$MTZ · MASTEC INC
MasTec reported Q3 2026 results with record revenue of $5.152B (+29.9% YoY) and record Adjusted EBITDA of $486M (+30.2%). GAAP diluted EPS fell 7.7% to $1.89, while Adjusted Diluted EPS rose 19.3% to $2.96. Full-year 2026 guidance was updated to Adjusted Diluted EPS of $8.92-$9.30 on revenue of $18.3B, with Adjusted EBITDA midpoint trimmed ~1% from prior guidance due to Pipeline project timing.
- Revenue hit a quarterly record of $5.152B, up 29.9% YoY, driven by 65.2% growth in Power Delivery.
- GAAP diluted EPS fell 7.7% to $1.89 while Adjusted Diluted EPS rose 19.3% to $2.96.
- Communications segment EBITDA margin collapsed 460 bps to 6.7% on 11.8% revenue decline; company exiting underperforming markets.
- Pipeline Infrastructure EBITDA margin dropped 500 bps to 10.4% due to permitting-related access delays.
- 18-month backlog hit a record $24.5B, up 46.3% YoY, with Power Delivery backlog surging 74%.
Extended-hours trading shows MTZ at $172.01, down 3.27% vs the regular close of $177.82. The GAAP EPS miss and Communications/Pipeline margin compression appear to be outweighing the strong revenue beat and backlog growth.
A tale of two companies: Power Delivery is booming (revenue +65%, backlog +74%) while Communications and Pipeline margins are deteriorating sharply, and full-year Adjusted EBITDA guidance was trimmed.
MasTec's Power Delivery segment is benefiting from secular tailwinds in utility and large-load electrical infrastructure, while Communications weakness mirrors broader telecom capex caution. The Superior acquisition closed in July 2026 is already contributing above-guidance results.
Communications segment faces customer spending deferrals in H2 2026, prompting restructuring including exiting underperforming markets. Pipeline Infrastructure margins are pressured by permitting delays that caused crew underutilization; delayed project starts could shift revenue into 2027.