Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 02, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-08106 | |
Entity Registrant Name | MasTec, Inc. | |
Entity Incorporation, State or Country Code | FL | |
Entity Tax Identification Number | 65-0829355 | |
Entity Address, Address Line One | 800 S. Douglas Road, 12th Floor | |
Entity Address, City or Town | Coral Gables, | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33134 | |
City Area Code | 305 | |
Local Phone Number | 599-1800 | |
Title of 12(b) Security | Common Stock, $0.10 Par Value | |
Trading Symbol | MTZ | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 74,314,887 | |
Entity Central Index Key | 0000015615 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Income Statement [Abstract] | ||||
Revenue | $ 1,962,658 | $ 1,569,297 | $ 3,738,082 | $ 2,985,901 |
Costs of revenue, excluding depreciation and amortization | 1,675,232 | 1,341,825 | 3,189,091 | 2,568,122 |
Depreciation | 87,501 | 57,687 | 166,766 | 110,776 |
Amortization of intangible assets | 19,923 | 9,793 | 31,170 | 17,184 |
General and administrative expenses | 84,960 | 84,959 | 158,068 | 170,473 |
Interest expense, net | 13,829 | 14,808 | 26,288 | 31,812 |
Equity in earnings of unconsolidated affiliates, net | (7,525) | (6,813) | (14,871) | (14,647) |
Other income, net | (14,089) | (10,527) | (16,686) | (11,869) |
Income before income taxes | 102,827 | 77,565 | 198,256 | 114,050 |
Provision for income taxes | (27,062) | (20,738) | (56,379) | (21,161) |
Net income | 75,765 | 56,827 | 141,877 | 92,889 |
Net income (loss) attributable to non-controlling interests | 314 | (178) | 777 | (346) |
Net income attributable to MasTec, Inc. | $ 75,451 | $ 57,005 | $ 141,100 | $ 93,235 |
Earnings per share (Note 2): | ||||
Basic earnings per share (in dollars per share) | $ 1.04 | $ 0.79 | $ 1.95 | $ 1.27 |
Basic weighted average common shares outstanding (in shares) | 72,501 | 72,045 | 72,470 | 73,392 |
Diluted earnings per share (in dollars per share) | $ 1.02 | $ 0.78 | $ 1.91 | $ 1.26 |
Diluted weighted average common shares outstanding (in shares) | 73,976 | 72,777 | 73,913 | 74,135 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 75,765 | $ 56,827 | $ 141,877 | $ 92,889 |
Other comprehensive (loss) income: | ||||
Foreign currency translation gains (losses), net of tax | 843 | (840) | 1,214 | (1,137) |
Unrealized (losses) gains on investment activity, net of tax | (3,465) | (1,325) | 10,374 | (24,286) |
Comprehensive income | 73,143 | 54,662 | 153,465 | 67,466 |
Comprehensive income (loss) attributable to non-controlling interests | 314 | (178) | 777 | (346) |
Comprehensive income attributable to MasTec, Inc. | $ 72,829 | $ 54,840 | $ 152,688 | $ 67,812 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 237,271 | $ 423,118 |
Accounts receivable, net of allowance | 865,235 | 784,488 |
Contract assets | 1,103,726 | 969,743 |
Inventories, net | 87,355 | 89,645 |
Prepaid expenses | 69,887 | 60,631 |
Other current assets | 44,815 | 31,390 |
Total current assets | 2,408,289 | 2,359,015 |
Property and equipment, net | 1,101,234 | 982,328 |
Operating lease assets | 215,554 | 176,573 |
Goodwill, net | 1,331,699 | 1,243,034 |
Other intangible assets, net | 521,033 | 184,043 |
Other long-term assets | 323,819 | 282,856 |
Total assets | 5,901,628 | 5,227,849 |
Current liabilities: | ||
Current portion of long-term debt, including finance leases | 163,116 | 145,110 |
Current portion of operating lease liabilities | 85,573 | 72,481 |
Accounts payable | 629,910 | 571,269 |
Accrued salaries and wages | 210,561 | 135,316 |
Other accrued expenses | 207,571 | 187,647 |
Contract liabilities | 238,853 | 228,388 |
Other current liabilities | 103,407 | 74,988 |
Total current liabilities | 1,638,991 | 1,415,199 |
Long-term debt, including finance leases | 1,420,460 | 1,157,632 |
Long-term operating lease liabilities | 142,777 | 116,506 |
Deferred income taxes | 323,950 | 302,938 |
Other long-term liabilities | 214,081 | 230,049 |
Total liabilities | 3,740,259 | 3,222,324 |
Commitments and contingencies (Note 14) | ||
Equity | ||
Preferred stock, $1.00 par value: authorized shares - 5,000,000; issued and outstanding shares – none | 0 | 0 |
Common stock, $0.10 par value: authorized shares - 145,000,000; issued shares - 93,256,202 and 93,107,440 (including 1,869,208 and 1,843,041 of unvested stock awards) as of June 30, 2021 and December 31, 2020, respectively | 9,326 | 9,311 |
Capital surplus | 841,190 | 837,453 |
Retained earnings | 1,974,657 | 1,833,557 |
Accumulated other comprehensive loss | (79,856) | (91,444) |
Treasury stock, at cost: 18,941,926 shares as of both June 30, 2021 and December 31, 2020, respectively | (586,955) | (586,955) |
Total MasTec, Inc. shareholders’ equity | 2,158,362 | 2,001,922 |
Non-controlling interests | 3,007 | 3,603 |
Total equity | 2,161,369 | 2,005,525 |
Total liabilities and equity | $ 5,901,628 | $ 5,227,849 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2021 | Dec. 31, 2020 |
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized (in shares) | 145,000,000 | 145,000,000 |
Common stock, shares issued (in shares) | 93,256,202 | 93,107,440 |
Treasury stock, shares (in shares) | 18,941,926 | 18,941,926 |
Common Stock | ||
Common stock, shares issued (in shares) | 93,256,202 | 93,107,440 |
Restricted Stock Awards | Common Stock | ||
Unvested stock awards (in shares) | 1,869,208 | 1,843,041 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Common Stock | Treasury Stock | Capital Surplus | Retained Earnings | Accumulated Other Comprehensive Loss | Total MasTec, Inc. Shareholders’ Equity | Non-Controlling Interests |
Beginning balance, common shares outstanding (in shares) at Dec. 31, 2019 | 91,909,430 | |||||||
Beginning balance at Dec. 31, 2019 | $ 1,791,691 | $ 9,191 | $ (466,727) | $ 809,753 | $ 1,510,709 | $ (75,706) | $ 1,787,220 | $ 4,471 |
Beginning balance, treasury shares (in shares) at Dec. 31, 2019 | (15,344,917) | |||||||
Condensed Unaudited Consolidated Statements of Equity | ||||||||
Net income (loss) | 92,889 | 93,235 | 93,235 | (346) | ||||
Other comprehensive income (loss) | (25,423) | (25,423) | (25,423) | |||||
Non-cash stock-based compensation | 9,899 | 9,899 | 9,899 | |||||
Issuance (forfeiture) of restricted shares, net (in shares) | 693,355 | |||||||
Issuance of restricted shares, net | 0 | $ 69 | (69) | |||||
Other stock issuances (shares withheld for taxes), net (in shares) | 62,312 | |||||||
Other stock issuances, net of shares withheld for taxes | $ 2,008 | $ 7 | 2,001 | 2,008 | ||||
Acquisition of treasury stock, at cost (in shares) | (3,600,000) | (3,597,009) | ||||||
Acquisition of treasury stock, at cost | $ (120,228) | $ (120,228) | (120,228) | |||||
Ending balance, common shares outstanding (in shares) at Jun. 30, 2020 | 92,665,097 | |||||||
Ending balance at Jun. 30, 2020 | 1,750,836 | $ 9,267 | $ (586,955) | 821,584 | 1,603,944 | (101,129) | 1,746,711 | 4,125 |
Ending balance, treasury shares (in shares) at Jun. 30, 2020 | (18,941,926) | |||||||
Beginning balance, common shares outstanding (in shares) at Mar. 31, 2020 | 92,618,032 | |||||||
Beginning balance at Mar. 31, 2020 | 1,689,813 | $ 9,262 | $ (586,153) | 814,425 | 1,546,939 | (98,963) | 1,685,510 | 4,303 |
Beginning balance, treasury shares (in shares) at Mar. 31, 2020 | (18,914,841) | |||||||
Condensed Unaudited Consolidated Statements of Equity | ||||||||
Net income (loss) | 56,827 | 57,005 | 57,005 | (178) | ||||
Other comprehensive income (loss) | (2,166) | (2,166) | (2,166) | |||||
Non-cash stock-based compensation | 5,850 | 5,850 | 5,850 | |||||
Issuance (forfeiture) of restricted shares, net (in shares) | (1,424) | |||||||
Other stock issuances (shares withheld for taxes), net (in shares) | 48,489 | |||||||
Other stock issuances, net of shares withheld for taxes | 1,314 | $ 5 | 1,309 | 1,314 | ||||
Acquisition of treasury stock, at cost (in shares) | (27,085) | |||||||
Acquisition of treasury stock, at cost | (802) | $ (802) | (802) | |||||
Ending balance, common shares outstanding (in shares) at Jun. 30, 2020 | 92,665,097 | |||||||
Ending balance at Jun. 30, 2020 | $ 1,750,836 | $ 9,267 | $ (586,955) | 821,584 | 1,603,944 | (101,129) | 1,746,711 | 4,125 |
Ending balance, treasury shares (in shares) at Jun. 30, 2020 | (18,941,926) | |||||||
Beginning balance, common shares outstanding (in shares) at Dec. 31, 2020 | 93,107,440 | 93,107,440 | ||||||
Beginning balance at Dec. 31, 2020 | $ 2,005,525 | $ 9,311 | $ (586,955) | 837,453 | 1,833,557 | (91,444) | 2,001,922 | 3,603 |
Beginning balance, treasury shares (in shares) at Dec. 31, 2020 | (18,941,926) | (18,941,926) | ||||||
Condensed Unaudited Consolidated Statements of Equity | ||||||||
Net income (loss) | $ 141,877 | 141,100 | 141,100 | 777 | ||||
Other comprehensive income (loss) | 11,588 | 11,588 | 11,588 | |||||
Non-cash stock-based compensation | 11,600 | 11,600 | 11,600 | |||||
Issuance (forfeiture) of restricted shares, net (in shares) | 141,195 | |||||||
Issuance of restricted shares, net | 0 | $ 14 | (14) | |||||
Other stock issuances (shares withheld for taxes), net (in shares) | 7,567 | |||||||
Other stock issuances, net of shares withheld for taxes | (2,419) | $ 1 | (2,420) | (2,419) | ||||
Purchase of non-controlling interests | $ (6,802) | (5,429) | (5,429) | (1,373) | ||||
Acquisition of treasury stock, at cost (in shares) | 0 | |||||||
Ending balance, common shares outstanding (in shares) at Jun. 30, 2021 | 93,256,202 | 93,256,202 | ||||||
Ending balance at Jun. 30, 2021 | $ 2,161,369 | $ 9,326 | $ (586,955) | 841,190 | 1,974,657 | (79,856) | 2,158,362 | 3,007 |
Ending balance, treasury shares (in shares) at Jun. 30, 2021 | (18,941,926) | (18,941,926) | ||||||
Beginning balance, common shares outstanding (in shares) at Mar. 31, 2021 | 93,253,268 | |||||||
Beginning balance at Mar. 31, 2021 | $ 2,088,975 | $ 9,325 | $ (586,955) | 840,567 | 1,899,206 | (77,234) | 2,084,909 | 4,066 |
Beginning balance, treasury shares (in shares) at Mar. 31, 2021 | (18,941,926) | |||||||
Condensed Unaudited Consolidated Statements of Equity | ||||||||
Net income (loss) | 75,765 | 75,451 | 75,451 | 314 | ||||
Other comprehensive income (loss) | (2,622) | (2,622) | (2,622) | |||||
Non-cash stock-based compensation | 6,072 | 6,072 | 6,072 | |||||
Issuance (forfeiture) of restricted shares, net (in shares) | 3,114 | |||||||
Other stock issuances (shares withheld for taxes), net (in shares) | (180) | |||||||
Other stock issuances, net of shares withheld for taxes | (19) | $ 1 | (20) | (19) | ||||
Purchase of non-controlling interests | $ (6,802) | (5,429) | (5,429) | (1,373) | ||||
Acquisition of treasury stock, at cost (in shares) | 0 | |||||||
Ending balance, common shares outstanding (in shares) at Jun. 30, 2021 | 93,256,202 | 93,256,202 | ||||||
Ending balance at Jun. 30, 2021 | $ 2,161,369 | $ 9,326 | $ (586,955) | $ 841,190 | $ 1,974,657 | $ (79,856) | $ 2,158,362 | $ 3,007 |
Ending balance, treasury shares (in shares) at Jun. 30, 2021 | (18,941,926) | (18,941,926) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Cash flows from operating activities: | ||||||
Net income | $ 75,765 | $ 56,827 | $ 141,877 | $ 92,889 | ||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
Depreciation | 87,501 | 57,687 | 166,766 | 110,776 | ||
Amortization of intangible assets | 19,923 | 9,793 | 31,170 | 17,184 | ||
Non-cash interest expense, net | 1,563 | 1,451 | ||||
Non-cash stock-based compensation expense | 11,600 | 9,899 | ||||
Benefit from deferred income taxes | (1,594) | (20,575) | ||||
Equity in earnings of unconsolidated affiliates | (7,525) | (6,813) | (14,871) | (14,647) | ||
Gains on sales of assets, net | (5,975) | (8,334) | ||||
Other non-cash items, net | (7,836) | 12,297 | ||||
Changes in assets and liabilities, net of acquisitions: | ||||||
Accounts receivable | 32,710 | (60,246) | ||||
Contract assets | (46,148) | 64,321 | ||||
Inventories | 5,167 | (4,629) | ||||
Other assets, current and long-term portion | (2,604) | 31,234 | ||||
Accounts payable and accrued expenses | 60,452 | 164,297 | ||||
Contract liabilities | (16,020) | 130,784 | ||||
Other liabilities, current and long-term portion | (6,915) | (59,481) | ||||
Net cash provided by operating activities | 349,342 | 467,220 | ||||
Cash flows from investing activities: | ||||||
Cash paid for acquisitions, net of cash acquired | (589,055) | (10,493) | ||||
Capital expenditures | (97,029) | (132,755) | ||||
Proceeds from sale of property and equipment | 12,960 | 17,861 | ||||
Payments for other investments | (6,197) | (16,777) | ||||
Proceeds from other investments | 557 | 648 | ||||
Other investing activities, net | 2,650 | 4,843 | ||||
Net cash used in investing activities | (676,114) | (136,673) | ||||
Cash flows from financing activities: | ||||||
Proceeds from credit facilities | 414,741 | 1,235,935 | ||||
Repayments of credit facilities | (161,375) | (1,401,899) | ||||
Payments of finance lease obligations | (76,630) | (61,587) | ||||
Payments of acquisition-related contingent consideration | (20,893) | (10,097) | ||||
Payments to non-controlling interests, including acquisition of interests and distributions | $ 6,800 | (8,888) | 0 | |||
Payments for stock-based awards | (3,774) | (593) | ||||
Proceeds from stock-based awards | 0 | 3,936 | ||||
Repurchases of common stock | 0 | (120,228) | ||||
Other financing activities, net | (2,343) | (17) | ||||
Net cash provided by (used in) financing activities | 140,838 | (354,550) | ||||
Effect of currency translation on cash | 87 | 1,214 | ||||
Net decrease in cash and cash equivalents | (185,847) | (22,789) | ||||
Cash and cash equivalents - beginning of period | 423,118 | 71,427 | $ 71,427 | |||
Cash and cash equivalents - end of period | $ 237,271 | $ 237,271 | $ 48,638 | 237,271 | 48,638 | $ 423,118 |
Supplemental cash flow information: | ||||||
Interest paid | 28,401 | 33,046 | ||||
Income tax payments, net of refunds | 61,180 | 1,469 | ||||
Supplemental disclosure of non-cash information: | ||||||
Additions to property and equipment from finance leases | $ 98,984 | $ 44,987 |
Business, Basis of Presentation
Business, Basis of Presentation and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Business, Basis of Presentation and Significant Accounting Policies | Business, Basis of Presentation and Significant Accounting Policies Nature of the Business MasTec, Inc. (collectively with its subsidiaries, “MasTec” or the “Company”) is a leading infrastructure construction company operating mainly throughout North America across a range of industries. The Company’s primary activities include the engineering, building, installation, maintenance and upgrade of communications, energy, utility and other infrastructure, such as: wireless, wireline/fiber and customer fulfillment activities; power generation, primarily from clean energy and renewable sources; pipeline infrastructure; electrical utility transmission and distribution; heavy civil; and industrial infrastructure. MasTec’s customers are primarily in these industries. MasTec reports its results under five reportable segments: (1) Communications; (2) Clean Energy and Infrastructure; (3) Oil and Gas; (4) Electrical Transmission; and (5) Other. See Note 13 - Segments and Related Information. Basis of Presentation The accompanying consolidated financial statements are unaudited and have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and with the instructions for Form 10-Q and Rule 10-01 of Regulation S-X. Pursuant to these rules and regulations, certain information and footnote disclosures normally included in the annual audited consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The accompanying consolidated balance sheet as of December 31, 2020 is derived from the Company’s audited financial statements as of that date. Because certain information and footnote disclosures have been condensed or omitted, these consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto as of and for the year ended December 31, 2020 contained in the Company’s 2020 Annual Report on Form 10-K (the “2020 Form 10-K”). In management’s opinion, all normal and recurring adjustments considered necessary for a fair presentation of the financial position, results of operations and cash flows for the periods presented have been included. When necessary, certain prior year amounts have been reclassified to conform to the current period presentation. Interim period operating results do not necessarily indicate the results that may be expected for any other interim period or for the full fiscal year. The Company believes that the disclosures made in these consolidated financial statements are adequate to make the information not misleading. Principles of Consolidation The accompanying consolidated financial statements include MasTec, Inc. and its subsidiaries and include the accounts of all majority owned subsidiaries over which the Company exercises control and, when applicable, entities in which the Company has a controlling financial interest. All significant intercompany balances and transactions have been eliminated in consolidation. Other parties’ interests in entities that MasTec consolidates are reported as non-controlling interests within equity, except for mandatorily redeemable non-controlling interests, which are recorded within other liabilities. Net income or loss attributable to non-controlling interests is reported as a separate line item below net income or loss. The Company applies the equity method of accounting for its investments in entities for which it does not have a controlling financial interest, but over which it has the ability to exert significant influence. See Note 4 - Fair Value of Financial Instruments. For equity investees in which the Company has an undivided interest in the assets, liabilities and profits or losses of an unincorporated entity, but does not exercise control over the entity, the Company consolidates its proportional interest in the accounts of the entity. Translation of Foreign Currencies The assets and liabilities of foreign subsidiaries with a functional currency other than the U.S. dollar are translated into U.S. dollars at period-end exchange rates, with resulting translation gains or losses included within other comprehensive income or loss. Revenue and expenses are translated into U.S. dollars at average rates of exchange during the applicable period. Substantially all of the Company’s foreign operations use their local currency as their functional currency. For foreign operations for which the local currency is not the functional currency, the operation’s non-monetary assets are remeasured into U.S. dollars at historical exchange rates. All other accounts are remeasured at current exchange rates. Gains or losses from remeasurement are included in other income or expense, net. Currency gains or losses resulting from transactions executed in currencies other than the functional currency are included in other income or expense, net. In these consolidated financial statements, “$” means U.S. dollars unless otherwise noted. Management Estimates The preparation of consolidated financial statements in accordance with U.S. GAAP requires the use of estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. These estimates are based on historical experience and various other assumptions that management believes to be reasonable under the circumstances, including the potential future effects of the COVID-19 pandemic, climate change, and other global and/or macroeconomic trends and events. These estimates form the basis for making judgments about the Company’s operating results and the carrying values of assets and liabilities that are not readily apparent from other sources. While management believes that such estimates are reasonable when considered in conjunction with the Company’s consolidated financial position and results of operations taken as a whole, actual results could differ materially from these estimates. Key estimates include: the recognition of revenue and project profit or loss, which the Company defines as project revenue, less project costs of revenue, including project-related depreciation, in particular, on construction contracts accounted for under the cost-to-cost method, for which the recorded amounts require estimates of costs to complete and the amount and probability of variable consideration included in the contract transaction price; fair value estimates, including those related to acquisitions, valuations of goodwill and intangible assets, acquisition-related contingent consideration and other liabilities, equity investments and other long-lived assets; allowances for credit losses; asset lives used in computing depreciation and amortization; fair values of financial instruments; self-insurance liabilities; other accruals and allowances; income taxes; and the estimated effects of litigation and other contingencies. COVID-19 Pandemic The novel coronavirus (“COVID-19”) pandemic disrupted business activities and significantly affected global economic conditions at the beginning of 2020 and continuing into 2021 as federal, state and local governments imposed restrictions and mitigation measures to contain COVID-19 or slow its spread, resulting in workforce, supply chain and production disruptions and creating significant uncertainties in the U.S. and global economies. While the adverse effects of these restrictions and mitigation measures partially subsided in the United States beginning in the second half of 2020, the COVID-19 pandemic varies by region and the possibility of future restrictions remains, particularly as a new Delta variant of COVID-19 appears to be causing an increase in COVID-19 cases. As a provider of essential services, all of the Company’s business segments continued to operate throughout the pandemic, and, where safe and possible, the Company was generally directed by its customers to maintain normal work schedules. The Company’s business model has, thus far, proven resilient, and management continues to adapt to the changing operational and economic environment that has resulted from the COVID-19 pandemic. Management’s top priority has been to take appropriate actions to protect the health and safety of its employees, customers and business partners. The Company has adjusted its standard operating procedures within its business operations to ensure employee and customer safety and is continually monitoring evolving health guidelines and responding to changes as appropriate. The COVID-19 pandemic has had a negative impact on the Company’s operations since 2020 and may continue to affect its business activities throughout 2021. These impacts include lost productivity from governmental permitting approval delays, reduced crew productivity due to social distancing and other mitigation measures, the health and availability of work crews or other key personnel, including subcontractors or supply chain disruptions, and/or delayed project start dates, project shutdowns or cancellations that may be mandated or requested by governmental authorities or others, all of which could result in lower revenue or higher operating costs and/or create lower levels of overhead cost absorption. Several relief measures have been enacted in response to the effects of the COVID-19 pandemic, including the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) and the Coronavirus Response and Relief Supplemental Appropriations Act (the “Coronavirus Relief Act”). The CARES Act permitted deferral and/or reduction of certain federal and payroll tax amounts, certain of which the Company pursued, including the deferral of approximately $59 million of payroll taxes, half of which are due by December 31, 2021, with the remainder due by December 31, 2022. The Company will continue to monitor and evaluate the potential effects, usefulness of, and qualification for, additional COVID-19 relief measures on the Company’s financial position, results of operations and cash flows. Notwithstanding moderation of the COVID-19 pandemic and easing of governmental and other restrictions, the Company may continue to experience negative effects on its business and operations from possible longer-term changes in consumer and customer behavior, and/or from continuing negative economic conditions. The Company believes that it has taken appropriate steps to mitigate the impacts of the COVID-19 pandemic on its business; however, the potential effects of the COVID-19 pandemic are uncertain, as they depend upon numerous evolving factors that management may not be able to accurately predict. The availability, acceptance, administration and effectiveness (and the duration of such effectiveness) of treatments and vaccines, along with the length and extent of any continuing economic and market disruptions are unknown, and, therefore, any future impacts on our business, financial condition and/or results of operations cannot be quantified or predicted with specificity. Significant Accounting Policies Revenue Recognition The Company recognizes revenue from contracts with customers under Accounting Standards Codification (“ASC”) Topic 606 (“Topic 606”). Under Topic 606, revenue is recognized when, or as, control of promised goods and services is transferred to customers, and the amount of revenue recognized reflects the consideration to which an entity expects to be entitled in exchange for the goods and services transferred. Revenue is primarily recognized by the Company over time utilizing the cost-to-cost measure of progress, which best depicts the continuous transfer of control of goods or services to the customer, and correspondingly, when performance obligations are satisfied for the related contracts. Contracts. The Company derives revenue primarily from construction projects performed under: (i) master and other service agreements, which provide a menu of available services in a specific geographic territory that are utilized on an as-needed basis, and are typically priced using either a time and materials or a fixed price per unit basis; and (ii) contracts for specific projects requiring the construction and installation of an entire infrastructure system, or specified units within an infrastructure system, which are subject to multiple pricing options, including fixed price, unit price, time and materials, or cost plus a markup. Revenue derived from projects performed under master service and other service agreements totaled 32% and 36% of consolidated revenue for the three month periods ended June 30, 2021 and 2020, respectively, and totaled 31% and 39% for the six month periods ended June 30, 2021 and 2020, respectively. For certain master service and other service agreements under which the Company performs installation and maintenance services, primarily for install-to-the-home service providers in its Communications segment, revenue is recognized at a point in time. This is generally when the work order has been fulfilled, which is typically the same day the work is initiated. Point in time revenue accounted for approximately 4% of consolidated revenue for both the three and six month periods ended June 30, 2021, and accounted for approximately 5% of consolidated revenue for both the three and six month periods ended June 30, 2020. Substantially all of the Company’s other revenue is recognized over time. The total contract transaction price and cost estimation processes used for recognizing revenue over time under the cost-to-cost method is based on the professional knowledge and experience of the Company’s project managers, engineers and financial professionals. Management reviews estimates of total contract transaction price and total project costs on an ongoing basis. Changes in job performance, job conditions and management’s assessment of expected variable consideration are factors that influence estimates of the total contract transaction price, total costs to complete those contracts and the Company’s profit recognition. Changes in these factors could result in revisions to revenue in the period in which the revisions are determined, which could materially affect the Company’s consolidated results of operations for that period. Provisions for losses on uncompleted contracts are recorded in the period in which such losses are determined. For both the six month periods ended June 30, 2021 and 2020, project profit was affected by less than 5% as a result of changes in contract estimates included in projects that were in process as of December 31, 2020 and 2019. Revenue recognized for the three month periods ended June 30, 2021 and 2020 as a result of changes in total contract transaction price estimates, including from variable consideration, from performance obligations satisfied or partially satisfied in prior periods, totaled approximately $30.5 million and $5.4 million, respectively, and totaled $37.0 million and $15.8 million for the six month periods ended June 30, 2021 and 2020, respectively. The Company may incur certain costs that can be capitalized, such as initial set-up or mobilization costs. Such costs, which are amortized over the life of the respective projects, were $2.7 million and $5.5 million as of June 30, 2021 and December 31, 2020. Performance Obligations. A performance obligation is a contractual promise to transfer a distinct good or service to a customer and is the unit of account under Topic 606. The transaction price of a contract is allocated to each distinct performance obligation and recognized as revenue when or as the performance obligation is satisfied. The vast majority of the Company’s performance obligations are completed within one year. Remaining performance obligations represent the amount of unearned transaction prices under contracts for which work is wholly or partially unperformed, including the Company’s share of unearned transaction prices from its proportionately consolidated non-controlled joint ventures. As of June 30, 2021, the amount of the Company’s remaining performance obligations was $5.2 billion. Based on current expectations, the Company anticipates it will recognize approximately $2.9 billion of its remaining performance obligations as revenue during 2021, with the majority of the remaining balance to be recognized in 2022. Variable Consideration. Transaction prices for the Company’s contracts may include variable consideration, which comprises items such as change orders, claims and incentives. Management estimates variable consideration for a performance obligation utilizing estimation methods that it believes best predict the amount of consideration to which the Company will be entitled. Management’s estimates of variable consideration and the determination of whether to include estimated amounts in transaction prices are based largely on engineering studies and legal opinions, past practices with the customer, specific discussions, correspondence or preliminary negotiations with the customer and all other relevant information that is reasonably available at the time of the estimate. To the extent unapproved change orders, claims and other variable consideration reflected in transaction prices are not resolved in the Company’s favor, or to the extent incentives reflected in transaction prices are not earned, there could be reductions in, or reversals of, previously recognized revenue. As of June 30, 2021 and December 31, 2020, the Company included approximately $97 million and $51 million, respectively, of change orders and/or claims in transaction prices for certain contracts that were in the process of being resolved in the ordinary course of business, including through negotiation, arbitration and other proceedings. These transaction price adjustments, when earned, are included within contract assets or accounts receivable, net of allowance, as appropriate. As of both June 30, 2021 and December 31, 2020, these change orders and/or claims related to projects across the Company’s segments. The Company actively engages with its customers to complete the final approval process and generally expects these processes to be completed within one year. Amounts ultimately realized upon final agreement by customers could be higher or lower than such estimated amounts. Recently Issued Accounting Pronouncements The discussion below describes the effects of recent accounting pronouncements, as updated from the discussion in the Company’s 2020 Form 10-K. Accounting Pronouncements Adopted in 2021 In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which eliminates certain exceptions to the existing guidance for income taxes related to the approach for intra-period tax allocations, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. This ASU also simplifies the accounting for income taxes by clarifying and amending existing guidance related to the effects of enacted changes in tax laws or rates in the effective tax rate computation, the recognition of franchise tax and the evaluation of a step-up in the tax basis of goodwill, among other clarifications. ASU 2019-12, which the Company adopted during the first quarter of 2021, did not have a material effect on the Company’s consolidated financial statements. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per ShareBasic earnings per share is computed by dividing net income attributable to MasTec by the weighted average number of common shares outstanding for the period, which excludes non-participating unvested restricted share awards. Diluted earnings per share is computed by dividing net income attributable to MasTec by the weighted average number of fully diluted shares, as calculated under the treasury stock method, which includes the potential effect of dilutive common stock equivalents, such as issued but unvested restricted shares. If the Company reports a loss, rather than income, the computation of diluted loss per share excludes the effect of dilutive common stock equivalents, as their effect would be anti-dilutive. The following table provides details underlying the Company’s earnings per share calculations for the periods indicated (in thousands): For the Three Months Ended June 30, For the Six Months Ended June 30, 2021 2020 2021 2020 Net income attributable to MasTec: Net income - basic and diluted (a) $ 75,451 $ 57,005 $ 141,100 $ 93,235 Weighted average shares outstanding: Weighted average shares outstanding - basic 72,501 72,045 72,470 73,392 Dilutive common stock equivalents (b) 1,475 732 1,443 743 Weighted average shares outstanding - diluted 73,976 72,777 73,913 74,135 (a) Calculated as total net income less amounts attributable to non-controlling interests. (b) For the six month periods ended June 30, 2021 and 2020, anti-dilutive common stock equivalents totaled 2,166 and 88,462, respectively. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The following table provides balances for goodwill by reportable segment as of June 30, 2021 (in millions): Communications Clean Energy and Infrastructure Oil and Gas Electrical Transmission Total Goodwill Goodwill, gross $ 584.7 $ 164.4 $ 513.2 $ 196.4 $ 1,458.7 Accumulated impairment loss — — (127.0) — (127.0) Goodwill, net $ 584.7 $ 164.4 $ 386.2 $ 196.4 $ 1,331.7 For the six month period ended June 30, 2021, goodwill included additions of $88.1 million from new business combinations and a net increase of $0.1 million from measurement period adjustments. Currency translation effects related to goodwill and accumulated impairment losses for the six month period ended June 30, 2021 totaled approximately $3.6 million of gains and $3.2 million of losses, respectively. The following table provides a reconciliation of changes in other intangible assets, net, for the period indicated (in millions): Other Intangible Assets Non-Amortizing Amortizing Trade Names Customer Relationships and Backlog Pre-Qualifications Other (a) Total Other intangible assets, gross, as of December 31, 2020 $ 34.5 $ 297.9 $ 73.8 $ 26.4 $ 432.6 Accumulated amortization (218.5) (10.6) (19.5) (248.6) Other intangible assets, net, as of December 31, 2020 $ 34.5 $ 79.4 $ 63.2 $ 6.9 $ 184.0 Additions from new business combinations — 311.8 — 55.4 367.2 Currency translation adjustments — — 1.0 — 1.0 Amortization expense (23.4) (5.4) (2.4) (31.2) Other intangible assets, net, as of June 30, 2021 $ 34.5 $ 367.8 $ 58.8 $ 59.9 $ 521.0 (a) Consists principally of trade names and non-compete agreements. Quarterly Assessment for Indicators of Impairment . During the second quarter of 2021, in conjunction with the Company’s quarterly review for indicators of impairment, management performed a quantitative assessment of the goodwill associated with one reporting unit within its Oil and Gas segment and one reporting unit within its Clean Energy and Infrastructure segment. Based on the results of this assessment, management determined that the estimated fair values of both reporting units substantially exceeded their carrying values. Significant changes in the assumptions or estimates used in management’s assessment, such as a reduction in profitability and/or cash flows, could result in non-cash impairment charges to goodwill and indefinite-lived intangible assets in the future. Recent Acquisitions The Company seeks to grow and diversify its business both organically and through acquisitions and/or strategic arrangements in order to deepen its market presence, broaden its geographic reach and expand its service offerings. 2021 Acquisitions. For the six month period ended June 30, 2021, MasTec completed seven acquisitions, which included all of the equity interests in: (i) a premier specialty utility contractor primarily providing electrical distribution network services under various multi-year master service agreements to some of the nation’s largest utilities, municipalities and cooperatives, which acquisition was effective in May and is included within the Company’s Electrical Transmission segment, and for which acquisition consideration, including estimated earn-out liabilities, totaled approximately $450 million; (ii) a heavy civil infrastructure construction company focusing on transportation projects; and a heavy industrial general contractor with concrete, piping and electrical capabilities, which acquisitions were effective in February and April, respectively, and both of which are included within the Company’s Clean Energy and Infrastructure segment; (iii) a telecommunications and utility technical services company focusing on outside plant telecommunications engineering; a telecommunications and cable services provider; and a utilities infrastructure company, providing power line construction and repair services, all of which acquisitions were effective in May and are included within the Company’s Communications segment; and (iv) a pipeline contractor focusing on integrity and maintenance work related to gas distribution infrastructure, which acquisition was effective in February and is included within the Company’s Oil and Gas segment. These acquisitions were funded with cash on hand and borrowings under the Company’s senior secured credit facility and are subject to customary purchase price adjustments. The following table summarizes the estimated fair values of consideration paid and net assets acquired for the 2021 acquisitions (in millions): Acquisition consideration: 2021 Cash, net of cash acquired $ 589.0 Estimated fair value of contingent consideration 40.1 Total consideration transferred $ 629.1 Identifiable assets acquired and liabilities assumed: Current assets, primarily accounts receivable $ 216.2 Long-term assets, primarily property and equipment and operating lease assets 182.0 Amortizing intangible assets 367.2 Current liabilities, including current portion of operating lease liabilities (147.3) Long-term liabilities, primarily operating lease liabilities and deferred income taxes (77.1) Total identifiable net assets $ 541.0 Goodwill $ 88.1 Total net assets acquired, including goodwill $ 629.1 Amortizing intangible assets related to the 2021 acquisitions are primarily composed of customer relationships an d trade names , which had weighted average lives of approximately 18 years and 17 years, r espectively. The weighted average life of amortizing intangible assets for the 2021 acquisitions in the aggregate was 17 years. The acquired intangible assets included a customer relationship and a trade name intangible asset representing $282 million in the aggregate, having asset lives of approximately 20 years each, based on the acquired entity’s operational history and established relationships with, and the nature of its customers, which are primarily in the utilities industry. Amortizing intangible assets are amortized in a manner consistent with the pattern in which the related benefits are expected to be consumed. The goodwill balances for each of the respective acquisitions, including approximately $46 million for the acquisition in our Electrical Transmission segment, represent the estimated value of each acquired company’s geographic presence in key markets, its assembled workforce and management team’s industry-specific project management expertise, as well as synergies expected to be achieved from the combined operations of each of the acquired companies and MasTec. Approximately $74 million of the goodwill balance related to the 2021 acquisitions is expected to be tax deductible as of June 30, 2021. The contingent consideration included in the table above is composed of earn-out liabilities, which equal a portion of the acquired companies’ earnings before interest, taxes, depreciation and amortization (“EBITDA”) in excess of thresholds agreed upon with the sellers, if applicable. The earn-out arrangements for the 2021 acquisitions range from one to five -year terms, as set forth in the respective purchase agreements, and are valued at approximately $40 million in the aggregate, of which approximately $26 million is included within current liabilities as of June 30, 2021. Earn-outs are generally payable annually and are recorded within other current and other long-term liabilities in the consolidated balance sheets. See Note 4 - Fair Value of Financial Instruments for details pertaining to fair value estimates for the Company’s earn-out arrangements. As of June 30, 2021, the range of remaining potential undiscounted earn-out liabilities for the 2021 acquisitions was estimated to be up to $86 million; however, there is no maximum payment amount. Determination of the estimated fair values of the net assets acquired and the estimated earn-out liabilities for these acquisitions was preliminary as of June 30, 2021; as a result, further adjustments to these estimates may occur. 2020 Acquisitions. During the year ended December 31, 2020, MasTec completed five acquisitions. These acquisitions included the equity interests of two entities. Through a consolidated subsidiary, the Company acquired all of the equity interests in a heavy civil infrastructure construction company that is included within the Company’s Clean Energy and Infrastructure segment. As of the date of acquisition, the Company’s ownership interest in the consolidated subsidiary was 96%, and as of both June 30, 2021 and December 31, 2020, was 91%, with the non-controlling interests owned by members of subsidiary management. The Company also acquired all of the equity interests in a utility service and telecommunications construction contractor that is included within the Company’s Communications segment. Additionally, the Company acquired the assets of three entities in 2020, one that specializes in wireless telecommunications and one that specializes in install-to-the-home services, both of which are included within the Company’s Communications segment, and one that specializes in electrical transmission services that is included within the Company’s Electrical Transmission segment. The aggregate purchase price for these entities was composed of approximately $23.6 million in cash, net of cash acquired, with an additional $3.1 million due through 2023, subject to certain indemnification provisions, and earn-out liabilities with five-year terms valued at approximately $8.3 million . As of June 30, 2021, the range of remaining potential undiscounted earn-out liabilities for the 2020 acquisitions was estimated to be up to $12 million; however, there is no maximum payment amount. Determination of the estimated fair values of net assets acquired and earn-out liabilities for certain of these acquisitions was preliminary as of June 30, 2021; as a result, further adjustments to these estimates may occur. Pro Forma Financial Information and Acquisition Results. For the three month periods ended June 30, 2021 and 2020, unaudited supplemental pro forma revenue totaled approximately $2.0 billion and $1.9 billion, respectively, and unaudited supplemental pro forma net income totaled approximately $81.6 million and $58.6 million, respectively. For the six month periods ended June 30, 2021 and 2020, unaudited supplemental pro forma revenue totaled approximately $4.0 billion and $3.6 billion, respectively, and unaudited supplemental pro forma net income totaled approximately $151.2 million and $95.5 million, respectively. For the three and six month periods ended June 30, 2021, the Company’s consolidated results of operations included acquisition-related revenue of approximately $271.4 million and $358.2 million, respectively, and included acquisition-related net income of approximately $3.5 million and $4.7 million, respectively, based on the Company’s consolidated effective tax rates. For the three and six month periods ended June 30, 2020, the Company’s consolidated results of operations included acquisition-related revenue of approximately $63.5 million and $113.0 million, respectively, and included acquisition-related net income of approximately $0.4 million and acquisition-related net losses of approximately $0.5 million, respectively, based on the Company’s consolidated effective tax rates. These acquisition-related results include amortization of intangible assets and exclude the effects of acquisition costs and interest expense associated with consideration paid for the related acquisitions. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company’s financial instruments include cash and cash equivalents, accounts and notes receivable, cash collateral deposited with insurance carriers, life insurance assets, equity investments, deferred compensation plan assets and liabilities, accounts payable and other current liabilities, acquisition-related contingent consideration, mandatorily redeemable non-controlling interests, convertible debentures and debt obligations. Fair value is the price that would be received to sell an asset or the amount paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The fair value guidance establishes a valuation hierarchy, which requires maximizing the use of observable inputs when measuring fair value. The three levels of inputs that may be used are: (i) Level 1 - quoted market prices in active markets for identical assets or liabilities; (ii) Level 2 - observable market-based inputs or other observable inputs; and (iii) Level 3 - significant unobservable inputs that cannot be corroborated by observable market data, which are generally determined using valuation models incorporating management estimates of market participant assumptions. Acquisition-Related Contingent Consideration and Other Liabilities Acquisition-related contingent consideration and other liabilities is composed of earn-outs, which represent the estimated fair value of future amounts payable for businesses, including for mandatorily redeemable non-controlling interests (together, “Earn-outs”), that are contingent upon the acquired business achieving certain levels of earnings in the future. As of June 30, 2021 and December 31, 2020, the estimated fair value of the Company’s Earn-out liabilities totaled $119.8 million and $135.2 million, respectively, of which $16.8 million and $18.8 million, respectively, related to mandatorily redeemable non-controlling interests. Earn-out liabilities included within other current liabilities totaled approximately $58.9 million and $48.1 million as of June 30, 2021 and December 31, 2020, respectively. The fair values of the Company’s Earn-out liabilities are estimated using income approaches such as discounted cash flows or option pricing models, both of which incorporate significant inputs not observable in the market (Level 3 inputs), including management’s estimates and entity-specific assumptions, and are evaluated on an ongoing basis. Key assumptions include the discount rate, which, as of June 30, 2021, ranged from 12.0% to 23.5%, with a weighted average rate of 13.0% based on the relative fair value of each instrument, and probability-weighted projections of earnings before interest, taxes, depreciation and amortization (“EBITDA”). Significant changes in any of these assumptions could result in significantly higher or lower potential Earn-out liabilities. The ultimate payment amounts for the Company’s Earn-out liabilities will be determined based on the actual results achieved by the acquired businesses. As of June 30, 2021, the range of potential undiscounted Earn-out liabilities was estimated to be between $17 million and $189 million; however, there is no maximum payment amount. Earn-out activity consists primarily of additions from new business combinations; changes in the expected fair value of future payment obligations; and payments. Additions from new business combinations totaled $40.1 million for both the three and six month periods ended June 30, 2021 and totaled $7.2 million for both the three and six month periods ended June 30, 2020. There were no measurement period adjustments in either of the three or six month periods ended June 30, 2021. For the three and six month periods ended June 30, 2021, fair value adjustments totaled net decreases of $8.9 million and $9.3 million, respectively, and related to decreases in the Company’s Oil and Gas and Clean Energy and Infrastructure segments, partially offset by increases in the Company’s Communications segment. For the three month period ended June 30, 2020, fair value adjustments, net, were de minimis, and for the six month period ended June 30, 2020, fair value adjustments, net, and measurement period adjustments totaled increases of $1.7 million and $1.1 million, respectively, and related to businesses in the Company’s Oil and Gas and Communications segments. Earn-out payments totaled $46.2 million for both the three and six month periods ended June 30, 2021, including approximately $2.1 million related to mandatorily redeemable non-controlling interests, and totaled $50.4 million for both the three and six month periods ended June 30, 2020. Earn-out payments, to the extent they relate to estimated liabilities as of the date of acquisition, are classified within financing activities in the consolidated statements of cash flows, whereas Earn-out payments in excess of acquisition date liabilities are classified within operating activities in the consolidated statements of cash flows. The method of determining the amount of excess of acquisition-date liabilities was revised in the fourth quarter of 2020 to more closely align the cash flow presentation for such amounts with the economics of the contingent consideration arrangement. Accordingly, all prior year periods have been updated to conform with the current year presentation. Equity Investments The Company’s equity investments as of June 30, 2021 include: (i) the Company’s 33% equity interests in Trans-Pecos Pipeline, LLC (“TPP”) and Comanche Trail Pipeline, LLC (“CTP,” and together with TPP, the “Waha JVs”); (ii) a 15% equity interest in Cross Country Infrastructure Services, Inc. (“CCI”); (iii) the Company’s 50% equity interests in each of FM Technology Holdings, LLC, FM USA Holdings, LLC and All Communications Solutions Holdings, LLC, collectively “FM Tech”; (iv) the Company’s equity interests in American Virtual Cloud Technologies, Inc., or “AVCT”; (v) the Company’s interests in certain proportionately consolidated non-controlled contractual joint ventures; and (vi) certain other equity investments. Investment Arrangements . From time to time, the Company may participate in selected investment or strategic arrangements, including equity interests in various business entities and participation in contractual joint ventures. Some of these investment or strategic arrangements may involve the extension of loans or other types of financing, including approximately $3 million each of financing receivables and financing commitments as of December 31, 2020, neither of which was outstanding as of June 30, 2021. The Company has determined that certain of its investment arrangements are variable interest entities (“VIEs”). As of June 30, 2021, except for one individually insignificant VIE, the Company does not have the power to direct the primary activities that most significantly impact the economic performance of its VIEs nor is it the primary beneficiary. Accordingly, except for the previously mentioned VIE, the Company’s VIEs are not consolidated. Equity investments, other than those accounted for as equity method investments or those that are proportionately consolidated, are measured at fair value if their fair values are readily determinable. Equity investments that do not have readily determinable fair values are measured at cost, adjusted for changes from observable market transactions, if any, less impairment (“adjusted cost basis”). As of June 30, 2021 and December 31, 2020, the aggregate carrying value of the Company’s equity investments, including equity investments measured on an adjusted cost basis, totaled approximately $248 million and $220 million, respectively. As of June 30, 2021 and December 31, 2020, equity investments measured on an adjusted cost basis, including the Company’s $15 million investment in CCI, totaled approximately $18 million and $17 million, respectively. There were no material changes in the fair values of, or impairments related to, these investments during any of the three or six month periods ended June 30, 2021 or 2020. The Waha JVs. The Waha JVs own and operate certain pipeline infrastructure that transports natural gas to the Mexican border for export. The Company’s investments in the Waha JVs are accounted for as equity method investments. Equity in earnings related to the Company’s proportionate share of income from the Waha JVs, which is included within the Company’s Other segment, totaled approximately $8.6 million and $16.3 million for the three and six month periods ended June 30, 2021, respectively, and totaled $7.6 million and $15.3 million for the three and six month periods ended June 30, 2020, respectively. Distributions of earnings from the Waha JVs are included within operating cash flows. There were no distributions of earnings in either of the three or six month periods ended June 30, 2021, and for the three and six month periods ended June 30, 2020, distributions of earnings totaled $5.2 million and $7.9 million, respectively. Cumulative undistributed earnings from the Waha JVs, which represents cumulative equity in earnings for the Waha JVs less distributions of earnings, totaled $83.6 million as of June 30, 2021. The Company’s net investment in the Waha JVs, which differs from its proportionate share of the net assets of the Waha JVs due primarily to equity method goodwill associated with capitalized investment costs, totaled approximately $201 million and $175 million as of June 30, 2021 and December 31, 2020, respectively. The Waha JVs are party to separate non-recourse financing facilities, each of which are secured by pledges of the equity interests in the respective entities, as well as a first lien security interest over virtually all of their assets. The Waha JVs are also party to certain interest rate swaps (the “Waha JV swaps”), which are accounted for as qualifying cash flow hedges. The Company reflects its proportionate share of any unrealized fair market value gains or losses from fluctuations in interest rates associated with these swaps within other comprehensive income or loss, as appropriate. For the three and six month periods ended June 30, 2021, the Company’s proportionate share of unrecognized unrealized activity on the Waha JV swaps totaled losses of approximately $4.9 million and gains of approximately $12.3 million, respectively, or $3.7 million and $9.4 million, net of tax, respectively. For the three and six month periods ended June 30, 2020, the Company’s proportionate share of unrecognized unrealized activity on the Waha JV swaps totaled losses of approximately $1.7 million and $32.0 million, respectively, or $1.3 million and $24.3 million, net of tax, respectively. Other Investments. The Company has investments in AVCT. These investments include (i) shares of AVCT common stock, which are equity securities, (ii) warrants for the purchase of AVCT common stock, which are derivative financial instruments, and (iii) debentures that are convertible into shares of AVCT common stock, which are available-for-sale securities. As of June 30, 2021 and December 31, 2020, the Company’s ownership interest in AVCT’s common stock, represented by the AVCT shares, totaled approximately 8% and 9%, respectively, and its aggregate ownership interest, assuming the exercise and conversion of all legally exercisable warrants and convertible debt into AVCT common stock, totaled approximately 21% as of both June 30, 2021 and December 31, 2020. José R. Mas, MasTec’s Chief Executive Officer, was a director of AVCT through the end of March 2020. The Company paid an aggregate of approximately $5 million for its investments in AVCT, all of which are included within other long-term assets in the Company’s consolidated financial statements. The Company does not have the ability to exert significant influence over the operating and financial policies of AVCT. As of June 30, 2021 and December 31, 2020, the aggregate fair value of the Company’s investments in AVCT approximated $19 million and $17 million, respectively. For the three month period ended June 30, 2021, the Company recorded unrealized fair value measurement gains, net, on the AVCT securities within other income totaling approximately $1.0 million, primarily related to the AVCT shares, and for the six month period ended June 30, 2021, unrealized fair value measurement losses, net, on the AVCT securities were de minimis. Beginning in the second quarter of 2021, the fair value of the shares was determined based on the market price of identical securities, which is a Level 1 input. Previously, the fair value of the shares was adjusted for certain restrictions on sale, which is a Level 3 input. These restrictions expired in April 2021. Unrealized fair value measurement gains, net, recognized in other income for these securities totaled $3.8 million for both the three and six month periods ended June 30, 2020, respectively. For the three and six month periods ended June 30, 2021, unrealized fair value measurement gains on the AVCT convertible debentures, for which fair value is determined based on Level 3 inputs and recognized within other comprehensive income, totaled approximately $0.3 million and $1.3 million, respectively, or $0.2 million and $1.0 million, net of tax, respectively. During the first quarter of 2021, MasTec committed to fund up to $2.5 million for a 75% equity interest in Confluence Networks, LLC (“Confluence”), an undersea fiber-optic communications systems developer and VIE, of which $0.6 million and $1.0 million were funded during the three and six month periods ended June 30, 2021, respectively. Equity in losses related to the Company’s proportionate share of income from this investment totaled $0.3 million for both the three and six month periods ended June 30, 2021. As of June 30, 2021, MasTec had less than a majority of the members on the board and determined that it did not have a controlling financial interest. The Company has the ability to exert significant influence over the VIE, and, as a result, the Company’s investment in Confluence was accounted for as an equity method investment as of June 30, 2021. The Company has equity interests in certain telecommunications entities that are accounted for as equity method investments, for which the Company had an aggregate investment of $20 million and $19 million, respectively, including $17 million and $16 million, respectively, for FM Tech, as of June 30, 2021 and December 31, 2020. The initial investment in FM Tech provided for an additional $9 million of purchase price upon resolution of certain contingencies, of which $2 million was paid in the first quarter of 2021. As of June 30, 2021, approximately $3 million of contingent payment liabilities were included within other current liabilities. For the three month period ended June 30, 2021, the Company made no equity contributions related to these entities, and for the six month period ended June 30, 2021, made equity contributions of approximately $2 million. The Company made no equity contributions during either of the three or six month periods ended June 30, 2020. Equity in losses, net, related to the Company’s proportionate share of income from these telecommunications entities totaled approximately $1 million for each of the three and six month periods ended June 30, 2021 and 2020. Certain of these entities provide services to MasTec. Expense recognized in connection with services provided by these entities totaled $2.4 million and $3.6 million for the three month periods ended June 30, 2021 and 2020, respectively, and totaled $4.1 million and $6.3 million for the six month periods ended June 30, 2021 and 2020, respectively. As of June 30, 2021 and December 31, 2020, related amounts payable to these entities totaled $0.5 million and $0.2 million, respectively. In addition, the Company has an employee leasing arrangement with one of these entities. Charges to this entity were de minimis for both the three and six month periods ended June 30, 2021, and totaled $0.2 million for both the three and six month periods ended June 30, 2020. As of June 30, 2021 and December 31, 2020, related amounts receivable totaled $0.5 million and $0.4 million, respectively. There were no amounts advanced to these entities for the three month period ended June 30, 2021, and for the six month period ended June 30, 2021, amounts advanced totaled $0.2 million, which amount was outstanding as of June 30, 2021. Senior Notes As of both June 30, 2021 and December 31, 2020, the gross carrying amount of the Company’s 4.50% senior notes due August 15, 2028 (the “4.50% Senior Notes”) totaled $600 million, and their estimated fair value, as determined based on an exit price approach using Level 1 inputs, totaled $627.0 million and $625.5 million, respectively. |
Accounts Receivable, Net of All
Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities | 6 Months Ended |
Jun. 30, 2021 | |
Receivables [Abstract] | |
Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities | Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities The following table provides details of accounts receivable, net of allowance, and contract assets (together, “accounts receivable, net”) as of the dates indicated (in millions): June 30, December 31, Contract billings $ 874.4 $ 805.0 Less allowance (9.2) (20.5) Accounts receivable, net of allowance $ 865.2 $ 784.5 Retainage 271.5 287.7 Unbilled receivables 832.2 682.0 Contract assets $ 1,103.7 $ 969.7 Contract billings represent the amount of performance obligations that have been billed but have not yet been collected. Contract assets consist of unbilled receivables and retainage. Unbilled receivables represent the estimated value of unbilled work for projects with performance obligations recognized over time. Retainage represents a portion of the contract amount that has been billed, but for which the contract allows the customer to retain a portion of the billed amount until final contract settlement (generally, from 5% to 10% of contract billings). The increase in the unbilled receivables balance as of June 30, 2021 was driven by ordinary course project activity associated with the Company’s 2021 acquisitions, as well as increased project activity across multiple segments. For the six month period ended June 30, 2021, provisions for credit losses totaled a recovery of $11.0 million, resulting from the successful collection efforts for previously reserved amounts. For the six month period ended June 30, 2020, provisions for credit losses totaled $12.3 million. Impairment losses on contract assets were not material in either period. Contract liabilities consist primarily of deferred revenue. Under certain contracts, the Company may be entitled to invoice the customer and receive payments in advance of performing the related contract work. In those instances, the Company recognizes a liability for advance billings in excess of revenue recognized, which is referred to as deferred revenue. Contract liabilities also include the amount of any accrued project losses. Contract liabilities, including accrued project losses, totaled approximately $238.9 million and $228.4 million as of June 30, 2021 and December 31, 2020, respectively, of which deferred revenue comprised approximately $217.4 million and $203.0 million, respectively. For the three and six month periods ended June 30, 2021, the Company recognized revenue of approximately $19.3 million and $166.1 million, respectively, related to amounts that were included in deferred revenue as of December 31, 2020, resulting primarily from the advancement of physical progress on the related projects during the related periods. The Company is party to non-recourse financing arrangements in the ordinary course of business, under which certain receivables are settled with the customer’s bank in return for a nominal fee. Discount charges related to these arrangements, which are included within interest expense, net, totaled approximately $0.8 million and $1.4 million for the three month periods ended June 30, 2021 and 2020, respectively, and totaled $1.5 million and $3.2 million for the six month periods ended June 30, 2021 and 2020, respectively. |
Property and Equipment, Net
Property and Equipment, Net | 6 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | Property and Equipment, Net The following table provides details of property and equipment, net, including property and equipment held under finance leases as of the dates indicated (in millions): June 30, December 31, Land $ 11.1 $ 6.0 Buildings and leasehold improvements 49.2 40.5 Machinery and equipment 2,088.8 1,875.5 Office furniture and equipment 232.4 221.6 Construction in progress 28.1 26.1 Total property and equipment $ 2,409.6 $ 2,169.7 Less accumulated depreciation and amortization (1,308.4) (1,187.4) Property and equipment, net $ 1,101.2 $ 982.3 |
Debt
Debt | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Debt | Debt The following table provides details of the carrying values of debt as of the dates indicated (in millions): Description Maturity Date June 30, December 31, Senior secured credit facility: September 19, 2024 Revolving loans $ 292.4 $ 32.7 Term loan 392.5 397.5 4.50% Senior Notes August 15, 2028 600.0 600.0 Finance lease and other obligations 313.1 288.5 Total debt obligations $ 1,598.0 $ 1,318.7 Less unamortized deferred financing costs (14.4) (16.0) Total debt, net of deferred financing costs $ 1,583.6 $ 1,302.7 Current portion of long-term debt 163.1 145.1 Long-term debt $ 1,420.5 $ 1,157.6 Senior Secured Credit Facility The Company’s senior secured credit facility (the “Credit Facility”) has aggregate borrowing commitments totaling approximately $1.75 billion, which amount is composed of $1.35 billion of revolving commitments and a term loan with an original principal amount of $400 million. The term loan is subject to amortization in quarterly principal installments of $2.5 million, which commenced in December 2020. This amount will increase to $5.0 million commencing in December 2021. Quarterly principal installments on the term loan are subject to adjustment, if applicable, for certain prepayments. As of June 30, 2021 and December 31, 2020, outstanding revolving loans, which included $22 million and $33 million, respectively, of borrowings denominated in foreign currencies, accrued interest at weighted average rates of approximately 1.37% and 1.87% per annum, respectively. The term loan accrued interest at rates of 1.35% and 1.40% as of June 30, 2021 and December 31, 2020, respectively. Letters of credit of approximately $97.5 million and $133.6 million were issued as of June 30, 2021 and December 31, 2020, respectively. As of both June 30, 2021 and December 31, 2020, letter of credit fees accrued at 0.375% per annum for performance standby letters of credit and at 1.25% per annum for financial standby letters of credit. Outstanding letters of credit mature at various dates and most have automatic renewal provisions, subject to prior notice of cancellation. As of June 30, 2021 and December 31, 2020, availability for revolving loans totaled $1.0 billion and $1.2 billion, respectively, or up to $552.5 million and $516.4 million, respectively, for new letters of credit. Revolving loan borrowing capacity included $278.0 million and $267.3 million of availability in either Canadian dollars or Mexican pesos as of June 30, 2021 and December 31, 2020, respectively. The unused facility fee as of both June 30, 2021 and December 31, 2020 accrued at 0.20% per annum. The Credit Facility is guaranteed by certain subsidiaries of the Company (the “Guarantor Subsidiaries”) and obligations under the Credit Facility are secured by substantially all of the Company’s and the Guarantor Subsidiaries’ respective assets, subject to certain exceptions. Other Credit Facilities . The Company has other credit facilities that support the working capital requirements of its foreign operations and certain letter of credit issuances. There were no outstanding borrowings under the Company’s other credit facilities as of either June 30, 2021 or December 31, 2020. Additionally, the Company has a separate credit facility, under which it may issue up to $50.0 million of performance standby letters of credit. As of June 30, 2021 and December 31, 2020, letters of credit issued under this facility totaled $26.2 million and $18.2 million, respectively, and accrued fees at 0.40% and 0.50% per annum, respectively. The Company’s other credit facilities are subject to customary provisions and covenants. Debt Guarantees and Covenants The 4.50% Senior Notes are fully and unconditionally guaranteed on a senior unsecured, joint and several basis by the Company’s wholly-owned domestic restricted subsidiaries that guarantee its existing credit facilities, subject to certain exceptions. MasTec was in compliance with the provisions and covenants of its outstanding debt instruments as of both June 30, 2021 and December 31, 2020. Additional Information As of June 30, 2021 and December 31, 2020, accrued interest payable, which is recorded within other accrued expenses in the consolidated balance sheets, totaled $11.7 million and $12.4 million, respectively. For additional information pertaining to the Company’s debt instruments, see Note 7 - Debt in the Company’s 2020 Form 10-K. |
Lease Obligations
Lease Obligations | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Lease Obligations | Lease Obligations In the ordinary course of business, the Company enters into agreements that provide financing for machinery and equipment and for other of its facility, vehicle and equipment needs, including related party leases. As of June 30, 2021, the Company’s leases have remaining lease terms of up to nine years. Lease agreements may contain renewal clauses, which, if elected, generally extend the term of the lease for one Finance Leases The gross amount of assets held under finance leases as of June 30, 2021 and December 31, 2020 totaled $628.8 million and $563.0 million, respectively. Assets held under finance leases, net of accumulated depreciation Operating Leases Operating lease additions for the three and six month periods ended June 30, 2021 totaled $79.7 million and $85.3 million, respectively, which included additions from recent acquisitions. For the six month period ended June 30, 2021, acquisition-related operating lease additions totaled $74.6 million . Operating lease additions for the three and six month periods ended June 30, 2020 totaled $7.5 million and $13.3 million, respectively. For the three month periods ended June 30, 2021 and 2020, rent expense for leases that have terms in excess of one year totaled approximately $28.1 million and $26.8 million, respectively, of which $2.9 million and $2.8 million, respectively, represented variable lease costs. For the six month periods ended June 30, 2021 and 2020, rent expense for such leases totaled approximately $55.5 million and $62.1 million, respectively, of which $5.1 million and $5.7 million, respectively, represented variable lease costs. The Company also incurred rent expense for leases with terms of one year or less totaling approximately $130.8 million and $72.9 million for the three month periods ended June 30, 2021 and 2020, respectively. Rent expense for such leases totaled approximately $240.9 million and $150.4 million for the six month periods ended June 30, 2021 and 2020, respectively. Rent expense for operating leases is generally consistent with the amount of the related payments, which payments are included within operating activities in the consolidated statements of cash flows. Additional Lease Information Future minimum lease commitments as of June 30, 2021 were as follows (in millions): Finance Leases Operating 2021, remaining six months $ 81.9 $ 54.0 2022 127.7 72.6 2023 74.2 42.9 2024 34.1 30.0 2025 7.4 18.6 Thereafter 1.0 24.9 Total minimum lease payments $ 326.3 $ 243.0 Less amounts representing interest (13.6) (14.6) Total lease obligations, net of interest $ 312.7 $ 228.4 Less current portion 145.4 85.6 Long-term portion of lease obligations, net of interest $ 167.3 $ 142.8 |
Lease Obligations | Lease Obligations In the ordinary course of business, the Company enters into agreements that provide financing for machinery and equipment and for other of its facility, vehicle and equipment needs, including related party leases. As of June 30, 2021, the Company’s leases have remaining lease terms of up to nine years. Lease agreements may contain renewal clauses, which, if elected, generally extend the term of the lease for one Finance Leases The gross amount of assets held under finance leases as of June 30, 2021 and December 31, 2020 totaled $628.8 million and $563.0 million, respectively. Assets held under finance leases, net of accumulated depreciation Operating Leases Operating lease additions for the three and six month periods ended June 30, 2021 totaled $79.7 million and $85.3 million, respectively, which included additions from recent acquisitions. For the six month period ended June 30, 2021, acquisition-related operating lease additions totaled $74.6 million . Operating lease additions for the three and six month periods ended June 30, 2020 totaled $7.5 million and $13.3 million, respectively. For the three month periods ended June 30, 2021 and 2020, rent expense for leases that have terms in excess of one year totaled approximately $28.1 million and $26.8 million, respectively, of which $2.9 million and $2.8 million, respectively, represented variable lease costs. For the six month periods ended June 30, 2021 and 2020, rent expense for such leases totaled approximately $55.5 million and $62.1 million, respectively, of which $5.1 million and $5.7 million, respectively, represented variable lease costs. The Company also incurred rent expense for leases with terms of one year or less totaling approximately $130.8 million and $72.9 million for the three month periods ended June 30, 2021 and 2020, respectively. Rent expense for such leases totaled approximately $240.9 million and $150.4 million for the six month periods ended June 30, 2021 and 2020, respectively. Rent expense for operating leases is generally consistent with the amount of the related payments, which payments are included within operating activities in the consolidated statements of cash flows. Additional Lease Information Future minimum lease commitments as of June 30, 2021 were as follows (in millions): Finance Leases Operating 2021, remaining six months $ 81.9 $ 54.0 2022 127.7 72.6 2023 74.2 42.9 2024 34.1 30.0 2025 7.4 18.6 Thereafter 1.0 24.9 Total minimum lease payments $ 326.3 $ 243.0 Less amounts representing interest (13.6) (14.6) Total lease obligations, net of interest $ 312.7 $ 228.4 Less current portion 145.4 85.6 Long-term portion of lease obligations, net of interest $ 167.3 $ 142.8 |
Stock-Based Compensation and Ot
Stock-Based Compensation and Other Employee Benefit Plans | 6 Months Ended |
Jun. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation and Other Employee Benefit Plans | Stock-Based Compensation and Other Employee Benefit Plans The Company has stock-based compensation plans, under which shares of the Company’s common stock are reserved for issuance, including the MasTec, Inc. Amended and Restated 2013 Incentive Compensation Plan (the “Restated 2013 Incentive Plan”), which became effective in May 2021, and which amends and restates the MasTec, Inc. 2013 Incentive Compensation Plan (as amended from time to time, the “2013 Incentive Plan”). The Restated 2013 Incentive Plan increases the total number of shares of MasTec, Inc. common stock reserved and available for delivery pursuant to awards under the Restated 2013 Incentive Plan by 1,150,000 shares. Under all stock-based compensation plans in effect as of June 30, 2021, there were approximately 3,666,000 shares available for future grant. Non-cash stock-based compensation expense under all plans totaled $6.1 million and $5.8 million for the three month periods ended June 30, 2021 and 2020, respectively, and totaled $11.6 million and $9.9 million for the six month periods ended June 30, 2021 and 2020, respectively. Income tax benefits associated with stock-based compensation arrangements totaled $1.2 million and $1.4 million for the three month periods ended June 30, 2021 and 2020, respectively, including net tax benefits related to the vesting of share-based payment awards totaling $0.1 million for the three month period ended June 30, 2021. Net tax deficiencies related to the vesting of share-based payment awards for the three month period ended June 30, 2020 were de minimis. For the six month periods ended June 30, 2021 and 2020, income tax benefits totaled $2.3 million and $2.2 million, respectively, including net tax benefits related to the vesting of share-based payment awards totaling $0.1 million and net tax deficiencies totaling $0.2 million, respectively. Restricted Shares MasTec grants restricted stock awards and restricted stock units (together, “restricted shares”) to eligible participants, which are valued based on the closing market share price of MasTec common stock (the “market price”) on the date of grant. During the restriction period, holders of restricted stock awards are entitled to vote the shares. As of June 30, 2021, total unearned compensation related to restricted shares was approximately $40.5 million, which amount is expected to be recognized over a weighted average period of approximately 2.0 years. The fair value of restricted shares that vested, which is based on the market price on the date of vesting, totaled $0.5 million and $0.9 million for the three month periods ended June 30, 2021 and 2020, respectively, and totaled $11.3 million and $6.5 million for the six month periods ended June 30, 2021 and 2020, respectively. Activity, restricted shares: (a) Restricted Per Share Weighted Average Grant Date Fair Value Non-vested restricted shares, as of December 31, 2020 1,845,341 $ 34.90 Granted 155,795 93.39 Vested (115,028) 52.10 Canceled/forfeited (14,400) 30.58 Non-vested restricted shares, as of June 30, 2021 1,871,708 $ 38.75 (a) Includes 2,500 and 2,300 restricted stock units as of June 30, 2021 and December 31, 2020, respectively. Employee Stock Purchase Plans The Company has certain employee stock purchase plans (collectively, “ESPPs”), under which shares of the Company’s common stock are available for purchase by eligible participants. Effective January 1, 2021, the Company’s ESPPs were amended (the “Amended ESPPs”), eliminating the look-back option and changing the offering period from three months to two weeks. Under the Amended ESPPs, eligible participants are permitted to purchase MasTec, Inc. common stock at 85% of the fair market value of the shares on the date of purchase, which occurs on the last trading day of each two week offering period. Previously, these plans allowed participants to purchase MasTec, Inc. common stock at 85% of the fair market value of the shares at the lower of (i) the date of commencement of the offering period or (ii) the last day of the offering period, as defined in the plan documents. Prior to January 1, 2021, the fair value of purchases under the ESPPs was estimated using the Black-Scholes option-pricing valuation model. The Company may issue common shares to plan participants or reacquire common shares on the open market or in privately negotiated transactions, at the Company’s discretion. For the three and six month periods ended June 30, 2021, 20,191 shares and 39,033 shares, respectively, were purchased by participants under the Company’s ESPPs for $1.8 million and $3.2 million, respectively, which shares were reacquired by the Company on the open market. For the three and six month periods ended June 30, 2020, 100,660 shares and 154,059 shares, respectively, were purchased by participants for $2.4 million and $3.9 million, respectively, which shares were newly issued by the Company. Compensation expense associated with the Company’s ESPPs totaled approximately $0.2 million and $0.8 million for the three month periods ended June 30, 2021 and 2020, respectively, and totaled approximately $0.5 million and $1.2 million for the six month periods ended June 30, 2021 and 2020, respectively. |
Other Retirement Plans
Other Retirement Plans | 6 Months Ended |
Jun. 30, 2021 | |
Retirement Benefits [Abstract] | |
Other Retirement Plans | Other Retirement Plans Multiemployer Plans. Certain of MasTec’s subsidiaries contribute amounts to multiemployer pension and other multiemployer benefit plans and trusts (“MEPPs”). Contributions are generally based on fixed amounts per hour per employee for employees covered under these plans. Multiemployer plan contribution rates are determined annually and assessed on a “pay-as-you-go” basis based on union employee payrolls. Union payrolls cannot be determined for future periods because the number of union employees employed at a given time, and the plans in which they participate, vary depending upon the location and number of ongoing projects and the need for union resources in connection with those projects. Total contributions to multiemployer plans and the related number of employees covered by these plans for the periods indicated were as follows: Multiemployer Plans Covered Employees Contributions (in millions) Low High Pension Other Multiemployer Total For the Three Months Ended June 30: 2021 2,532 6,979 $ 21.7 $ 8.0 $ 29.7 2020 1,424 1,469 $ 6.9 $ 2.1 $ 9.0 For the Six Months Ended June 30: 2021 2,412 6,979 $ 44.2 $ 10.2 $ 54.4 2020 1,119 1,469 $ 12.3 $ 3.8 $ 16.1 The fluctuations in the number of employees covered under multiemployer plans and related contributions in the table above related to the timing of activity for the Company’s union resource-based projects, the majority of which are within its oil and gas operations, as well as the effect of the Company’s 2021 acquisitions. |
Equity
Equity | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Equity | Equity Share Activity The Company’s share repurchase programs provide for the repurchase of shares of MasTec common stock from time to time in open market transactions or in privately negotiated transactions in accordance with applicable securities laws. There were no share repurchases under the Company’s share repurchase programs in either of the three or six month periods ended June 30, 2021. During the six month period ended June 30, 2020, the Company repurchased 3.6 million shares of its common stock for an aggregate purchase price totaling approximately $120.2 million, of which $0.8 million was repurchased during the second quarter. As of June 30, 2021, $158.6 million was available for future share repurchases under all of the Company’s open share repurchase programs, which included $8.6 million under the Company’s December 2018 share repurchase program, and the full amount of the Company’s March 2020 $150 million share repurchase program. Accumulated Other Comprehensive Loss Unrealized foreign currency translation activity, net, for each of the three and six month periods ended June 30, 2021 and 2020 relates to the Company’s operations in Canada and Mexico. For the three month period ended June 30, 2021, unrealized investment activity includes unrealized losses on the interest rate swaps associated with the Waha JVs, offset, in part, by unrealized gains on the AVCT convertible debentures. For the six month period ended June 30, 2021, unrealized investment activity includes unrealized gains on both the interest rate swaps associated with the Waha JVs and on the Company’s investment in AVCT convertible debentures. For the three and six month periods ended June 30, 2020, unrealized losses on investment activity related to the Waha JV swaps. See Note 4 - Fair Value of Financial Instruments for additional information pertaining to the Waha JV swaps and AVCT convertible debentures. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income TaxesIn determining the quarterly provision for income taxes, management uses an estimated annual effective tax rate based on forecasted annual pre-tax income, permanent tax differences, statutory tax rates and tax planning opportunities in the various jurisdictions in which the Company operates. The effect of significant discrete items is separately recognized in the quarter(s) in which they occur. For the three month periods ended June 30, 2021 and 2020, the Company’s consolidated effective tax rates were 26.3% and 26.7%, respectively. For the six month periods ended June 30, 2021 and 2020, the Company’s consolidated effective tax rates were 28.4% and 18.6%, respectively. The Company’s effective tax rate for the six month period ended June 30, 2021 included the negative effect of $2.3 million related to non-deductible share-based compensation, and for the six month period ended June 30, 2020, benefited from the release of approximately $9.6 million of certain valuation allowances on Canadian deferred tax assets that were no longer necessary. |
Segments and Related Informatio
Segments and Related Information | 6 Months Ended |
Jun. 30, 2021 | |
Segment Reporting [Abstract] | |
Segment and Related Information | Segments and Related Information Segment Discussion The Company manages its operations under five operating segments, which represent its five reportable segments: (1) Communications; (2) Clean Energy and Infrastructure; (3) Oil and Gas; (4) Electrical Transmission and (5) Other. This structure is generally focused on broad end-user markets for the Company’s labor-based construction services. All five reportable segments derive their revenue from the engineering, installation and maintenance of infrastructure, primarily in North America. The Communications segment performs engineering, construction, maintenance and customer fulfillment activities related to communications infrastructure, primarily for wireless and wireline/fiber communications and install-to-the-home customers, as well as infrastructure for utilities, among others. The Clean Energy and Infrastructure segment primarily serves energy, utility, government and other end-markets through the installation and construction of power generation facilities, primarily from clean energy and renewable sources, such as wind, solar, biomass, natural gas and hydrogen, as well as battery storage for renewable energy and various types of heavy civil and industrial infrastructure. The Company performs engineering, construction and maintenance services for pipelines and processing facilities for the energy and utilities industries through its Oil and Gas segment. The Electrical Transmission segment primarily serves the energy and utility industries through the engineering, construction and maintenance of electrical transmission lines and substations, including electrical distribution network systems. The Other segment includes certain equity investees, the services of which vary from those provided by the Company’s primary segments, as well as other small business units that perform construction and other services for a variety of international end-markets. Earnings before interest, taxes, depreciation and amortization (“EBITDA”) is the measure of profitability used by management to manage its segments and, accordingly, in its segment reporting. As appropriate, the Company supplements the reporting of its consolidated financial information determined in accordance with U.S. GAAP with certain non-U.S. GAAP financial measures, including EBITDA. The Company believes these non-U.S. GAAP measures provide meaningful information and help investors understand the Company’s financial results and assess its prospects for future performance. The Company uses EBITDA to evaluate its performance, both internally and as compared with its peers, because it excludes certain items that may not be indicative of the Company’s core operating results for its reportable segments, as well as items that can vary widely across different industries or among companies within the same industry. Segment EBITDA is calculated in a manner consistent with consolidated EBITDA. Summarized financial information for MasTec’s reportable segments is presented and reconciled to consolidated financial information for total MasTec in the following tables, including a reconciliation of consolidated income before income taxes to EBITDA, all of which are presented in millions. The tables below may contain slight summation differences due to rounding. For the Three Months Ended June 30, For the Six Months Ended June 30, Revenue: 2021 2020 2021 2020 Communications (a) $ 630.4 $ 654.3 $ 1,199.0 $ 1,298.4 Clean Energy and Infrastructure 481.5 426.1 831.9 712.4 Oil and Gas 621.4 368.5 1,346.9 727.6 Electrical Transmission 232.5 124.1 366.0 252.2 Other 0.0 0.1 0.0 0.1 Eliminations (3.1) (3.8) (5.7) (4.8) Consolidated revenue $ 1,962.7 $ 1,569.3 $ 3,738.1 $ 2,985.9 (a) Revenue generated primarily by utilities customers represented 20.6% and 14.9% of Communications segment revenue for the three month periods ended June 30, 2021 and 2020, respectively, and represented 20.4% and 15.0% for the six month periods ended June 30, 2021 and 2020, respectively. For the Three Months Ended June 30, For the Six Months Ended June 30, EBITDA: 2021 2020 2021 2020 Communications $ 72.7 $ 76.4 $ 121.5 $ 127.2 Clean Energy and Infrastructure 15.6 30.1 26.4 35.0 Oil and Gas 138.1 80.1 305.7 154.5 Electrical Transmission 9.3 (3.2) 12.9 5.1 Other 8.3 7.5 15.8 14.9 Corporate (19.9) (31.0) (59.8) (62.9) Consolidated EBITDA $ 224.1 $ 159.9 $ 422.5 $ 273.8 For the Three Months Ended June 30, For the Six Months Ended June 30, Depreciation and Amortization: 2021 2020 2021 2020 Communications $ 23.8 $ 21.4 $ 45.6 $ 41.0 Clean Energy and Infrastructure 10.5 4.7 18.1 8.7 Oil and Gas 56.2 32.1 108.3 60.2 Electrical Transmission 14.1 6.6 20.2 12.4 Other 0.0 0.0 0.0 0.0 Corporate 2.8 2.7 5.7 5.7 Consolidated depreciation and amortization $ 107.4 $ 67.5 $ 197.9 $ 128.0 For the Three Months Ended June 30, For the Six Months Ended June 30, EBITDA Reconciliation: 2021 2020 2021 2020 Income before income taxes $ 102.8 $ 77.6 $ 198.3 $ 114.1 Plus: Interest expense, net 13.8 14.8 26.3 31.8 Depreciation 87.5 57.7 166.8 110.8 Amortization of intangible assets 19.9 9.8 31.2 17.2 Consolidated EBITDA $ 224.1 $ 159.9 $ 422.5 $ 273.8 Foreign Operations and Other. MasTec has operations in North America, primarily in the United States and Canada, and, to a lesser extent, in Mexico, the Caribbean and India. Revenue derived from U.S. operations totaled $1.9 billion and $1.6 billion for the three month periods ended June 30, 2021 and 2020, respectively, and totaled $3.7 billion and $2.9 billion for the six month periods ended June 30, 2021 and 2020, respectively. Revenue derived from foreign operations totaled $33.4 million and $14.0 million for the three month periods ended June 30, 2021 and 2020, respectively, and totaled $79.9 million and $59.6 million for the six month periods ended June 30, 2021 and 2020, respectively, substantially all of which was derived from the Company’s Canadian operations in its Oil and Gas segment. Long-lived assets held in the U.S. included property and equipment, net, of $1.1 billion and $959.5 million as of June 30, 2021 and December 31, 2020, respectively, and, for the Company’s businesses in foreign countries, totaled $21.5 million and $22.8 million, respectively. Intangible assets and goodwill, net, related to the Company’s U.S. operations totaled approximately $1.8 billion and $1.4 billion as of June 30, 2021 and December 31, 2020, respectively, and for the Company’s businesses in foreign countries, totaled approximately $48.2 million and $50.5 million as of June 30, 2021 and December 31, 2020, respectively. The majority of the Company’s long-lived and intangible assets and goodwill in foreign countries relate to its Canadian operations. As of June 30, 2021 and December 31, 2020, amounts due from customers from which foreign revenue was derived accounted for approximately 3% and 5%, respectively, of the Company’s consolidated net accounts receivable position, which represents accounts receivable, net, less deferred revenue. Revenue from governmental entities for the three and six month periods ended June 30, 2021 totaled approximately 6% and 5% of total revenue, respectively, and for both the three and six month periods ended June 30, 2020 totaled approximately 2% of total revenue, substantially all of which was derived from the Company’s U.S. operations. Significant Customers Revenue concentration information for significant customers as a percentage of total consolidated revenue was as follows: For the Three Months Ended June 30, For the Six Months Ended June 30, Customer: 2021 2020 2021 2020 Enbridge, Inc. (a) 12% 1% 18% 1% AT&T (b) 12% 19% 12% 21% Permian Highway Pipeline (c) 0% 10% 0% 7% (a) The Company’s relationship with Enbridge, Inc. is based upon various construction contracts for pipeline activities, for which the related revenue is included within the Oil and Gas segment. (b) The Company’s relationship with AT&T is based upon multiple separate master service and other service agreements, including for installation and maintenance services, as well as construction/installation contracts for AT&T’s: (i) wireless; (ii) wireline/fiber; and (iii) various install-to-the-home businesses. Revenue from AT&T is included within the Communications segment. The decrease in AT&T revenue for the three and six month periods ended June 30, 2021 as compared with the same periods in 2020 was primarily due to lower levels of wireless services, including from the effects of temporary project timing delays related to recently completed 5G spectrum auctions, and, for the six month period ended June 30, 2021, was also due to the effects of the COVID-19 pandemic. (c) The Company's relationship with Permian Highway Pipeline is based upon various construction contracts for pipeline activities, for which the related revenue is included in the Oil and Gas segment. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies MasTec is subject to a variety of legal cases, claims and other disputes that arise from time to time in the ordinary course of its business, including project contract price and acquisition purchase price disputes. MasTec cannot provide assurance that it will be successful in recovering all or any of the potential damages it has claimed or in defending claims against the Company. The outcome of such cases, claims and disputes cannot be predicted with certainty and an unfavorable resolution of one or more of them could have a material adverse effect on the Company’s business, financial condition, results of operations and cash flows. Other Commitments and Contingencies Leases. In the ordinary course of business, the Company enters into non-cancelable operating leases for certain of its facility, vehicle and equipment needs, including related party leases. See Note 8 - Lease Obligations and Note 15 - Related Party Transactions. Letters of Credit. In the ordinary course of business, the Company is required to post letters of credit for its insurance carriers and surety bond providers and in support of performance under certain contracts as well as certain obligations associated with the Company’s equity investments and other strategic arrangements, including its variable interest entities. Such letters of credit are generally issued by a bank or similar financial institution. The letter of credit commits the issuer to pay specified amounts to the holder of the letter of credit under certain conditions. If this were to occur, the Company would be required to reimburse the issuer of the letter of credit, which, depending upon the circumstances, could result in a charge to earnings. As of June 30, 2021 and December 31, 2020, there were $123.7 million and $151.8 million, respectively, of letters of credit issued under the Company’s credit facilities. The Company is not aware of any material claims relating to its outstanding letters of credit as of June 30, 2021 or December 31, 2020. Performance and Payment Bonds. In the ordinary course of business, MasTec is required by certain customers to provide performance and payment bonds for contractual commitments related to its projects. These bonds provide a guarantee to the customer that the Company will perform under the terms of a contract and that the Company will pay its subcontractors and vendors. If the Company fails to perform under a contract or to pay its subcontractors and vendors, the customer may demand that the surety make payments or provide services under the bond. The Company must reimburse the surety for expenses or outlays it incurs. As of June 30, 2021 and December 31, 2020, outstanding performance and payment bonds approximated $1,919.1 million and $764.8 million, respectively, and estimated costs to complete projects secured by these bonds totaled $724.4 million and $263.2 million as of June 30, 2021 and December 31, 2020, respectively. Included in these balances as of June 30, 2021 are $115.0 million of outstanding performance and payment bonds issued on behalf of the Company’s proportionately consolidated non-controlled contractual joint ventures, representing the Company’s proportionate share of the total bond obligation for the related projects. Investment and Strategic Arrangements. The Company holds undivided interests, ranging from 85% to 90%, in multiple proportionately consolidated non-controlled contractual joint ventures that provide infrastructure construction services for electrical transmission projects, as well as undivided interests ranging from 30% to 50% in three civil construction projects. Income and/or losses incurred by these joint ventures are generally shared proportionally by the respective joint venture members, with the members of the joint ventures jointly and severally liable for all of the obligations of the joint venture. The respective joint venture agreements provide that each joint venture partner indemnify the other party for any liabilities incurred by such joint venture in excess of its ratable portion of such liabilities. Thus, it is possible that the Company could be required to pay or perform obligations in excess of its share if the other joint venture partners fail or refuse to pay or perform their respective share of the obligations. As of June 30, 2021, the Company was not aware of material future claims against it in connection with these arrangements. Included in the Company’s cash balances as of June 30, 2021 and December 31, 2020 are amounts held by entities that are proportionately consolidated totaling $6.9 million and $8.2 million, respectively. These amounts are available to support the operations of those entities, but are not available for the Company’s other operations. In addition, the Company provided $0.7 million of project-related financing to its contractual joint ventures for the six month period ended June 30, 2021. The Company has other investment and strategic arrangements, under which it may incur costs or provide financing, performance, financial and/or other guarantees. See Note 4 - Fair Value of Financial Instruments and Note 15 - Related Party Transactions for additional information pertaining to the Company’s investment and strategic arrangements. Self-Insurance. MasTec maintains insurance policies for workers’ compensation, general liability and automobile liability, which are subject to per claim deductibles. The Company is self-insured up to the amount of the deductible. The Company also maintains excess umbrella coverage. As of June 30, 2021 and December 31, 2020, MasTec’s estimated liability for unpaid claims and associated expenses, including incurred but not reported losses related to these policies, totaled $145.6 million and $129.6 million, respectively, of which $89.4 million and $86.1 million, respectively, were reflected within other long-term liabilities in the consolidated balance sheets. MasTec also maintains an insurance policy with respect to employee group medical claims, which is subject to annual per employee maximum losses. MasTec’s estimated liability for employee group medical claims totaled $5.1 million and $4.3 million as of June 30, 2021 and December 31, 2020, respectively. The Company is required to post collateral, generally in the form of letters of credit, surety bonds and cash to certain of its insurance carriers. Insurance-related letters of credit for the Company’s workers’ compensation, general liability and automobile liability policies amounted to $64.1 million and $59.3 million as of June 30, 2021 and December 31, 2020, respectively. Outstanding surety bonds related to self-insurance programs amounted to $37.4 million as of both June 30, 2021 and December 31, 2020. Collective Bargaining Agreements and Multiemployer Plans. As discussed in Note 10 - Other Retirement Plans, certain of MasTec’s subsidiaries are party to various collective bargaining agreements with unions representing certain of their employees, which require the Company to pay specified wages, provide certain benefits and contribute certain amounts to MEPPs. The Employee Retirement Income Security Act of 1974, as amended by the Multiemployer Pension Plan Amendments Act of 1980 (collectively, “ERISA”), which governs U.S.-registered MEPPs, subjects employers to substantial liabilities in the event of an employer’s complete or partial withdrawal from, or upon termination of, such plans. The Company currently contributes, and in the past, has contributed to, plans that are underfunded, and, therefore, could have potential liability associated with a voluntary or involuntary withdrawal from, or termination of, these plans. As of June 30, 2021, the Company does not have plans to withdraw from, and is not aware of circumstances that would reasonably lead to material claims against it, in connection with the MEPPs in which it participates. There can be no assurance, however, that the Company will not be assessed liabilities in the future, including in the form of a surcharge on future benefit contributions or increased contributions on underfunded plans. The amount the Company could be obligated to pay or contribute in the future cannot be estimated, as these amounts are based on future levels of work of the union employees covered by these plans, investment returns, which could be negatively affected by economic and market conditions, and the level of underfunding of such plans. Indemnities. The Company generally indemnifies its customers for the services it provides under its contracts, as well as other specified liabilities, which may subject the Company to indemnity claims, liabilities and related litigation. As of June 30, 2021 and December 31, 2020, the Company was not aware of any material asserted or unasserted claims in connection with these indemnity obligations. Other Guarantees. From time to time in the ordinary course of its business, MasTec guarantees the obligations of its subsidiaries, including obligations under certain contracts with customers, certain lease obligations, and in some states, obligations in connection with obtaining contractors’ licenses. MasTec has also issued performance and other guarantees in connection with certain of its equity investments. MasTec also generally warrants the work it performs following substantial completion of a project. Much of the work performed by the Company is evaluated for defects shortly after the work is completed. If warranty claims occur, the Company could be required to repair or replace warrantied items, or, if |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions MasTec purchases, rents and leases equipment and purchases various types of supplies and services used in its business, including ancillary construction services, project-related site restoration and marketing and business development activities, from a number of different vendors on a non-exclusive basis, and from time to time, rents equipment to, sells certain supplies, or performs construction services on behalf of, entities in which members of subsidiary management have ownership or commercial interests. For the three month periods ended June 30, 2021 and 2020, such payments to related party entities totaled approximately $30.7 million and $16.2 million, respectively, and for the six month periods ended June 30, 2021 and 2020, totaled approximately $51.1 million and $41.5 million, respectively. Payables associated with such arrangements totaled approximately $0.5 million and $8.9 million as of June 30, 2021 and December 31, 2020, respectively. Revenue from such related party arrangements totaled approximately $0.9 million and $1.3 million for the three month periods ended June 30, 2021 and 2020, respectively, and totaled approximately $2.1 million and $2.3 million for the six month periods ended June 30, 2021 and 2020, respectively. Related amounts receivable, net, totaled approximately $0.4 million and $0.5 million as of June 30, 2021 and December 31, 2020, respectively. The Company rents and leases equipment and purchases certain supplies and servicing from CCI. Juan Carlos Mas, who is the brother of Jorge Mas, Chairman of MasTec’s Board of Directors, serves as the chairman of CCI, and a member of management of a MasTec subsidiary and an entity that is owned by the Mas family are minority owners. MasTec paid CCI $5.6 million and $1.0 million, net of rebates, respectively, for the three month periods ended June 30, 2021 and 2020, and paid approximately $10.7 million and $1.4 million, respectively, for the six month periods ended June 30, 2021 and 2020 related to this activity. Amounts payable to CCI, net of rebates receivable, totaled approximately $5.1 million and $4.2 million as of June 30, 2021 and December 31, 2020, respectively. MasTec has a subcontracting arrangement with an entity for the performance of construction services, the minority owners of which include an entity controlled by Jorge Mas and José R. Mas, along with two members of management of a MasTec subsidiary. For the three month period ended June 30, 2021, MasTec incurred subcontracting expenses of approximately $16.8 million under these arrangements, and no subcontracting expenses were incurred for the three month period ended June 30, 2020. For the six month period ended June 30, 2021, MasTec incurred subcontracting expenses under these arrangements of approximately $45.8 million, and for the six month period ended June 30, 2020, incurred approximately $0.6 million, net. As of June 30, 2021 and December 31, 2020, related amounts payable totaled approximately $14.9 million and $1.4 million, respectively. MasTec has a leasing arrangement for an aircraft that is owned by an entity that Jorge Mas owns. For both the three month periods ended June 30, 2021 and 2020, MasTec paid approximately $0.6 million related to this leasing arrangement, and paid approximately $1.3 million for both the six month periods ended June 30, 2021 and 2020. MasTec performs construction services on behalf of a professional Miami soccer franchise (the “Franchise”) in which Jorge Mas and José R. Mas are minority owners. Services provided by MasTec include the construction of a soccer facility and stadium as well as wireless infrastructure services. For both the three and six month periods ended June 30, 2021, charges under these arrangements were de minimis, and for the three and six month periods ended June 30, 2020, MasTec charged approximately $1.5 million and $5.5 million, respectively. Related amounts outstanding as of both June 30, 2021 and December 31, 2020 were de minimis. Payments for other expenses related to the Franchise for both the six month periods ended June 30, 2021 and 2020 totaled approximately $0.2 million, for which there were no amounts outstanding as of either June 30, 2021 or December 31, 2020. MasTec leases employees and provides satellite communications services to a customer in which Jorge Mas and José R. Mas own a majority interest. Charges to this customer under these arrangements totaled approximately $0.3 million, for both the three month periods ended June 30, 2021 and 2020, and for the six month periods ended June 30, 2021 and 2020, totaled approximately $0.6 million and $0.7 million, respectively. As of June 30, 2021 and December 31, 2020, related amounts receivable totaled approximately $0.8 million and $0.9 million, respectively. Amounts outstanding, net, for advances made by the Company on behalf of a construction management firm specializing in steel building systems that was acquired by MasTec, of which Juan Carlos Mas and José R. Mas, MasTec’s Chief Executive Officer, were minority owners at the time of acquisition, totaled approximately $0.3 million and $0.1 million as of June 30, 2021 and December 31, 2020, respectively. Outstanding amounts are expected to be settled under customary terms associated with the related purchase agreement. The Company, through a second quarter 2020 acquisition, has a 25% interest in an entity, under which the acquired business and the 25%-owned entity have a subcontracting arrangement. The Company’s interest in this entity, for which post-acquisition operating activity is de minimis, is accounted for as an equity method investment. As of June 30, 2021 and December 31, 2020, the Company’s net investment in this entity was a liability of approximately $1.6 million and $2.0 million, respectively, which net amount includes approximately $2.3 million and $1.9 million, respectively, of accounts receivable, net, less deferred revenue related to the subcontracting arrangement. Additionally, the Company has certain arrangements with an entity in which members of management have an ownership interest, including a fee arrangement in conjunction with a $15.0 million letter of credit issued by the Company on behalf of this entity. For the three and six month periods ended June 30, 2021, approximately $0.2 million and $0.4 million, respectively, of income was recognized in connection with these arrangements. As of both June 30, 2021 and December 31, 2020, related amounts receivable totaled $0.4 million. Non-controlling interests in entities consolidated by the Company represent ownership interests held by members of management of certain of the Company’s subsidiaries, primarily in the Company’s Oil and Gas segment. In June 2021, the Company acquired an additional 15% of the non-controlling interests in one of these entities from two members of subsidiary management for $6.8 million in cash. Split Dollar Agreements MasTec has split dollar life insurance agreements with trusts, one of which Jorge Mas is a trustee, and one of which José R. Mas is a trustee. The Company paid $0.5 million and $0.7 million in both the second quarters of 2021 and 2020 in connection with the agreements for Jorge Mas and José R. Mas, respectively. As of June 30, 2021 and December 31, 2020, life insurance assets associated with these agreements totaled approximately $23.4 million and $22.2 million, respectively. |
Business, Basis of Presentati_2
Business, Basis of Presentation and Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements are unaudited and have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and with the instructions for Form 10-Q and Rule 10-01 of Regulation S-X. Pursuant to these rules and regulations, certain information and footnote disclosures normally included in the annual audited consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The accompanying consolidated balance sheet as of December 31, 2020 is derived from the Company’s audited financial statements as of that date. Because certain information and footnote disclosures have been condensed or omitted, these consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto as of and for the year ended December 31, 2020 contained in the Company’s 2020 Annual Report on Form 10-K (the “2020 Form 10-K”). In management’s opinion, all normal and recurring adjustments considered necessary for a fair presentation of the financial position, results of operations and cash flows for the periods presented have been included. When necessary, certain prior year amounts have been reclassified to conform to the current period presentation. Interim period operating results do not necessarily indicate the results that may be expected for any other interim period or for the full fiscal year. The Company believes that the disclosures made in these consolidated financial statements are adequate to make the information not misleading. |
Reclassifications | When necessary, certain prior year amounts have been reclassified to conform to the current period presentation. |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements include MasTec, Inc. and its subsidiaries and include the accounts of all majority owned subsidiaries over which the Company exercises control and, when applicable, entities in which the Company has a controlling financial interest. All significant intercompany balances and transactions have been eliminated in consolidation. Other parties’ interests in entities that MasTec consolidates are reported as non-controlling interests within equity, except for mandatorily redeemable non-controlling interests, which are recorded within other liabilities. Net income or loss attributable to non-controlling interests is reported as a separate line item below net income or loss. The Company applies the equity method of accounting for its investments in entities for which it does not have a controlling financial interest, but over which it has the ability to exert significant influence. See Note 4 - Fair Value of Financial Instruments. For equity investees in which the Company has an undivided interest in the assets, liabilities and profits or losses of an unincorporated entity, but does not exercise control over the entity, the Company consolidates its proportional interest in the accounts of the entity. |
Equity Method Investments | The Company applies the equity method of accounting for its investments in entities for which it does not have a controlling financial interest, but over which it has the ability to exert significant influence. See Note 4 - Fair Value of Financial Instruments. |
Unincorporated Entities, Proportional Consolidation | For equity investees in which the Company has an undivided interest in the assets, liabilities and profits or losses of an unincorporated entity, but does not exercise control over the entity, the Company consolidates its proportional interest in the accounts of the entity |
Translation of Foreign Currencies | Translation of Foreign CurrenciesThe assets and liabilities of foreign subsidiaries with a functional currency other than the U.S. dollar are translated into U.S. dollars at period-end exchange rates, with resulting translation gains or losses included within other comprehensive income or loss. Revenue and expenses are translated into U.S. dollars at average rates of exchange during the applicable period. Substantially all of the Company’s foreign operations use their local currency as their functional currency. For foreign operations for which the local currency is not the functional currency, the operation’s non-monetary assets are remeasured into U.S. dollars at historical exchange rates. All other accounts are remeasured at current exchange rates. Gains or losses from remeasurement are included in other income or expense, net. Currency gains or losses resulting from transactions executed in currencies other than the functional currency are included in other income or expense, net. |
Management Estimates | Management Estimates The preparation of consolidated financial statements in accordance with U.S. GAAP requires the use of estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. These estimates are based on historical experience and various other assumptions that management believes to be reasonable under the circumstances, including the potential future effects of the COVID-19 pandemic, climate change, and other global and/or macroeconomic trends and events. These estimates form the basis for making judgments about the Company’s operating results and the carrying values of assets and liabilities that are not readily apparent from other sources. While management believes that such estimates are reasonable when considered in conjunction with the Company’s consolidated financial position and results of operations taken as a whole, actual results could differ materially from these estimates. Key estimates include: the recognition of revenue and project profit or loss, which the Company defines as project revenue, less project costs of revenue, including project-related depreciation, in particular, on construction contracts accounted for under the cost-to-cost method, for which the recorded amounts require estimates of costs to complete and the amount and probability of variable consideration included in the contract transaction price; fair value estimates, including those related to acquisitions, valuations of goodwill and intangible assets, acquisition-related contingent consideration and other liabilities, equity investments and other long-lived assets; allowances for credit losses; asset lives used in |
COVID-19 Pandemic | COVID-19 Pandemic The novel coronavirus (“COVID-19”) pandemic disrupted business activities and significantly affected global economic conditions at the beginning of 2020 and continuing into 2021 as federal, state and local governments imposed restrictions and mitigation measures to contain COVID-19 or slow its spread, resulting in workforce, supply chain and production disruptions and creating significant uncertainties in the U.S. and global economies. While the adverse effects of these restrictions and mitigation measures partially subsided in the United States beginning in the second half of 2020, the COVID-19 pandemic varies by region and the possibility of future restrictions remains, particularly as a new Delta variant of COVID-19 appears to be causing an increase in COVID-19 cases. As a provider of essential services, all of the Company’s business segments continued to operate throughout the pandemic, and, where safe and possible, the Company was generally directed by its customers to maintain normal work schedules. The Company’s business model has, thus far, proven resilient, and management continues to adapt to the changing operational and economic environment that has resulted from the COVID-19 pandemic. Management’s top priority has been to take appropriate actions to protect the health and safety of its employees, customers and business partners. The Company has adjusted its standard operating procedures within its business operations to ensure employee and customer safety and is continually monitoring evolving health guidelines and responding to changes as appropriate. The COVID-19 pandemic has had a negative impact on the Company’s operations since 2020 and may continue to affect its business activities throughout 2021. These impacts include lost productivity from governmental permitting approval delays, reduced crew productivity due to social distancing and other mitigation measures, the health and availability of work crews or other key personnel, including subcontractors or supply chain disruptions, and/or delayed project start dates, project shutdowns or cancellations that may be mandated or requested by governmental authorities or others, all of which could result in lower revenue or higher operating costs and/or create lower levels of overhead cost absorption. Several relief measures have been enacted in response to the effects of the COVID-19 pandemic, including the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) and the Coronavirus Response and Relief Supplemental Appropriations Act (the “Coronavirus Relief Act”). The CARES Act permitted deferral and/or reduction of certain federal and payroll tax amounts, certain of which the Company pursued, including the deferral of approximately $59 million of payroll taxes, half of which are due by December 31, 2021, with the remainder due by December 31, 2022. The Company will continue to monitor and evaluate the potential effects, usefulness of, and qualification for, additional COVID-19 relief measures on the Company’s financial position, results of operations and cash flows. Notwithstanding moderation of the COVID-19 pandemic and easing of governmental and other restrictions, the Company may continue to experience negative effects on its business and operations from possible longer-term changes in consumer and customer behavior, and/or from continuing negative economic conditions. The Company believes that it has taken appropriate steps to mitigate the impacts of the COVID-19 pandemic on its business; however, the potential effects of the COVID-19 pandemic are uncertain, as they depend upon numerous evolving factors that management may not be able to accurately predict. The availability, acceptance, administration and effectiveness (and the duration of such effectiveness) of treatments and vaccines, along with the length and extent of any continuing economic and market disruptions are unknown, and, therefore, any future impacts on our business, financial condition and/or results of operations cannot be quantified or predicted with specificity. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue from contracts with customers under Accounting Standards Codification (“ASC”) Topic 606 (“Topic 606”). Under Topic 606, revenue is recognized when, or as, control of promised goods and services is transferred to customers, and the amount of revenue recognized reflects the consideration to which an entity expects to be entitled in exchange for the goods and services transferred. Revenue is primarily recognized by the Company over time utilizing the cost-to-cost measure of progress, which best depicts the continuous transfer of control of goods or services to the customer, and correspondingly, when performance obligations are satisfied for the related contracts. Contracts. The Company derives revenue primarily from construction projects performed under: (i) master and other service agreements, which provide a menu of available services in a specific geographic territory that are utilized on an as-needed basis, and are typically priced using either a time and materials or a fixed price per unit basis; and (ii) contracts for specific projects requiring the construction and installation of an entire infrastructure system, or specified units within an infrastructure system, which are subject to multiple pricing options, including fixed price, unit price, time and materials, or cost plus a markup. Revenue derived from projects performed under master service and other service agreements totaled 32% and 36% of consolidated revenue for the three month periods ended June 30, 2021 and 2020, respectively, and totaled 31% and 39% for the six month periods ended June 30, 2021 and 2020, respectively. For certain master service and other service agreements under which the Company performs installation and maintenance services, primarily for install-to-the-home service providers in its Communications segment, revenue is recognized at a point in time. This is generally when the work order has been fulfilled, which is typically the same day the work is initiated. Point in time revenue accounted for approximately 4% of consolidated revenue for both the three and six month periods ended June 30, 2021, and accounted for approximately 5% of consolidated revenue for both the three and six month periods ended June 30, 2020. Substantially all of the Company’s other revenue is recognized over time. The total contract transaction price and cost estimation processes used for recognizing revenue over time under the cost-to-cost method is based on the professional knowledge and experience of the Company’s project managers, engineers and financial professionals. Management reviews estimates of total contract transaction price and total project costs on an ongoing basis. Changes in job performance, job conditions and management’s assessment of expected variable consideration are factors that influence estimates of the total contract transaction price, total costs to complete those contracts and the Company’s profit recognition. Changes in these factors could result in revisions to revenue in the period in which the revisions are determined, which could materially affect the Company’s consolidated results of operations for that period. Provisions for losses on uncompleted contracts are recorded in the period in which such losses are determined. For both the six month periods ended June 30, 2021 and 2020, project profit was affected by less than 5% as a result of changes in contract estimates included in projects that were in process as of December 31, 2020 and 2019. Revenue recognized for the three month periods ended June 30, 2021 and 2020 as a result of changes in total contract transaction price estimates, including from variable consideration, from performance obligations satisfied or partially satisfied in prior periods, totaled approximately $30.5 million and $5.4 million, respectively, and totaled $37.0 million and $15.8 million for the six month periods ended June 30, 2021 and 2020, respectively. The Company may incur certain costs that can be capitalized, such as initial set-up or mobilization costs. Such costs, which are amortized over the life of the respective projects, were $2.7 million and $5.5 million as of June 30, 2021 and December 31, 2020. Performance Obligations. A performance obligation is a contractual promise to transfer a distinct good or service to a customer and is the unit of account under Topic 606. The transaction price of a contract is allocated to each distinct performance obligation and recognized as revenue when or as the performance obligation is satisfied. The vast majority of the Company’s performance obligations are completed within one year. Remaining performance obligations represent the amount of unearned transaction prices under contracts for which work is wholly or partially unperformed, including the Company’s share of unearned transaction prices from its proportionately consolidated non-controlled joint ventures. As of June 30, 2021, the amount of the Company’s remaining performance obligations was $5.2 billion. Based on current expectations, the Company anticipates it will recognize approximately $2.9 billion of its remaining performance obligations as revenue during 2021, with the majority of the remaining balance to be recognized in 2022. Variable Consideration. Transaction prices for the Company’s contracts may include variable consideration, which comprises items such as change orders, claims and incentives. Management estimates variable consideration for a performance obligation utilizing estimation methods that it believes best predict the amount of consideration to which the Company will be entitled. Management’s estimates of variable consideration and the determination of whether to include estimated amounts in transaction prices are based largely on engineering studies and legal opinions, past practices with the customer, specific discussions, correspondence or preliminary negotiations with the customer and all other relevant information that is reasonably available at the time of the estimate. To the extent unapproved change orders, claims and other variable consideration reflected in transaction prices are not resolved in the Company’s favor, or to the extent incentives reflected in transaction prices are not earned, there could be reductions in, or reversals of, previously recognized revenue. As of June 30, 2021 and December 31, 2020, the Company included approximately $97 million and $51 million, respectively, of change orders and/or claims in transaction prices for certain contracts that were in the process of being resolved in the ordinary course of business, including through negotiation, arbitration and other proceedings. These transaction price adjustments, when earned, are included within contract assets or accounts receivable, net of allowance, as appropriate. As of both June 30, 2021 and December 31, 2020, these change orders and/or claims related to projects across the Company’s segments. The Company actively engages with its customers to complete the final approval process and generally expects these processes to be completed within one year. Amounts ultimately realized upon final agreement by customers could be higher or lower than such estimated amounts. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements The discussion below describes the effects of recent accounting pronouncements, as updated from the discussion in the Company’s 2020 Form 10-K. Accounting Pronouncements Adopted in 2021 In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which eliminates certain exceptions to the existing guidance for income taxes related to the approach for intra-period tax allocations, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. This ASU also simplifies the accounting for income taxes by clarifying and amending existing guidance related to the effects of enacted changes in tax laws or rates in the effective tax rate computation, the recognition of franchise tax and the evaluation of a step-up in the tax basis of goodwill, among other clarifications. ASU 2019-12, which the Company adopted during the first quarter of 2021, did not have a material effect on the Company’s consolidated financial statements. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share Information | The following table provides details underlying the Company’s earnings per share calculations for the periods indicated (in thousands): For the Three Months Ended June 30, For the Six Months Ended June 30, 2021 2020 2021 2020 Net income attributable to MasTec: Net income - basic and diluted (a) $ 75,451 $ 57,005 $ 141,100 $ 93,235 Weighted average shares outstanding: Weighted average shares outstanding - basic 72,501 72,045 72,470 73,392 Dilutive common stock equivalents (b) 1,475 732 1,443 743 Weighted average shares outstanding - diluted 73,976 72,777 73,913 74,135 (a) Calculated as total net income less amounts attributable to non-controlling interests. (b) For the six month periods ended June 30, 2021 and 2020, anti-dilutive common stock equivalents totaled 2,166 and 88,462, respectively. |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill by Segment | The following table provides balances for goodwill by reportable segment as of June 30, 2021 (in millions): Communications Clean Energy and Infrastructure Oil and Gas Electrical Transmission Total Goodwill Goodwill, gross $ 584.7 $ 164.4 $ 513.2 $ 196.4 $ 1,458.7 Accumulated impairment loss — — (127.0) — (127.0) Goodwill, net $ 584.7 $ 164.4 $ 386.2 $ 196.4 $ 1,331.7 |
Schedule of Finite-Lived Intangible Assets | The following table provides a reconciliation of changes in other intangible assets, net, for the period indicated (in millions): Other Intangible Assets Non-Amortizing Amortizing Trade Names Customer Relationships and Backlog Pre-Qualifications Other (a) Total Other intangible assets, gross, as of December 31, 2020 $ 34.5 $ 297.9 $ 73.8 $ 26.4 $ 432.6 Accumulated amortization (218.5) (10.6) (19.5) (248.6) Other intangible assets, net, as of December 31, 2020 $ 34.5 $ 79.4 $ 63.2 $ 6.9 $ 184.0 Additions from new business combinations — 311.8 — 55.4 367.2 Currency translation adjustments — — 1.0 — 1.0 Amortization expense (23.4) (5.4) (2.4) (31.2) Other intangible assets, net, as of June 30, 2021 $ 34.5 $ 367.8 $ 58.8 $ 59.9 $ 521.0 (a) Consists principally of trade names and non-compete agreements. |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the estimated fair values of consideration paid and net assets acquired for the 2021 acquisitions (in millions): Acquisition consideration: 2021 Cash, net of cash acquired $ 589.0 Estimated fair value of contingent consideration 40.1 Total consideration transferred $ 629.1 Identifiable assets acquired and liabilities assumed: Current assets, primarily accounts receivable $ 216.2 Long-term assets, primarily property and equipment and operating lease assets 182.0 Amortizing intangible assets 367.2 Current liabilities, including current portion of operating lease liabilities (147.3) Long-term liabilities, primarily operating lease liabilities and deferred income taxes (77.1) Total identifiable net assets $ 541.0 Goodwill $ 88.1 Total net assets acquired, including goodwill $ 629.1 |
Accounts Receivable, Net of A_2
Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Receivables [Abstract] | |
Schedule of Accounts Receivable, Net of Allowance, and Contract Assets | The following table provides details of accounts receivable, net of allowance, and contract assets (together, “accounts receivable, net”) as of the dates indicated (in millions): June 30, December 31, Contract billings $ 874.4 $ 805.0 Less allowance (9.2) (20.5) Accounts receivable, net of allowance $ 865.2 $ 784.5 Retainage 271.5 287.7 Unbilled receivables 832.2 682.0 Contract assets $ 1,103.7 $ 969.7 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment, Net | The following table provides details of property and equipment, net, including property and equipment held under finance leases as of the dates indicated (in millions): June 30, December 31, Land $ 11.1 $ 6.0 Buildings and leasehold improvements 49.2 40.5 Machinery and equipment 2,088.8 1,875.5 Office furniture and equipment 232.4 221.6 Construction in progress 28.1 26.1 Total property and equipment $ 2,409.6 $ 2,169.7 Less accumulated depreciation and amortization (1,308.4) (1,187.4) Property and equipment, net $ 1,101.2 $ 982.3 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Carrying Values of Debt | The following table provides details of the carrying values of debt as of the dates indicated (in millions): Description Maturity Date June 30, December 31, Senior secured credit facility: September 19, 2024 Revolving loans $ 292.4 $ 32.7 Term loan 392.5 397.5 4.50% Senior Notes August 15, 2028 600.0 600.0 Finance lease and other obligations 313.1 288.5 Total debt obligations $ 1,598.0 $ 1,318.7 Less unamortized deferred financing costs (14.4) (16.0) Total debt, net of deferred financing costs $ 1,583.6 $ 1,302.7 Current portion of long-term debt 163.1 145.1 Long-term debt $ 1,420.5 $ 1,157.6 |
Lease Obligations (Tables)
Lease Obligations (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Schedule of Future Minimum Lease Commitments, Finance Leases | Future minimum lease commitments as of June 30, 2021 were as follows (in millions): Finance Leases Operating 2021, remaining six months $ 81.9 $ 54.0 2022 127.7 72.6 2023 74.2 42.9 2024 34.1 30.0 2025 7.4 18.6 Thereafter 1.0 24.9 Total minimum lease payments $ 326.3 $ 243.0 Less amounts representing interest (13.6) (14.6) Total lease obligations, net of interest $ 312.7 $ 228.4 Less current portion 145.4 85.6 Long-term portion of lease obligations, net of interest $ 167.3 $ 142.8 |
Schedule of Future Minimum Lease Commitments, Operating Leases | Future minimum lease commitments as of June 30, 2021 were as follows (in millions): Finance Leases Operating 2021, remaining six months $ 81.9 $ 54.0 2022 127.7 72.6 2023 74.2 42.9 2024 34.1 30.0 2025 7.4 18.6 Thereafter 1.0 24.9 Total minimum lease payments $ 326.3 $ 243.0 Less amounts representing interest (13.6) (14.6) Total lease obligations, net of interest $ 312.7 $ 228.4 Less current portion 145.4 85.6 Long-term portion of lease obligations, net of interest $ 167.3 $ 142.8 |
Stock-Based Compensation and _2
Stock-Based Compensation and Other Employee Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Activity, Restricted Shares | Activity, restricted shares: (a) Restricted Per Share Weighted Average Grant Date Fair Value Non-vested restricted shares, as of December 31, 2020 1,845,341 $ 34.90 Granted 155,795 93.39 Vested (115,028) 52.10 Canceled/forfeited (14,400) 30.58 Non-vested restricted shares, as of June 30, 2021 1,871,708 $ 38.75 (a) Includes 2,500 and 2,300 restricted stock units as of June 30, 2021 and December 31, 2020, respectively. |
Other Retirement Plans (Tables)
Other Retirement Plans (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Retirement Benefits [Abstract] | |
Schedule of Covered Employees and Contributions, Multiemployer Plans | Total contributions to multiemployer plans and the related number of employees covered by these plans for the periods indicated were as follows: Multiemployer Plans Covered Employees Contributions (in millions) Low High Pension Other Multiemployer Total For the Three Months Ended June 30: 2021 2,532 6,979 $ 21.7 $ 8.0 $ 29.7 2020 1,424 1,469 $ 6.9 $ 2.1 $ 9.0 For the Six Months Ended June 30: 2021 2,412 6,979 $ 44.2 $ 10.2 $ 54.4 2020 1,119 1,469 $ 12.3 $ 3.8 $ 16.1 |
Segments and Related Informat_2
Segments and Related Information (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Segment Reporting [Abstract] | |
Schedule of Financial Information by Reportable Segment | For the Three Months Ended June 30, For the Six Months Ended June 30, Revenue: 2021 2020 2021 2020 Communications (a) $ 630.4 $ 654.3 $ 1,199.0 $ 1,298.4 Clean Energy and Infrastructure 481.5 426.1 831.9 712.4 Oil and Gas 621.4 368.5 1,346.9 727.6 Electrical Transmission 232.5 124.1 366.0 252.2 Other 0.0 0.1 0.0 0.1 Eliminations (3.1) (3.8) (5.7) (4.8) Consolidated revenue $ 1,962.7 $ 1,569.3 $ 3,738.1 $ 2,985.9 (a) Revenue generated primarily by utilities customers represented 20.6% and 14.9% of Communications segment revenue for the three month periods ended June 30, 2021 and 2020, respectively, and represented 20.4% and 15.0% for the six month periods ended June 30, 2021 and 2020, respectively. For the Three Months Ended June 30, For the Six Months Ended June 30, EBITDA: 2021 2020 2021 2020 Communications $ 72.7 $ 76.4 $ 121.5 $ 127.2 Clean Energy and Infrastructure 15.6 30.1 26.4 35.0 Oil and Gas 138.1 80.1 305.7 154.5 Electrical Transmission 9.3 (3.2) 12.9 5.1 Other 8.3 7.5 15.8 14.9 Corporate (19.9) (31.0) (59.8) (62.9) Consolidated EBITDA $ 224.1 $ 159.9 $ 422.5 $ 273.8 For the Three Months Ended June 30, For the Six Months Ended June 30, Depreciation and Amortization: 2021 2020 2021 2020 Communications $ 23.8 $ 21.4 $ 45.6 $ 41.0 Clean Energy and Infrastructure 10.5 4.7 18.1 8.7 Oil and Gas 56.2 32.1 108.3 60.2 Electrical Transmission 14.1 6.6 20.2 12.4 Other 0.0 0.0 0.0 0.0 Corporate 2.8 2.7 5.7 5.7 Consolidated depreciation and amortization $ 107.4 $ 67.5 $ 197.9 $ 128.0 |
Reconciliation of Consolidated Income before Income Taxes to EBITDA | For the Three Months Ended June 30, For the Six Months Ended June 30, EBITDA Reconciliation: 2021 2020 2021 2020 Income before income taxes $ 102.8 $ 77.6 $ 198.3 $ 114.1 Plus: Interest expense, net 13.8 14.8 26.3 31.8 Depreciation 87.5 57.7 166.8 110.8 Amortization of intangible assets 19.9 9.8 31.2 17.2 Consolidated EBITDA $ 224.1 $ 159.9 $ 422.5 $ 273.8 |
Schedule of Revenue by Major Customers by Reporting Segments | Revenue concentration information for significant customers as a percentage of total consolidated revenue was as follows: For the Three Months Ended June 30, For the Six Months Ended June 30, Customer: 2021 2020 2021 2020 Enbridge, Inc. (a) 12% 1% 18% 1% AT&T (b) 12% 19% 12% 21% Permian Highway Pipeline (c) 0% 10% 0% 7% (a) The Company’s relationship with Enbridge, Inc. is based upon various construction contracts for pipeline activities, for which the related revenue is included within the Oil and Gas segment. (b) The Company’s relationship with AT&T is based upon multiple separate master service and other service agreements, including for installation and maintenance services, as well as construction/installation contracts for AT&T’s: (i) wireless; (ii) wireline/fiber; and (iii) various install-to-the-home businesses. Revenue from AT&T is included within the Communications segment. The decrease in AT&T revenue for the three and six month periods ended June 30, 2021 as compared with the same periods in 2020 was primarily due to lower levels of wireless services, including from the effects of temporary project timing delays related to recently completed 5G spectrum auctions, and, for the six month period ended June 30, 2021, was also due to the effects of the COVID-19 pandemic. (c) The Company's relationship with Permian Highway Pipeline is based upon various construction contracts for pipeline activities, for which the related revenue is included in the Oil and Gas segment. |
Business, Basis of Presentati_3
Business, Basis of Presentation and Significant Accounting Policies (Narrative) (Details) $ in Millions | 6 Months Ended | |
Jun. 30, 2021USD ($)segment | Jun. 30, 2021USD ($)reportingUnit | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | ||
Number of reportable segments | 5 | 5 |
Accrued payroll taxes | $ 59 | $ 59 |
Business, Basis of Presentati_4
Business, Basis of Presentation and Significant Accounting Policies (Revenue Recognition) (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Revenue [Line Items] | |||||
Revenue recognition, performance obligations satisfied in previous periods, revenue recognized (in dollars) | $ 30.5 | $ 5.4 | $ 37 | $ 15.8 | |
Revenue recognition, remaining performance obligations, contract price allocated (in dollars) | 5,200 | 5,200 | |||
Contract with customer, unapproved change orders and/or claims, amount (in dollars) | 97 | 97 | $ 51 | ||
Mobilization Costs | |||||
Revenue [Line Items] | |||||
Mobilization costs | $ 2.7 | $ 2.7 | $ 5.5 | ||
Maximum | |||||
Revenue [Line Items] | |||||
Revenue recognition, changes In contract estimates, cost-to-cost method, financial effect, percentage | 5.00% | 5.00% | |||
Change order or claim approval process, term within which expected to be completed (in years) | 1 year | ||||
Revenue Benchmark | Concentration Risk from Type of Arrangement | Master Service and Other Service Agreements | |||||
Revenue [Line Items] | |||||
Concentration risk, percentage of total | 32.00% | 36.00% | 31.00% | 39.00% | |
Revenue Benchmark | Concentration Risk from Type of Arrangement | Master Service and Other Service Agreements | Point in Time | |||||
Revenue [Line Items] | |||||
Concentration risk, percentage of total | 4.00% | 5.00% | 4.00% | 5.00% | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-07-01 | |||||
Revenue [Line Items] | |||||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 6 months | 6 months | |||
Revenue recognition, remaining performance obligations, contract price allocated (in dollars) | $ 2,900 | $ 2,900 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Net income attributable to MasTec: | ||||
Net income - basic | $ 75,451 | $ 57,005 | $ 141,100 | $ 93,235 |
Net income - diluted | $ 75,451 | $ 57,005 | $ 141,100 | $ 93,235 |
Weighted average shares outstanding: | ||||
Weighted average shares outstanding - basic (in shares) | 72,501,000 | 72,045,000 | 72,470,000 | 73,392,000 |
Dilutive common stock equivalents (in shares) | 1,475,000 | 732,000 | 1,443,000 | 743,000 |
Weighted average shares outstanding - diluted (in shares) | 73,976,000 | 72,777,000 | 73,913,000 | 74,135,000 |
Anti-dilutive common stock (in shares) | 2,166 | 88,462 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets (Schedule of Goodwill by Segment) (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Goodwill [Line Items] | ||
Goodwill, gross | $ 1,458,700 | |
Accumulated impairment loss | (127,000) | |
Goodwill, net | 1,331,699 | $ 1,243,034 |
Communications | ||
Goodwill [Line Items] | ||
Goodwill, gross | 584,700 | |
Accumulated impairment loss | 0 | |
Goodwill, net | 584,700 | |
Clean Energy and Infrastructure | ||
Goodwill [Line Items] | ||
Goodwill, gross | 164,400 | |
Accumulated impairment loss | 0 | |
Goodwill, net | 164,400 | |
Oil and Gas | ||
Goodwill [Line Items] | ||
Goodwill, gross | 513,200 | |
Accumulated impairment loss | (127,000) | |
Goodwill, net | 386,200 | |
Electrical Transmission | ||
Goodwill [Line Items] | ||
Goodwill, gross | 196,400 | |
Accumulated impairment loss | 0 | |
Goodwill, net | $ 196,400 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets (Narrative) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Goodwill [Line Items] | |
Goodwill, acquired during period | $ 88.1 |
Goodwill, measurement period adjustments | 0.1 |
Goodwill, Gross | |
Goodwill [Line Items] | |
Goodwill, currency translation gains (losses) | 3.6 |
Goodwill, Accumulated Impairment Loss | |
Goodwill [Line Items] | |
Goodwill, currency translation gains (losses) | $ (3.2) |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets (Rollforward of Other Intangible Assets) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Other Intangible Assets [Line Items] | ||
Other intangible assets, gross | $ 432,600 | |
Accumulated amortization | (248,600) | |
Other Intangible Assets [Rollforward] | ||
Other intangible assets, net, beginning balance | $ 184,043 | |
Additions from new business combinations | 367,200 | |
Currency translation adjustments | 1,000 | |
Amortization expense | (31,200) | |
Other intangible assets, net, ending balance | 521,033 | |
Customer Relationships and Backlog | ||
Other Intangible Assets [Line Items] | ||
Other intangible assets, amortizing, gross | 297,900 | |
Accumulated amortization | (218,500) | |
Other Intangible Assets [Rollforward] | ||
Other intangible assets, net, amortizing, beginning balance | 79,400 | |
Additions from new business combinations, amortizing intangible assets | 311,800 | |
Currency translation adjustments, amortizing intangible assets | 0 | |
Amortization expense | (23,400) | |
Other intangible assets, net, amortizing, ending balance | 367,800 | |
Pre-Qualifications | ||
Other Intangible Assets [Line Items] | ||
Other intangible assets, amortizing, gross | 73,800 | |
Accumulated amortization | (10,600) | |
Other Intangible Assets [Rollforward] | ||
Other intangible assets, net, amortizing, beginning balance | 63,200 | |
Additions from new business combinations, amortizing intangible assets | 0 | |
Currency translation adjustments, amortizing intangible assets | 1,000 | |
Amortization expense | (5,400) | |
Other intangible assets, net, amortizing, ending balance | 58,800 | |
Other Amortizing Intangible Assets | ||
Other Intangible Assets [Line Items] | ||
Other intangible assets, amortizing, gross | 26,400 | |
Accumulated amortization | (19,500) | |
Other Intangible Assets [Rollforward] | ||
Other intangible assets, net, amortizing, beginning balance | 6,900 | |
Additions from new business combinations, amortizing intangible assets | 55,400 | |
Currency translation adjustments, amortizing intangible assets | 0 | |
Amortization expense | (2,400) | |
Other intangible assets, net, amortizing, ending balance | 59,900 | |
Trade Names | ||
Other Intangible Assets [Line Items] | ||
Other intangible assets, non-amortizing | 34,500 | $ 34,500 |
Other Intangible Assets [Rollforward] | ||
Other intangible assets, non-amortizing, beginning balance | 34,500 | |
Additions from new business combinations, non-amortizing intangible assets | 0 | |
Currency translation adjustments, non-amortizing intangible assets | 0 | |
Other intangible assets, non-amortizing, ending balance | $ 34,500 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets (Quarterly Assessment for Indicators of Impairment) (Narrative) (Details) | 3 Months Ended |
Jun. 30, 2021reportingUnit | |
Oil and Gas | |
Goodwill [Line Items] | |
Number of reporting units | 1 |
Clean Energy and Infrastructure | |
Goodwill [Line Items] | |
Number of reporting units | 1 |
Goodwill and Other Intangible_7
Goodwill and Other Intangible Assets (2021 Acquisitions) (Narrative) (Details) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021USD ($)acquisition | Dec. 31, 2020USD ($)yracquisition | |
Business Acquisition [Line Items] | ||
Business combinations, number of acquisitions | acquisition | 5 | |
Goodwill, net | $ 1,331,699 | $ 1,243,034 |
Electrical Transmission | ||
Business Acquisition [Line Items] | ||
Business combinations, number of acquisitions | acquisition | 1 | |
Goodwill, net | $ 196,400 | |
2021 Acquisitions | ||
Business Acquisition [Line Items] | ||
Business combinations, number of acquisitions | acquisition | 7 | |
Total consideration transferred | $ 629,100 | |
Amortizing intangible assets, weighted average useful life | 17 years | |
Amortizing intangible assets | $ 367,200 | |
Goodwill, net | 88,100 | |
Business acquisition, goodwill, expected tax deductible amount | 74,000 | |
Estimated fair value of contingent consideration | 40,000 | |
Business combination, contingent consideration, current | 26,000 | |
Acquisition-related contingent consideration liabilities, range of potential undiscounted earn-out liabilities, high | 86,000 | |
2021 Acquisitions | Electrical Transmission | ||
Business Acquisition [Line Items] | ||
Total consideration transferred | 450,000 | |
Goodwill, net | $ 46,000 | |
2021 Acquisitions | Minimum | Expected Term | ||
Business Acquisition [Line Items] | ||
Business combinations, contingent consideration, earn-out period (in years) | yr | 1 | |
2021 Acquisitions | Maximum | Expected Term | ||
Business Acquisition [Line Items] | ||
Business combinations, contingent consideration, earn-out period (in years) | yr | 5 | |
2021 Acquisitions | Customer Relationships | ||
Business Acquisition [Line Items] | ||
Amortizing intangible assets, weighted average useful life | 18 years | |
2021 Acquisitions | Trade Names | ||
Business Acquisition [Line Items] | ||
Amortizing intangible assets, weighted average useful life | 17 years | |
2021 Acquisitions | Customer Relationships And Trade Names | ||
Business Acquisition [Line Items] | ||
Amortizing intangible assets, weighted average useful life | 20 years | |
Amortizing intangible assets | $ 282,000 |
Goodwill and Other Intangible_8
Goodwill and Other Intangible Assets (Schedule of Recognized Identified Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Acquisition consideration: | |||
Cash, net of cash acquired | $ 589,055 | $ 10,493 | |
Identifiable assets acquired and liabilities assumed: | |||
Goodwill | 1,331,699 | $ 1,243,034 | |
2021 Acquisitions | |||
Acquisition consideration: | |||
Cash, net of cash acquired | 589,000 | ||
Estimated fair value of contingent consideration | 40,100 | ||
Total consideration transferred | 629,100 | ||
Identifiable assets acquired and liabilities assumed: | |||
Current assets, primarily accounts receivable | 216,200 | ||
Long-term assets, primarily property and equipment and operating lease assets | 182,000 | ||
Amortizing intangible assets | 367,200 | ||
Current liabilities, including current portion of operating lease liabilities | (147,300) | ||
Long-term liabilities, primarily operating lease liabilities and deferred income taxes | (77,100) | ||
Total identifiable net assets | 541,000 | ||
Goodwill | 88,100 | ||
Total net assets acquired, including goodwill | $ 629,100 |
Goodwill and Other Intangible_9
Goodwill and Other Intangible Assets (2020 Acquisitions) (Narrative) (Details) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2023USD ($) | Dec. 31, 2020USD ($)yracquisition | |
Business Acquisition [Line Items] | ||||
Business combinations, number of acquisitions | 5 | |||
Cash, net of cash acquired | $ | $ 589,055 | $ 10,493 | ||
Install to Home | ||||
Business Acquisition [Line Items] | ||||
Business combinations, number of acquisitions | 1 | |||
Clean Energy and Infrastructure and Communications | ||||
Business Acquisition [Line Items] | ||||
Business combinations, number of acquisitions | 2,000,000 | |||
Communications and Energy Infastructure | ||||
Business Acquisition [Line Items] | ||||
Business combinations, number of acquisitions | 3 | |||
Communications | ||||
Business Acquisition [Line Items] | ||||
Business combinations, number of acquisitions | 1 | |||
Electrical Transmission | ||||
Business Acquisition [Line Items] | ||||
Business combinations, number of acquisitions | 1 | |||
2020 Acquisitions | ||||
Business Acquisition [Line Items] | ||||
Cash, net of cash acquired | $ | $ 23,600 | |||
Estimated fair value of contingent consideration | $ | $ 8,300 | |||
Acquisition-related contingent consideration liabilities, range of potential undiscounted earn-out liabilities, high | $ | $ 12,000 | |||
2020 Acquisitions | Maximum | Expected Term | ||||
Business Acquisition [Line Items] | ||||
Business combinations, contingent consideration, earn-out period (in years) | yr | 5 | |||
2020 Acquisitions | Forecast | ||||
Business Acquisition [Line Items] | ||||
Cash, net of cash acquired | $ | $ 3,100 | |||
2020 Acquisitions | Clean Energy and Infrastructure | ||||
Business Acquisition [Line Items] | ||||
Business combinations, percentage of interests acquired | 91.00% | 96.00% | 91.00% |
Goodwill and Other Intangibl_10
Goodwill and Other Intangible Assets (Pro Forma Financial Information and Acquisition Results) (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Pro Forma Financial Information and Acquisition Results [Abstract] | ||||
Business combinations, unaudited supplemental pro forma revenue | $ 2,000 | $ 1,900 | $ 4,000 | $ 3,600 |
Business combinations, unaudited supplemental pro forma net income (loss) | 81.6 | 58.6 | 151.2 | 95.5 |
Business combinations, consolidated acquisition-related revenue | 271.4 | 63.5 | 358.2 | 113 |
Business combinations, consolidated acquisition-related income (loss) | $ 3.5 | $ 0.4 | $ 4.7 | $ (0.5) |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Acquisition-Related Contingent Consideration and Other Liabilities) (Narrative) (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Acquisition-related contingent consideration liabilities, net increase (decrease), measurement period adjustments | $ 100,000 | ||||
All Acquisitions [Member] | |||||
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Acquisition-related contingent consideration liabilities, range of potential undiscounted earn-out liabilities, low | $ 17,000,000 | 17,000,000 | |||
Acquisition-related contingent consideration liabilities, range of potential undiscounted earn-out liabilities, high | $ 189,000,000 | $ 189,000,000 | |||
Discount Rate | Minimum | |||||
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Acquisition-related contingent consideration liabilities, measurement input, discount rate | 0.120 | 0.120 | |||
Discount Rate | Maximum | |||||
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Acquisition-related contingent consideration liabilities, measurement input, discount rate | 0.235 | 0.235 | |||
Discount Rate | Weighted Average | |||||
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Acquisition-related contingent consideration liabilities, measurement input, discount rate | 0.130 | 0.130 | |||
Earn-Out Liabilities | |||||
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Acquisition-related contingent consideration liabilities, estimated fair value | $ 119,800,000 | $ 119,800,000 | $ 135,200,000 | ||
Acquisition-related contingent consideration liabilities, additions from new business combinations | 40,100,000 | $ 7,200,000 | 40,100,000 | $ 7,200,000 | |
Acquisition-related contingent consideration liabilities, net increase (decrease), measurement period adjustments | 0 | 0 | 1,100,000 | ||
Acquisition-related contingent consideration liabilities, net increase (decrease), fair value adjustments, expense (income) | (8,900,000) | (9,300,000) | 1,700,000 | ||
Acquisition-related contingent consideration liabilities, payments | 46,200,000 | $ 50,400,000 | 46,200,000 | $ 50,400,000 | |
Earn-Out Liabilities | Other Current Liabilities | |||||
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Acquisition-related contingent consideration liabilities, estimated fair value | 58,900,000 | 58,900,000 | 48,100,000 | ||
Earn-Out Liabilities | Mandatorily Redeemable Stock | |||||
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Acquisition-related contingent consideration liabilities, estimated fair value | 16,800,000 | 16,800,000 | $ 18,800,000 | ||
Acquisition-related contingent consideration liabilities, payments | $ 2,100,000 | $ 2,100,000 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments (Equity Investments) (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | |||||
Equity investments, carrying value | $ 248,000,000 | $ 248,000,000 | $ 220,000,000 | ||
Equity investments, adjusted cost basis, amount | 18,000,000 | 18,000,000 | 17,000,000 | ||
Equity investments, impairments | $ 0 | $ 0 | $ 0 | $ 0 | |
Loans Receivable | |||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | |||||
Financing receivables | 3,000,000 | ||||
Financing commitments | 3,000,000 | ||||
Waha JVs | |||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | |||||
Equity method investments, ownership percentage | 33.00% | 33.00% | |||
Equity investments, carrying value | $ 201,000,000 | $ 201,000,000 | 175,000,000 | ||
CCI | |||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | |||||
Equity investments, adjusted cost basis, amount | $ 15,000,000 | $ 15,000,000 | |||
CCI | Immediate Family Member of Management | |||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | |||||
Equity investments without readily determinable fair value, ownership percentage | 15.00% | 15.00% | |||
FM Tech | |||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | |||||
Equity method investments, ownership percentage | 50.00% | 50.00% | |||
Equity investments, carrying value | $ 17,000,000 | $ 17,000,000 | $ 16,000,000 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments (The Waha JVs) (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | |||||
Equity method investments, equity in earnings (losses) | $ 7,525,000 | $ 6,813,000 | $ 14,871,000 | $ 14,647,000 | |
Equity method investments, net investment | 248,000,000 | 248,000,000 | $ 220,000,000 | ||
Unrealized gains (losses) on equity investee activity, net of tax | (3,465,000) | (1,325,000) | 10,374,000 | (24,286,000) | |
Waha JVs | |||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | |||||
Equity method investments, equity in earnings (losses) | 8,600,000 | 7,600,000 | 16,300,000 | 15,300,000 | |
Equity method investments, distributions of earnings received, operating cash flows | 0 | 5,200,000 | 0 | 7,900,000 | |
Equity method investments, cumulative undistributed earnings | 83,600,000 | 83,600,000 | |||
Equity method investments, net investment | 201,000,000 | 201,000,000 | $ 175,000,000 | ||
Unrealized gains (losses) on equity investee activity, before tax | (4,900,000) | (1,700,000) | 12,300,000 | (32,000,000) | |
Unrealized gains (losses) on equity investee activity, net of tax | $ (3,700,000) | $ (1,300,000) | $ 9,400,000 | $ (24,300,000) |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments (Other Investments - AVCT) (Narrative) (Details) - AVCT - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Equity investment ownership, percentage | 8.00% | 8.00% | 9.00% | ||
Beneficial ownership of all interests, percentage | 21.00% | 21.00% | 21.00% | ||
Equity investment and warrants, amount paid (in dollars) | $ 5 | $ 5 | |||
Unrealized fair value measurement gains (losses), AVCT shares | 1 | $ 3.8 | $ 3.8 | ||
Unrealized gains (losses) on AVCT convertible debentures, before tax | 0.3 | 1.3 | |||
Unrealized gains (losses) on AVCT convertible debentures, net of tax | 0.2 | 1 | |||
Common Stock | |||||
Fair Value, Financial Instruments Measured on a Recurring Basis [Line Items] | |||||
Equity securities, fair value | $ 19 | $ 19 | $ 17 |
Fair Value of Financial Instr_6
Fair Value of Financial Instruments (Other Investments - Other Equity Method Investments) (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | ||||||
Equity method investments, equity in earnings (losses) | $ 7,525,000 | $ 6,813,000 | $ 14,871,000 | $ 14,647,000 | ||
Equity method investments, net investment | $ 248,000,000 | $ 248,000,000 | $ 220,000,000 | |||
Confluence | ||||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | ||||||
Equity method investments, ownership percentage | 75.00% | 75.00% | ||||
Equity method investments, equity contributions | $ 600,000 | $ 1,000,000 | ||||
Equity method investments, equity in earnings (losses) | (300,000) | (300,000) | ||||
Confluence | Maximum | ||||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | ||||||
Financing commitments | 2,500,000 | 2,500,000 | ||||
Telecommunications Equity Method Investees | ||||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | ||||||
Equity method investments, equity contributions | 0 | 0 | 2,000,000 | 0 | ||
Equity method investments, equity in earnings (losses) | (1,000,000) | (1,000,000) | (1,000,000) | (1,000,000) | ||
Equity method investments, net investment | 20,000,000 | 20,000,000 | 19,000,000 | |||
Payments for advance to affiliate | 0 | 200,000 | ||||
Telecommunications Equity Method Investees | Subcontracting Arrangements | ||||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | ||||||
Expenses, related party | 2,400,000 | 3,600,000 | 4,100,000 | 6,300,000 | ||
Payables, related party | 500,000 | 500,000 | 200,000 | |||
Telecommunications Equity Method Investees | Employee Leasing Arrangement | ||||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | ||||||
Expenses, related party | $ 200,000 | $ 200,000 | ||||
Receivables, related party | $ 500,000 | $ 500,000 | 400,000 | |||
FM Tech | ||||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | ||||||
Equity method investments, ownership percentage | 50.00% | 50.00% | ||||
Equity method investments, equity contributions | $ 2,000,000 | |||||
Equity method investments, net investment | $ 17,000,000 | $ 17,000,000 | 16,000,000 | |||
FM Tech | Equity Method Investments | ||||||
Fair Value, Financial Instruments Measured on a Non-Recurring Basis [Line Items] | ||||||
Financing commitments | $ 3,000,000 | $ 3,000,000 | $ 9,000,000 |
Fair Value of Financial Instr_7
Fair Value of Financial Instruments (Senior Notes) (Narrative) (Details) - 4.50% Senior Notes - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Fair Value Disclosure of Liabilities Not Measured at Fair Value [Line Items] | ||
Senior notes, gross carrying amount | $ 600 | $ 600 |
Senior Notes | ||
Fair Value Disclosure of Liabilities Not Measured at Fair Value [Line Items] | ||
Debt instrument, interest rate (percentage) | 4.50% | 4.50% |
Senior notes, estimated fair value | $ 627 | $ 625.5 |
Accounts Receivable, Net of A_3
Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities (Schedule of Accounts Receivable, Net of Allowance and Contract Assets) (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Receivables [Abstract] | ||
Contract billings | $ 874,400 | $ 805,000 |
Less allowance | (9,200) | (20,500) |
Accounts receivable, net of allowance | 865,235 | 784,488 |
Contract Assets [Abstract] | ||
Retainage | 271,500 | 287,700 |
Unbilled receivables | 832,200 | 682,000 |
Contract assets | $ 1,103,726 | $ 969,743 |
Accounts Receivable, Net of A_4
Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Schedule of Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities [Line Items] | |||||
Provision for credit losses | $ (11,000) | $ 12,300 | |||
Contract liabilities | $ 238,853 | 238,853 | $ 228,388 | ||
Contract with customer liability, deferred revenue current | 217,400 | 217,400 | $ 203,000 | ||
Deferred revenue, revenue recognized | 19,300 | 166,100 | |||
Non-recourse financing agreement, discount charge | (13,829) | $ (14,808) | (26,288) | (31,812) | |
Receivables, Non-Recourse Arrangement | |||||
Schedule of Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities [Line Items] | |||||
Non-recourse financing agreement, discount charge | $ (800) | $ (1,400) | $ (1,500) | $ (3,200) | |
Minimum | |||||
Schedule of Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities [Line Items] | |||||
Retainage, percentage of contract billings | 5.00% | ||||
Maximum | |||||
Schedule of Accounts Receivable, Net of Allowance, and Contract Assets and Liabilities [Line Items] | |||||
Retainage, percentage of contract billings | 10.00% |
Property and Equipment, Net (Sc
Property and Equipment, Net (Schedule of Property and Equipment, Net) (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Property and Equipment [Line Items] | ||
Property and equipment | $ 2,409,600 | $ 2,169,700 |
Less accumulated depreciation and amortization | (1,308,400) | (1,187,400) |
Property and equipment, net | 1,101,234 | 982,328 |
Land | ||
Property and Equipment [Line Items] | ||
Property and equipment | 11,100 | 6,000 |
Buildings and leasehold improvements | ||
Property and Equipment [Line Items] | ||
Property and equipment | 49,200 | 40,500 |
Machinery and equipment | ||
Property and Equipment [Line Items] | ||
Property and equipment | 2,088,800 | 1,875,500 |
Office furniture and equipment | ||
Property and Equipment [Line Items] | ||
Property and equipment | 232,400 | 221,600 |
Construction in progress | ||
Property and Equipment [Line Items] | ||
Property and equipment | $ 28,100 | $ 26,100 |
Property and Equipment, Net (Na
Property and Equipment, Net (Narrative) (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Abstract] | ||
Capitalized internal-use software, gross | $ 161 | $ 154.1 |
Capitalized internal-use software, net | $ 35 | $ 34.3 |
Debt (Schedule of Carrying Valu
Debt (Schedule of Carrying Values of Debt) (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Finance lease and other obligations | $ 313,100 | $ 288,500 |
Total debt obligations | 1,598,000 | 1,318,700 |
Less unamortized deferred financing costs | (14,400) | (16,000) |
Total debt, net of deferred financing costs | 1,583,600 | 1,302,700 |
Current portion of long-term debt | 163,116 | 145,110 |
Long-term debt | 1,420,460 | 1,157,632 |
Credit Facility | Revolving Loans | ||
Debt Instrument [Line Items] | ||
Long-term debt obligations | 292,400 | 32,700 |
Credit Facility | Term Loan | ||
Debt Instrument [Line Items] | ||
Long-term debt obligations | 392,500 | 397,500 |
Senior Notes | 4.50% Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt obligations | $ 600,000 | $ 600,000 |
Debt instrument, interest rate (percentage) | 4.50% | 4.50% |
Debt (Senior Secured Credit Fac
Debt (Senior Secured Credit Facility) (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | Jun. 30, 2021 | Dec. 31, 2020 | |
Debt Instrument [Line Items] | ||||
Line of credit facility, letters of credit issued | $ 151.8 | $ 123.7 | $ 151.8 | |
Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | 1,750 | |||
Line of credit facility, letters of credit issued | 133.6 | $ 97.5 | $ 133.6 | |
Line of credit facility, unused facility fee (percentage) | 0.20% | 0.20% | ||
Credit Facility | Revolving Loans | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | $ 1,350 | |||
Line of credit facility, remaining borrowing capacity | $ 1,200 | $ 1,000 | $ 1,200 | |
Credit Facility | Revolving Loans | Weighted Average | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, interest rate (percentage) | 1.87% | 1.37% | 1.87% | |
Credit Facility | Term Loan | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | $ 400 | |||
Line of credit facility, term loan, amount of quarterly principal installment payments | $ 2.5 | |||
Line of credit facility, interest rate (percentage) | 1.40% | 1.35% | 1.40% | |
Credit Facility | Term Loan | Forecast | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, term loan, amount of quarterly principal installment payments | $ 5 | |||
Credit Facility | Foreign Denomination | ||||
Debt Instrument [Line Items] | ||||
Long-term line of credit | $ 33 | $ 22 | $ 33 | |
Line of credit facility, remaining borrowing capacity | 267.3 | 278 | 267.3 | |
Credit Facility | Letters of Credit | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, capacity available for letters of credit | $ 516.4 | $ 552.5 | $ 516.4 | |
Credit Facility | Letters of Credit | Performance Standby | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, interest rate (percentage) | 0.375% | 0.375% | 0.375% | |
Credit Facility | Letters of Credit | Commercial and/or Financial Standby | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, interest rate (percentage) | 1.25% | 1.25% | 1.25% |
Debt (Other Credit Facilities)
Debt (Other Credit Facilities) (Narrative) (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Letters of credit issued | $ 123,700,000 | $ 151,800,000 |
Other Credit Facilities | ||
Debt Instrument [Line Items] | ||
Long-term debt obligations | 0 | 0 |
Line of Credit | Letters of Credit | ||
Debt Instrument [Line Items] | ||
Line of credit facility, maximum borrowing capacity | 50,000,000 | |
Standby Letters of Credit | Line of Credit | ||
Debt Instrument [Line Items] | ||
Letters of credit issued | $ 26,200,000 | $ 18,200,000 |
Standby Letters of Credit | Line of Credit | Letters of Credit | ||
Debt Instrument [Line Items] | ||
Line of credit facility, interest rate (percentage) | 0.40% | 0.50% |
Debt (Additional Information) (
Debt (Additional Information) (Narrative) (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Disclosure [Abstract] | ||
Debt instruments, accrued interest payable | $ 11.7 | $ 12.4 |
Lease Obligations (Narrative) (
Lease Obligations (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Lessee, Lease, Description [Line Items] | |||||
Finance leases, assets, gross | $ 628.8 | $ 628.8 | $ 563 | ||
Finance Lease, Liability, Statement of Financial Position [Extensible List] | Property and equipment, net | Property and equipment, net | Property and equipment, net | ||
Finance leases, assets, net | $ 466.3 | $ 466.3 | $ 418.7 | ||
Finance leases, assets, depreciation | 18.7 | $ 16.8 | 37.7 | $ 32.6 | |
Operating leases, additions | 79.7 | 7.5 | 85.3 | 13.3 | |
Operating leases, expense | 28.1 | 26.8 | 55.5 | 62.1 | |
Operating leases, variable lease costs | 2.9 | 2.8 | 5.1 | 5.7 | |
Operating leases, short-term leases, expense | $ 130.8 | $ 72.9 | $ 240.9 | $ 150.4 | |
Finance leases, weighted average remaining lease term (in years) | 2 years 6 months | 2 years 6 months | |||
Finance leases, weighted average discount rate, percent | 3.50% | 3.50% | |||
Operating leases, weighted average remaining lease term (in years) | 3 years 10 months 24 days | 3 years 10 months 24 days | |||
Operating leases, weighted average discount rate, percent | 3.10% | 3.10% | |||
2021 Acquisitions | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating leases, additions | $ 74.6 | ||||
Minimum | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating leases, term of contract (in years) | 1 year | 1 year | |||
Minimum | Equipment Leases | |||||
Lessee, Lease, Description [Line Items] | |||||
Leases, renewal term | 1 year | ||||
Minimum | Facility Leases | |||||
Lessee, Lease, Description [Line Items] | |||||
Leases, renewal term | 1 year | ||||
Maximum | |||||
Lessee, Lease, Description [Line Items] | |||||
Leases, remaining lease terms | 9 years | ||||
Operating leases, term of contract (in years) | 1 year | 1 year | |||
Maximum | Equipment Leases | |||||
Lessee, Lease, Description [Line Items] | |||||
Leases, renewal term | 5 years | ||||
Maximum | Facility Leases | |||||
Lessee, Lease, Description [Line Items] | |||||
Leases, renewal term | 5 years |
Lease Obligations (Schedule of
Lease Obligations (Schedule of Future Minimum Lease Commitments) (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Finance Leases | ||
2021, remaining six months | $ 81,900 | |
2022 | 127,700 | |
2023 | 74,200 | |
2024 | 34,100 | |
2025 | 7,400 | |
Thereafter | 1,000 | |
Total minimum lease payments | 326,300 | |
Less amounts representing interest | (13,600) | |
Total lease obligations, net of interest | 312,700 | |
Less current portion | 145,400 | |
Long-term portion of lease obligations, net of interest | $ 167,300 | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | Current portion of long-term debt, including finance leases | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Long-term debt, including finance leases | |
Operating Leases | ||
2021, remaining six months | $ 54,000 | |
2022 | 72,600 | |
2023 | 42,900 | |
2024 | 30,000 | |
2025 | 18,600 | |
Thereafter | 24,900 | |
Total minimum lease payments | 243,000 | |
Less amounts representing interest | (14,600) | |
Total lease obligations, net of interest | 228,400 | |
Less current portion | 85,573 | $ 72,481 |
Long-term portion of lease obligations, net of interest | $ 142,777 | $ 116,506 |
Stock-Based Compensation and _3
Stock-Based Compensation and Other Employee Benefit Plans (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Stock-Based Compensation and Other Employee Benefit Plans [Line Items] | ||||
Stock-based compensation plans, number of shares available for future grant | 3,666,000 | 3,666,000 | ||
Non-cash stock-based compensation expense | $ 6.1 | $ 5.8 | $ 11.6 | $ 9.9 |
Stock-based compensation, income tax benefits | 1.2 | $ 1.4 | 2.3 | 2.2 |
Stock-based compensation, vested awards, net tax benefits (deficiencies) | $ 0.1 | $ 0.1 | $ (0.2) | |
Restricted Shares | Restated 2013 Incentive Plan | ||||
Stock-Based Compensation and Other Employee Benefit Plans [Line Items] | ||||
Share-based compensation, number of shares authorized | 1,150,000 | 1,150,000 |
Stock-Based Compensation and _4
Stock-Based Compensation and Other Employee Benefit Plans (Restricted Shares) (Narrative) (Details) - Restricted Shares - USD ($) $ in Millions | Jun. 30, 2021 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 |
Stock-Based Compensation and Other Employee Benefit Plans [Line Items] | |||||
Stock-based compensation awards, unearned compensation | $ 40.5 | $ 40.5 | $ 40.5 | ||
Stock-based compensation awards, unearned compensation, weighted average expected recognition period (in years) | 2 years | ||||
Stock-based compensation, vested awards, intrinsic value | $ 0.5 | $ 0.9 | $ 11.3 | $ 6.5 |
Stock-Based Compensation and _5
Stock-Based Compensation and Other Employee Benefit Plans (Schedule of Activity, Restricted Shares) (Details) | 6 Months Ended |
Jun. 30, 2021$ / sharesshares | |
Restricted Shares | |
Restricted Shares | |
Non-vested restricted shares, beginning balance (in shares) | 1,845,341 |
Granted (in shares) | 155,795 |
Vested (in shares) | (115,028) |
Canceled/forfeited (in shares) | (14,400) |
Non-vested restricted shares, ending balance (in shares) | 1,871,708 |
Per Share Weighted Average Grant Date Fair Value | |
Non-vested restricted shares, beginning balance (in dollars per share) | $ / shares | $ 34.90 |
Granted (in dollars per share) | $ / shares | 93.39 |
Vested (in dollars per share) | $ / shares | 52.10 |
Canceled/forfeited (in dollars per share) | $ / shares | 30.58 |
Non-vested restricted shares, ending balance (in dollars per share) | $ / shares | $ 38.75 |
Restricted Stock Units | |
Restricted Shares | |
Non-vested restricted shares, beginning balance (in shares) | 2,300 |
Non-vested restricted shares, ending balance (in shares) | 2,500 |
Stock-Based Compensation and _6
Stock-Based Compensation and Other Employee Benefit Plans (ESPP) (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Stock-Based Compensation and Other Employee Benefit Plans [Line Items] | ||||
Common shares issued (in shares) | 20,191 | 100,660 | 39,033 | 154,059 |
Cash proceeds (in dollars) | $ 0 | $ 3,936 | ||
Employee Stock Purchase Plans | ||||
Stock-Based Compensation and Other Employee Benefit Plans [Line Items] | ||||
ESPP purchase price, percent | 85.00% | |||
Cash proceeds (in dollars) | $ 1,800 | $ 2,400 | $ 3,200 | 3,900 |
Compensation expense | $ 200 | $ 800 | $ 500 | $ 1,200 |
Other Retirement Plans (Schedul
Other Retirement Plans (Schedule of Covered Employees and Contributions, Multiemployer Plans) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021USD ($)employee | Jun. 30, 2020USD ($)employee | Jun. 30, 2021USD ($)employee | Jun. 30, 2020USD ($)employee | |
Covered Employees and Contributions, Multiemployer Plans [Line Items] | ||||
Multiemployer plan, employer contribution, cost | $ 29.7 | $ 9 | $ 54.4 | $ 16.1 |
Pension | ||||
Covered Employees and Contributions, Multiemployer Plans [Line Items] | ||||
Multiemployer plan, employer contribution, cost | 21.7 | 6.9 | 44.2 | 12.3 |
Other Multiemployer | ||||
Covered Employees and Contributions, Multiemployer Plans [Line Items] | ||||
Multiemployer plan, employer contribution, cost | $ 8 | $ 2.1 | $ 10.2 | $ 3.8 |
Low | ||||
Covered Employees and Contributions, Multiemployer Plans [Line Items] | ||||
Multiemployer plans, covered employees (in number of employees) | employee | 2,532 | 1,424 | 2,412 | 1,119 |
High | ||||
Covered Employees and Contributions, Multiemployer Plans [Line Items] | ||||
Multiemployer plans, covered employees (in number of employees) | employee | 6,979 | 1,469 | 6,979 | 1,469 |
Equity (Share Activity) (Narrat
Equity (Share Activity) (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | |
Equity, Treasury Stock [Line Items] | |||||
Treasury stock acquired (in shares) | 0 | 0 | 3,600,000 | ||
Treasury stock acquired, value | $ 802,000 | $ 120,228,000 | |||
Stock repurchase program, remaining authorized repurchase amount | $ 158,600,000 | $ 158,600,000 | |||
December 2018 Share Repurchase Program | |||||
Equity, Treasury Stock [Line Items] | |||||
Stock repurchase program, remaining authorized repurchase amount | $ 8,600,000 | $ 8,600,000 | |||
March 2020 Share Repurchase Program | |||||
Equity, Treasury Stock [Line Items] | |||||
Stock repurchase program, remaining authorized repurchase amount | $ 150,000,000 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||||
Consolidated effective tax rate, percent | 26.30% | 26.70% | 28.40% | 18.60% |
Effective income tax rate reconciliation, nondeductible expense, share-based payment arrangement, amount | $ 2.3 | |||
Effective income tax rate reconciliation, change in deferred tax assets valuation allowance, amount | $ 9.6 |
Segments and Related Informat_3
Segments and Related Information (Narrative) (Details) - 6 months ended Jun. 30, 2021 | segment | reportingUnit |
Segment Reporting [Abstract] | ||
Number of operating segments | 5 | |
Number of reportable segments | 5 | 5 |
Segments and Related Informat_4
Segments and Related Information (Schedule of Financial Information by Reportable Segment - Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenue: | ||||
Revenue | $ 1,962,658 | $ 1,569,297 | $ 3,738,082 | $ 2,985,901 |
Communications | Customer Concentration Risk | Revenue | Utilities | ||||
Revenue: | ||||
Utilities customers, percentage of communications segment revenue | 20.60% | 14.90% | 20.40% | 15.00% |
Reportable Segments | Communications | ||||
Revenue: | ||||
Revenue | $ 630,400 | $ 654,300 | $ 1,199,000 | $ 1,298,400 |
Reportable Segments | Clean Energy and Infrastructure | ||||
Revenue: | ||||
Revenue | 481,500 | 426,100 | 831,900 | 712,400 |
Reportable Segments | Oil and Gas | ||||
Revenue: | ||||
Revenue | 621,400 | 368,500 | 1,346,900 | 727,600 |
Reportable Segments | Electrical Transmission | ||||
Revenue: | ||||
Revenue | 232,500 | 124,100 | 366,000 | 252,200 |
Reportable Segments | Other | ||||
Revenue: | ||||
Revenue | 0 | 100 | 0 | 100 |
Eliminations | ||||
Revenue: | ||||
Revenue | $ (3,100) | $ (3,800) | $ (5,700) | $ (4,800) |
Segments and Related Informat_5
Segments and Related Information (Schedule of Financial Information by Reportable Segment- EBITDA and Depreciation) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
EBITDA: | ||||
EBITDA | $ 224.1 | $ 159.9 | $ 422.5 | $ 273.8 |
Depreciation and amortization | 107.4 | 67.5 | 197.9 | 128 |
Reportable Segments | Communications | ||||
EBITDA: | ||||
EBITDA | 72.7 | 76.4 | 121.5 | 127.2 |
Depreciation and amortization | 23.8 | 21.4 | 45.6 | 41 |
Reportable Segments | Clean Energy and Infrastructure | ||||
EBITDA: | ||||
EBITDA | 15.6 | 30.1 | 26.4 | 35 |
Depreciation and amortization | 10.5 | 4.7 | 18.1 | 8.7 |
Reportable Segments | Oil and Gas | ||||
EBITDA: | ||||
EBITDA | 138.1 | 80.1 | 305.7 | 154.5 |
Depreciation and amortization | 56.2 | 32.1 | 108.3 | 60.2 |
Reportable Segments | Electrical Transmission | ||||
EBITDA: | ||||
EBITDA | 9.3 | (3.2) | 12.9 | 5.1 |
Depreciation and amortization | 14.1 | 6.6 | 20.2 | 12.4 |
Reportable Segments | Other | ||||
EBITDA: | ||||
EBITDA | 8.3 | 7.5 | 15.8 | 14.9 |
Depreciation and amortization | 0 | 0 | 0 | 0 |
Corporate | ||||
EBITDA: | ||||
EBITDA | (19.9) | (31) | (59.8) | (62.9) |
Depreciation and amortization | $ 2.8 | $ 2.7 | $ 5.7 | $ 5.7 |
Segments and Related Informat_6
Segments and Related Information (Reconciliation of Consolidated Income before Income Taxes to EBITDA) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
EBITDA Reconciliation: | ||||
Income before income taxes | $ 102,827 | $ 77,565 | $ 198,256 | $ 114,050 |
Interest expense, net | 13,829 | 14,808 | 26,288 | 31,812 |
Depreciation | 87,501 | 57,687 | 166,766 | 110,776 |
Amortization of intangible assets | 19,923 | 9,793 | 31,170 | 17,184 |
EBITDA | $ 224,100 | $ 159,900 | $ 422,500 | $ 273,800 |
Segments and Related Informat_7
Segments and Related Information (Foreign Operations) (Narrative) (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 |
Segments and Related Information [Line Items] | ||||||
Revenue | $ 1,962,658 | $ 1,569,297 | $ 3,738,082 | $ 2,985,901 | ||
Property and equipment, net | $ 1,101,234 | $ 982,328 | 1,101,234 | 1,101,234 | ||
United States | ||||||
Segments and Related Information [Line Items] | ||||||
Revenue | 1,900,000 | 1,600,000 | 3,700,000 | 2,900,000 | ||
Property and equipment, net | 1,100,000 | 959,500 | 1,100,000 | 1,100,000 | ||
Intangible assets and goodwill, net | 1,800,000 | 1,400,000 | 1,800,000 | 1,800,000 | ||
Foreign Operations | ||||||
Segments and Related Information [Line Items] | ||||||
Revenue | 33,400 | $ 14,000 | 79,900 | $ 59,600 | ||
Property and equipment, net | 21,500 | 22,800 | 21,500 | 21,500 | ||
Intangible assets and goodwill, net | $ 48,200 | $ 50,500 | $ 48,200 | $ 48,200 | ||
Foreign Operations | Accounts Receivable, Net, Less Deferred Revenue | Geographic Concentration Risk | ||||||
Segments and Related Information [Line Items] | ||||||
Concentration risk, percentage of total | 3.00% | 5.00% | ||||
Govermment | Revenue Benchmark | Customer Concentration Risk | ||||||
Segments and Related Information [Line Items] | ||||||
Concentration risk, percentage of total | 6.00% | 2.00% | 5.00% | 2.00% |
Segments and Related Informat_8
Segments and Related Information (Significant Customers) (Narrative) (Details) - Revenue Benchmark - Customer Concentration Risk | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Enbridge, Inc. | ||||
Segments and Related Information [Line Items] | ||||
Concentration risk, percentage of total | 12.00% | 1.00% | 18.00% | 1.00% |
AT&T | ||||
Segments and Related Information [Line Items] | ||||
Concentration risk, percentage of total | 12.00% | 19.00% | 12.00% | 21.00% |
Permian Highway Pipeline | ||||
Segments and Related Information [Line Items] | ||||
Concentration risk, percentage of total | 0.00% | 10.00% | 0.00% | 7.00% |
Commitments and Contingencies (
Commitments and Contingencies (Letters of Credit, Bonds, Self-Insurance) (Narrative) (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Commitments and Contingencies [Line Items] | ||
Letters of credit issued | $ 123.7 | $ 151.8 |
Self-Insurance | Workers' Compensation, General and Automobile Policies | ||
Commitments and Contingencies [Line Items] | ||
Self-insurance reserve | 145.6 | 129.6 |
Self-Insurance | Workers' Compensation, General and Automobile Policies | Other Long-Term Liabilities | ||
Commitments and Contingencies [Line Items] | ||
Self-insurance reserve, non-current | 89.4 | 86.1 |
Self-Insurance | Employee Group Medical Claims | ||
Commitments and Contingencies [Line Items] | ||
Self-insurance reserve | 5.1 | 4.3 |
Performance and Payment Bonds | ||
Commitments and Contingencies [Line Items] | ||
Bonded projects, estimated costs to complete | 724.4 | 263.2 |
Performance and Payment Bonds | Subsidiaries | ||
Commitments and Contingencies [Line Items] | ||
Outstanding bonds, amount | 1,919.1 | 764.8 |
Performance and Payment Bonds | Subsidiaries | Corporate Joint Venture | ||
Commitments and Contingencies [Line Items] | ||
Outstanding bonds, amount | 115 | |
Financial Guarantees | Self-Insurance | Workers' Compensation, General and Automobile Policies | ||
Commitments and Contingencies [Line Items] | ||
Letters of credit issued | 64.1 | 59.3 |
Surety Bonds | Self-Insurance | Workers' Compensation | ||
Commitments and Contingencies [Line Items] | ||
Outstanding bonds, amount | $ 37.4 | $ 37.4 |
Commitments and Contingencies_2
Commitments and Contingencies (Investment Arrangements) (Narrative) (Details) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021USD ($)constructionProject | Dec. 31, 2020USD ($) | |
Other Commitments [Line Items] | ||
Number of joint ventures | constructionProject | 3 | |
Cash | $ 237,271 | $ 423,118 |
Proportionately Consolidated Non-Controlled Joint Venture | ||
Other Commitments [Line Items] | ||
Cash | 6,900 | $ 8,200 |
Payments for advance to affiliate | $ 700 | |
Proportionately Consolidated Non-Controlled Joint Venture | Joint Ventures That Provide Electrical Transmission Infrastructure Services | Minimum | ||
Other Commitments [Line Items] | ||
Proportionately consolidated non-controlled joint venture, ownership percentage | 85.00% | |
Proportionately Consolidated Non-Controlled Joint Venture | Joint Ventures That Provide Electrical Transmission Infrastructure Services | Maximum | ||
Other Commitments [Line Items] | ||
Proportionately consolidated non-controlled joint venture, ownership percentage | 90.00% | |
Proportionately Consolidated Non-Controlled Joint Venture | Joint Venture Civil Construction Project | Minimum | ||
Other Commitments [Line Items] | ||
Proportionately consolidated non-controlled joint venture, ownership percentage | 30.00% | |
Proportionately Consolidated Non-Controlled Joint Venture | Joint Venture Civil Construction Project | Maximum | ||
Other Commitments [Line Items] | ||
Proportionately consolidated non-controlled joint venture, ownership percentage | 50.00% |
Commitments and Contingencies_3
Commitments and Contingencies (Concentrations of Risk) (Narrative) (Details) - customer | Jun. 30, 2021 | Dec. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 |
Concentration Risk [Line Items] | ||||||
Number of customers | 460 | |||||
Accounts Receivable, Net, Less Deferred Revenue | Credit Concentration Risk | Customer A | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage of total | 12.00% | 15.00% | ||||
Accounts Receivable, Net, Less Deferred Revenue | Credit Concentration Risk | Customer B | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage of total | 12.00% | |||||
Revenue | Customer Concentration Risk | Ten Largest Customers | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage of total | 55.00% | 66.00% | 60.00% | 63.00% |
Related Party Transactions (Man
Related Party Transactions (Management) (Narrative) (Details) - Management - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Equipment, Supplies and Services | |||||
Related Party Transaction [Line Items] | |||||
Payments, related party | $ 30,700,000 | $ 16,200,000 | $ 51,100,000 | $ 41,500,000 | |
Payables, related party | 500,000 | 500,000 | $ 8,900,000 | ||
Revenue, related party | 900,000 | 1,300,000 | 2,100,000 | 2,300,000 | |
Receivables, net, related party | 400,000 | 400,000 | 500,000 | ||
Subcontracting Arrangements | |||||
Related Party Transaction [Line Items] | |||||
Payments, related party | 16,800,000 | $ 0 | 45,800,000 | $ 600,000 | |
Payables, related party | $ 14,900,000 | $ 14,900,000 | $ 1,400,000 |
Related Party Transactions (Con
Related Party Transactions (Construction Management Firm and CCI) (Narrative) (Details) - CCI - Equipment - Immediate Family Member of Management - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Related Party Transaction [Line Items] | |||||
Payments, net of rebates, related party | $ 5.6 | $ 1 | $ 10.7 | $ 1.4 | |
Payables, related party | $ 5.1 | $ 5.1 | $ 4.2 |
Related Party Transactions (Exe
Related Party Transactions (Executive Officers) (Narrative) (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021USD ($)employee | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($)employee | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Management | Subcontracting Arrangements | |||||
Related Party Transaction [Line Items] | |||||
Number of management members, subcontracting arrangement | employee | 2 | 2 | |||
Expenses, related party | $ 16,800,000 | $ 0 | $ 45,800,000 | $ 600,000 | |
Payables, related party | 14,900,000 | 14,900,000 | $ 1,400,000 | ||
Chairman, Board of Directors | Lease Agreements | |||||
Related Party Transaction [Line Items] | |||||
Expenses, related party | 600,000 | 600,000 | 1,300,000 | 1,300,000 | |
Executive Officers | Related Customer | |||||
Related Party Transaction [Line Items] | |||||
Receivables, related party | 800,000 | 800,000 | 900,000 | ||
Charges, related party | 300,000 | 300,000 | 600,000 | 700,000 | |
Executive Officers | Construction Services | |||||
Related Party Transaction [Line Items] | |||||
Expenses, related party | 200,000 | 200,000 | |||
Payables, related party | $ 0 | $ 0 | 0 | ||
Revenue, related party | 1,500,000 | 5,500,000 | |||
Immediate Family Member of Management | Construction Management Firm Specializing in Steel Building Systems | |||||
Related Party Transaction [Line Items] | |||||
Advances outstanding, related party | $ 300,000 | $ 300,000 | $ 100,000 |
Related Party Transactions (M_2
Related Party Transactions (Management/Subcontracting agreement) (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2021 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Related Party Transaction [Line Items] | |||||
Line of credit facility, letters of credit issued | $ 123,700 | $ 123,700 | $ 123,700 | $ 151,800 | |
Noncontrolling interest, percentage of voting interests acquired | 15.00% | 15.00% | 15.00% | ||
Payments to non-controlling interests, including acquisition of interests and distributions | $ 6,800 | $ (8,888) | $ 0 | ||
Subcontracting Arrangements | Management | 2019 Acquisitions | |||||
Related Party Transaction [Line Items] | |||||
Receivables, net, related party | 400 | $ 400 | 400 | 400 | |
Charges, related party | 200 | 400 | |||
Subcontracting Arrangements | Management | 2019 Acquisitions | Line of Credit | |||||
Related Party Transaction [Line Items] | |||||
Line of credit facility, letters of credit issued | $ 15,000 | $ 15,000 | $ 15,000 | ||
Community Condotte DeMoya JV, LLC | |||||
Related Party Transaction [Line Items] | |||||
Equity method investments, ownership percentage | 25.00% | 25.00% | 25.00% | ||
Negative equity method investment | $ (1,600) | $ (1,600) | $ (1,600) | (2,000) | |
Community Condotte DeMoya JV, LLC | Subcontracting Arrangements | Management | |||||
Related Party Transaction [Line Items] | |||||
Receivables, net, related party | $ 2,300 | $ 2,300 | $ 2,300 | $ 1,900 |
Related Party Transactions (Spl
Related Party Transactions (Split Dollar Agreements) (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Chairman, Board of Directors | |||||
Related Party Transaction [Line Items] | |||||
Payments for life insurance policies | $ 0.7 | $ 0.7 | $ 0.7 | $ 0.7 | |
Chief Executive Officer | |||||
Related Party Transaction [Line Items] | |||||
Payments for life insurance policies | 0.5 | $ 0.5 | 0.5 | $ 0.5 | |
Executive Officers | |||||
Related Party Transaction [Line Items] | |||||
Life insurance assets, carrying amount | $ 23.4 | $ 23.4 | $ 22.2 |