Canada. In a retreat from telecommunications infrastructure services business, Quanta has agreed to sell substantially all of its
domestic telecommunications infrastructure services operations to Dycom Industries for $275 million. The sale, which will allow Quanta
to better focus on energy infrastructure, is expected to close by the end of 2012.
Also in 2011 Quanta expanded its electric power infrastructure services in the US when it acquired Utilimap, a provider of geographic
information system utility asset management services.
Several trends in the market place present Quanta with opportunities to grow. Demand for electricity in North America continues to
increase. However, the electric power grid system is aging. Quanta is positioned to make system upgrades and demand for its services
should increase.
Renewable energy such as wind and solar also presents opportunities for Quanta. As demand for those energy sources increases, so
will demand for services such as transmission line installation and project management.
Quanta also sees potential for growth in the natural gas segment. Development of gas shale formations in North America has provided in
an increase in supply of natural gas. More natural gas-fired power plants are expected to be built during the next two decades.
Quanta made an effort to grow in the natural gas sector when it acquired a 39% stake in Howard Midstream Energy Partners in 2011.
The company owns, operates and constructs midstream oil and gas plant and pipeline facilities. The acquisition was made in order to
position Quanta for more opportunities in the development of the Texas Eagle Ford shale region.
Quanta has experienced a steady increase in demand for its services as the economy slowly recovers. As more clients began to
increase spending on infrastructure projects the company's revenues also grew. In 2011 Quanta reported more than $4.6 billion in
revenues (an increase of about 18%). Net income fell in 2011 due to a charge related to a pension plan withdrawal and other tax-related
settlements.
Contact Information
2800 Post Oak Blvd., Ste. 2600
Houston, TX77056-3023
United States
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