Parsons (PSN) 10-Q 3 May 23 2023 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2023	Apr. 24, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Trading Symbol	PSN
Entity Registrant Name	Parsons Corporation
Entity Central Index Key	0000275880
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		104,857,376
Entity File Number	001-07782
Entity Tax Identification Number	95-3232481
Entity Address, Address Line One	5875 Trinity Parkway #300
Entity Address, City or Town	Centreville
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	20120
City Area Code	703
Local Phone Number	988-8500
Title of 12(b) Security	Common Stock, $1 par value
Security Exchange Name	NYSE
Document Quarterly Report	true
Document Transition Report	false
Entity Incorporation, State or Country Code	DE
Entity Interactive Data Current	Yes

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents (including $96,662 and $53,193 Cash of consolidated joint ventures)	$ 220,439	$ 262,539
Accounts receivable, net (including $212,924 and $217,419 Accounts receivable of consolidated joint ventures, net)	763,720	717,345
Contract assets (including $9,285 and $11,313 Contract assets of consolidated joint ventures)	683,631	634,033
Prepaid expenses and other current assets (including $12,871 and $7,913 Prepaid expenses and other current assets of consolidated joint ventures)	133,553	105,866
Total current assets	1,801,343	1,719,783
Property and equipment, net (including $3,083 and $2,543 Property and equipment of consolidated joint ventures, net)	94,759	96,050
Right of use assets, operating leases (including $6,863 and $6,315 Right of use assets, operating leases of consolidated joint ventures)	148,095	155,090
Goodwill	1,661,913	1,661,850
Investments in and advances to unconsolidated joint ventures	107,416	107,425
Intangible assets, net	236,117	254,127
Deferred tax assets	140,366	137,709
Other noncurrent assets	65,797	66,108
Total assets	4,255,806	4,198,142
Current liabilities:
Accounts payable (including $45,581 and $49,078 Accounts payable of consolidated joint ventures)	209,462	201,428
Accrued expenses and other current liabilities (including $128,145 and $102,417 Accrued expenses and other current liabilities of consolidated joint ventures)	635,089	630,193
Contract liabilities (including $39,958 and $40,654 Contract liabilities of consolidated joint ventures)	229,225	213,064
Short-term lease liabilities, operating leases (including $2,992 and $2,552 Short-term lease liabilities, operating leases of consolidated joint ventures)	55,606	59,144
Income taxes payable	10,689	4,290
Total current liabilities	1,140,071	1,108,119
Long-term employee incentives	18,599	17,375
Long-term debt	744,140	743,605
Long-term lease liabilities, operating leases (including $3,871 and $3,763 Long-term lease liabilities, operating leases of consolidated joint ventures)	107,482	111,417
Deferred tax liabilities	12,555	12,471
Other long-term liabilities	107,429	109,220
Total liabilities	2,130,276	2,102,207
Contingencies (Note 12)
Shareholders' equity:
Common stock, $1 par value; authorized 1,000,000,000 shares; 146,243,639 and 146,132,016 shares issued; 42,248,807 and 40,960,845 public shares outstanding; 62,565,812 and 63,742,151 ESOP shares outstanding	146,244	146,132
Treasury stock, 41,429,020 shares at cost	(844,936)	(844,936)
Additional paid-in capital	2,712,167	2,717,134
Retained earnings	68,429	43,089
Accumulated other comprehensive loss	(18,025)	(17,849)
Total Parsons Corporation shareholders' equity	2,063,879	2,043,570
Noncontrolling interests	61,651	52,365
Total shareholders' equity	2,125,530	2,095,935
Total liabilities and shareholders' equity	$ 4,255,806	$ 4,198,142

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Cash and cash equivalents	$ 220,439	$ 262,539
Accounts receivable, net	763,720	717,345
Contract assets	683,631	634,033
Prepaid expenses and other current assets	133,553	105,866
Property and equipment, net	94,759	96,050
Right of use assets, operating leases	148,095	155,090
Accounts payable	209,462	201,428
Accrued expenses and other current liabilities	635,089	630,193
Short-term lease liabilities, operating leases	55,606	59,144
Long-term lease liabilities, operating leases	107,482	111,417
Contract liabilities	$ 229,225	$ 213,064
Common stock, par value	$ 1	$ 1
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares, issued	146,243,639	146,132,016
Common stock, shares, outstanding	42,248,807	40,960,845
Treasury stock, shares	41,429,020	41,429,020
ESOP
Common stock, shares, outstanding	62,565,812	63,742,151
Consolidated Joint Ventures
Cash and cash equivalents	$ 96,662	$ 53,193
Accounts receivable, net	212,924	217,419
Contract assets	9,285	11,313
Prepaid expenses and other current assets	12,871	7,913
Property and equipment, net	3,083	2,543
Right of use assets, operating leases	6,863	6,315
Accounts payable	45,581	49,078
Accrued expenses and other current liabilities	128,145	102,417
Short-term lease liabilities, operating leases	2,992	2,552
Long-term lease liabilities, operating leases	3,871	3,763
Contract liabilities	$ 39,958	$ 40,654

Consolidated Statements of Inco

Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Statement [Abstract]
Revenue	$ 1,173,466	$ 949,069
Direct cost of contracts	917,188	733,900
Equity in (losses) earnings of unconsolidated joint ventures	(5,840)	5,598
Selling, general and administrative expenses	199,308	185,077
Operating income	51,130	35,690
Interest income	793	65
Interest expense	(6,458)	(3,938)
Other income (expense), net	1,314	145
Total other income (expense)	(4,351)	(3,728)
Income before income tax expense	46,779	31,962
Income tax expense	(11,503)	(8,119)
Net income including noncontrolling interests	35,276	23,843
Net income attributable to noncontrolling interests	(9,723)	(3,176)
Net income attributable to Parsons Corporation	$ 25,553	$ 20,667
Earnings per share:
Basic	$ 0.24	$ 0.20
Diluted	$ 0.23	$ 0.19

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Comprehensive Income [Abstract]
Net income including noncontrolling interests	$ 35,276	$ 23,843
Other comprehensive income, net of tax
Foreign currency translation adjustment, net of tax	(177)	2,874
Pension adjustments, net of tax	1	22
Comprehensive income including noncontrolling interests, net of tax	35,100	26,739
Comprehensive income attributable to noncontrolling interests, net of tax	(9,723)	(3,177)
Comprehensive income attributable to Parsons Corporation, net of tax	$ 25,377	$ 23,562

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash flows from operating activities:
Net income including noncontrolling interests	$ 35,276	$ 23,843
Adjustments to reconcile net income to net cash used in operating activities
Depreciation and amortization	28,359	30,509
Amortization of debt issue costs	657	649
Gain on disposal of property and equipment	(3)	(39)
Provision for doubtful accounts	0	(3)
Deferred taxes	(2,586)	(2,566)
Foreign currency transaction gains and losses	(290)	882
Equity in losses (earnings) of unconsolidated joint ventures	5,840	(5,598)
Return on investments in unconsolidated joint ventures	7,793	11,874
Stock-based compensation	6,992	3,898
Contributions of treasury stock	14,435	13,054
Changes in assets and liabilities, net of acquisitions and newly consolidated joint ventures:
Accounts receivable	(47,482)	(46,690)
Contract assets	(49,098)	(21,212)
Prepaid expenses and other assets	(27,948)	4,496
Accounts payable	8,009	(39,342)
Accrued expenses and other current liabilities	(10,898)	(4,134)
Contract liabilities	16,113	945
Income taxes	6,408	4,706
Other long-term liabilities	(567)	(986)
Net cash used in operating activities	(8,990)	(25,714)
Cash flows from investing activities:
Capital expenditures	(8,146)	(4,473)
Proceeds from sale of property and equipment	19	112
Investments in unconsolidated joint ventures	(13,016)	(9,713)
Return of investments in unconsolidated joint ventures	0	644
Proceeds from sales of investments in unconsolidated joint ventures	381	0
Net cash used in investing activities	(20,762)	(13,430)
Cash flows from financing activities:
Proceeds from borrowings under credit agreement	5,700	0
Repayments of borrowings under credit agreement	(5,700)	0
Contributions by noncontrolling interests	200	1,226
Distributions to noncontrolling interests	(638)	(8,309)
Repurchases of common stock	(6,000)	(5,548)
Taxes paid on vested stock	(6,064)	(5,771)
Net cash used in financing activities	(12,502)	(18,402)
Effect of exchange rate changes	154	425
Net decrease in cash, cash equivalents, and restricted cash	(42,100)	(57,121)
Cash, cash equivalents and restricted cash:
Beginning of year	262,539	343,883
End of period	$ 220,439	$ 286,762

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Treasury Stock	Additional Paid-in Capital	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)	Total Parsons Equity	Noncontrolling Interest
Beginning balance at Dec. 31, 2021	$ 1,937,112	$ 146,277	$ (867,391)	$ 2,684,979	$ (53,529)	$ (9,568)	$ 1,900,768	$ 36,344
Comprehensive income
Net income	23,843				20,667		20,667	3,176
Foreign currency translation gain (loss), net	2,874					2,873	2,873	1
Pension adjustments, net	22					22	22
Contributions	1,226							1,226
Distributions	(8,309)							(8,309)
Issuance of equity securities, net of retirements	(4,493)	222		(4,719)	4		(4,493)
Repurchases of common stock	(5,548)	(151)		(5,397)			(5,548)
Stock-based compensation	3,898			3,898			3,898
Ending Balance at Mar. 31, 2022	1,950,625	146,348	(867,391)	2,678,761	(32,858)	(6,673)	1,918,187	32,438
Beginning balance at Dec. 31, 2022	2,095,935	146,132	(844,936)	2,717,134	43,089	(17,849)	2,043,570	52,365
Comprehensive income
Net income	35,276				25,553		25,553	9,723
Foreign currency translation gain (loss), net	(177)					(177)	(177)
Pension adjustments, net	1					1	1
Contributions	200							200
Distributions	(638)							(638)
Issuance of equity securities, net of retirements	(6,060)	251		(6,098)	(213)		(6,060)
Repurchases of common stock	(6,000)	(139)		(5,861)			(6,000)
Stock-based compensation	6,992			6,992			6,992
Ending Balance at Mar. 31, 2023	$ 2,125,530	$ 146,244	$ (844,936)	$ 2,712,167	$ 68,429	$ (18,025)	$ 2,063,879	$ 61,651

Description of Operations

Description of Operations	3 Months Ended
	Mar. 31, 2023
Description Of Operations Disclosure [Abstract]
Description of Operations	1. Description of Operations Organization Parsons Corporation, a Delaware corporation, and its subsidiaries (collectively, the “Company”) provide sophisticated design, engineering and technical services, and smart and agile software to the United States federal government and Critical Infrastructure customers worldwide. The Company performs work in various foreign countries through local subsidiaries, joint ventures and foreign offices maintained to carry out specific projects.

Basis of Presentation and Princ

Basis of Presentation and Principles of Consolidation	3 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation and Principles of Consolidation	2. Basis of Presentation and Principles of Consolidation The accompanying unaudited consolidated financial statements and related notes of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP") and pursuant to the interim period reporting requirements of Form 10-Q. They do not include all of the information and footnotes required by GAAP for complete financial statements and, therefore, should be read in conjunction with our consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. In the opinion of management, the consolidated financial statements reflect all normal recurring adjustments necessary for a fair statement of the financial position, results of operations and cash flows for the interim periods presented. The results of operations and cash flows for any interim period are not necessarily indicative of results for the full year or for future years. This Quarterly Report on Form 10-Q includes the accounts of Parsons Corporation and its subsidiaries and affiliates which it controls. Interests in joint ventures that are controlled by the Company, or for which the Company is otherwise deemed to be the primary beneficiary, are consolidated. For joint ventures in which the Company does not have a controlling interest, but exerts a significant influence, the Company applies the equity method of accounting (see “Note 14 – Investments in and Advances to Joint Ventures" for further discussion). Intercompany accounts and transactions are eliminated in consolidation. Use of Estimates The preparation of the consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual amounts could differ from those estimates. The Company’s most significant estimates and judgments involve revenue recognition with respect to the determination of the costs to complete contracts and transaction price; determination of self-insurance reserves; useful lives of property and equipment and intangible assets; calculation of allowance for doubtful accounts; valuation of deferred income tax assets and uncertain tax positions, among others. Please see “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies and Estimates” and “Note 2—Summary of Significant Accounting Policies” in the notes to our consolidated financial statements included in the Company’s Form 10-K for the year ended December 31, 2022 , for a discussion of the significant estimates and assumptions affecting our consolidated financial statements. Estimates of costs to complete contracts are continually evaluated as work progresses and are revised when necessary. When a change in estimate is determined to have an impact on contract profit, the Company records a positive or negative adjustment to the consolidated statement of income.

New Accounting Pronouncements

New Accounting Pronouncements	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
New Accounting Pronouncements	3. New Accounting Pronouncements In the first quarter of 2022 , the Company early adopted ASU No. 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers”. The new guidance requires that the approach of ASC 606, Revenue from Contracts with Customers, should be used to measure an acquired revenue contract in a business combination. This guidance is to be applied (1) retrospectively to all business combinations for which the acquisition date occurs on or after the beginning of the fiscal year that includes the interim period of early application and (2) prospectively to all business combinations that occur on or after the date of initial application. The early adoption of ASU 2021-08 did no t have a material impact on the consolidated financial statements.

Acquisitions

Acquisitions	3 Months Ended
	Mar. 31, 2023
Business Combinations [Abstract]
Acquisitions	4. Acquisitions Xator Corporation On May 31, 2022, the Company acquired a 100 % ownership interest in Xator Corporation (“Xator”), a privately-owned company, for $ 388.3 million in cash. The Company borrowed $ 300 million under the Credit Agreement, as described in “Note 11 – Debt and Credit Facilities”, to partially fund the acquisition. Xator expands Parsons’ customer base and brings differentiated technical capabilities in critical infrastructure protection, counter-unmanned aircraft systems (cUAS), intelligence and cyber solutions, biometrics, and global threat assessment and operations. In connection with this acquisition, the Company recognized $ 7.7 million of acquisition-related expenses in “Selling, general and administrative expense” in the consolidated statements of income for the year ended December 31, 2022, including legal fees, consulting fees, and other miscellaneous direct expenses associated with the acquisition The following table summarizes the estimated fair values of the assets acquired and liabilities assumed based on the preliminary purchase price allocation as of the date of acquisition (in thousands): Amount Cash and cash equivalents $ 8,935 Accounts receivable 7,393 Contract assets 25,397 Prepaid expenses and other current assets 3,615 Property and equipment 1,699 Right of use assets, operating leases 7,517 Goodwill 253,190 Investments in and advances to unconsolidated joint ventures 698 Intangible assets 123,500 Other noncurrent assets 9,156 Accounts payable ( 6,626 ) Accrued expenses and other current liabilities ( 31,119 ) Contract liabilities ( 2,080 ) Short-term lease liabilities, operating leases ( 2,371 ) Long-term lease liabilities, operating leases ( 5,146 ) Other long-term liabilities ( 9,156 ) Net assets acquired $ 384,602 Of the total purchase price, the following values were preliminarily assigned to intangible assets (in thousands, except for years): Gross Amortization (in years) Customer relationships $ 37,000 15 Backlog 81,000 6 Trade Name 4,000 1 Developed technologies 1,000 3 Non-compete agreements 500 3 Amortization expense of $ 5.1 million related to these intangible assets was recorded for the three months ended March 31, 2023. The entire value of goodwill was assigned to the Federal Solutions reporting unit and represents synergies expected to be realized from this business combination. Goodwill in its entirety is deductible for tax purposes. The amount of revenue generated by Xator and included within consolidated revenues is $ 112.4 million for the three months ended March 31, 2023. The Company has determined that the presentation of net income from the date of acquisition is impracticable due to the integration of general corporate functions upon acquisition. The Company is still in the process of finalizing its valuation of net working capital acquired. Supplemental Pro Forma Information (Unaudited) Supplemental information of unaudited pro forma operating results assuming the Xator acquisition had been consummated as of the beginning of fiscal year 2021 (in thousands) is as follows: Three Months Ended March 31, 2023 March 31, 2022 Pro forma Revenue $ 1,173,466 $ 1,016,072 Pro forma Net Income including noncontrolling interests 37,574 27,298

Contracts with Customers

Contracts with Customers	3 Months Ended
	Mar. 31, 2023
Revenue from Contract with Customer [Abstract]
Contracts with Customers	5. Contracts with Customers Disaggregation of Revenue The Company’s contracts contain both fixed-price and cost reimbursable components. Contract types are based on the component that represents the majority of the contract. The following table presents revenue disaggregated by contract type (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Fixed-Price $ 341,012 $ 240,574 Time-and-Materials 318,315 263,315 Cost-Plus 514,139 445,180 Total $ 1,173,466 $ 949,069 See “Note 18 – Segments Information” for the Company’s revenues by business lines. Contract Assets and Contract Liabilities Contract assets and contract liabilities balances at March 31, 2023 and December 31, 2022 were as follows (in thousands): March 31, 2023 December 31, 2022 Contract assets $ 683,631 $ 634,033 Contract liabilities 229,225 213,064 Net contract assets (liabilities) (1) $ 454,406 $ 420,969 (1) Total contract retentions included in net contract assets (liabilities) were $ 74.1 million as of March 31, 2023, of which $ 31.6 million are not expected to be paid in the next 12 months. Total contract retentions included in net contract assets (liabilities) were $ 73.5 million as of December 31, 2022. Contract assets at March 31, 2023 and December 31, 2022 include $ 130.2 million and $ 127.9 million , respectively, related to unapproved change orders, claims, and requests for equitable adjustment. For the three months ended March 31, 2023 and March 31, 2022 , there were no material losses recognized related to the collectability of claims, unapproved change orders, and requests for equitable adjustment. During the three months ended March 31, 2023 and March 31, 2022 , the Company recognized revenue of $ 78.1 million and $ 63.9 million, respectively, that was included in the corresponding contract liability balances at December 31, 2022 and December 31, 2021 , respectively. Certain changes in contract assets and contract liabilities consisted of the following: March 31, 2023 December 31, 2022 Acquired contract assets $ - $ 25,397 Acquired contract liabilities - 2,080 There was no significant impairment of contract assets recognized during the three months ended March 31, 2023 and March 31, 2022. There were no revisions in estimates, such as changes in estimated claims or incentives, related to performance obligations partially satisfied in previous periods that individually had an impact of $ 5 million or more on revenue during the three months ended March 31, 2023 and March 31, 2022. Accounts Receivable, net Accounts receivable, net consisted of the following as of March 31, 2023 and December 31, 2022 (in thousands): 2023 2022 Billed $ 502,600 $ 502,411 Unbilled 265,131 218,945 Total accounts receivable, gross 767,731 721,356 Allowance for doubtful accounts ( 4,011 ) ( 4,011 ) Total accounts receivable, net $ 763,720 $ 717,345 Billed accounts receivable represents amounts billed to clients that have not been collected. Unbilled accounts receivable represents amounts where the Company has a present contractual right to bill but an invoice has not been issued to the customer at the period-end date. The allowance for doubtful accounts was determined based on consideration of trends in actual and forecasted credit quality of clients, including delinquency and payment history, type of client, such as a government agency or commercial sector client, and general economic conditions and particular industry conditions that may affect a client’s ability to pay. Transaction Price Allocated to the Remaining Unsatisfied Performance Obligations The Company’s remaining unsatisfied performance obligations (“RUPO”) as of March 31, 2023 represent a measure of the total dollar value of work to be performed on contracts awarded and in-progress. The Company had $ 6.1 billion in RUPO as of March 31, 2023. RUPO will increase with awards of new contracts and decrease as the Company performs work and recognizes revenue on existing contracts. Projects are included within RUPO at such time the project is awarded and agreement on contract terms has been reached. The difference between RUPO and backlog relates to unexercised option years that are included within backlog and the value of Indefinite Delivery/Indefinite Quantity (“IDIQ”) contracts included in backlog for which delivery orders have not been issued. RUPO is comprised of: (a) original transaction price, (b) change orders for which written confirmations from our customers have been received, (c) pending change orders for which the Company expects to receive confirmations in the ordinary course of business, and (d) claim amounts that the Company has made against customers for which it has determined that it has a legal basis under existing contractual arrangements and a significant reversal of revenue is not probable, less revenue recognized to-date. The Company expects to satisfy its RUPO as of March 31, 2023 over the following periods (in thousands): Period RUPO Will Be Satisfied Within One Year Within One to Two Years Thereafter Federal Solutions $ 1,556,366 $ 426,312 $ 354,968 Critical Infrastructure 1,815,189 881,384 1,029,688 Total $ 3,371,555 $ 1,307,696 $ 1,384,656

Leases

Leases	3 Months Ended
	Mar. 31, 2023
Leases [Abstract]
Leases	6. Leases The Company has operating and finance leases for corporate and project office spaces, vehicles, heavy machinery and office equipment. Our leases have remaining lease terms of one year to seven years , some of which may include options to extend the leases for up to five years , and some of which may include options to terminate the leases after the third year . The components of lease costs for the three months ended March 31, 2023 and March 31, 2022 are as follows (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Operating lease cost $ 16,625 $ 16,176 Short-term lease cost 3,663 3,480 Amortization of right-of-use assets 516 548 Interest on lease liabilities 33 21 Sublease income ( 1,124 ) ( 1,035 ) Total lease cost $ 19,713 $ 19,190 Supplemental cash flow information related to leases for the three months ended March 31, 2023 and March 31, 2022 is as follows (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Operating cash flows for operating leases $ 17,785 $ 17,506 Operating cash flows for finance leases 33 21 Financing cash flows from finance leases 516 511 Right-of-use assets obtained in exchange for new operating lease liabilities 4,707 2,304 Right-of-use assets obtained in exchange for new finance lease liabilities $ 1,228 $ - Supplemental balance sheet and other information related to leases as of March 31, 2023 and December 31, 2022 are as follows (in thousands): March 31, 2023 December 31, 2022 Operating Leases: Right-of-use assets $ 148,095 $ 155,090 Lease liabilities: Current $ 55,606 $ 59,144 Long-term 107,482 111,417 Total operating lease liabilities $ 163,088 $ 170,561 Finance Leases: Other noncurrent assets $ 4,677 $ 3,965 Accrued expenses and other current liabilities $ 1,866 $ 1,746 Other long-term liabilities $ 2,814 $ 2,246 Weighted Average Remaining Lease Term: Operating leases 3.5 Year 3.6 years Finance leases 2.8 Years 2.6 years Weighted Average Discount Rate: Operating leases 3.5 % 3.4 % Finance leases 3.5 % 2.8 % As of March 31, 2023 , the Company has no operating leases that have not yet commenced. A maturity analysis of the future undiscounted cash flows associated with the Company’s operating and finance lease liabilities as of March 31, 2023 is as follows (in thousands): Operating Leases Finance Leases 2023 (remaining) $ 47,319 $ 1,559 2024 47,657 1,620 2025 36,241 1,159 2026 21,466 542 2027 9,869 45 Thereafter 11,958 - Total lease payments 174,510 4,925 Less: imputed interest ( 11,422 ) ( 245 ) Total present value of lease liabilities $ 163,088 $ 4,680

Goodwill

Goodwill	3 Months Ended
	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	7. Goodwill The following table summarizes the changes in the carrying value of goodwill by reporting segment from December 31, 2022 to March 31, 2023 (in thousands): December 31, 2022 Acquisitions Foreign Exchange March 31, 2023 Federal Solutions $ 1,591,563 $ - $ - $ 1,591,563 Critical Infrastructure 70,287 - 63 70,350 Total $ 1,661,850 $ - $ 63 $ 1,661,913 The Company performed a qualitative triggering analysis and determined there was no triggering event indicating a potential impairment to the carrying value of its goodwill at March 31, 2023 and concluded there has no t been an impairment.

Intangible Assets

Intangible Assets	3 Months Ended
	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets	8. Intangible Assets The gross amount and accumulated amortization of intangible assets with finite useful lives included in “Intangible assets, net” on the consolidated balance sheets are as follows (in thousands except for years): March 31, 2023 December 31, 2022 Weighted Gross Accumulated Net Gross Accumulated Net Amortization (in years) Backlog $ 142,200 $ ( 54,378 ) $ 87,822 $ 142,200 $ ( 45,903 ) $ 96,297 4 Customer relationships 293,730 ( 153,514 ) 140,216 293,730 ( 146,032 ) 147,698 9 Leases 120 ( 92 ) 28 120 ( 87 ) 33 6 Developed technology 16,600 ( 12,228 ) 4,372 16,600 ( 11,560 ) 5,040 5 Trade name 5,000 ( 4,208 ) 792 5,000 ( 3,083 ) 1,917 1 Non-compete agreements 3,350 ( 2,328 ) 1,022 3,350 ( 2,074 ) 1,276 3 In process research and development 1,800 - 1,800 1,800 - 1,800 n/a Other intangibles 275 ( 210 ) 65 275 ( 209 ) 66 10 Total intangible assets $ 463,075 $ ( 226,958 ) $ 236,117 $ 463,075 $ ( 208,948 ) $ 254,127 The aggregate amortization expense of intangible assets for the three months ended March 31, 2023 and March 31, 2022 was $ 18.0 million and $ 20.1 million , respectively. Estimated amortization expense for the remainder of the current fiscal year and in each of the next four years and beyond is as follows (in thousands): March 31, 2023 2023 $ 50,245 2024 35,359 2025 29,818 2026 26,238 2027 25,319 Thereafter 67,338 Total $ 234,317

Property and Equipment, Net

Property and Equipment, Net	3 Months Ended
	Mar. 31, 2023
Property, Plant and Equipment [Abstract]
Property and Equipment, Net	9. Property and Equipment, Net Property and equipment consisted of the following at March 31, 2023 and December 31, 2022 (in thousands): March 31, 2023 December 31, 2022 Useful life Buildings and leasehold improvements $ 102,961 $ 103,071 1 - 15 Furniture and equipment 86,462 85,088 3 - 10 Computer systems and equipment 156,794 152,511 3 - 10 Construction equipment 5,321 5,271 5 - 7 Construction in progress 21,622 21,952 373,160 367,893 Accumulated depreciation ( 278,401 ) ( 271,843 ) Property and equipment, net $ 94,759 $ 96,050 Depreciation expense for the three months ended March 31, 2023 and March 31, 2022 was $ 9.4 million and $ 9.7 million , respectively.

Debt and Credit Facilities

Debt and Credit Facilities	3 Months Ended
	Mar. 31, 2023
Debt Disclosure [Abstract]
Debt and Credit Facilities	10. Debt and Credit Facilities Debt consisted of the following (in thousands): March 31, 2023 December 31, 2022 Long-Term Debt: Delayed draw term loan $ 350,000 $ 350,000 Convertible senior notes 400,000 400,000 Revolving credit facility - - Debt issuance costs ( 5,860 ) ( 6,395 ) Total $ 744,140 $ 743,605 Delayed Draw Term Loan In September 2022 , the Company entered into a $ 350 million unsecured Delayed Draw Term Loan with an increase option of up to $ 150 million (the “2022 Delayed Draw Term Loan”). Proceeds of the 2022 Delayed Draw Term Loan Agreement may be used (a) to pay off in full, or partially payoff, the Company’s existing Senior Notes, (b) to prepay revolving loans outstanding under the Revolving Credit Agreement (as defined below), or (c) for working capital, capital expenditures and other lawful corporate purposes. The Company drew $ 350.0 million from the 2022 Delayed Draw Term Loan in November 2022. The Company incurred $ 0.9 million of debt issuance costs in connection with the delayed draw term loan as of December 31, 2022. These costs are presented as a direct deduction from long-term debt on the face of the balance sheet. Interest expense related to the Delayed Draw Term Loan was $ 5.1 million for the three months ended March 31, 2023. The amortization of debt issuance costs and interest expense is recorded in “Interest expense” on the consolidated statements of income. As of March 31, 2023 and December 31, 2022, there was $ 350.0 million outstanding under the Delayed Draw Term Loan. The rates on March 31, 2023 and December 31, 2022 were 6.1 % and 5.7 % , respectively. The 2022 Delayed Draw Term Loan has a three-year maturity and permits the Company to borrow in U.S. dollars. The 2022 Delayed Draw Term Loan does not require any amortization payments by the Company. Depending on the Company’s consolidated leverage ratio (or debt rating after such time as the Company has such rating), borrowings under the 2022 Delayed Draw Term Loan Agreement will bear interest at either an adjusted Term SOFR benchmark rate plus a margin between 0.875 % and 1.500 % or a base rate plus a margin of between 0 % and 0.500 % and will initially bear interest at the middle of this range. The Company will pay a ticking fee on unused term loan commitments at a rate of 0.175 % commencing with the date that is ninety (90) days after the Closing Date. Amounts outstanding under the 2022 Delayed Draw Term Loan Agreement may be prepaid at the option of the Company without premium or penalty, subject to customary breakage fees in connection with the prepayment of benchmark rate loans. Convertible Senior Notes In August 2020, the Company issued an aggregate $ 400.0 million of 0.25 % Convertible Senior Notes due 2025, including the exercise of a $ 50.0 million initial purchasers’ option. The Company received proceeds from the issuance and sale of the Convertible Senior Notes of $ 389.7 million, net of $ 10.3 million of transaction fees and other third-party offering expenses. The Convertible Senior Notes accrue interest at a rate of 0.25 % per annum, payable semi-annually on February 15 and August 15 of each year beginning on February 15, 2021 , and will mature on August 15, 2025 , unless earlier repurchased, redeemed or converted. The Convertible Senior Notes are the Company’s senior unsecured obligations and will rank senior in right of payment to any of the Company’s indebtedness that is expressly subordinated in right of payment to the Notes; equal in right of payment to any of the Company’s unsecured indebtedness that is not so subordinated; effectively junior in right of payment to any of the Company’s secured indebtedness, to the extent of the value of the assets securing such indebtedness; and structurally junior to all indebtedness and other liabilities (including trade payables) of the Company’s subsidiaries Each $ 1,000 of principal of the Notes will initially be convertible into 22.2913 shares of our common stock, which is equivalent to an initial conversion price of $ 44.86 per share, subject to adjustment upon the occurrence of specified events. On or after March 15, 2025 until the close of business on the second scheduled trading day immediately preceding the maturity date of the Convertible Senior Notes, holders may convert all or a portion of their Convertible Senior Notes, regardless of the conditions below. Prior to the close of business on the business day immediately preceding March 15, 2025, the Notes will be convertible at the option of the holders thereof only under the following circumstances: • during any calendar quarter commencing after the calendar quarter ending on December 31, 2021, if the last reported sale price of the Company’s common stock for at least 20 trading days, whether or not consecutive, during a period of 30 consecutive trading days ending on, and including the last trading day of the immediately preceding calendar quarter, is greater than or equal to 130 % of the conversion price on each applicable trading day; • during the five business day period after any five consecutive trading day period in which, for each trading day of that period, the trading price per $ 1,000 principal amount of Convertible Senior Notes for such trading day was less than 98 % of the product of the last reported sale price of the Company’s common stock and the conversion rate on each such trading day; • if the Company calls such Convertible Senior Notes for redemption; or • upon the occurrence of specified corporate events described in the Indenture. The Company may redeem all or any portion of the Convertible Senior Notes for cash, at its option, on or after August 21, 2023 and before the 51 st scheduled trading day immediately before the maturity date at a redemption price equal to 100 % of the principal amount of the Notes to be redeemed, plus accrued and unpaid interest, but only if the last reported sale price per share of the Company’s common stock exceeds 130 % of the conversion price for a specified period of time. In addition, calling any Convertible Senior Note for redemption will constitute a Make-Whole Fundamental Change with respect to that Convertible Senior Note, in which case the conversion rate applicable to the conversion of that Convertible Senior Note will be increased in certain circumstances if it is converted after it is called for redemption. Upon the occurrence of a fundamental change prior to the maturity date of the Convertible Senior Notes, holders of the Convertible Senior Notes may require the Company to repurchase all or a portion of the Convertible Senior Notes for cash at a price equal to 100 % of the principal amount of the Convertible Senior Notes to be repurchased, plus any accrued and unpaid interest to, but excluding, the fundamental change repurchase date. Upon conversion, the Company may settle the Convertible Senior Notes for cash, shares of the Company’s common stock, or a combination thereof, at the Company’s option. If the Company satisfies its conversion obligation solely in cash or through payment and delivery of a combination of cash and shares of the Company’s common stock, the amount of cash and shares of common stock due upon conversion will be based on a daily conversion value calculated on a proportionate basis for each trading day in a 50-trading day observation period. The Company recognized interest expense of $ 0.7 million for both the three months ended March 31, 2023 and March 31, 2022. As of March 31, 2023 and December 31, 2022 , the carrying value of the Notes was $ 400.0 million. Revolving Credit Facility In June 2021 , the Company entered into a $ 650 million unsecured revolving credit facility (the “Credit Agreement”). The Company incurred $ 1.9 million of costs in connection with this Credit Agreement. The 2021 Credit Agreement replaced an existing Fifth Amended and Restated Credit Agreement dated as of November 15, 2017. Under the new agreement, the Company’s revolving credit facility was increased from $ 550 million to $ 650 million. The credit facility has a five-year maturity, which may be extended up to two times for periods determined by the Company and the applicable extending lenders, and permits the Company to borrow in U.S. dollars, certain specified foreign currencies, and each other currency that may be approved in accordance with the 2021 Facility. The borrowings under the Credit Agreement bear interest at either the Term SOFR rate plus a margin between 1.0 % and 1.625 % or a base rate (as defined in the Credit Agreement) plus a margin of between 0 % and 0.625 %. The rates on March 31, 2023 and December 31, 2022 were 6.2 % and 5.7 %, respectively. Borrowings under this Credit Agreement are guaranteed by certain Company operating subsidiaries. Letters of credit commitments outstanding under this agreement aggregated to $ 43.9 million and $ 44.5 million at March 31, 2023 and December 31, 2022, respectively, which reduced borrowing limits available to the Company. Interest expense related to the Credit Agreement was $ 0.1 million and $ 0.1 million for the three months ended March 31, 2023 and March 31, 2022 , respectively. There were no loan amounts outstanding under the Credit Agreement at March 31, 2023. The Credit Agreement includes various covenants, including restrictions on indebtedness, liens, acquisitions, investments or dispositions, payment of dividends and maintenance of certain financial ratios and conditions. The Company was in compliance with these covenants at March 31, 2023 and December 31, 2022. Letters of Credit The Company also has in place several secondary bank credit lines for issuing letters of credit, principally for foreign contracts, to support performance and completion guarantees. Letters of credit commitments outstanding under these bank lines aggregated approximately $ 224.3 million and $ 222.5 million at March 31, 2023 and December 31, 2022, respectively. Convertible Note Hedge and Warrant Transactions In connection with the sale of the Convertible Senior Notes, the Company purchased a bond hedge designed to mitigate the potential dilution from the conversion of the Convertible Senior Notes. Under the five-year term of the bond hedge, upon a conversion of the bonds, the Company will receive the number of shares of common stock equal to the remaining common stock deliverable upon conversion of the Convertible Senior Notes if the conversion value exceeds the principal amount of the Notes. The aggregate number of shares that the Company could be obligated to issue upon conversion of the Convertible Senior Notes is approximately 8.9 million shares. The cost of the convertible note hedge transactions was $ 55.0 million. The cost of the convertible note hedge was partially offset by the Company’s sale of warrants to acquire approximately 8.9 million shares of the Company’s common stock. The warrants were initially exercisable at a price of at least $ 66.46 per share and are subject to customary adjustments upon the occurrence of certain events, such as the payment of dividends. The Company received $ 13.8 million in cash proceeds from the sales of these warrants. The bond hedge and warrant transactions effectively increased the conversion price associated with the Convertible Senior Notes during the term of these transactions from 35 %, or $ 44.86 , to 100 %, or $ 66.46 , at their issuance, thereby reducing the dilutive economic effect to shareholders upon actual conversion. The bond hedges and warrants are indexed to, and potentially settled in, shares of the Company’s common stock. The net cost of $ 41.2 million for the purchase of the bond hedges and sale of the warrants was recorded as a reduction to additional paid-in capital in the consolidated balance sheets. At issuance, the Company recorded a deferred tax liability of $ 16.2 million related to the Convertible Senior Notes debt discount and the capitalized debt issuance costs. The Company also recorded a deferred tax asset of $ 16.5 million related to the convertible note hedge transactions and the tax basis of the capitalized debt issuance costs through additional paid-in capital. The deferred tax liability and deferred tax asset were included net in “Deferred tax assets” on the consolidated balance sheets. Upon adoption of ASU 2020-06, the Company reversed the deferred tax liability of $ 13.9 million that the Company had recorded at issuance related to the Convertible Senior Note debt discount and recorded an additional deferred tax liability of $ 0.4 million related to the capitalized debt issuance costs. In addition, the Company recorded a $ 0.9 million adjustment to the deferred tax asset through retained earnings related to the tax effect of book accretion recorded in 2020 and reversed upon adoption.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Income Taxes	11. Income Taxes The Company’s effective tax rate was 24.6 % and 25.4 % for the three months ended March 31, 2023 and March 31, 2022, respectively. The change in the effective tax rate was due primarily to a discrete tax benefit from equity-based compensation, partially offset by an increase in withholding taxes, and a change in the jurisdictional mix of earnings. The difference between the effective tax rate and the statutory U.S. Federal income tax rate of 21 % for the three months ended March 31, 2023 primarily relates to state income taxes and foreign withholding taxes, partially offset by benefits related to untaxed income attributable to noncontrolling interests and federal research tax credits. As of March 31, 2023 , the Company’s deferred tax assets were subject to a valuation allowance of $ 28.6 million primarily related to foreign net operating loss carryforwards, foreign tax credit carryforwards, and capital losses that the Company has determined are not more-likely-than-not to be realized. The factors used to assess the likelihood of realization include: the past performance of the entities, forecasts of future taxable income, future reversals of existing taxable temporary differences, and available tax planning strategies that could be implemented to realize the deferred tax assets. The ability or failure to achieve the forecasted taxable income in these entities could affect the ultimate realization of deferred tax assets. As of March 31, 2023 and December 31, 2022 , the liability for income taxes associated with uncertain tax positions was $ 22.4 million and $ 22.8 million, respectively. It is reasonably possible that the Company may realize a decrease in our uncertain tax positions of approximately $ 1.8 million during the next 12 months as a result of concluding various tax audits and closing tax years. Although the Company believes its reserves for its tax positions are reasonable, the final outcome of tax audits could be materially different, both favorably and unfavorably. It is reasonably possible that certain audits may conclude in the next 12 months and that the unrecognized tax benefits the Company has recorded in relation to these tax years may change compared to the liabilities recorded for these periods. However, it is not currently possible to estimate the amount, if any, of such change.

Contingencies

Contingencies	3 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Contingencies	12. Contingencies The Company is subject to certain lawsuits, claims and assessments that arise in the ordinary course of business. Additionally, the Company has been named as a defendant in lawsuits alleging personal injuries as a result of contact with asbestos products at various project sites. Management believes that any significant costs relating to these claims will be reimbursed by applicable insurance and, although there can be no assurance that these matters will be resolved favorably, management believes that the ultimate resolution of any of these claims will not have a material adverse effect on our consolidated financial position, results of operations, or cash flows. A liability is recorded when it is both probable that a loss has been incurred and the amount of loss or range of loss can be reasonably estimated. When using a range of loss estimate, the Company records the liability using the low end of the range unless some amount within the range of loss appears at that time to be a better estimate than any other amount in the range. The Company records a corresponding receivable for costs covered under its insurance policies. Management judgment is required to determine the outcome and the estimated amount of a loss related to such matters. Management believes that there are no claims or assessments outstanding which would materially affect the consolidated results of operations or the Company’s financial position. In September 2015, a former Parsons employee filed an action in the United States District Court for the Northern District of Alabama against us as a qui tam relator on behalf of the United States (the “Relator”) alleging violation of the False Claims Act. The plaintiff alleges that, as a result of these actions, the United States paid in excess of $ 1 million per month between February and September 2006 that it should have paid to another contractor, plus $ 2.9 million to acquire vehicles for the contractor defendant to perform its security services. The lawsuit sought (i) that we cease and desist from violating the False Claims Act, (ii) monetary damages equal to three times the amount of damages that the United States has sustained because of our alleged violations, plus a civil penalty of not less than $ 5,500 and not more than $ 11,000 for each alleged violation of the False Claims Act, (iii) monetary damages equal to the maximum amount allowed pursuant to §3730(d) of the False Claims Act, and (iv) Relator’s costs for this action, including recovery of attorneys’ fees and costs incurred in the lawsuit. The United States government did not intervene in this matter as it is allowed to do so under the statute. The parties are concluding discovery and we anticipate that the court will hear dispositive and/or pre-trial motions in early or mid-2023. Depending upon the court’s rulings upon such motions, a trial may be scheduled in 2023. Federal government contracts are subject to audits, which are performed for the most part by the Defense Contract Audit Agency (“DCAA”). Audits by the DCAA and other agencies consist of reviews of our overhead rates, operating systems and cost proposals to ensure that we account for such costs in accordance with the Cost Accounting Standards (“CAS”). If the DCAA determines we have not accounted for such costs in accordance with the CAS, the DCAA may disallow these costs. The disallowance of such costs may result in a reduction of revenue and additional liability for the Company. Historically, the Company has not experienced any material disallowed costs as a result of government audits. However, the Company can provide no assurance that the DCAA or other government audits will not result in material disallowances for incurred costs in the future. All audits of costs incurred on work performed through 2013 have been closed, and years thereafter remain open. Although there can be no assurance that these matters will be resolved favorably, management believes that their ultimate resolution will not have a material adverse impact on the Company’s consolidated financial position, results of operations, or cash flows.

Retirement Benefit Plan

Retirement Benefit Plan	3 Months Ended
	Mar. 31, 2023
Retirement Benefits [Abstract]
Retirement Benefit Plan	13. Retirement Benefit Plan The Company’s principal retirement benefit plan is the Parsons Employee Stock Ownership Plan (“ESOP”), a stock bonus plan, established in 1975 to cover eligible employees of the Company and certain affiliated companies. Contributions of treasury stock to the ESOP are made annually in amounts determined by the Company’s board of directors and are held in trust for the sole benefit of the participants. Shares allocated to a participant’s account are fully vested after three years of credited service, or in the event(s) of reaching age 65, death or disability while an active employee of the Company. As of March 31, 2023 and December 31, 2022, total shares of the Company’s common stock outstanding were 104,814,619 and 104,702,996 , respectively, of which 62,565,812 and 63,742,151 , respectively, were held by the ESOP. A participant’s interest in their ESOP account is redeemable upon certain events, including retirement, death, termination due to permanent disability, a severe financial hardship following termination of employment, certain conflicts of interest following termination of employment, or the exercise of diversification rights. Distributions from the ESOP of participants’ interests are made in the Company’s common stock based on quoted prices of a share of the Company’s common stock on the NYSE. A participant will be able to sell such shares of common stock in the market, subject to any requirements of the federal securities laws. Total ESOP contribution expense was $ 14.4 million and $ 13.1 million for the three months ended March 31, 2023 and March 31, 2022, respectively. The expense is recorded in “Direct costs of contracts” and “Selling, general and administrative expense” in the consolidated statements of income. The fiscal 2023 ESOP contribution has not yet been made. The amount is currently included in accrued liabilities.

Investments in and Advances to

Investments in and Advances to Joint Ventures	3 Months Ended
	Mar. 31, 2023
Equity Method Investments and Joint Ventures [Abstract]
Investments in and Advances to Joint Ventures	14. Investments in and Advances to Joint Ventures The Company participates in joint ventures to bid, negotiate and complete specific projects. The Company is required to consolidate these joint ventures if it holds the majority voting interest or if the Company meets the criteria under the consolidation model, as described below. The Company performs an analysis to determine whether its variable interests give the Company a controlling financial interest in a Variable Interest Entity (“VIE”) for which the Company is the primary beneficiary and should, therefore, be consolidated. Such analysis requires the Company to assess whether it has the power to direct the activities of the VIE and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. The Company analyzed all of its joint ventures and classified them into two groups: (1) joint ventures that must be consolidated because they are either not VIEs and the Company holds the majority voting interest, or because they are VIEs and the Company is the primary beneficiary; and (2) joint ventures that do not need to be consolidated because they are either not VIEs and the Company holds a minority voting interest, or because they are VIEs and the Company is not the primary beneficiary. Many of the Company’s joint venture agreements provide for capital calls to fund operations, as necessary; however, such funding is infrequent and is not anticipated to be material. Letters of credit outstanding described in “Note 10 – Debt and Credit Facilities” that relate to project ventures are $ 105.9 million and $ 106.8 million at March 31, 2023 and December 31, 2022. In the table below, aggregated financial information relating to the Company’s joint ventures is provided because their nature, risk and reward characteristics are similar. None of the Company’s current joint ventures that meet the characteristics of a VIE are individually significant to the consolidated financial statements. Consolidated Joint Ventures The following represents financial information for consolidated joint ventures included in the consolidated financial statements (in thousands): March 31, 2023 December 31, 2022 Current assets $ 331,742 $ 289,837 Noncurrent assets 10,693 9,961 Total assets 342,435 299,798 Current liabilities 216,682 194,701 Noncurrent liabilities 3,871 3,763 Total liabilities 220,553 198,464 Total joint venture equity $ 121,882 $ 101,334 Three Months Ended March 31, 2023 March 31, 2022 Revenue $ 161,484 $ 95,534 Costs 141,598 88,842 Net income $ 19,886 $ 6,692 Net income attributable to noncontrolling interests $ 9,723 $ 3,176 The assets of the consolidated joint ventures are restricted for use only by the particular joint venture and are not available for the Company’s general operations. Unconsolidated Joint Ventures The Company accounts for its unconsolidated joint ventures using the equity method of accounting. Under this method, the Company recognizes its proportionate share of the net earnings of these joint ventures as “Equity in (losses) earnings of unconsolidated joint ventures” in the consolidated statements of income. The Company’s maximum exposure to loss as a result of its investments in unconsolidated joint ventures is typically limited to the aggregate of the carrying value of the investment and future funding commitments. The following represents the financial information of the Company’s unconsolidated joint ventures as presented in their unaudited financial statements (in thousands): March 31, 2023 December 31, 2022 Current assets $ 1,291,910 $ 1,610,246 Noncurrent assets 493,501 491,658 Total assets 1,785,411 2,101,904 Current liabilities 848,105 1,255,297 Noncurrent liabilities 540,967 468,056 Total liabilities 1,389,072 1,723,353 Total joint venture equity $ 396,339 $ 378,551 Investments in and advances to unconsolidated joint ventures $ 107,416 $ 107,425 Three Months Ended March 31, 2023 March 31, 2022 Revenue $ 349,157 $ 384,581 Costs 359,395 373,286 Net income $ ( 10,238 ) $ 11,295 Equity in (losses) earnings of unconsolidated joint ventures $ ( 5,840 ) $ 5,598 The Company had net contributions to its unconsolidated joint ventures for the three months ended March 31, 2023 of $ 4.8 million and received net distributions from its unconsolidated joint ventures for the three months ended March 31, 2022 of $ 2.8 million . For the three months ended March 31, 2023, the Company recorded a $ 6.8 million adjustment on an unconsolidated joint venture in the Critical Infrastructure segment from lower margin change orders resulting in 6.8 million and $ 5.1 million, respectively, and decreased diluted earnings per share by $ 0.04 .

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2023
Related Party Transactions [Abstract]
Related Party Transactions	15. Related Party Transactions The Company often provides services to unconsolidated joint ventures and revenues include amounts related to recovering costs for these services. Revenues related to services the Company provided to unconsolidated joint ventures for the three months ended March 31, 2023 and March 31, 2022 were $ 50.9 million and $ 47.3 million , respectively. For the three months ended March 31, 2023 and March 31, 2022, the Company incurred $ 39.2 million and $ 33.7 million , respectively, of reimbursable costs. The revenue and reimbursable cost prior period amounts have been updated to reflect all joint ventures for the comparable period. Amounts included in the consolidated balance sheets related to services the Company provided to unconsolidated joint ventures are as follows (in thousands): March 31, 2023 December 31, 2022 Accounts receivable $ 46,984 $ 40,320 Contract assets 32,217 30,578 Contract liabilities 14,407 14,906

Fair Value of Financial Instrum

Fair Value of Financial Instruments	3 Months Ended
	Mar. 31, 2023
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	16. Fair Value of Financial Instruments The authoritative guidance on fair value measurement defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (referred to as an “exit price”). At March 31, 2023 and December 31, 2022, the Company’s financial instruments include cash, cash equivalents, accounts receivable, accounts payable, and other liabilities. The fair values of these financial instruments approximate their carrying values due to their short-term maturities. Investments measured at fair value are based on one or more of the following three valuation techniques: • Market approach —Prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities; • Cost approach —Amount that would be required to replace the service capacity of an asset (i.e., replacement cost); and • Income approach —Techniques to convert future amounts to a single present amount based on market expectations (including present value techniques, option-pricing models and lattice models). In addition, the guidance establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted market prices in active markets for identical assets and liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are: Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical assets and liabilities; Level 2 Pricing inputs that include quoted prices for similar assets and liabilities in active markets and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the instrument; and Level 3 Prices or valuations that require inputs that are both significant to the fair value measurements and unobservable. The methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. Refer to Notes to Consolidated Financial Statements included in the Company’s Form 10-K for the year ended December 31, 2022 for a more complete discussion of the various items within the consolidated financial statements measured at fair value and the methods used to determine fair value.

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2023
Earnings Per Share [Abstract]
Earnings Per Share	17. Earnings Per Share The following tables reconcile the denominator and numerator used to compute basic earnings per share (“EPS”) to the denominator and numerator used to compute diluted EPS for the three months ended March 31, 2023 and March 31, 2022. Basic EPS is computed using the weighted average number of shares outstanding during the period and income available to shareholders. Diluted EPS is computed similar to basic EPS, except the income available to shareholders is adjusted to add back interest expense, after tax, related to the Convertible Senior Note, and the weighted average number of shares outstanding is adjusted to reflect the dilutive effects of stock-based awards and shares underlying the Convertible Senior Note. Convertible Senior Note dilution impact is calculated using the if-converted method which was required upon adoption of ASU 2020-06. As a result, the Company elected to adopt the if-converted method when the Convertible Senior Notes were issued during the third quarter of 2020. In connection with the offerings of the Notes, the Company entered into a convertible note hedge and warrants (see Note 10 Debt and Credit Facilities); however, the convertible note hedge is not considered when calculating dilutive shares given its impact is anti-dilutive. The impact of the bond hedge would offset the dilutive impact of the shares underlying the Convertible Senior Note. The warrants have a strike price above our average share price during the period and are out of the money and not included in the tables below. Dilutive potential common shares include, when circumstances require, shares the Company could be obligated to issue from its Convertible Senior Notes and warrants (see Note 10 for further discussion) and stock-based awards. Shares to be provided to the Company from its bond hedge purchased concurrently with the issuance of Convertible Senior Notes are anti-dilutive and are not included in its diluted shares. Anti-dilutive stock-based awards excluded from the calculation of earnings per share for the three months ended March 31, 2023 and March 31, 2022 were 8,831 and 13,117 , respectively. The weighted average number of shares used to compute basic and diluted EPS were: Three Months Ended March 31, 2023 March 31, 2022 Basic weighted average number of shares outstanding 104,805,195 103,768,636 Stock-based awards 1,031,742 779,834 Convertible senior notes 8,916,530 8,916,530 Diluted weighted average number of shares outstanding 114,753,467 113,465,000 The net income available to shareholders to compute basic and diluted EPS were (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Net income attributable to Parsons Corporation $ 25,553 $ 20,667 Convertible senior notes if-converted method interest adjustment 551 540 Diluted net income attributable to Parsons Corporation $ 26,104 $ 21,207 Share Repurchases In August 2021, the Company’s Board of Directors authorized a stock repurchase program to repurchase up to $ 100.0 million of shares of Commons stock. Repurchases under this stock repurchase program commenced on August 12, 2021 . Any and all shares of Common Stock purchased by the Company pursuant to the program shall be retired upon their acquisition and shall not become treasury shares but instead shall resume the status of authorized but unissued shares of Common Stock. The table below presents information on this repurchase program: Three Months Ended March 31, 2023 March 31, 2022 Total shares repurchased 139,398 151,436 Total shares retired 139,398 151,436 Average price paid per share $ 43.04 $ 36.64 As of March 31, 2023 , the Company has $ 50.3 million remaining under the stock repurchase program.

Segment Information

Segment Information	3 Months Ended
	Mar. 31, 2023
Segment Reporting [Abstract]
Segment Information	18. Segment Information The Company operates in two reportable segments: Federal Solutions and Critical Infrastructure. The Federal Solutions segment provides advanced technical solutions to the U.S. government, delivering timely, cost-effective hardware, software and services for mission-critical projects. The segment provides advanced technologies, supporting national security missions in cybersecurity, missile defense, and military facility modernization, logistics support, hazardous material remediation and engineering services. The Critical Infrastructure segment provides integrated engineering and management services for complex physical and digital infrastructure around the globe. The Critical Infrastructure segment is a technology innovator focused on next generation digital systems and complex structures. Industry leading capabilities in engineering and project management allow the Company to deliver significant value to customers by employing cutting-edge technologies, improving timelines and reducing costs. The Company defines its reportable segments based on the way the chief operating decision maker (“CODM”), its Chair and Chief Executive Officer, evaluates the performance of each segment and manages the operations of the Company for purposes of allocating resources among the segments. The CODM evaluates segment operating performance using segment Revenue and segment Adjusted EBITDA attributable to Parsons Corporation. The following table summarizes business segment revenue for the periods presented (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Federal Solutions revenue $ 634,546 $ 491,629 Critical Infrastructure revenue 538,920 457,440 Total revenue $ 1,173,466 $ 949,069 The Company defines Adjusted EBITDA attributable to Parsons Corporation as Adjusted EBITDA excluding Adjusted EBITDA attributable to noncontrolling interests. The Company defines Adjusted EBITDA as net income (loss) attributable to Parsons Corporation, adjusted to include net income (loss) attributable to noncontrolling interests and to exclude interest expense (net of interest income), provision for income taxes, depreciation and amortization and certain other items that are not considered in the evaluation of ongoing operating performance. These other items include net income (loss) attributable to noncontrolling interests, asset impairment charges, equity-based compensation, income and expense recognized on litigation matters, expenses incurred in connection with acquisitions and other non-recurring transaction costs and expenses related to our prior restructuring. The following table reconciles business segment Adjusted EBITDA attributable to Parsons Corporation to Net Income attributable to Parsons Corporation for the periods presented (in thousands): Three Months Ended Adjusted EBITDA attributable to Parsons Corporation March 31, 2023 March 31, 2022 Federal Solutions $ 56,148 $ 42,638 Critical Infrastructure 24,357 28,315 Adjusted EBITDA attributable to Parsons Corporation 80,505 70,953 Adjusted EBITDA attributable to noncontrolling interests 9,886 3,295 Depreciation and amortization ( 28,359 ) ( 30,509 ) Interest expense, net ( 5,665 ) ( 3,873 ) Income tax expense ( 11,503 ) ( 8,119 ) Equity-based compensation expense ( 6,703 ) ( 3,898 ) Transaction-related costs (a) ( 1,618 ) ( 2,398 ) Restructuring expense (b) ( 546 ) ( 213 ) Other (c) ( 721 ) ( 1,395 ) Net income including noncontrolling interests 35,276 23,843 Net income attributable to noncontrolling interests 9,723 3,176 Net income attributable to Parsons Corporation $ 25,553 $ 20,667 (a) Reflects costs incurred in connection with acquisitions and other non-recurring transaction costs, primarily fees paid for professional services and employee retention. (b) Reflects costs associated with corporate restructuring initiatives. (c) Includes a combination of gain/loss related to sale of fixed assets, software implementation costs, and other individually insignificant items that are non-recurring in nature. Asset information by segment is not a key measure of performance used by the CODM. The following tables present revenues and property and equipment, net by geographic area (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Revenue North America $ 948,715 $ 785,708 Middle East 217,398 158,063 Rest of World 7,353 5,298 Total Revenue $ 1,173,466 $ 949,069 The geographic location of revenue is determined by the location of the customer. March 31, 2023 December 31, 2022 Property and Equipment, Net North America $ 89,022 $ 91,217 Middle East 5,737 4,833 Total Property and Equipment, Net $ 94,759 $ 96,050 North America includes revenue in the United States for the three months ended March 31, 2023 and March 31, 2022 of $ 882.3 million and $ 718.0 million, respectively. North America property and equipment, net includes $ 82.5 million and $ 84.4 million of property and equipment, net in the United States at March 31, 2023 and December 31, 2022, respectively. The following table presents revenues by business units (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Revenue Defense and Intelligence $ 364,360 $ 335,527 Engineered Systems 270,186 156,102 Federal Solutions revenues 634,546 491,629 Mobility Solutions 382,749 294,786 Connected Communities 156,171 162,654 Critical Infrastructure revenues 538,920 457,440 Total Revenue $ 1,173,466 $ 949,069 Effective June 1, 2022, the Company made changes to its Federal Solutions business units by transferring a portion of legacy Defense and Intelligence business unit to the Engineered Systems business unit. The prior year information in the table above has been reclassified to conform to the business line changes.

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2023
Subsequent Events [Abstract]
Subsequent Events	19. Subsequent Events On April 13, 2023, the Company entered into a merger agreement to acquire a 100 % ownership interest in IPKeys Power Partners (“IPKeys”), a privately-owned company, for $ 43.2 million from cash on hand. The merger brings IPKeys' established customer base, expanding Parsons' presence in two rapidly growing end markets: grid modernization and cyber resiliency for critical infrastructure. Headquartered in Tinton Falls, New Jersey, IPKeys is a trusted provider of enterprise software platform solutions that is actively delivering cyber and operational security to hundreds of electric, water, and gas utilities across North America. At the timing of the filing of this Form 10-Q, the Company has just started the process of obtaining the relevant data to make the required acquisition related disclosures.

Basis of Presentation and Pri_2

Basis of Presentation and Principles of Consolidation (Policies)	3 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation and Principles of Consolidation	The accompanying unaudited consolidated financial statements and related notes of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP") and pursuant to the interim period reporting requirements of Form 10-Q. They do not include all of the information and footnotes required by GAAP for complete financial statements and, therefore, should be read in conjunction with our consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. In the opinion of management, the consolidated financial statements reflect all normal recurring adjustments necessary for a fair statement of the financial position, results of operations and cash flows for the interim periods presented. The results of operations and cash flows for any interim period are not necessarily indicative of results for the full year or for future years. This Quarterly Report on Form 10-Q includes the accounts of Parsons Corporation and its subsidiaries and affiliates which it controls. Interests in joint ventures that are controlled by the Company, or for which the Company is otherwise deemed to be the primary beneficiary, are consolidated. For joint ventures in which the Company does not have a controlling interest, but exerts a significant influence, the Company applies the equity method of accounting (see “Note 14 – Investments in and Advances to Joint Ventures" for further discussion). Intercompany accounts and transactions are eliminated in consolidation.
Use of Estimates	Use of Estimates The preparation of the consolidated financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual amounts could differ from those estimates. The Company’s most significant estimates and judgments involve revenue recognition with respect to the determination of the costs to complete contracts and transaction price; determination of self-insurance reserves; useful lives of property and equipment and intangible assets; calculation of allowance for doubtful accounts; valuation of deferred income tax assets and uncertain tax positions, among others. Please see “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies and Estimates” and “Note 2—Summary of Significant Accounting Policies” in the notes to our consolidated financial statements included in the Company’s Form 10-K for the year ended December 31, 2022 , for a discussion of the significant estimates and assumptions affecting our consolidated financial statements. Estimates of costs to complete contracts are continually evaluated as work progresses and are revised when necessary. When a change in estimate is determined to have an impact on contract profit, the Company records a positive or negative adjustment to the consolidated statement of income.
New Accounting Pronouncements	In the first quarter of 2022 , the Company early adopted ASU No. 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers”. The new guidance requires that the approach of ASC 606, Revenue from Contracts with Customers, should be used to measure an acquired revenue contract in a business combination. This guidance is to be applied (1) retrospectively to all business combinations for which the acquisition date occurs on or after the beginning of the fiscal year that includes the interim period of early application and (2) prospectively to all business combinations that occur on or after the date of initial application. The early adoption of ASU 2021-08 did no t have a material impact on the consolidated financial statements.
Leases	The Company has operating and finance leases for corporate and project office spaces, vehicles, heavy machinery and office equipment. Our leases have remaining lease terms of one year to seven years , some of which may include options to extend the leases for up to five years , and some of which may include options to terminate the leases after the third year .

Acquisitions (Tables)

Acquisitions (Tables) - Xator Corporation	3 Months Ended
	Mar. 31, 2023
Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed on Preliminary Purchase Price Allocation	The following table summarizes the estimated fair values of the assets acquired and liabilities assumed based on the preliminary purchase price allocation as of the date of acquisition (in thousands): Amount Cash and cash equivalents $ 8,935 Accounts receivable 7,393 Contract assets 25,397 Prepaid expenses and other current assets 3,615 Property and equipment 1,699 Right of use assets, operating leases 7,517 Goodwill 253,190 Investments in and advances to unconsolidated joint ventures 698 Intangible assets 123,500 Other noncurrent assets 9,156 Accounts payable ( 6,626 ) Accrued expenses and other current liabilities ( 31,119 ) Contract liabilities ( 2,080 ) Short-term lease liabilities, operating leases ( 2,371 ) Long-term lease liabilities, operating leases ( 5,146 ) Other long-term liabilities ( 9,156 ) Net assets acquired $ 384,602
Schedule of Intangible Assets Value on Purchase Price	Of the total purchase price, the following values were preliminarily assigned to intangible assets (in thousands, except for years): Gross Amortization (in years) Customer relationships $ 37,000 15 Backlog 81,000 6 Trade Name 4,000 1 Developed technologies 1,000 3 Non-compete agreements 500 3
Schedule of Supplemental Pro Forma Information	Supplemental information of unaudited pro forma operating results assuming the Xator acquisition had been consummated as of the beginning of fiscal year 2021 (in thousands) is as follows: Three Months Ended March 31, 2023 March 31, 2022 Pro forma Revenue $ 1,173,466 $ 1,016,072 Pro forma Net Income including noncontrolling interests 37,574 27,298

Contracts with Customers (Table

Contracts with Customers (Tables)	3 Months Ended
	Mar. 31, 2023
Revenue from Contract with Customer [Abstract]
Summary of Disaggregation of Revenue	The Company’s contracts contain both fixed-price and cost reimbursable components. Contract types are based on the component that represents the majority of the contract. The following table presents revenue disaggregated by contract type (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Fixed-Price $ 341,012 $ 240,574 Time-and-Materials 318,315 263,315 Cost-Plus 514,139 445,180 Total $ 1,173,466 $ 949,069
Summary of Contract Assets and Contract Liabilities	Contract assets and contract liabilities balances at March 31, 2023 and December 31, 2022 were as follows (in thousands): March 31, 2023 December 31, 2022 Contract assets $ 683,631 $ 634,033 Contract liabilities 229,225 213,064 Net contract assets (liabilities) (1) $ 454,406 $ 420,969 (1) Total contract retentions included in net contract assets (liabilities) were $ 74.1 million as of March 31, 2023, of which $ 31.6 million are not expected to be paid in the next 12 months. Total contract retentions included in net contract assets (liabilities) were $ 73.5 million as of December 31, 2022. Contract assets at March 31, 2023 and December 31, 2022 include $ 130.2 million and $ 127.9 million , respectively, related to unapproved change orders, claims, and requests for equitable adjustment. For the three months ended March 31, 2023 and March 31, 2022 , there were no material losses recognized related to the collectability of claims, unapproved change orders, and requests for equitable adjustment.
Summary of Changes in Contract Assets and Contract Liabilities	Certain changes in contract assets and contract liabilities consisted of the following: March 31, 2023 December 31, 2022 Acquired contract assets $ - $ 25,397 Acquired contract liabilities - 2,080
Summary of Accounts Receivable, Net	Accounts receivable, net consisted of the following as of March 31, 2023 and December 31, 2022 (in thousands): 2023 2022 Billed $ 502,600 $ 502,411 Unbilled 265,131 218,945 Total accounts receivable, gross 767,731 721,356 Allowance for doubtful accounts ( 4,011 ) ( 4,011 ) Total accounts receivable, net $ 763,720 $ 717,345
Summary of Remaining Unsatisfied Performance Obligations Expect to Satisfy	The Company expects to satisfy its RUPO as of March 31, 2023 over the following periods (in thousands): Period RUPO Will Be Satisfied Within One Year Within One to Two Years Thereafter Federal Solutions $ 1,556,366 $ 426,312 $ 354,968 Critical Infrastructure 1,815,189 881,384 1,029,688 Total $ 3,371,555 $ 1,307,696 $ 1,384,656

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2023
Leases [Abstract]
Summary of Lease Costs	The components of lease costs for the three months ended March 31, 2023 and March 31, 2022 are as follows (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Operating lease cost $ 16,625 $ 16,176 Short-term lease cost 3,663 3,480 Amortization of right-of-use assets 516 548 Interest on lease liabilities 33 21 Sublease income ( 1,124 ) ( 1,035 ) Total lease cost $ 19,713 $ 19,190
Schedule of Supplemental Cash Flow Information Related to Leases	Supplemental cash flow information related to leases for the three months ended March 31, 2023 and March 31, 2022 is as follows (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Operating cash flows for operating leases $ 17,785 $ 17,506 Operating cash flows for finance leases 33 21 Financing cash flows from finance leases 516 511 Right-of-use assets obtained in exchange for new operating lease liabilities 4,707 2,304 Right-of-use assets obtained in exchange for new finance lease liabilities $ 1,228 $ -
Schedule of Supplemental Balance Sheet and Other Information Related to Leases	Supplemental balance sheet and other information related to leases as of March 31, 2023 and December 31, 2022 are as follows (in thousands): March 31, 2023 December 31, 2022 Operating Leases: Right-of-use assets $ 148,095 $ 155,090 Lease liabilities: Current $ 55,606 $ 59,144 Long-term 107,482 111,417 Total operating lease liabilities $ 163,088 $ 170,561 Finance Leases: Other noncurrent assets $ 4,677 $ 3,965 Accrued expenses and other current liabilities $ 1,866 $ 1,746 Other long-term liabilities $ 2,814 $ 2,246 Weighted Average Remaining Lease Term: Operating leases 3.5 Year 3.6 years Finance leases 2.8 Years 2.6 years Weighted Average Discount Rate: Operating leases 3.5 % 3.4 % Finance leases 3.5 % 2.8 %
Schedule of Maturity Analysis of Future Undiscounted Cash Flows	A maturity analysis of the future undiscounted cash flows associated with the Company’s operating and finance lease liabilities as of March 31, 2023 is as follows (in thousands): Operating Leases Finance Leases 2023 (remaining) $ 47,319 $ 1,559 2024 47,657 1,620 2025 36,241 1,159 2026 21,466 542 2027 9,869 45 Thereafter 11,958 - Total lease payments 174,510 4,925 Less: imputed interest ( 11,422 ) ( 245 ) Total present value of lease liabilities $ 163,088 $ 4,680

Goodwill (Tables)

Goodwill (Tables)	3 Months Ended
	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of Changes in Carrying Value of Goodwill by Reporting Segment	The following table summarizes the changes in the carrying value of goodwill by reporting segment from December 31, 2022 to March 31, 2023 (in thousands): December 31, 2022 Acquisitions Foreign Exchange March 31, 2023 Federal Solutions $ 1,591,563 $ - $ - $ 1,591,563 Critical Infrastructure 70,287 - 63 70,350 Total $ 1,661,850 $ - $ 63 $ 1,661,913

Intangible Assets (Tables)

Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Gross Amount and Accumulated Amortization of Intangible Assets	The gross amount and accumulated amortization of intangible assets with finite useful lives included in “Intangible assets, net” on the consolidated balance sheets are as follows (in thousands except for years): March 31, 2023 December 31, 2022 Weighted Gross Accumulated Net Gross Accumulated Net Amortization (in years) Backlog $ 142,200 $ ( 54,378 ) $ 87,822 $ 142,200 $ ( 45,903 ) $ 96,297 4 Customer relationships 293,730 ( 153,514 ) 140,216 293,730 ( 146,032 ) 147,698 9 Leases 120 ( 92 ) 28 120 ( 87 ) 33 6 Developed technology 16,600 ( 12,228 ) 4,372 16,600 ( 11,560 ) 5,040 5 Trade name 5,000 ( 4,208 ) 792 5,000 ( 3,083 ) 1,917 1 Non-compete agreements 3,350 ( 2,328 ) 1,022 3,350 ( 2,074 ) 1,276 3 In process research and development 1,800 - 1,800 1,800 - 1,800 n/a Other intangibles 275 ( 210 ) 65 275 ( 209 ) 66 10 Total intangible assets $ 463,075 $ ( 226,958 ) $ 236,117 $ 463,075 $ ( 208,948 ) $ 254,127
Schedule of Estimated Amortization Expense	Estimated amortization expense for the remainder of the current fiscal year and in each of the next four years and beyond is as follows (in thousands): March 31, 2023 2023 $ 50,245 2024 35,359 2025 29,818 2026 26,238 2027 25,319 Thereafter 67,338 Total $ 234,317

Property and Equipment, Net (Ta

Property and Equipment, Net (Tables)	3 Months Ended
	Mar. 31, 2023
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment, Net	Property and equipment consisted of the following at March 31, 2023 and December 31, 2022 (in thousands): March 31, 2023 December 31, 2022 Useful life Buildings and leasehold improvements $ 102,961 $ 103,071 1 - 15 Furniture and equipment 86,462 85,088 3 - 10 Computer systems and equipment 156,794 152,511 3 - 10 Construction equipment 5,321 5,271 5 - 7 Construction in progress 21,622 21,952 373,160 367,893 Accumulated depreciation ( 278,401 ) ( 271,843 ) Property and equipment, net $ 94,759 $ 96,050

Debt and Credit Facilities (Tab

Debt and Credit Facilities (Tables)	3 Months Ended
	Mar. 31, 2023
Debt Disclosure [Abstract]
Schedule of Debt	Debt consisted of the following (in thousands): March 31, 2023 December 31, 2022 Long-Term Debt: Delayed draw term loan $ 350,000 $ 350,000 Convertible senior notes 400,000 400,000 Revolving credit facility - - Debt issuance costs ( 5,860 ) ( 6,395 ) Total $ 744,140 $ 743,605

Investments in and Advances t_2

Investments in and Advances to Joint Ventures (Tables)	3 Months Ended
	Mar. 31, 2023
Equity Method Investments and Joint Ventures [Abstract]
Schedule of Financial Information of Consolidated Joint Ventures	The following represents financial information for consolidated joint ventures included in the consolidated financial statements (in thousands): March 31, 2023 December 31, 2022 Current assets $ 331,742 $ 289,837 Noncurrent assets 10,693 9,961 Total assets 342,435 299,798 Current liabilities 216,682 194,701 Noncurrent liabilities 3,871 3,763 Total liabilities 220,553 198,464 Total joint venture equity $ 121,882 $ 101,334 Three Months Ended March 31, 2023 March 31, 2022 Revenue $ 161,484 $ 95,534 Costs 141,598 88,842 Net income $ 19,886 $ 6,692 Net income attributable to noncontrolling interests $ 9,723 $ 3,176
Summary of Financial Information for Unconsolidated Joint Ventures	The following represents the financial information of the Company’s unconsolidated joint ventures as presented in their unaudited financial statements (in thousands): March 31, 2023 December 31, 2022 Current assets $ 1,291,910 $ 1,610,246 Noncurrent assets 493,501 491,658 Total assets 1,785,411 2,101,904 Current liabilities 848,105 1,255,297 Noncurrent liabilities 540,967 468,056 Total liabilities 1,389,072 1,723,353 Total joint venture equity $ 396,339 $ 378,551 Investments in and advances to unconsolidated joint ventures $ 107,416 $ 107,425 Three Months Ended March 31, 2023 March 31, 2022 Revenue $ 349,157 $ 384,581 Costs 359,395 373,286 Net income $ ( 10,238 ) $ 11,295 Equity in (losses) earnings of unconsolidated joint ventures $ ( 5,840 ) $ 5,598

Related Party Transactions (Tab

Related Party Transactions (Tables)	3 Months Ended
	Mar. 31, 2023
Related Party Transactions [Abstract]
Schedule of Consolidated Balance Sheet Related to Services Provided to Unconsolidated Joint Ventures	Amounts included in the consolidated balance sheets related to services the Company provided to unconsolidated joint ventures are as follows (in thousands): March 31, 2023 December 31, 2022 Accounts receivable $ 46,984 $ 40,320 Contract assets 32,217 30,578 Contract liabilities 14,407 14,906

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2023
Earnings Per Share [Abstract]
Schedule of Weighted Average Number of Shares Used To Compute Basic and Diluted EPS	The weighted average number of shares used to compute basic and diluted EPS were: Three Months Ended March 31, 2023 March 31, 2022 Basic weighted average number of shares outstanding 104,805,195 103,768,636 Stock-based awards 1,031,742 779,834 Convertible senior notes 8,916,530 8,916,530 Diluted weighted average number of shares outstanding 114,753,467 113,465,000
Net Income Available to Shareholders to Compute Basic and Diluted EPS	The net income available to shareholders to compute basic and diluted EPS were (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Net income attributable to Parsons Corporation $ 25,553 $ 20,667 Convertible senior notes if-converted method interest adjustment 551 540 Diluted net income attributable to Parsons Corporation $ 26,104 $ 21,207
Schedule of Repurchase Program	The table below presents information on this repurchase program: Three Months Ended March 31, 2023 March 31, 2022 Total shares repurchased 139,398 151,436 Total shares retired 139,398 151,436 Average price paid per share $ 43.04 $ 36.64

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Mar. 31, 2023
Segment Reporting [Abstract]
Summary of Business Segment Information	The following table summarizes business segment revenue for the periods presented (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Federal Solutions revenue $ 634,546 $ 491,629 Critical Infrastructure revenue 538,920 457,440 Total revenue $ 1,173,466 $ 949,069
Summary of Adjusted EBITDA Business Segment Information	The following table reconciles business segment Adjusted EBITDA attributable to Parsons Corporation to Net Income attributable to Parsons Corporation for the periods presented (in thousands): Three Months Ended Adjusted EBITDA attributable to Parsons Corporation March 31, 2023 March 31, 2022 Federal Solutions $ 56,148 $ 42,638 Critical Infrastructure 24,357 28,315 Adjusted EBITDA attributable to Parsons Corporation 80,505 70,953 Adjusted EBITDA attributable to noncontrolling interests 9,886 3,295 Depreciation and amortization ( 28,359 ) ( 30,509 ) Interest expense, net ( 5,665 ) ( 3,873 ) Income tax expense ( 11,503 ) ( 8,119 ) Equity-based compensation expense ( 6,703 ) ( 3,898 ) Transaction-related costs (a) ( 1,618 ) ( 2,398 ) Restructuring expense (b) ( 546 ) ( 213 ) Other (c) ( 721 ) ( 1,395 ) Net income including noncontrolling interests 35,276 23,843 Net income attributable to noncontrolling interests 9,723 3,176 Net income attributable to Parsons Corporation $ 25,553 $ 20,667 (a) Reflects costs incurred in connection with acquisitions and other non-recurring transaction costs, primarily fees paid for professional services and employee retention. (b) Reflects costs associated with corporate restructuring initiatives. (c) Includes a combination of gain/loss related to sale of fixed assets, software implementation costs, and other individually insignificant items that are non-recurring in nature.
Summary of Revenues and Property and Equipment, Net by Geographic Area	The following tables present revenues and property and equipment, net by geographic area (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Revenue North America $ 948,715 $ 785,708 Middle East 217,398 158,063 Rest of World 7,353 5,298 Total Revenue $ 1,173,466 $ 949,069 The geographic location of revenue is determined by the location of the customer. March 31, 2023 December 31, 2022 Property and Equipment, Net North America $ 89,022 $ 91,217 Middle East 5,737 4,833 Total Property and Equipment, Net $ 94,759 $ 96,050
Summary of Revenues by Business Lines	The following table presents revenues by business units (in thousands): Three Months Ended March 31, 2023 March 31, 2022 Revenue Defense and Intelligence $ 364,360 $ 335,527 Engineered Systems 270,186 156,102 Federal Solutions revenues 634,546 491,629 Mobility Solutions 382,749 294,786 Connected Communities 156,171 162,654 Critical Infrastructure revenues 538,920 457,440 Total Revenue $ 1,173,466 $ 949,069

New Accounting Pronouncements -

New Accounting Pronouncements - Additional Information (Details) - ASU 2021-08	Mar. 31, 2023
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Change in accounting principle, accounting standards update, adoption date	Jan. 01, 2022
Change in accounting principle, accounting standards update, early adoption	true
Change in accounting principle, accounting standards update, immaterial effect	true

Acquisitions - Additional Infor

Acquisitions - Additional Information (Details) - USD ($) $ in Thousands		3 Months Ended		12 Months Ended
	May 31, 2022	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Business Acquisition [Line Items]
Amortization of intangible assets		$ 18,000	$ 20,100
Revenues		1,173,466	$ 949,069
Goodwill		1,661,913		$ 1,661,850
Xator Corporation
Business Acquisition [Line Items]
Percentage of ownership interest acquired	100%
Cash paid to acquire	$ 388,300
Borrowed under credit agreement to partially fund the acquisition	300,000
Amortization of intangible assets		5,100
Revenues		$ 112,400
Goodwill	$ 253,190
Xator Corporation | Selling, General and Administrative Expense
Business Acquisition [Line Items]
Acquisition related expenses				$ 7,700

Acquisitions - Summary of Estim

Acquisitions - Summary of Estimated Fair Values of Assets Acquired and Liabilities Assumed on Preliminary Purchase Price Allocation (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	May 31, 2022
Business Acquisition [Line Items]
Contract assets	$ 683,631	$ 634,033
Goodwill	1,661,913	1,661,850
Investments in and advances to unconsolidated joint ventures	107,416	107,425
Contract liabilities	$ (229,225)	$ (213,064)
Xator Corporation
Business Acquisition [Line Items]
Cash and cash equivalents			$ 8,935
Accounts receivable			7,393
Contract assets			25,397
Prepaid expenses and other current assets			3,615
Property and equipment			1,699
Right of use assets, operating leases			7,517
Goodwill			253,190
Investments in and advances to unconsolidated joint ventures			698
Intangible assets			123,500
Other noncurrent assets			9,156
Accounts payable			(6,626)
Accrued expenses and other current liabilities			(31,119)
Contract liabilities			(2,080)
Short-term lease liabilities, operating leases			(2,371)
Long-term lease liabilities, operating leases			(5,146)
Other long-term liabilities			(9,156)
Net assets acquired			$ 384,602

Acquisitions - Schedule of Inta

Acquisitions - Schedule of Intangible Assets Value on Purchase Price (Details) - USD ($) $ in Thousands		3 Months Ended
	May 31, 2022	Mar. 31, 2023
Customer Relationships
Acquired Finite Lived Intangible Assets [Line Items]
Amortization Period (in years)		9 years
Customer Relationships | Xator Corporation
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 37,000
Amortization Period (in years)	15 years
Backlog
Acquired Finite Lived Intangible Assets [Line Items]
Amortization Period (in years)		4 years
Backlog | Xator Corporation
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 81,000
Amortization Period (in years)	6 years
Trade Names
Acquired Finite Lived Intangible Assets [Line Items]
Amortization Period (in years)		1 year
Trade Names | Xator Corporation
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 4,000
Amortization Period (in years)	1 year
Developed Technologies
Acquired Finite Lived Intangible Assets [Line Items]
Amortization Period (in years)		5 years
Developed Technologies | Xator Corporation
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 1,000
Amortization Period (in years)	3 years
Noncompete Agreements
Acquired Finite Lived Intangible Assets [Line Items]
Amortization Period (in years)		3 years
Noncompete Agreements | Xator Corporation
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 500
Amortization Period (in years)	3 years

Acquisitions - Schedule of Supp

Acquisitions - Schedule of Supplemental Pro Forma Information (Details) - Xator Corporation - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Business Acquisition [Line Items]
Pro forma Revenue	$ 1,173,466	$ 1,016,072
Pro forma Net Income including noncontrolling interests	$ 37,574	$ 27,298

Contracts with Customers - Summ

Contracts with Customers - Summary of Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disaggregation Of Revenue [Line Items]
Revenues	$ 1,173,466	$ 949,069
Fixed-Price
Disaggregation Of Revenue [Line Items]
Revenues	341,012	240,574
Time-and-Materials
Disaggregation Of Revenue [Line Items]
Revenues	318,315	263,315
Cost-Plus
Disaggregation Of Revenue [Line Items]
Revenues	$ 514,139	$ 445,180

Contracts with Customers - Su_2

Contracts with Customers - Summary of Contract Assets and Contract Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Revenue from Contract with Customer [Abstract]
Contract assets	$ 683,631	$ 634,033
Contract liabilities	229,225	213,064
Net contract assets (liabilities)	$ 454,406	$ 420,969

Contracts with Customers - Su_3

Contracts with Customers - Summary of Contract Assets and Contract Liabilities (Parenthetical) (Details) - USD ($) $ in Millions	Mar. 31, 2023	Dec. 31, 2022
Revenue from Contract with Customer [Abstract]
Contract retentions	$ 74.1	$ 73.5
Contract retentions, not expected to be paid in next 12 months	31.6
Contract assets, unapproved change orders, claims, and requests	$ 130.2	$ 127.9

Contracts with Customers - Su_4

Contracts with Customers - Summary of Changes in Contract Assets and Contract Liabilities (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($)
Revenue from Contract with Customer [Abstract]
Acquired contract assets	$ 25,397
Acquired contract liabilities	$ 2,080

Contracts with Customers - Addi

Contracts with Customers - Additional Information (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue recognized included contract liability	$ 78,100,000	$ 63,900,000
Impairment of contract assets	0	0
Revisions estimate	0
Impact of changes in estimated claims or incentives on revenue	5,000,000	$ 5,000,000
Remaining unsatisfied performance obligations	$ 6,100,000,000

Contracts with Customers - Su_5

Contracts with Customers - Summary of Accounts Receivable, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Revenue from Contract with Customer [Abstract]
Billed	$ 502,600	$ 502,411
Unbilled	265,131	218,945
Total accounts receivable, gross	767,731	721,356
Allowance for doubtful accounts	(4,011)	(4,011)
Total accounts receivable, net	$ 763,720	$ 717,345

Contracts with Customers - Su_6

Contracts with Customers - Summary of Remaining Unsatisfied Performance Obligations Expect to Satisfy (Details) $ in Thousands	Mar. 31, 2023 USD ($)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 6,100,000
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-04-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 3,371,555
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-01-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 1,307,696
Revenue, remaining performance obligation, expected timing of satisfaction, period	2 years
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2025-01-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 1,384,656
Revenue, remaining performance obligation, expected timing of satisfaction, period
Federal Solution Segment | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-04-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 1,556,366
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Federal Solution Segment | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-01-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 426,312
Revenue, remaining performance obligation, expected timing of satisfaction, period	2 years
Federal Solution Segment | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2025-01-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 354,968
Revenue, remaining performance obligation, expected timing of satisfaction, period
Critical Infrastructure | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-04-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 1,815,189
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Critical Infrastructure | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-01-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 881,384
Revenue, remaining performance obligation, expected timing of satisfaction, period	2 years
Critical Infrastructure | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2025-01-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining unsatisfied performance obligations	$ 1,029,688
Revenue, remaining performance obligation, expected timing of satisfaction, period

Leases - Additional Information

Leases - Additional Information (Details)	3 Months Ended
	Mar. 31, 2023 USD ($)
Lessee Lease Description [Line Items]
Lease option to extend	five years
Lease existence of option to extend	true
Lease option to terminate	third year
Lease existence of option to terminate	true
Operating lease not yet commenced expense	$ 0
Minimum
Lessee Lease Description [Line Items]
Lease term of contract	1 year
Maximum
Lessee Lease Description [Line Items]
Lease term of contract	7 years

Leases - Summary of Lease Costs

Leases - Summary of Lease Costs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Operating lease cost	$ 16,625	$ 16,176
Short-term lease cost	3,663	3,480
Amortization of right-of-use assets	516	548
Interest on lease liabilities	33	21
Sublease income	(1,124)	(1,035)
Total lease cost	$ 19,713	$ 19,190

Leases - Schedule of Supplement

Leases - Schedule of Supplemental Cash Flow Information Related to Leases (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Operating cash flows for operating leases	$ 17,785	$ 17,506
Operating cash flows for finance leases	33	21
Financing cash flows from finance leases	516	511
Right-of-use assets obtained in exchange for new operating lease liabilities	4,707	2,304
Right-of-use assets obtained in exchange for new finance lease liabilities	$ 1,228	$ 0

Leases - Schedule of Suppleme_2

Leases - Schedule of Supplemental Balance Sheet and Other Information Related to Leases (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Operating Leases:
Right-of-use assets	$ 148,095	$ 155,090
Lease liabilities:
Current	55,606	59,144
Long-term	107,482	111,417
Total operating lease liabilities	163,088	170,561
Finance Leases:
Other noncurrent assets	4,677	3,965
Accrued expenses and other current liabilities	$ 1,866	$ 1,746
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Current liabilities	Current liabilities
Other long-term liabilities	$ 2,814	$ 2,246
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Other long-term liabilities	Other long-term liabilities
Weighted Average Remaining Lease Term:
Operating leases	3 years 6 months	3 years 7 months 6 days
Finance leases	2 years 9 months 18 days	2 years 7 months 6 days
Weighted Average Discount Rate:
Operating leases	3.50%	3.40%
Finance leases	3.50%	2.80%

Leases - Schedule of Maturity A

Leases - Schedule of Maturity Analysis of Future Undiscounted Cash Flows (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Operating Leases
2023 (remaining)	$ 47,319
2024	47,657
2025	36,241
2026	21,466
2027	9,869
Thereafter	11,958
Total lease payments	174,510
Less: imputed interest	(11,422)
Total present value of lease liabilities	163,088	$ 170,561
Finance Leases
2023 (remaining)	1,559
2024	1,620
2025	1,159
2026	542
2027	45
Thereafter	0
Total lease payments	4,925
Less: imputed interest	(245)
Total present value of lease liabilities	$ 4,680

Goodwill - Summary of Changes i

Goodwill - Summary of Changes in Carrying Value of Goodwill by Reporting Segment (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($)
Goodwill [Line Items]
Beginning Balance	$ 1,661,850
Foreign Exchange	63
Ending Balance	1,661,913
Federal Solutions
Goodwill [Line Items]
Beginning Balance	1,591,563
Ending Balance	1,591,563
Critical Infrastructure
Goodwill [Line Items]
Beginning Balance	70,287
Foreign Exchange	63
Ending Balance	$ 70,350

Goodwill - Additional Informati

Goodwill - Additional Information (Details)	3 Months Ended
	Mar. 31, 2023 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Impairment of goodwill	$ 0

Intangible Assets - Schedule of

Intangible Assets - Schedule of Gross Amount and Accumulated Amortization of Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 463,075	$ 463,075
Accumulated Amortization	(226,958)	(208,948)
Net Carrying Amount	236,117	254,127
Backlog
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	142,200	142,200
Accumulated Amortization	(54,378)	(45,903)
Net Carrying Amount	$ 87,822	96,297
Weighted Average Amortization Period (in years)	4 years
Customer Relationships
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 293,730	293,730
Accumulated Amortization	(153,514)	(146,032)
Net Carrying Amount	$ 140,216	147,698
Weighted Average Amortization Period (in years)	9 years
Leases
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 120	120
Accumulated Amortization	(92)	(87)
Net Carrying Amount	$ 28	33
Weighted Average Amortization Period (in years)	6 years
Developed Technology
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 16,600	16,600
Accumulated Amortization	(12,228)	(11,560)
Net Carrying Amount	$ 4,372	5,040
Weighted Average Amortization Period (in years)	5 years
Trade Name
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 5,000	5,000
Accumulated Amortization	(4,208)	(3,083)
Net Carrying Amount	$ 792	1,917
Weighted Average Amortization Period (in years)	1 year
Noncompete Agreements
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 3,350	3,350
Accumulated Amortization	(2,328)	(2,074)
Net Carrying Amount	$ 1,022	1,276
Weighted Average Amortization Period (in years)	3 years
In Process Research and Development
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 1,800	1,800
Accumulated Amortization	0	0
Net Carrying Amount	1,800	1,800
Other Intangibles
Acquired Finite Lived Intangible Assets [Line Items]
Gross Carrying Amount	275	275
Accumulated Amortization	(210)	(209)
Net Carrying Amount	$ 65	$ 66
Weighted Average Amortization Period (in years)	10 years

Intangible Assets - Additional

Intangible Assets - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense of intangible assets	$ 18	$ 20.1

Intangible Assets - Schedule _2

Intangible Assets - Schedule of Estimated Amortization Expense (Details) $ in Thousands	Mar. 31, 2023 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2023	$ 50,245
2024	35,359
2025	29,818
2026	26,238
2027	25,319
Thereafter	67,338
Total	$ 234,317

Property and Equipment, Net - S

Property and Equipment, Net - Schedule of Property and Equipment, Net (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 373,160	$ 367,893
Accumulated depreciation	(278,401)	(271,843)
Property and equipment, net	94,759	96,050
Buildings and Leasehold Improvements
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 102,961	103,071
Buildings and Leasehold Improvements | Minimum
Property Plant And Equipment [Line Items]
Useful life (years)	1 year
Buildings and Leasehold Improvements | Maximum
Property Plant And Equipment [Line Items]
Useful life (years)	15 years
Furniture and Equipment
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 86,462	85,088
Furniture and Equipment | Minimum
Property Plant And Equipment [Line Items]
Useful life (years)	3 years
Furniture and Equipment | Maximum
Property Plant And Equipment [Line Items]
Useful life (years)	10 years
Computer Systems and Equipment
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 156,794	152,511
Computer Systems and Equipment | Minimum
Property Plant And Equipment [Line Items]
Useful life (years)	3 years
Computer Systems and Equipment | Maximum
Property Plant And Equipment [Line Items]
Useful life (years)	10 years
Construction Equipment
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 5,321	5,271
Construction Equipment | Minimum
Property Plant And Equipment [Line Items]
Useful life (years)	5 years
Construction Equipment | Maximum
Property Plant And Equipment [Line Items]
Useful life (years)	7 years
Construction in Progress
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 21,622	$ 21,952

Property and Equipment, Net - A

Property and Equipment, Net - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 9.4	$ 9.7

Debt and Credit Facilities - Sc

Debt and Credit Facilities - Schedule of Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Convertible senior notes	$ 400,000	$ 400,000
Long-term debt issuance costs	(5,860)	(6,395)
Total	744,140	743,605
2022 Delayed Draw Term Loan
Debt Instrument [Line Items]
Long-term debt	350,000	350,000
Revolving Credit Facility
Debt Instrument [Line Items]
Long-term debt	$ 0	$ 0

Debt and Credit Facilities - Ad

Debt and Credit Facilities - Additional Information (Details)	1 Months Ended			3 Months Ended		6 Months Ended
	Sep. 30, 2022 USD ($)	Jun. 30, 2021 USD ($) Extension	Aug. 31, 2020 USD ($) d $ / shares shares	Mar. 31, 2023 USD ($) d $ / shares shares	Mar. 31, 2022 USD ($)	Jun. 30, 2021 USD ($)	Dec. 31, 2022 USD ($)	Nov. 30, 2022 USD ($)
Debt Instrument [Line Items]
Letters of credit outstanding amount				$ 224,300,000			$ 222,500,000
Deferred tax liabilities				12,555,000			12,471,000
Deferred tax assets				$ 140,366,000			137,709,000
2022 Delayed Draw Term Loan
Debt Instrument [Line Items]
Debt issuance costs incurred							$ 900,000
Interest rate				6.10%			5.70%
Interest expense				$ 5,100,000
Debt instrument, outstanding amount				350,000,000			$ 350,000,000	$ 350,000,000
Debt amount	$ 350,000,000
Debt issuance date	Sep. 30, 2022
Debt instrument, maturity period	3 years
Unused term loan commitments rate	0.175%
Convertible Senior Notes
Debt Instrument [Line Items]
Interest rate			0.25%
Interest expense				$ 700,000	$ 700,000
Debt amount			$ 400,000,000
Exercise of option by initial purchasers aggregate principal amount			50,000,000
Proceeds from issuance and sale of debt			389,700,000
Transaction fees and other third-party offering expenses			$ 10,300,000
Debt instrument, payment terms				The Convertible Senior Notes accrue interest at a rate of 0.25% per annum, payable semi-annually on February 15 and August 15 of each year beginning on February 15, 2021
Debt instrument, frequency of periodic payment				semi-annually
Maturity Date			Aug. 15, 2025
Convertible note converted each amount				$ 1,000
Convertible notes converted each into shares of common stock | shares				22.2913
Debt Instrument, conversion price | $ / shares				$ 44.86
Threshold trading days | d			20	51
Threshold consecutive trading days | d			30
Conversion percentage of stock price trigger			130%
Number of business day period			5 days
Consecutive trading day period			5 days
Convertible principal amount			$ 1,000
Measurement period, percentage			98%
Percentage of principal amount to redeem convertible senior notes			100%
Percentage of convertible senior notes repurchased at cash			100%
Net carrying value of notes				$ 400,000,000			$ 400,000,000
Bond hedge term				5 years
Number of shares issuable upon conversion | shares			8,900,000
Cost of convertible note hedge transaction			$ 55,000,000
Number of common stock acquired by offsetting sale warrants. | shares				8,900,000
Exercise price of warrants | $ / shares				$ 66.46
Proceeds from issuance of warrants				$ 13,800,000
Convertible Note Hedge And Warrant Transaction
Debt Instrument [Line Items]
Purchase of bond hedges and sale of warrants			$ 41,200,000
Deferred tax liabilities				16,200,000
Deferred tax assets				16,500,000
Convertible Note Hedge And Warrant Transaction | ASC 2020-06
Debt Instrument [Line Items]
Deferred tax liability reversed				13,900,000
Additional deferred tax liability related to capitalized debt issuance costs				400,000
Adjustment to deferred tax asset through retained earnings				$ 900,000
Minimum [Member] | Convertible Senior Notes
Debt Instrument [Line Items]
Debt Instrument, conversion price | $ / shares			$ 44.86
Percentage of bond hedge and warrant transactions increased conversion price			35%
Maximum | 2022 Delayed Draw Term Loan
Debt Instrument [Line Items]
Increase in term loan	$ 150,000,000
Maximum | Convertible Senior Notes
Debt Instrument [Line Items]
Debt Instrument, conversion price | $ / shares			$ 66.46
Percentage of bond hedge and warrant transactions increased conversion price			100%
Base Rate | Minimum [Member] | 2022 Delayed Draw Term Loan
Debt Instrument [Line Items]
Margin interest rate	0%
Base Rate | Maximum | 2022 Delayed Draw Term Loan
Debt Instrument [Line Items]
Margin interest rate	0.50%
SOFR Benchmark Rate | Minimum [Member] | 2022 Delayed Draw Term Loan
Debt Instrument [Line Items]
Margin interest rate	0.875%
SOFR Benchmark Rate | Maximum | 2022 Delayed Draw Term Loan
Debt Instrument [Line Items]
Margin interest rate	1.50%
Revolving Credit Facility
Debt Instrument [Line Items]
Credit agreement date		Jun. 30, 2021
Revolving credit facility		$ 650,000,000				$ 650,000,000
Debt issuance costs incurred		1,900,000				1,900,000
Revolving credit facility		$ 550,000,000				$ 550,000,000
Credit agreement maturity period		5 years
Credit agreement number of extensions | Extension		2
Interest rate				6.20%			5.70%
Letters of credit outstanding amount				$ 43,900,000			$ 44,500,000
Interest expense				100,000	$ 100,000
Debt instrument, outstanding amount				$ 0
Revolving Credit Facility | Base Rate | Minimum [Member]
Debt Instrument [Line Items]
Margin interest rate						0%
Revolving Credit Facility | Base Rate | Maximum
Debt Instrument [Line Items]
Margin interest rate						0.625%
Revolving Credit Facility | SOFR Benchmark Rate | Minimum [Member]
Debt Instrument [Line Items]
Margin interest rate						1%
Revolving Credit Facility | SOFR Benchmark Rate | Maximum
Debt Instrument [Line Items]
Margin interest rate						1.625%

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Effective income tax rate	24.60%	25.40%
U.S. corporate tax rate	21%
Deferred tax assets, valuation allowance	$ 28.6
Liability for income taxes associated with uncertain tax positions	22.4		$ 22.8
Decrease in uncertain tax positions during the next twelve months	$ 1.8

Contingencies - Additional Info

Contingencies - Additional Information (Details)	3 Months Ended
	Mar. 31, 2023 USD ($) Claim
Legal Proceedings [Line Items]
Number of claims outstanding | Claim	0
Alleged Violation of False Claims, Act
Legal Proceedings [Line Items]
Amount paid by relator to acquire vehicles for contractor defendant to perform security services	$ 2,900,000
Alleged Violation of False Claims, Act | Minimum
Legal Proceedings [Line Items]
Amount paid per month to contractor defendant by relator on false claims	1,000,000
Loss contingency sought value, civil penalty for each alleged violation of Act	5,500
Alleged Violation of False Claims, Act | Maximum
Legal Proceedings [Line Items]
Loss contingency sought value, civil penalty for each alleged violation of Act	$ 11,000

Retirement Benefit Plan - Addit

Retirement Benefit Plan - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items]
Shares fully vested, Description	Shares allocated to a participant’s account are fully vested after three years of credited service, or in the event(s) of reaching age 65, death or disability while an active employee of the Company.
Shares fully vested after credited service	3 years
Common stock shares outstanding including ESOP	104,814,619		104,702,996
Company's stock held by ESOP	62,565,812		63,742,151
Direct Costs of Contracts and Selling, General and Administrative Expense
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items]
ESOP contribution expense	$ 14.4	$ 13.1

Investments in and Advances t_3

Investments in and Advances to Joint Ventures - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Schedule Of Equity Method Investments [Line Items]
Letters of credit outstanding amount	$ 224.3		$ 222.5
Adjustment on unconsolidated joint venture	(6.8)
Decrease in operating income	6.8
Decrease in net income net of tax	$ 5.1
Decrease in earnings per share diluted	$ 0.04
Unconsolidated Joint Ventures
Schedule Of Equity Method Investments [Line Items]
Net distributions from (contributions to) unconsolidated joint ventures	$ 4.8	$ 2.8
Joint Ventures
Schedule Of Equity Method Investments [Line Items]
Letters of credit outstanding amount	$ 105.9		$ 106.8

Investments in and Advances t_4

Investments in and Advances to Joint Ventures - Summary of Financial Information for Consolidated Joint Ventures (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Schedule Of Equity Method Investments [Line Items]
Current assets	$ 1,801,343		$ 1,719,783
Total assets	4,255,806		4,198,142
Current liabilities	1,140,071		1,108,119
Total liabilities	2,130,276		2,102,207
Total joint venture equity	2,063,879		2,043,570
Revenue	1,173,466	$ 949,069
Costs	917,188	733,900
Net income attributable to Parsons Corporation	25,553	20,667
Net income attributable to noncontrolling interests	9,723	3,176
Consolidated Joint Ventures
Schedule Of Equity Method Investments [Line Items]
Current assets	331,742		289,837
Noncurrent assets	10,693		9,961
Total assets	342,435		299,798
Current liabilities	216,682		194,701
Noncurrent liabilities	3,871		3,763
Total liabilities	220,553		198,464
Total joint venture equity	121,882		$ 101,334
Revenue	161,484	95,534
Costs	141,598	88,842
Net income attributable to Parsons Corporation	19,886	6,692
Net income attributable to noncontrolling interests	$ 9,723	$ 3,176

Investments in and Advances t_5

Investments in and Advances to Joint Ventures - Summary of Financial Information for Unconsolidated Joint Ventures (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Schedule Of Equity Method Investments [Line Items]
Current assets	$ 1,801,343		$ 1,719,783
Total assets	4,255,806		4,198,142
Current liabilities	1,140,071		1,108,119
Total liabilities	2,130,276		2,102,207
Total joint venture equity	2,063,879		2,043,570
Investments in and advances to unconsolidated joint ventures	107,416		107,425
Revenue	1,173,466	$ 949,069
Costs	917,188	733,900
Net income attributable to Parsons Corporation	25,553	20,667
Equity in (losses) earnings of unconsolidated joint ventures	(5,840)	5,598
Unconsolidated Joint Ventures
Schedule Of Equity Method Investments [Line Items]
Current assets	1,291,910		1,610,246
Noncurrent assets	493,501		491,658
Total assets	1,785,411		2,101,904
Current liabilities	848,105		1,255,297
Noncurrent liabilities	540,967		468,056
Total liabilities	1,389,072		1,723,353
Total joint venture equity	396,339		378,551
Investments in and advances to unconsolidated joint ventures	107,416		$ 107,425
Revenue	349,157	384,581
Costs	359,395	373,286
Net income attributable to Parsons Corporation	(10,238)	11,295
Unconsolidated Joint Ventures
Schedule Of Equity Method Investments [Line Items]
Equity in (losses) earnings of unconsolidated joint ventures	$ (5,840)	$ 5,598

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Details) - Unconsolidated Joint Ventures - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Related Party Transaction [Line Items]
Revenues	$ 50.9	$ 47.3
Reimbursable cost incurred	$ 39.2	$ 33.7

Related Party Transactions - Sc

Related Party Transactions - Schedule of Consolidated Balance Sheet Related to Services Provided to Unconsolidated Joint Ventures (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Related Party Transaction [Line Items]
Contract assets	$ 683,631	$ 634,033
Contract liabilities	229,225	213,064
Unconsolidated Joint Ventures
Related Party Transaction [Line Items]
Accounts receivable	46,984	40,320
Contract assets	32,217	30,578
Contract liabilities	$ 14,407	$ 14,906

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Aug. 31, 2021
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Stock repurchase program commencement date	Aug. 12, 2021
Stock repurchase program, remaining authorized repurchase amount	$ 50.3
Maximum
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Authorized shares of common stock value			$ 100
Equity-based Awards
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share	8,831	13,117

Earnings Per Share - Schedule o

Earnings Per Share - Schedule of Weighted Average Number of Shares Used To Compute Basic and Diluted EPS (Details) - shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Basic weighted average number of shares outstanding	104,805,195	103,768,636
Stock-based awards	1,031,742	779,834
Convertible senior notes	8,916,530	8,916,530
Diluted weighted average number of shares outstanding	114,753,467	113,465,000

Earnings Per Share - Net Income

Earnings Per Share - Net Income Available to Shareholders to Compute Basic and Diluted EPS (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Net income attributable to Parsons Corporation	$ 25,553	$ 20,667
Convertible senior notes if-converted method interest adjustment	551	540
Diluted net income attributable to Parsons Corporation	$ 26,104	$ 21,207

Earnings Per Share - Schedule_2

Earnings Per Share - Schedule of Repurchase Program (Details) - $ / shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Total shares repurchased	139,398	151,436
Total shares retired	139,398	151,436
Average price paid per share	$ 43.04	$ 36.64

Segment Information - Additiona

Segment Information - Additional Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($) Segment	Mar. 31, 2022 USD ($)	Dec. 31, 2022 USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments | Segment	2
Revenues	$ 1,173,466	$ 949,069
Property and equipment, net	94,759		$ 96,050
United States
Segment Reporting Information [Line Items]
Revenues	882,300	$ 718,000
Property and equipment, net	$ 82,500		$ 84,400

Segment Information - Summary o

Segment Information - Summary of Business Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Segment Reporting Information [Line Items]
Total revenue	$ 1,173,466	$ 949,069
Federal Solution Segment
Segment Reporting Information [Line Items]
Total revenue	634,546	491,629
Critical Infrastructure
Segment Reporting Information [Line Items]
Total revenue	$ 538,920	$ 457,440

Segment Information - Summary_2

Segment Information - Summary of Adjusted EBITDA Business Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Adjusted EBITDA attributable to Parsons Corporation
Adjusted EBITDA attributable to Parsons Corporation	$ 80,505	$ 70,953
Adjusted EBITDA attributable to noncontrolling interests	9,886	3,295
Depreciation and amortization	(28,359)	(30,509)
Interest expense, net	(5,665)	(3,873)
Income tax expense	(11,503)	(8,119)
Equity-based compensation expense	(6,703)	(3,898)
Transaction-related costs	(1,618)	(2,398)
Restructuring expense	(546)	(213)
Other	(721)	(1,395)
Net income including noncontrolling interests	35,276	23,843
Net income attributable to noncontrolling interests	9,723	3,176
Net income attributable to Parsons Corporation	25,553	20,667
Federal Solution Segment
Adjusted EBITDA attributable to Parsons Corporation
Adjusted EBITDA attributable to Parsons Corporation	56,148	42,638
Critical Infrastructure
Adjusted EBITDA attributable to Parsons Corporation
Adjusted EBITDA attributable to Parsons Corporation	$ 24,357	$ 28,315

Segment Information - Summary_3

Segment Information - Summary of Revenues and Property and Equipment, Net by Geographic Area (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Segment Reporting Information [Line Items]
Revenues	$ 1,173,466	$ 949,069
Property and equipment, net	94,759		$ 96,050
North America
Segment Reporting Information [Line Items]
Revenues	948,715	785,708
Property and equipment, net	89,022		91,217
Middle East
Segment Reporting Information [Line Items]
Revenues	217,398	158,063
Property and equipment, net	5,737		$ 4,833
Rest of World
Segment Reporting Information [Line Items]
Revenues	$ 7,353	$ 5,298

Segment Information - Summary_4

Segment Information - Summary of Revenues by Business Lines (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Segment Reporting Information [Line Items]
Revenues	$ 1,173,466	$ 949,069
Federal Solution Segment
Segment Reporting Information [Line Items]
Revenues	634,546	491,629
Federal Solution Segment | Defense And Intelligence
Segment Reporting Information [Line Items]
Revenues	364,360	335,527
Federal Solution Segment | Engineered Systems
Segment Reporting Information [Line Items]
Revenues	270,186	156,102
Critical Infrastructure
Segment Reporting Information [Line Items]
Revenues	538,920	457,440
Critical Infrastructure | Connected Communities
Segment Reporting Information [Line Items]
Revenues	156,171	162,654
Critical Infrastructure | Mobility Solutions
Segment Reporting Information [Line Items]
Revenues	$ 382,749	$ 294,786

Subsequent Events - Additional

Subsequent Events - Additional Information (Details) - Subsequent Event - IPKeys Power Partners $ in Millions	Apr. 13, 2023 USD ($)
Subsequent Event [Line Items]
Percentage of ownership interest acquired	100%
Cash paid to acquire	$ 43.2