Executive Summary

Q2 revenue was $3.545B, up 19.7% YoY and a quarterly record, with adjusted EPS of $1.49 and GAAP EPS of $1.09; revenue and EPS exceeded S&P Global consensus (Rev: $3.402B*, EPS: $1.40*), while adjusted EBITDA of $274.8M was roughly in line with guidance .
Backlog hit a record $16.45B (+23% YoY, +4% QoQ), supported by strong Clean Energy & Infrastructure and Communications awards; book-to-bill was 1.2x in Q2 per management .
FY25 guidance raised across revenue ($13.9–$14.0B), GAAP EPS ($4.61–$4.82), adjusted EPS ($6.23–$6.44), and slightly on the low end for adjusted EBITDA ($1.13–$1.16B); Q3 guide introduced at $3.9B revenue and $2.28 adjusted EPS .
Cash flow was the soft spot: Q2 CFO was $6M and FCF was -$45M (vs $264M and $253M in Q2’24), with management citing working capital tied to strong sequential growth; CFO outlook increased to $700–$750M for FY25, assuming mid-60s DSOs .

Note: Consensus values marked with * are retrieved from S&P Global.

What Went Well and What Went Wrong

What Went Well

Broad-based demand and execution: “We exceeded guidance in revenue… and beat our EPS guidance” with strong growth across non-pipeline segments; backlog grew sequentially to a record .
CE&I margin expansion: Clean Energy & Infrastructure revenue +20.1% YoY with EBITDA nearly doubling and margin +230 bps to 7.4%, aided by renewable project close-outs and improved productivity .
Communications strength and visibility: Revenue +41.6% YoY, backlog to a record $5.0B; management highlighted robust wireline/wireless demand tied to broadband buildouts and data center-driven fiber needs supporting AI workloads .

What Went Wrong

Pipeline margin compression: Pipeline revenue -5.7% YoY and EBITDA margin down 1,210 bps to 11.5%, reflecting MVP completion comp and near-term investment in people/equipment ahead of a multi-year cycle ramp .
Power Delivery inefficiencies: Margin -50 bps YoY to 8.7% amid reduced efficiencies and some weather impacts; management still expects double-digit margins in 2H .
Cash conversion: Q2 CFO of $6M and FCF of -$45M vs unusually strong Q2’24 comps; higher working capital needs from sequential revenue growth and consistent DSOs drove the variance, per CFO .

Financial Results

Multi-period actuals

Metric	Q2 2024	Q1 2025	Q2 2025
Revenue ($USD Billions)	$2.961	$2.848	$3.545
GAAP Net Income ($USD Millions)	$43.8	$12.3	$90.1
GAAP Diluted EPS ($)	$0.43	$0.13	$1.09
Adjusted Net Income ($USD Millions)	$88.4	$42.4	$121.5
Adjusted Diluted EPS ($)	$1.00	$0.51	$1.49
Adjusted EBITDA ($USD Millions)	$271.4	$163.7	$274.8
Adjusted EBITDA Margin (%)	9.2%	5.7%	7.8%
Cash from Operations ($USD Millions)	$264	$78	$6
Free Cash Flow ($USD Millions)	$253	$45	$(45)
18-month Backlog ($USD Millions)	$13,338	$15,880	$16,452

Q2 2025 actual vs S&P Global consensus

Metric	Q2 2025 Actual	Q2 2025 Consensus*	Surprise
Revenue ($USD Billions)	$3.545	$3.402*	+$0.143B (beat)
Adjusted Diluted EPS ($)	$1.49	$1.40*	+$0.09 (beat)
EBITDA ($USD Millions)	$274.8 (Adj EBITDA)	$274.9 (EBITDA)*	In line

Note: Consensus values marked with * are retrieved from S&P Global.

Segment performance (Q2 actuals)

Segment	Revenue ($USD Millions)	EBITDA ($USD Millions)	EBITDA Margin %
Communications (Q2’24 → Q2’25)	$591.1 → $836.9	$53.1 → $82.6	9.0% → 9.9%
Clean Energy & Infrastructure (Q2’24 → Q2’25)	$942.3 → $1,131.4	$47.4 → $83.3	5.0% → 7.4%
Power Delivery (Q2’24 → Q2’25)	$868.4 → $1,045.6	$80.1 → $91.3	9.2% → 8.7%
Pipeline Infrastructure (Q2’24 → Q2’25)	$572.4 → $539.7	$135.1 → $62.1	23.6% → 11.5%

KPIs

Backlog by segment | KPI | Jun 30, 2024 | Mar 31, 2025 | Jun 30, 2025 | |---|---|---|---| | Communications Backlog ($USD Millions) | $4,448 | $4,906 | $5,008 | | CE&I Backlog ($USD Millions) | $3,666 | $4,416 | $4,922 | | Power Delivery Backlog ($USD Millions) | $4,424 | $5,024 | $5,062 | | Pipeline Backlog ($USD Millions) | $800 | $1,534 | $1,460 | | Total 18-Month Backlog ($USD Millions) | $13,338 | $15,880 | $16,452 |
Balance sheet/capital | KPI | Dec 31, 2024 | Jun 30, 2025 | |---|---|---| | Net Debt ($USD Millions) | $1,824.2 | $2,066.4 | | Total Debt ($USD Millions) | $2,224.1 | $2,257.5 | | Cash & Equivalents ($USD Millions) | $399.9 | $191.1 |
Cash conversion | KPI | Q2 2024 | Q2 2025 | |---|---|---| | Cash from Operations ($USD Millions) | $264 | $6 | | Free Cash Flow ($USD Millions) | $253 | $(45) |

Non-GAAP adjustments: Q2’25 adjusted EPS adds back $0.12 SBC and $0.42 amortization (pre-tax total $0.51), with $0.11 tax offset; the same adjustments reconcile to adjusted net income/EBITDA tables in the press release .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue ($B)	FY 2025	$13.65	$13.9–$14.0	Raised
GAAP Net Income ($M)	FY 2025	$366–$397	$388–$408	Raised
Adjusted Net Income ($M)	FY 2025	$493–$524	$515–$535	Raised
Adjusted EBITDA ($B)	FY 2025	$1.12–$1.16	$1.13–$1.16	Raised low end
Adjusted EBITDA Margin (%)	FY 2025	8.2–8.5	8.1–8.3	Narrowed/lower midpoint
GAAP EPS ($)	FY 2025	$4.28–$4.63	$4.61–$4.82	Raised
Adjusted EPS ($)	FY 2025	$5.90–$6.25	$6.23–$6.44	Raised
CFO ($M)	FY 2025	~ $700	$700–$750	Raised
Capex (net cash) ($M)	FY 2025	—	$140	New detail
Revenue ($B)	Q3 2025	—	$3.9	New
GAAP EPS ($)	Q3 2025	—	$1.87	New
Adjusted EBITDA ($M)	Q3 2025	—	$370	New
Adjusted EPS ($)	Q3 2025	—	$2.28	New

Earnings Call Themes & Trends

Topic	Previous Mentions (Q-2 and Q-1)	Current Period (Q2 2025)	Trend
AI/data center fiber demand	Emphasized strong data center-driven fiber demand; data center opportunity spans segments	Continued robust wireline/wireless demand; middle-mile and hyperscaler CapEx driving fiber; optimism on direct/indirect data center work	Strengthening
Tariffs/macro & “One Big Beautiful Bill”	Saw limited 2025 impact; focus on top-tier renewables customers; managing portfolio risk	Legislation leaves renewables credits through 2027; safe harbor path through 2030; 2025 outlook not materially affected	Stable/clarifying
Pipeline cycle & LNG	1Q bookings >$1.1B; pipeline backlog more than doubled QoQ; 2026 could approach 2024 levels	Revenue beat but margin diluted by investments; strong bid pipeline; best margins expected in Q4; bullish 2026+	Improving into 2H/2026
Power Delivery (grid)	Double-digit growth with weather/productivity noise; Greenlink $375–$450M 2025 revenue	~20% YoY growth; margins to improve in 2H; double-digit margins expected in 2H	Improving
Communications mix	Wireline outgrowing wireless; backlog +7% in Q1 to $4.9B	42% YoY growth; backlog record $5.0B; wireline ~60% of mix; multi-year wireless programs ongoing	Strengthening
Cash flow/DSO	CFO guided ~ $700M; DSOs mid-60s	Q2 CFO soft on WC; FY25 CFO raised to $700–$750M; DSOs ~mid-60s assumed	Improving outlook 2H

Management Commentary

“We exceeded guidance in revenue, met our EBITDA expectation, and beat our EPS guidance for the second quarter… we are increasing revenue guidance to a range of $13.9 billion to $14 billion… and EPS guidance to a midpoint of $6.34 per share.” — CEO José R. Mas .
“We now expect revenues to be approximately $2 billion in pipeline this year… investment… is being driven by the incredible demand we are seeing for 2026 and beyond… we expect pipeline segment margins to improve sequentially in the third quarter and achieve its best margin performance in the fourth quarter.” — CEO .
“We are now raising 2025 annual revenue guidance to range between $13.9 and $14 billion… adjusted EPS is forecasted to be $6.23 to $6.44… We expect Q3 revenue of $3.9 billion… adjusted EPS of $2.28.” — CFO Paul DiMarco .
“Backlog… increased 4% from the first quarter and 23% year over year… another record level… led by an 11% increase recorded at CEI.” — CFO .

Q&A Highlights

Pipeline trajectory: 2026 pipeline revenue could approach 2024 levels with structurally high margins; investments in 2025 weigh on near-term margin but set up 2H/2025 improvement and a strong 2026 .
Communications durability: Wireline now ~60% of mix; data center fiber and middle-mile projects broaden opportunities; second-half guidance conservative relative to strong 1H run-rate .
CE&I bookings amidst policy noise: Bookings accelerated in Q2 ($1.6B); customers positioned to safe harbor; 2025 fully covered, building 2026 .
Power Delivery margins: Weather and site-level productivity weighed in 1H; management targeting double-digit margins in both Q3 and Q4 .
Cash flow cadence: Working capital timing from sequential growth suppressed Q2 CFO; FY25 CFO outlook increased to $700–$750M with DSOs in mid-60s .

Estimates Context

Q2 2025 results beat S&P Global consensus: Revenue $3.545B vs $3.402B*, adjusted EPS $1.49 vs $1.40*; adjusted EBITDA broadly in line ($274.8M vs $274.9M*) .
FY25 consensus revenue sits at ~$14.08B*, above the low end of MTZ’s raised guidance ($13.9–$14.0B); FY25 EPS consensus ~ $6.42* aligns with the new guidance range ($6.23–$6.44) .

Note: Values marked with * are retrieved from S&P Global.

Key Takeaways for Investors

Broad beat with record revenue and backlog; raise to FY25 outlook across revenue/EPS signals confidence, driven by secular demand in grid, communications fiber, and CE&I .
The near-term margin headwind in Pipeline is deliberate (capacity build) and management expects sequential improvement in 2H, with Q4 best pipeline margins—setting up an inflection into 2026 .
Communications is a multi-year growth engine (record backlog, strong wireline/wireless), underpinned by AI/data center fiber builds and broadband; execution and cost discipline should lift margins .
CE&I momentum is real (margin +230 bps YoY; strong bookings) and management sees limited 2025 impact from policy changes; safe harbor mechanics bolster visibility .
Cash conversion should improve in 2H as sequential growth moderates WC needs; CFO raised to $700–$750M for FY25; monitor DSO and capex deployment .
Watch Q3 execution vs new guidance ($3.9B revenue; $2.28 adj EPS) and segment margin trajectory (PD to double-digit; Pipeline sequential improvement) as near-term stock catalysts .
Medium-term, a pipeline upcycle (potentially approaching 2024 levels in 2026) plus non-pipeline margin expansion could move consolidated margins toward long-term targets .

MASTEC INC (MTZ)·Q2 2025 Earnings Summary