Quanta Services Inc (PWR) 2021 Q1 法說會逐字稿

Greetings, and welcome to Quanta Services First Quarter 2021 Earnings Conference Call. (Operator Instructions) As a reminder, this conference is being recorded.

您好，歡迎參加廣達服務 2021 年第一季財報電話會議。 （操作員指示）謹此提醒，本次會議正在錄製中。

I would now like to turn the conference over to your host, Kip Rupp, Vice President, Investor Relations. Please go ahead, sir.

現在我想將會議交給東道主投資者關係副總裁 Kip Rupp。請繼續，先生。

Great. Thank you, and welcome, everyone, to the Quanta Services First Quarter 2021 Earnings Conference Call. This morning, we issued a press release announcing our first quarter results, which can be found in the Investor Relations section of our website at quantaservices.com, along with a summary of our 2021 outlook and commentary that we'll discuss this morning. Additionally, we will use a slide presentation this morning to accompany our prepared remarks, which is viewable through the call's webcast and also available on the Investor Relations section of the Quanta Services website.

偉大的。謝謝並歡迎大家參加廣達服務 2021 年第一季財報電話會議。今天早上，我們發布了一份新聞稿，宣布了我們第一季的業績，您可以在我們網站的投資者關係部分找到該業績，網址為：quantaservices.com，此外還有我們今天早上將討論的2021 年展望與評論摘要。此外，今天早上我們將使用幻燈片演示來配合我們準備好的發言，您可以透過電話會議的網路廣播觀看該演示，也可以在 Quanta Services 網站的投資者關係部分查看。

Please remember that information reported on this call speaks only as of today, May 6, 2021, and therefore, you're advised that any time-sensitive information may no longer be accurate as of any replay of this call.

請記住，本次電話會議中報告的資訊僅截至今天（2021 年 5 月 6 日），因此，我們建議您，在本次電話會議重播後，任何時間敏感的資訊可能不再準確。

This call will include forward-looking statements intended to qualify under the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These include all statements reflecting Quanta's expectations, intentions, assumptions or beliefs about future events or performance that do not rely -- solely relate to historical or current facts.

本次電話會議將包括前瞻性陳述，旨在符合1995 年《私人證券訴訟改革法案》規定的免於責任的安全港條件。信念的所有陳述，這些陳述不依賴－僅與歷史或當前事實相關。

Forward-looking statements involve certain risks, uncertainties and assumptions that are difficult to predict or beyond Quanta's control, and actual results may differ materially from those expressed or implied. For additional information concerning some of these risks, uncertainties and assumptions, please refer to the cautionary language included in today's press release, along with the company's periodic reports and other documents filed with the Securities and Exchange Commission which are available on Quanta's or the SEC's website.

前瞻性陳述涉及某些難以預測或超出廣達控制範圍的風險、不確定性和假設，實際結果可能與明示或暗示的結果有重大差異。有關其中一些風險、不確定性和假設的更多信息，請參閱今天新聞稿中包含的警示性語言，以及公司定期報告和向證券交易委員會提交的其他文件，這些文件可在廣達或美國證券交易委員會的網站上找到。

You should not place undue reliance on forward-looking statements, and Quanta does not undertake any obligation to update such statements and disclaims any written or oral statements made by a third-party regarding the subject matter of this call.

您不應過度依賴前瞻性陳述，廣達不承擔任何更新此類陳述的義務，並否認第三方就本次電話會議主題所發表的任何書面或口頭陳述。

Please also note that we will present certain historical and forecasted non-GAAP financial measures in today's call. Including adjusted diluted EPS, backlog, EBITDA and free cash flow. Reconciliations of these measures to their most directly comparable GAAP financial measures are included in our earnings release.

另請注意，我們將在今天的電話會議中介紹某些歷史和預測的非公認會計準則財務指標。包括調整後稀釋每股盈餘、積壓訂單、EBITDA 和自由現金流。這些指標與其最直接可比較的公認會計準則財務指標的調節表包含在我們的收益發布中。

Lastly, if you would like to be notified when Quanta publishes news releases and other information, please sign up for e-mail alerts through the Investor Relations section of quantaservices.com. We also encourage investors and others interested in our company to follow Quanta IR and Quanta Services on the social media channels listed on our website.

最後，如果您希望在廣達發布新聞稿和其他資訊時收到通知，請透過Quantaservices.com 的投資者關係部分註冊電子郵件提醒。我們也鼓勵投資者和其他對我們公司感興趣的人在我們網站上列出的社交媒體管道上關注 Quanta IR 和 Quanta Services。

With that, I would now like to turn the call over to Mr. Duke Austin, Quanta's President and CEO. Duke?

現在我想將電話轉給廣達總裁兼執行長杜克·奧斯汀先生。公爵？

Thanks, Kip. Good morning, everyone, and welcome to the Quanta Services First Quarter 2021 Earnings Conference Call. On the call today, I will provide operational and strategic commentary, and we'll turn -- then turn the call over to Derrick Jensen, Quanta's Chief Financial Officer, who will provide a review of our first quarter results and full year 2021 financial expectations. Following Derrick's comments, we welcome your questions.

謝謝，基普。大家早安，歡迎參加廣達服務 2021 年第一季財報電話會議。在今天的電話會議上，我將提供營運和策略評論，然後我們將電話轉交給廣達財務長 Derrick Jensen，他將對我們第一季業績和 2021 年全年財務預期進行回顧。在 Derrick 的評論之後，我們歡迎您提出問題。

This morning, we reported solid first quarter results with revenues of $2.7 billion in GAAP and adjusted diluted earnings per share of $0.62 and $0.83, respectively. Backlog at the end of the quarter was a record $15.8 billion, which we believe reflects the continued advancement of our long-term growth strategies.

今天早上，我們公佈了穩健的第一季業績，以 GAAP 計算的收入為 27 億美元，調整後的攤薄每股收益分別為 0.62 美元和 0.83 美元。本季末的積壓訂單達到創紀錄的 158 億美元，我們認為這反映了我們長期成長策略的持續推進。

We continue to see opportunities for multiyear growth across our service lines, driven by our solutions-based approach and the growth of programmatic spending with existing and new customers. The recognition that the country's infrastructure needs to be modernized to support economic growth, improved safety and reliability and for a cleaner environment, is evidenced by the Biden administration's recently proposed $2 trillion infrastructure plan. The proposal will evolve and take time to move through the political process. But as proposed, the plan includes funding and policies to encourage new infrastructure development and modernization in several of our core markets, including high-voltage electric transmission and power grid modernization and resiliency, renewable energy, electric vehicle charging station infrastructure and other electrification initiatives and broadband infrastructure expansion.

在我們基於解決方案的方法以及現有和新客戶的程序化支出成長的推動下，我們繼續看到我們的服務線實現多年增長的機會。拜登政府最近提出的 2 兆美元基礎設施計畫證明了人們認識到國家基礎設施需要現代化，以支持經濟成長、提高安全性和可靠性以及更清潔的環境。該提案將會不斷發展，並需要時間來完成政治進程。但根據提議，該計劃包括鼓勵我們幾個核心市場的新基礎設施開發和現代化的資金和政策，包括高壓輸電和電網現代化和彈性、可再生能源、電動汽車充電站基礎設施和其他電氣化舉措和寬頻基礎設施擴建。

While this infrastructure proposal could accelerate activity in these areas and provide incremental opportunity for Quanta over several years, I want to stress that our positive multiyear outlook and strategic plan are not reliant on this infrastructure proposal. We have been collaborating with our customers for many years to support their significant multiyear investment programs already in place to modernize the existing power grid, ensure reliable power, delivery and to integrate higher levels of renewable generation.

雖然這項基礎設施提案可以加速這些領域的活動，並在幾年內為廣達提供增量機會，但我想強調的是，我們積極的多年前景和戰略計劃並不依賴這項基礎設施提案。多年來，我們一直與客戶合作，支持他們已經實施的重大多年投資計劃，以實現現有電網現代化，確保可靠的電力和輸送，並整合更高水準的再生能源發電。

Our Electric Power Solutions operations performed well during the quarter, reflecting broad-based business strength, driven by ongoing grid modernization, system hardening, renewable energy interconnections and solid and safe execution.

我們的電力解決方案業務在本季度表現良好，反映出在持續的電網現代化、系統強化、再生能源互連以及可靠和安全的執行的推動下，廣泛的業務實力。

During the quarter, we signed a significant multiyear master services agreement with a utility in the Western United States, which made a substantial incremental contribution to our record first quarter backlog. We believe our record backlog and these initiatives will continue to drive multiyear growth opportunities for Quanta.

在本季度，我們與美國西部的一家公用事業公司簽署了一項重要的多年期主服務協議，這為我們創紀錄的第一季積壓做出了巨大的增量貢獻。我們相信，我們創紀錄的積壓訂單和這些舉措將繼續為廣達帶來多年的成長機會。

Though COVID-19 has created some near-term challenges in Canada, we see opportunities to pursue additional large projects there for the coming years. Additionally, our discussions with high-voltage electric transmission project sponsors in the United States have increased as the need for large-scale electric transmission infrastructure to support growing renewable generation and achieve carbon-neutrality goals become evident.

儘管 COVID-19 為加拿大帶來了一些近期挑戰，但我們看到了未來幾年在那裡開展更多大型專案的機會。此外，隨著對大規模輸電基礎設施支持不斷增長的可再生能源發電和實現碳中和目標的需求變得明顯，我們與美國高壓輸電項目贊助商的討論也有所增加。

LUMA Energy and its employees, as supported by Quanta and its joint venture partner, ATCO, are all working diligently towards transitioning the operations and maintenance of the Puerto Rico electric power grid to LUMA in early June. LUMA's efforts under the agreement are intended to deliver long-term social and economic benefits to the people of Puerto Rico.

LUMA Energy 及其員工在廣達及其合資夥伴 ATCO 的支持下，正在努力工作，爭取在 6 月初將波多黎各電網的營運和維護移交給 LUMA。 LUMA 根據該協議所做的努力旨在為波多黎各人民帶來長期的社會和經濟利益。

As stated previously, we believe this opportunity is transformative for all the parties involved, including the people of Puerto Rico and the work to be performed by LUMA under the 15-year contract aligns with Quanta's strategy of providing sophisticated and valuable solutions to the utility industry that benefits consumers.

如前所述，我們相信這一機會對於包括波多黎各人民在內的所有相關方來說都是變革性的，並且LUMA 根據15 年合約將要開展的工作符合廣達為公用事業行業提供複雜且有價值的解決方案的策略這對消費者有利。

The majority of our communications operations are off to a solid start this year, driven by strong demand for fiber densification to reach homes and businesses and the early stages of 5G network deployments. However, during the quarter, we experienced short-term challenges really associated with efficient subcontractor work in a specific geographic area, which required rework. We have addressed our quality assessment protocol shortcomings on this issue and are pursuing compensation from the subcontractor. This was an isolated issue, and we believe we are on track to generate high single or double-digit operating income margins for the remainder of this year.

在家庭和企業對光纖緻密化的強烈需求以及 5G 網路部署的早期階段的推動下，我們的大部分通訊業務今年都取得了良好的開局。然而，在本季度，我們遇到了與特定地理區域的高效分包商工作真正相關的短期挑戰，這需要返工。我們已經解決了品質評估協議在這個問題上的缺陷，並正在向分包商尋求賠償。這是一個孤立的問題，我們相信我們預計在今年剩餘時間內實現高個位數或兩位數的營業利潤率。

Additionally, we continue to believe we can achieve at least $1 billion in annual revenue with double-digit operating income margins in the medium term. As service providers continue to push fiber closer to the customer, fiber backhaul densification continues, 5G wireless infrastructure development increases and meaningful federal funding is provided for broadband network expansion initiatives in underserved markets.

此外，我們仍然相信，從中期來看，我們可以實現至少 10 億美元的年收入和兩位數的營業利潤率。隨著服務供應商繼續推動光纖更接近客戶，光纖回程緻密化不斷發展，5G 無線基礎設施開發不斷增加，並為服務欠缺市場的寬頻網路擴展計劃提供了有意義的聯邦資金。

On prior calls, we have shared our belief that Quanta is uniquely positioned between the communications and utility industries to provide solutions for broadband and 5G technology deployments, leveraging existing infrastructure. We have made significant progress working with our customers and a broadband technology partner. And during the first quarter, made a minority financial investment in this partner. We also entered into a strategic alliance with them, where Quanta will serve as a program manager for large-scale deployments of their fixed wireless broadband technology, which we utilized our customers' facilities where appropriate.

在先前的電話會議中，我們相信廣達在通訊和公用事業行業中具有獨特的地位，可以利用現有基礎設施為寬頻和 5G 技術部署提供解決方案。我們與客戶和寬頻技術合作夥伴的合作取得了重大進展。在第一季度，對該合作夥伴進行了少數股權投資。我們也與他們建立了策略聯盟，廣達將擔任大規模部署其固定無線寬頻技術的專案經理，我們在適當的情況下利用客戶的設施。

We believe this relationship advances our solutions with customers to accelerate and improve access to affordable and reliable broadband in rural and underserved markets. We believe our proactive strategy and the unique solutions Quanta provides the marketplace enhances our opportunity to expand our telecom infrastructure solutions with other utility and communication customers.

我們相信，這種關係將推動我們與客戶的解決方案的發展，從而加速和改善農村和服務不足市場獲得負擔得起且可靠的寬頻的機會。我們相信，我們的主動策略和廣達為市場提供的獨特解決方案增強了我們與其他公用事業和通訊客戶擴展電信基礎設施解決方案的機會。

Our Underground Utility and Infrastructure Solutions segment performed well in the quarter with better-than-expected profitability despite seasonality and continued challenges caused by COVID-19. We are confident in our full year expectations for the segment, driven by solid demand for our gas utility and pipeline integrity service. Additionally, there are encouraging signs supporting our expectations of improved demand for our industrial services beginning in the second half of this year.

儘管受到季節性因素和 COVID-19 帶來的持續挑戰，我們的地下公用事業和基礎設施解決方案部門本季表現良好，獲利能力優於預期。在對我們的天然氣公用事業和管道完整性服務的強勁需求的推動下，我們對該領域的全年預期充滿信心。此外，還有一些令人鼓舞的跡象支持我們對工業服務需求從今年下半年開始改善的期望。

We believe deferred maintenance and capital spending due to the effects of COVID on the downstream market is creating pent-up demand for our services, which should prove beneficial as market conditions normalize for our customers. However, we would like to see how the summer travel season develops, which could influence activity levels of our downstream customers before making adjustments to our full year expectations for this segment.

我們認為，由於新冠疫情對下游市場的影響，維護和資本支出的延遲正在為我們的服務創造被壓抑的需求，隨著市場狀況對我們的客戶正常化，這應該是有利的。然而，我們希望了解夏季旅遊旺季的發展情況，這可能會影響我們下游客戶的活動水平，然後再調整我們對該細分市場的全年預期。

The solutions Quanta provides support our customers' efforts to increase reliability, safety, efficiency and connectivity, all of which have favorable environmental and social impact. Our end markets and multiyear visibility are solid. And we have built a strong platform that positions us well to capitalize on favorable long-term trends, particularly grid modernization and hardening, the transition toward a carbon-neutral economy and the adoption of new technologies such as 5G, battery storage and hydrogen.

廣達提供的解決方案支援我們的客戶提高可靠性、安全性、效率和連接性，所有這些都具有良好的環境和社會影響。我們的終端市場和多年的知名度是穩固的。我們建立了一個強大的平台，使我們能夠很好地利用有利的長期趨勢，特別是電網現代化和強化、向碳中和經濟轉型以及採用 5G、電池儲存和氫等新技術。

Previously, we have discussed our strategic focus on enhancing our front-end capabilities such as engineering and permitting. To complement our world-class construction expertise, our strategy is designed to provide differentiated, comprehensive and industry-leading solutions to our customers, which we have achieved through organic investment and select acquisitions. This strategy is contributing to our backlog growth, increasing our total addressable market and providing the meaningful growth opportunities for the future.

之前，我們討論了增強工程和許可等前端能力的策略重點。為了補充我們世界一流的建築專業知識，我們的策略旨在為客戶提供差異化、全面和行業領先的解決方案，這是我們透過有機投資和選擇性收購實現的。這項策略有助於我們的積壓成長，增加我們的潛在市場總量，並為未來提供有意義的成長機會。

In our earnings release this morning, we raised our 2021 guidance due to solid first quarter results and confidence in the business. We believe this demonstrates the strength and sustainability of our business and long-term strategy, favorable end market trends, our ability to safely execute and our strong competitive position in the marketplace.

在今天早上發布的財報中，由於第一季業績穩健以及對業務的信心，我們上調了 2021 年的指引。我們相信，這證明了我們業務和長期策略的實力和永續性、有利的終端市場趨勢、我們安全執行的能力以及我們在市場中強大的競爭地位。

We continue to believe we are in a multiyear upcycle with continued opportunity for further record backlog and results in 2021. We are focused on operating the business for the long-term and expect to continue to distinguish ourselves through safe execution and best-in-class build leadership. We will pursue opportunities to enhance Quanta's base business and leadership position in the industry and provide innovative solutions to our customers.

我們仍然相信，我們正處於多年的上升週期，並有機會在 2021 年進一步創紀錄的積壓訂單和業績。我們將尋求機會加強廣達的基礎業務和行業領導地位，並為我們的客戶提供創新的解決方案。

We believe Quanta's diversity, unique operating model and entrepreneurial mindset form the foundation that will allow us to continue to generate long-term value for all our stakeholders.

我們相信廣達的多元化、獨特的營運模式和創業思維構成了我們能夠繼續為所有利害關係人創造長期價值的基礎。

I will now turn the call over to Derrick Jensen, our CFO, for his review of our first quarter results and 2021 expectations. Derrick?

我現在將把電話轉給我們的財務長 Derrick Jensen，請他審查我們第一季的業績和 2021 年的預期。德里克？

Thanks, Duke, and good morning, everyone. Today, we announced first quarter 2021 revenues of $2.7 billion. Net income attributable to common stock was $90 million or $0.62 per diluted share, and adjusted diluted earnings per share, a non-GAAP measure, was $0.83.

謝謝杜克，大家早安。今天，我們宣布 2021 年第一季營收為 27 億美元。普通股淨利為 9,000 萬美元，即稀釋後每股收益 0.62 美元，調整後稀釋每股盈餘（非公認會計原則衡量標準）為 0.83 美元。

The first quarter was another strong quarter for Quanta, led by continued strength from electric power and better-than-expected profitability from our Underground Utility and Infrastructure segment.

第一季是廣達另一個強勁的季度，電力的持續強勁以及地下公用事業和基礎設施部門的獲利能力優於預期。

Our electric power revenues were $2.1 billion, a record for the first quarter and a 17% increase when compared to the first quarter of 2020. This increase was driven by continued growth in base business activities as well as contributions from larger transmission projects underway in Canada and revenues from acquired businesses of approximately $70 million.

我們的電力收入為21 億美元，創下第一季的記錄，與2020 年第一季相比成長17%。的收購業務帶來的收入約為 7,000 萬美元。

Also, revenues associated with emergency restoration services attributable to winter storm response efforts were approximately $80 million, a first quarter record.

此外，與冬季風暴應對工作相關的緊急恢復服務相關收入約為 8,000 萬美元，創第一季紀錄。

Electric segment margins in 1Q '21 were 9.7% versus 7.3% in 1Q '20. The improved operating margins were driven by double-digit performance from our electric operations within the segment, including the benefit associated with increased profit contributions from emergency restoration efforts which typically present opportunities for higher margins than our normal base business activities due to higher utilization.

21 年第 1 季的電力部門利潤率為 9.7%，而 20 年第 1 季為 7.3%。營業利潤率的提高是由我們在該部門的電力業務的兩位數業績推動的，包括與緊急恢復工作帶來的利潤貢獻增加相關的收益，由於利用率較高，這通常為我們提供比正常基礎業務活動更高的利潤率的機會。

Operating margins also benefited from approximately $5 million of income associated with our LUMA joint venture. Negatively impacting first quarter margins were recorded reserves for the identified issues Duke discussed, which, when combined with normal seasonality, exacerbated by severe weather challenges from Winter Storm Uri created an operating loss within our U.S. telecom operations for the quarter. Again, we believe we have addressed the issues and expect margins at or near double digits going forward.

營運利潤率也受惠於與我們的 LUMA 合資企業相關的約 500 萬美元的收入。杜克所討論的已確定問題的準備金對第一季度利潤率產生了負面影響，再加上正常的季節性因素，冬季風暴烏裡的惡劣天氣挑戰加劇了這一問題，造成了我們美國電信業務本季的營運虧損。再次，我們相信我們已經解決了這些問題，並預計未來利潤率將達到或接近兩位數。

Underground Utility and Infrastructure segment revenues were $643 million for the quarter, 35% lower than 1Q '20, due primarily to reduced revenues from our industrial operations and a reduction in contributions from larger pipeline projects. Operations within this segment in last year's first quarter results had yet to be impacted by COVID-19 headwinds. And in fact, our industrial operations had record results in the period.

本季地下公用事業和基礎設施部門收入為 6.43 億美元，比 20 年第一季下降 35%，這主要是由於我們的工業營運收入減少以及大型管道項目貢獻減少。去年第一季的業績中，該部門的營運尚未受到 COVID-19 不利因素的影響。事實上，我們的工業營運在此期間取得了創紀錄的業績。

In 1Q '21, the segment continues to be negatively impacted by COVID-19, with first quarter revenues from our Canadian operations and our industrial operations both meaningfully below pre-pandemic levels. Despite the COVID-related headwinds, the segment delivered margins of 1.4%. And although 170 basis points lower than 1Q '20, primarily due to the reduced revenues, the results exceeded our original expectations for 1Q, led by execution across much of our base business activity, including our gas distribution and industrial services.

21 年第一季度，該部門繼續受到 COVID-19 的負面影響，第一季我們加拿大業務和工業業務的收入均明顯低於大流行前的水平。儘管面臨與新冠疫情相關的不利因素，該部門的利潤率仍達到 1.4%。儘管主要由於收入減少而比 20 年第一季低 170 個基點，但由於我們的大部分基礎業務活動（包括天然氣分銷和工業服務）的執行，結果超出了我們對第一季度的最初預期。

Our total backlog was a record $15.8 billion at the end of the first quarter with 12-month backlog of $8.9 billion, representing solid increases when compared to year-end as well as the first quarter of 2020. This marks the third consecutive quarter where we posted record backlog, a trend driven primarily by continued growth in multiyear MSA programs with North American utilities, which we believe continues to validate the repeatable, sustainable nature of the largest portion of our revenues and earnings.

截至第一季末，我們的積壓總額達到創紀錄的158 億美元，其中12 個月的積壓金額為89 億美元，與年底和2020 年第一季相比穩步增長。個季度積壓創紀錄，這一趨勢主要是由與北美公用事業公司的多年 MSA 計劃的持續增長推動的，我們相信這繼續驗證了我們收入和收益的最大部分的可重複性、可持續性質。

For the first quarter of 2021, we generated free cash flow, a non-GAAP measure, of $49 million, $115 million lower than 1Q '20, however, 1Q '20 included the collection of $82 million of insurance proceeds associated with the settlement of 2 pipeline project claims.

2021 年第一季度，我們產生了4,900 萬美元的自由現金流（非GAAP 衡量標準），比20 年第一季減少了1.15 億美元，但20 年第一季包括收取8,200 萬美元與結算相關的保險收益。

Day sales outstanding, or DSO, measured 89 days for the first quarter, an increase of 4 days compared to the first quarter of 2020 and an increase of 6 days compared to December 31, 2020. These increases are primarily due to the expected ramp in work on 2 larger electric transmission projects in Canada in the first quarter and the timing of billing. The Canadian response to COVID has significantly hampered production, for which we will seek recovery and delayed this in meeting certain billing milestones.

第一季應收帳款週轉天數 (DSO) 為 89 天，比 2020 年第一季度增加了 4 天，與 2020 年 12 月 31 日相比增加了 6 天。第一季負責加拿大兩個較大的輸電項目以及計費時間。加拿大對新冠疫情的應對措施嚴重阻礙了生產，我們將尋求恢復生產，並推遲實現某些計費里程碑。

We had approximately $200 million of cash at the end of the quarter, with total liquidity of approximately $2.1 billion and a debt-to-EBITDA ratio, as calculated under our credit agreement of approximately 1.3x.

截至本季末，我們擁有約 2 億美元的現金，總流動資金約為 21 億美元，根據我們的信貸協議計算，債務與 EBITDA 比率約為 1.3 倍。

Integration activities associated with acquisitions closed in the back half of 2020 are ongoing, and we closed another small acquisition during the first quarter of 2021. We continue to take an opportunistic view towards acquisitions and maintain the balance sheet strength to support strategic capital outlays in this area. Additionally, through the date of this earnings release, we acquired approximately $29 million worth of stock as part of our repurchase program. We remain committed to delivering shareholder value through prudent capital deployment.

與2020 年下半年完成的收購相關的整合活動正在進行中，我們在2021 年第一季度完成了另一項小型收購。一領域的策略資本支出區域。此外，截至本財報發布之日，作為回購計畫的一部分，我們收購了價值約 2,900 萬美元的股票。我們仍然致力於透過審慎的資本部署來創造股東價值。

Turning to guidance. Based on the Electric segment's strong first quarter and continued confidence in our ability to execute on the opportunities across the segment, we've increased the low end of our full year expectations for segment revenues, resulting in a range between $8.4 billion and $8.5 billion for 2021. Similarly, we are increasing the low end of our full year margin range for the segment with 2021 operating margins now expected to range between 10.2% and 10.9%.

轉向指導。基於電力部門第一季的強勁表現以及對我們抓住該部門機會的能力的持續信心，我們提高了對該部門收入的全年預期下限，從而使該部門的收入範圍在84 億美元至85 億美元之間。

Regarding the Underground Utility and Infrastructure Solutions segment, while we had a nice start to the year, we are not yet in a position to change our full year expectations. Accordingly, we are reiterating our original full year guidance for the segment, with revenues expected to range between $3.65 billion and $3.85 billion and segment margins ranging between 5.5% and 6%. These segment operating ranges support our increased expectations for 2021 annual revenues of between $12.05 billion to $12.35 billion, and adjusted EBITDA, a non-GAAP measure, of between $1.1 billion and $1.2 billion. The midpoint of the range represents 10% growth when compared to 2020's record adjusted EBITDA.

關於地下公用事業和基礎設施解決方案領域，雖然我們今年有一個良好的開局，但我們無法改變全年預期。因此，我們重申對該部門最初的全年指引，預計收入在 36.5 億美元至 38.5 億美元之間，部門利潤率在 5.5% 至 6% 之間。這些部門的經營範圍支持我們對 2021 年年收入在 120.5 億美元至 123.5 億美元之間的預期，以及調整後 EBITDA（非 GAAP 指標）在 11 億美元至 12 億美元之間的預期。與 2020 年創紀錄的調整後 EBITDA 相比，該範圍的中點代表成長 10%。

In addition to these improved operating expectations, our full year expectations for net income and adjusted net income, a non-GAAP measure, are expected to benefit from a reduced annual tax rate, driven by higher benefits realized in the first quarter associated with the fair value of vested stock compensation awards. We now expect our full year tax rate to range between 25.25% and 25.75%. As a result, our increased expectation for full year diluted earnings per share attributable to common stock is now between $3.25 and $3.69, and our increased expectation for adjusted diluted earnings per share attributable to common stock, a non-GAAP measure, is now between $4.12 and $4.57.

除了這些改善的經營預期之外，我們對淨利潤和調整後淨利潤（一項非公認會計原則衡量標準）的全年預期預計將受益於年度稅率的降低，這是由於第一季與展會相關的更高收益的推動既得股票補償獎勵的價值。我們現在預計全年稅率將在 25.25% 至 25.75% 之間。因此，我們對全年普通股攤薄每股收益的預期上調至 3.25 美元至 3.69 美元之間，對調整後普通股攤薄每股收益（非公認會計原則衡量標準）的預期上調至 4.12 美元之間和4.57 美元。

We are maintaining our free cash flow guidance for the year, expecting it to range between $400 million and $600 million. And we'll reiterate that quarterly free cash flow is subject to sizable movements due to various customer and project dynamics that can occur in the normal course of operations. For additional information, please refer to our outlook summary, which can be found in the Financial Info section of our IR website at quantaservices.com.

我們維持今年的自由現金流指引，預計在 4 億美元至 6 億美元之間。我們將重申，由於正常營運過程中可能發生的各種客戶和專案動態，季度自由現金流會大幅波動。如需了解更多信息，請參閱我們的展望摘要，該摘要可在我們的投資者關係網站（Quantaservices.com）的財務資訊部分找到。

Overall, we are pleased with the start to the year and remain confident in the strength of our operations and prospects for profitable growth. As our backlog continues to grow and our visibility into the duration of this infrastructure cycle continues to improve, we have increasing conviction in our ability to capitalize on the opportunities across our end markets.

總體而言，我們對今年的開局感到滿意，並對我們的營運實力和獲利成長前景充滿信心。隨著我們的積壓訂單不斷增加，以及我們對該基礎設施週期持續時間的了解不斷提高，我們越來越相信我們有能力利用終端市場的機會。

We firmly believe the repeatable nature of our base business solutions, coupled with opportunistic larger project deployments, disciplined capital allocation and continued balance sheet strength will be the key to delivering long-term shareholder value. This concludes our formal presentation, and we'll now open the line for Q&A. Operator?

我們堅信，我們基礎業務解決方案的可重複性，加上機會主義的大型專案部署、嚴格的資本配置和持續的資產負債表實力，將是實現長期股東價值的關鍵。 我們的正式演講到此結束，現在我們將開通問答熱線。操作員？

(Operator Instructions) Our first question today is from Chad Dillard of Deutsche Bank.

（操作員指示）我們今天的第一個問題來自德意志銀行的查德·迪拉德（Chad Dillard）。

Just wanted to dig a little bit into the infrastructure plan. So beyond the headline, $100 billion of funding for power infrastructure, can you talk about the potential changes from a policy perspective that you could see in this plan? And whether that could actually have an impact on the process of construction or even before that out on the permitting side? And then secondly, the bill has also allocated a decent amount of money to water pipe infrastructure. Is this an area of interest for Quanta, I mean, given its heritage of linear construction?

只是想深入了解基礎設施計劃。那麼，除了為電力基礎設施提供 1000 億美元資金的標題之外，您能否從政策角度談談您在該計劃中可以看到的潛在變化？這是否真的會對施工過程甚至在許可方面產生影響？其次，該法案也為水管基礎設施分配了大量資金。我的意思是，考慮到廣達線性結構的傳統，這是否是廣達感興趣的領域？

Chad, the policy and the plan under administration, I do think it benefits us. As always, states have a lot of say in right-of-ways and easements and permits. So I do think that that will be a sticking point as we move forward. But even without the plan, I would say, the sentiment around a carbon-free environment neutrality is there, we continue to see larger projects that are moving forward. So it's a robust environment in my mind, with or without the federal funding. So I -- while it's good, I believe every bit of that would be incremental to anything we've commented on in the past.

乍得，管理中的政策和計劃，我確實認為這對我們有利。一如既往，各州在通行權、地役權和許可證方面擁有很大的發言權。所以我確實認為這將是我們前進的一個癥結所在。但我想說，即使沒有這個計劃，圍繞無碳環境中立的情緒仍然存在，我們繼續看到更大的項目正在推進。所以在我看來，無論有沒有聯邦資助，這都是一個強大的環境。所以我——雖然這很好，但我相信其中的每一點都會對我們過去評論過的事情有所補充。

As well -- as far as water, we do some water now. Anything involves cross-skill labor, we're riding there on it and looking at it. We believe that's kind of our core to us is our ability to perform that. So we do look at water quite a bit. I'm not signaling anything on that. I just -- we do look at it.

還有——就水而言，我們現在做一些水。任何事情都涉及跨技能勞動，我們會騎在它身上並觀察它。我們相信，我們的核心就是我們執行此操作的能力。所以我們確實經常關注水。我不會就此發出任何信號。我只是——我們確實在關注它。

Got you. Okay. And just a question. I mean, I know that your detailed reason and underground guide us on the revenue side hasn't necessarily changed, but just curious about how you think about the industrial business in particular? Can you talk about how it trended in 1Q versus your expectations? And has there been any change in terms of how you're thinking about guidance for that business? Are you still expecting flat for this year?

明白你了。好的。只是一個問題。我的意思是，我知道您在收入方面的詳細原因和地下指導不一定會改變，但只是好奇您如何看待工業業務？您能談談第一季的趨勢與您的預期有何不同嗎？您對該業務的指導意見有什麼變化嗎？今年你還期待平淡嗎？

When we look at the underground business, again, we look at these businesses as a portfolio. So I would just say the LDC business, the integrity business there is working out nicely. We like where we sit from a base business and repeatable, sustainable model. But the industrial business was down, as we've talked about through COVID. We do see signs of life there. We have a really nice model. The things that we perform on the industrial sector are certainly necessary. There are signs of life there.

當我們審視地下業務時，我們再次將這些業務視為一個投資組合。所以我只想說路易達孚的業務、誠信業務進展順利。我們喜歡我們所處的基礎業務和可重複、可持續的模式。但正如我們透過新冠疫情討論的那樣，工業業務出現了下滑。我們確實在那裡看到了生命的跡象。我們有一個非常好的模型。我們在工業領域所做的事情當然是必要的。那裡有生命的跡象。

As Derrick commented. I think when we get to the second quarter, we'll know a lot more about where the economy is going and what we think about the industrial side. In my mind, certainly, opportunity on the back side of the year and '22 looks really robust.

正如德里克評論的那樣。我認為，當我們進入第二季時，我們將更多地了解經濟的走向以及我們對工業方面的看法。當然，在我看來，今年下半年和 22 年的機會看起來非常強勁。

The next question is from Sean Eastman of KeyBanc Capital Markets.

下一個問題來自 KeyBanc Capital Markets 的 Sean Eastman。

I just wanted to start on the Underground segment. I mean, obviously, the margins there in the first quarter stood out. I was surprised you didn't call out the Texas deep freeze. I would assume the stronghold business would have been dislocated around that. And I was just wondering if we could flush out whether there was something else that was particularly strong to overcome a dislocation there?

我只想從地下部分開始。我的意思是，顯然，第一季的利潤率很突出。我很驚訝你沒有說出德克薩斯州的深度冷凍。我認為據點業務將會因此而混亂。我只是想知道我們是否可以排除是否有其他東西特別強大來克服那裡的錯位？

No. The phrase it was 3 or 4 days. I know it got a lot of press and certainly loss of life and -- but really, it was 3 or 4 days. And while it was an impact to the quarter, the industrial sector performed well. I mean we did some emergency work, but very little when we think about it. All in all, I just think it's performing better than we anticipated a bit. We do see signs of life in that business. But all in all, it's really the portfolio of the company to perform throughout.

不。我知道它受到了很多媒體的關注，當然也造成了傷亡——但實際上，那是三、四天。儘管這對該季度產生了影響，但工業部門表現良好。我的意思是我們做了一些緊急工作，但仔細想想卻很少。總而言之，我只是認為它的表現比我們預期的要好一些。我們確實看到了該行業的生命跡象。但總而言之，這確實是公司的整個投資組合的表現。

Okay. Got it. That's helpful. And I hate to do this, guys, but just following this 1Q performance, I mean, $412 million at the low end. I mean what set of operating conditions put us there at this point? It just seems hard to get down there and just be helpful to sort of frame that low-end case at this point?

好的。知道了。這很有幫助。我討厭這樣做，夥計們，但就第一季的表現而言，我的意思是，低端為 4.12 億美元。我的意思是，目前什麼樣的營運條件讓我們陷入困境？此時似乎很難到達那裡並有助於對低端案例進行排序？

Yes. So I know as you can see, we raised the low end of the guidance here for the first quarter to some way to comment to that we continue to think that there's strength in the business model itself. But we very regularly put through a range of guidance on an annual basis. That considers a low end because of the fact that we work in volatile workspace. Oftentimes, it comes down to the way that the weather patterns impact the year, more specifically in the fourth quarter.

是的。所以我知道，正如您所看到的，我們提高了第一季指引的下限，以某種方式評論我們仍然認為商業模式本身俱有優勢。但我們每年都會定期發布一系列指導。這被認為是低端的，因為我們在不穩定的工作空間中工作。通常，這取決於天氣模式對一年的影響，更具體地說是第四季度的影響。

The fourth quarter is where substantial types of increment weather can come in and really impact the type of dynamic. Let alone the fact that through the year, we work in a range of circumstances, creating volatility. So we think it's always prudent to recognize those circumstances. But what I would also say is we think we have a tendency to execute throughout. I think also, as we've seen us do the last few years.

第四季可能會出現大量的增量天氣，並對動態類型產生真正的影響。更不用說一年來，我們在各種環境下工作，造成了波動。因此，我們認為認識到這些情況始終是謹慎的做法。但我還要說的是，我們認為我們有自始至終執行的傾向。我也認為，正如我們過去幾年所做的那樣。

So as we stand here today, we think our business model is intact. We think we continue to do the margin improvements that we think are available to us. But it's just the right thing to do to recognize the volatility of what we're working.

因此，當我們今天站在這裡時，我們認為我們的商業模式完好無損。我們認為我們將繼續提高我們認為可以實現的利潤率。但要認識到我們正在工作的波動性是正確的做法。

The next question is from Noelle Dilts of Stifel.

下一個問題來自 Stifel 的 Noelle Dilts。

So given the challenge that you're facing on the telecom -- with the telecom subcontractor that you're working through. Could you kind of just remind us of your model there? I think at one point, you were kind of 50% self-performed, 50% subcontracting. And could you touch on kind of where you'd like to see that go? And how you're thinking about investing in training folks to work on the self-perform side?

因此，考慮到您在電信方面面臨的挑戰 - 以及您正在處理的電信分包商。您能提醒我們一下您的模型嗎？我認為在某個時刻，你有 50% 自行執行，50% 分包的情況。您能談談您希望看到的發展方向嗎？您如何考慮投資培訓人員進行自我績效方面的工作？

Thanks, Noelle. As we discussed earlier, we kind of through about a $770 million type number on telecom as guidance. And I think, in my mind, the opportunity is still there for us to perform at those levels. I wouldn't call it such as a problem other than we had some shallow ditch. We identified it. We're remitting it through rework. We'll go after -- when I say, go after, we'll work with the subcontractor to try to recoup that and go forward.

謝謝，諾艾爾。正如我們之前討論的，我們以大約 7.7 億美元的電信數字作為指導。我認為，在我看來，我們仍然有機會達到這些水平。除了我們有一些淺溝渠之外，我不會稱其為問題。我們識別了它。我們透過返工將其匯出。我們會繼續努力——當我說，繼續努力時，我們將與分包商合作，努力彌補損失並繼續前進。

That being said, we like the business. It is about a 50-50 model as we stand today. We continue to see broadband activity, book work like the business a lot and on our way to $1 billion in inorganically for the most part. So I would just say, I think the company has done a real nice job. It is part of the Electric segment. We probably wouldn't have talked about it, honestly if it was just normal stuff. But since it was telecom, Derrick and I thought it was -- we talked about the good all the time. So we'll take our lumps and talk about that a little bit here and move forward.

話雖這麼說，我們喜歡這個行業。我們今天的模型大約是 50-50。我們繼續看到寬頻活動、預訂工作與業務一樣，大部分都在朝著 10 億美元的目標邁進。所以我只想說，我認為該公司做得非常好。它是電力部門的一部分。老實說，如果這只是正常的事情，我們可能不會談論它。但由於它是電信業，德里克和我認為——我們一直在談論好處。因此，我們將在這裡討論這個問題，然後繼續前進。

But in general, it just shows the strength of the quarter of the electric Segment as well. And if you look at it and you add -- you do an add back, call it, $10 million to $15 million of impact on the telecom business, you can see the quarter would have been substantially higher on the Electric segment.

但總的來說，它也僅僅顯示了電動細分市場四分之一的實力。如果你看一下它並添加 - 你做一個回加，稱之為，對電信業務的 1000 萬至 1500 萬美元的影響，你可以看到該季度電力部門的影響會大大提高。

That all makes sense. And then second, just given what we're seeing with commodity price increases and steel concerns about availability, what are you kind of watching around that dynamic? Are there any concerns about some of the larger transmission poles getting to you on time? Just kind of curious how you're thinking about the supply chain challenges that are kind of dominating headlines right now?

這一切都是有道理的。其次，考慮到我們所看到的商品價格上漲以及鋼鐵對供應的擔憂，您對這種動態有何關注？您是否擔心一些較大的輸電桿準時到達您身邊？ 只是有點好奇您如何看待目前佔據頭條新聞的供應鏈挑戰？

Yes. I mean, we're seeing some challenges in commodities, not really impacting us at this point. We'll watch it fairly closely on the larger projects to make sure that our material comes in on time. We don't have commodity risk per se. So our jobs that they're impacted, we'll work, collaborate with the customer on those impacts. But in general, we're able to work through most of those areas where we do have impacts.

是的。我的意思是，我們在大宗商品方面看到了一些挑戰，但目前還沒有真正影響我們。我們將密切關注較大的項目，以確保我們的材料按時交付。我們本身沒有商品風險。因此，我們的工作會受到影響，我們將與客戶就這些影響進行合作。但總的來說，我們能夠在我們確實有影響的大部分領域開展工作。

I would tell you, like, in my mind, Canada is probably our -- one of the ones that have impacted the most. And I don't think it's really material per se. It's just how it's delivered. And for the most part, that's been more of a COVID issue than material in my mind, but not -- no really commodity impact at this point.

我想告訴你，在我看來，加拿大可能是影響最大的國家之一。我認為這本身並不重要。這就是它的交付方式。在大多數情況下，在我看來，這更多的是一個新冠病毒問題，而不是實質問題，但不是——目前還沒有真正的大宗商品影響。

The next question is from Michael Dudas of Vertical Research.

下一個問題來自垂直研究公司的邁克爾·杜達斯。

You called out an MSA that you signed earlier this year. And how are the -- when you think about your MSAs with these customers, they typically -- there are several year? Are they long-term with annual kind of budget requirements? Are there any margin or utilization benefits from those types -- that type of agreement and the work that you flow through relative to 1 or 2-off type opportunities that arise from maybe that same or other customer base?

您提出了今年早些時候簽署的 MSA。當你考慮與這些客戶的 MSA 時，他們通常有幾年的時間，情況如何？他們是否有長期的年度預算要求？這些類型是否有任何利潤或利用效益 - 相對於同一或其他客戶群產生的 1 或 2 次類型機會，您所經歷的那種類型的協議和工作？

Mike, we really don't call them out that much. The reason why we called out the West is fairly incremental. And one of the things that we continue to talk about is kind of that hasn't started really ramping yet. And we were primarily signaling that ramp by calling it out and the incremental backlog growth on this MSA.

麥克，我們真的不常叫他們出來。我們呼籲西方的原因是相當漸進的。我們繼續談論的一件事是，這種情況尚未開始真正增加。我們主要是透過大聲疾呼以及該 MSA 的積壓增量來表明這一增長。

Typically, when we think about it, the 85%, 90% of the business, it's kind of base businesses, MSA-type business and -- in my mind. So that's how we look at it. And we book MSAs and re-up them probably monthly in my mind. So there's no real systematic way. I do think our backlog will continue to grow to record levels. We will have MSAs that renew that are larger. We continue to see a robust environment. Even when we have an MSA, the growth on the MSAs there as well. We take a prudent look at it to make sure that from our standpoint, the next 12 months and beyond or what the backlog would interpret.

通常，當我們思考這個問題時，85%、90% 的業務都是基礎業務，MSA 類型的業務——在我看來。這就是我們的看法。在我看來，我們可能每月都會預訂 MSA 並重新啟動它們。所以沒有真正有系統的方法。我確實認為我們的積壓訂單將繼續增長到創紀錄的水平。我們將擁有更大的更新 MSA。我們繼續看到一個強勁的環境。即使我們有 MSA，那裡的 MSA 也會成長。我們會謹慎地看待它，以確保從我們的角度來看，未來 12 個月及以後或積壓的訂單將如何解釋。

So in my mind, we're doing a good job with that. And our customer base certainly is spending the capital. The macro market is there for on end. So we see those MSAs just grow.

所以在我看來，我們在這方面做得很好。我們的客戶群肯定正在花費這筆資金。宏觀市場即將到來。所以我們看到這些 MSA 不斷成長。

I appreciate that. And my follow-up, Duke, is you mentioned again in your prepared remarks, partnership with broadband opportunity. Is -- when we see the -- from the administration and the infrastructure plan and money they want to spend on broadband technically, is the private sector doing enough to make this happen? Are these funds -- are these 2, 3, 4-year type opportunities, it sounds that way? But I just want to get us a sense you from that point. And what made this unique partnership to call out for -- that you entered into with this company? And are others like that going to help the growth in getting to that $1 billion target that you've put out in the medium term?

我很欣賞這一點。我的後續行動，杜克，您在準備好的演講中再次提到了與寬頻機會的合作。當我們從政府和基礎設施計劃以及他們希望在寬頻技術上花費的資金中看到時，私營部門是否採取了足夠的措施來實現這一目標？這些基金是 2、3、4 年期的機會嗎？ 但我只是想讓我們從那時起了解你。是什麼讓您與這家公司建立了這種獨特的合作關係？其他類似的項目是否有助於實現您在中期制定的 10 億美元目標的成長？

Yes, Mark, we've talked a bunch about how the infrastructure on the utilities and broadband are converging. I think when we looked at it, we continue to look at the rule in the underserved markets that were out there. And for the last 2 years, have really tried to find the solution with our customer in a collaborative effort to utilize that infrastructure. We found technology and a company that had the capabilities to do that work with clients. I do think it's broad-based, small cell type deployment that you'll see ongoing.

是的，馬克，我們已經討論了很多關於公用事業和寬頻基礎設施如何融合的問題。我認為，當我們審視這個問題時，我們會繼續審視那些服務不足的市場的規則。在過去的兩年裡，我們一直在努力與客戶共同努力尋找解決方案，以利用該基礎設施。我們找到了有能力與客戶合作的技術和公司。我確實認為這是一個基礎廣泛的小型蜂窩類型部署，您將看到這種部署正在進行中。

When we have a programmatic way to do that on this, we'll have a programmatic way to do it with every one of our customers. And it's really beneficial for us to be on the front side of this, providing the solution, pushing the rural development opportunity fund forward. And not just waiting for something to come to us, we're actually out making sure this happens in front of it, not just waiting on an RFP or get commoditized with labor. I think that's part of what we're saying as a solution-based provider as we're out in front of that with technology.

當我們有一種程序化的方式來做到這一點時，我們將有一種程序化的方式來為我們的每一位客戶做到這一點。站在這方面的前沿，提供解決方案，推動農村發展機會基金的發展，對我們來說確實是有益的。我們不只是等待事情發生，我們實際上是在確保這件事發生在它面前，而不僅僅是等待 RFP 或勞動力商品化。我認為這就是我們作為基於解決方案的提供者所說的一部分，因為我們在技術方面處於領先地位。

Next question is from Brent Thielman of D.A. Davidson.

下一個問題來自 D.A. 的 Brent Thielman。戴維森。

Great. Duke, any color on some of the larger project pursuits in the Electrical Power business in '21 that you're seeing and maybe how that could potentially influence the segment through the year? I think the guidance for the business is sort of more reflective of the programmatic spending you see with the customers. But I'm wondering if there are some other larger projects that can potentially layer on here this year?

偉大的。杜克，您對 21 年電力業務中一些較大項目的追求有什麼看法嗎？我認為對業務的指導更多地反映了您在客戶中看到的程序化支出。但我想知道今年是否還有其他一些更大的項目可以在這裡進行？

Now I could name them for 5 minutes, but it doesn't -- it's not -- what I'm concerned about is just in general, when we start talking about it, in my mind, we got a long ways to go in some permitting. It's a robust environment out there, we're around every one of them. Everyone you can name, I could name them for days. There's a bunch of nice projects moving the renewables and the interconnections, almost every RTO regional plan has a large piece of work in it, not only one, probably 2 or 3.

現在我可以用5 分鐘的時間說出它們的名字，但它不是——不是——我關心的是一般性的，當我們開始談論它時，在我看來，我們還有很長的路要走在一些允許的情況下。這是一個強大的環境，我們就在他們每一個人的周圍。你能叫出名字的每個人，我都能叫出他們的名字好幾天。有許多不錯的項目推動再生能源和互聯，幾乎每個 RTO 區域計劃都有大量工作要做，不僅是一個，可能是 2 或 3 個。

In order to get to the -- what the plan and the carbon-free footprint, you need a significant amount of transmission. And in order to do that, we need big projects. And certainly, they're tough on the permitting side, administration side, they're going to help that. There are some that are ongoing that are closer than others. I believe mid-America and some of that on the buffet call as he talked about it as well. So there's a bunch of projects that are out there that are around the edges on.

為了實現計劃和無碳足跡，您需要大量的傳輸。為了做到這一點，我們需要大型專案。當然，他們在許可方面、管理方面都很強硬，他們會提供協助。有些正在進行中的項目比其他項目更接近。我相信美國中部以及他在自助餐電話會議上談到的一些內容。因此，有許多處於邊緣狀態的項目。

Okay. I appreciate that. And I guess another question I have is just, are you seeing anything that suggests your customers are shifting some capital plans from the gas portion of the business towards the electrical portion of the business? I just wonder if these commitments sort of profound interest in grid reliability or still in any thunder from the gas programs that drive the Underground segment?

好的。我很欣賞這一點。我想我的另一個問題是，您是否看到任何跡象表明您的客戶正在將一些資本計劃從業務的天然氣部分轉向業務的電力部分？ 我只是想知道這些承諾是否對電網可靠性產生了濃厚的興趣，或者仍然對推動地下部分的天然氣計劃產生了任何轟動？

No. I mean I would say we're seeing our pipeline customers try to build solar or build solar. We're seeing quite a bit of that happen per se. We're not -- the LDC business, it's a safety concern as well as reliability of just what you have on any given day. I mean you can see the freeze. We had -- in Texas, you saw actually pipe freeze, which caused problems on your plant. So I think all that integrity that needs to be done is a safety concern as well as a balance until we figure out carbon free, and you can't do that without a significant amount of transmission. So the company sits in a really nice place on either side of that.

不。我們看到很多這樣的事情本身就發生了。我們不是路易達孚的業務，這是一個安全問題以及您每天擁有的可靠性問題。我的意思是你可以看到凍結。我們在德克薩斯州，實際上看到了管道凍結，這給你們的工廠帶來了問題。因此，我認為所有需要完成的完整性都是安全問題以及平衡，直到我們找到無碳，如果沒有大量的傳輸，你就無法做到這一點。因此，該公司處於一個非常好的位置。

The next question is from Steven Fisher of UBS.

下一個問題來自瑞銀集團的史蒂文費雪。

I just wanted to come back to the telecom business and the challenge in the quarter. And if you could just sort of talk a little bit more broadly about why you do need to go the route of subcontract models in the first place? Because it seems like that is perhaps bringing in an element of additional execution risk here. And the bigger picture, I guess I'm seeing is that you have a great market opportunity across your businesses at the moment. And I guess I'm just wondering what you might be able to do to enhance your potential to execute smoothly and capture that upside market opportunity without some sort of the risks of the hiccups here?

我只想回到電信業務和本季的挑戰。您是否可以更廣泛地談論為什麼您首先需要走分包模式的路線？因為這似乎可能會帶來額外的執行風險。我想我看到的更大的前景是，目前您的業務擁有巨大的市場機會。我想我只是想知道您可以做些什麼來增強您順利執行並抓住上行市場機會的潛力，而不會出現某種問題的風險？

Yes. Steve, I think when you look at the business, our performance from a margin standpoint in the segment we did beat our expectations. I think we've raised the guidance on the year. We continue to do it. We look at it as a portfolio. We're getting operating leverage out of all of our offices, whether they're doing telecom, gas or electric. We're reporting in segments. We may run the offices a little different than that.

是的。史蒂夫，我認為當你審視業務時，從利潤率的角度來看，我們在該領域的表現確實超出了我們的預期。我認為我們已經提高了今年的指導。我們繼續這樣做。我們將其視為一個投資組合。我們所有的辦事處都獲得了營運槓桿，無論它們是從事電信、天然氣還是電力業務。我們正在分段報告。我們的辦公室運作可能與此略有不同。

Overall, the performance of the company is exceptional in the field. The model around telecom, it was an organic growth strategy around it. It does have probably 50% of subcontract. It's -- due to the fact that it ramps up and down, and we're not going to invest in something that just ramps like that because it continues to weigh on it, we want some balance in it. And the balance allows us to have some variable cost in our equipment and things of that nature. My returns are better that way in my mind. So that's the way we run the telecom business. And that's how we'll go forward with it.

總體而言，該公司的業績在該領域表現出色。圍繞電信的模式，是圍繞它的有機成長策略。它確實有大概50%的分包合約。它是 - 由於它會上下波動，我們不會投資於這樣的波動，因為它會繼續對其造成壓力，我們希望其中有一些平衡。這種平衡使我們能夠在設備和此類性質的事物上擁有一些可變成本。在我看來，這樣我的回報會更好。這就是我們經營電信業務的方式。這就是我們前進的方式。

That being said, we did have a QA/QC issue in the quarter. We'll do a better job of catching that next time or now. For that matter and try to call back all we can. But all in all, I mean, we're performing really well across the board in my mind.

話雖這麼說，我們在本季度確實遇到了品質保證/品質控制問題。下次或現在我們會做得更好。為此，請盡力回電。但總而言之，我的意思是，在我看來，我們在各方面的表現都非常好。

Okay. That's very helpful. And I just want to ask you about Puerto Rico. It sounds like you're working towards a timely transition there. But in the event that there is some delay. Can you just talk about what the possible implications might be for the rest of the year? I think there's some implications for some incentive potential, but you may not have expected any incentives this quickly anyway? And maybe when we should think about the real opportunities when the real opportunities for incentives on that contract might be?

好的。這非常有幫助。我只想問你關於波多黎各的事。聽起來你正在努力及時過渡。但萬一有一些延遲。您能談談這對今年剩餘時間可能產生的影響嗎？ 我認為這對一些激勵潛力有一些影響，但你可能沒想到這麼快就會有任何激勵措施？也許我們什麼時候應該考慮一下合約激勵的真正機會是什麼時候？

Yes. I don't think we anticipated that this year. It will be in the next year for the incentive base piece of it, but we do anticipate going into service here in June. The transformation will happen, will take over in June. So from that standpoint, that will move on. As far as we're coming through the fame of phones, that will be into next year, in my mind, before you see any of it. And that's also an opportunity next year in Puerto Rico. But all in all, it's moving along like it should, and we're pleased with where we sit.

是的。我認為我們今年沒有預料到這一點。它的激勵基礎部分將在明年推出，但我們預計將於 6 月在這裡投入使用。轉變將會發生，並將在六月接管。因此，從這個角度來看，這將會持續下去。就我們對手機的名氣而言，在我看來，這將是明年的事情，然後你才能看到它。這也是明年波多黎各的一個機會。但總而言之，一切都在按其應有的方式發展，我們對我們所處的位置感到滿意。

We had commented previously that we thought that post-transition, we would see on an annual basis, a run rate contribution of around $0.25. That is excluding inflation adjustments, excluding all incentives, and excluding any incremental construction opportunities. So all of those things would still get the upside opportunities for us.

我們之前曾評論過，我們認為過渡後，我們每年會看到運行費貢獻約為 0.25 美元。這就是排除通貨膨脹調整，排除所有激勵措施，排除任何增量建設機會。因此，所有這些事情仍然會為我們帶來上行機會。

The next question is from Adam Thalhimer of Thompson Davis.

下一個問題來自湯普森戴維斯公司的 Adam Thalhimer。

I wanted to start on the energy side. Curious, Duke, if you've seen any pickup just from the rise in oil prices, particularly around pipelines?

我想從能源方面開始。杜克大學，您很好奇，您是否看到石油價格上漲帶來的任何回升，特別是在管道周圍？

I would not say pipelines, we've seen much there. I just -- our industrial businesses, stated tons a lot there. I think it will get better. We've not seen pipeline movement. Our Canadian operations, we see some long-term pipe, but not really in the Lower 48 in my mind, it's pretty slow as far as I'm concerned. And I think we've transferred the business over to more competitive sustainable business anyway. So nothing that affects us in my mind.

我不會說管道，我們在那裡看到了很多。我只是——我們的工業企業，在那裡說了很多。我想它會變得更好。我們沒有看到管道移動。我們在加拿大的業務，我們看到了一些長期管道，但在我看來，並不是真正在 48 州以下，就我而言，它的速度相當慢。我認為無論如何我們已經將業務轉移到更具競爭力的永續業務上。所以在我看來，沒有什麼能影響我們。

Okay. And on the -- you talked about a fixed wireless award. Can you give a little bit more detail on that? I was curious if that was like a Tier 1 telco or kind of an emerging player some detail on that would be helpful?

好的。關於—您談到了固定無線獎項。能提供更多細節嗎？ 我很好奇這是否像一級電信公司或新興玩家，有關這方面的一些細節會有幫助嗎？

Yes. So we made an investment in the quarter in some technology and a service provider there on fixed wireless. It's -- to really look at the -- our dollar funds, the rural development funds as well as the underserved. So not a Tier 1 carrier, but certainly someone that would put it out across the Lower 48 and beyond from that mind in a programmatic way. So we have the ability to do that. As the Tier 1 has moved forward, we'll have the ability to also do that in a programmatic way. Really, I think it's the convergence of the electric, such as your cooperatives, your municipalities, and the way to solve these issues around broadband. And it makes a lot of sense. We've worked on it quite a bit, and this was our opportunity really to push it forward.

是的。因此，我們在本季對固定無線領域的一些技術和服務提供者進行了投資。真正看看我們的美元基金、農村發展基金以及服務不足的群體。因此，這不是一家 1 級運營商，但肯定是一家能夠以編程方式將其投放到 48 州及以上地區的運營商。所以我們有能力做到這一點。隨著第一層的發展，我們也將有能力以程式設計方式做到這一點。確實，我認為這是電力的融合，例如你們的合作社、你們的市政當局，以及圍繞寬頻解決這些問題的方式。這很有意義。我們已經為此做了很多工作，這是我們真正推動它前進的機會。

The next question is from Andy Kaplowitz of Citigroup.

下一個問題來自花旗集團的安迪·卡普洛維茨。

Duke, so we know signing longer-term electric power MSA is one of your main strategies. But does electric power MSAs being up over 40% over the last year, give you more confidence regarding Quanta's ability to grow the core business. Maybe even toward the middle to higher-end of the longer-term guide you have, we know you talk about mid-single digits to low teens. I mean do you start getting visibility even into '22 in that regard?

杜克大學，我們知道簽署長期電力 MSA 是您的主要策略之一。但電力MSA較去年成長超過40%，是否讓您對廣達發展核心業務的能力更有信心？也許甚至對於您所擁有的長期指南的中高端，我們知道您談論的是中個位數到低十幾歲的數字。我的意思是，在這方面，你甚至在 22 年就開始了解這一點了嗎？

I mean I think we've talked about multiyear type growth, kind of mid- to upper single digits on the 80% to 90% -- 80% of the business, I would say, at this point, at least, we've talked about that growth long term, 3 to 5 years at least. And so we continue to see that. We've stated that quite a bit. And we think the MSA, the backlog that you're seeing, that grows there for a long period of time.

我的意思是，我認為我們已經討論過多年型增長，80% 到 90% 的業務實現中上個位數增長，我想說，至少在這一點上，我們已經談到長期增長，至少3到5年。所以我們繼續看到這一點。我們已經說過不少了。我們認為 MSA，也就是您所看到的積壓訂單，會在很長一段時間內成長。

I guess, Duke, what I'm asking there, though, is that -- does it give you confidence in sort of -- because it's a pretty wide range, right, between mid-single digits and low teens. So I mean, given sort of the visibility you have, do you see actually a higher growth rate going forward? I know what the guidance is for this year, but just out of curiosity?

我想，杜克，我要問的是——它是否給你某種程度的信心——因為它的範圍相當廣泛，對吧，在中個位數和低十幾歲之間。所以我的意思是，考慮到您所擁有的知名度，您是否認為未來的成長率實際上會更高？我知道今年的指導是什麼，但只是出於好奇？

Mean if you go back in time and you look at what -- how we've grown the segment, we've grown the Electric segment double digits over the past 10 years on a CAGR basis. So I would tell you that -- that's what we've done in the past. It's bigger numbers. We're being prudent about how we talk about it. Do we have the ability to grow in the double digits? Yes.

意思是，如果你回顧過去，看看我們如何發展該細分市場，你會發現在過去 10 年中，我們的電動細分市場的複合年增長率達到了兩位數。所以我想告訴你——這就是我們過去所做的。這是更大的數字。我們對如何談論它持謹慎態度。我們有能力達到兩位數成長嗎？ 是的。

And then let me ask you about -- someone, I think you asked you about large projects. So let me tackle it may be slightly different way. Again, you've talked in the past about this sort of $3 billion number and saying last quarter that you had quite a bit more than that in sort of opportunities. Is the funnel a lot larger than that, double that now? Like any sort of thoughts about quantifying the funnel now? Is it sort of $5 billion, $6 billion, just for perspective, Duke?

然後讓我問你——某人，我想你問過你有關大型專案的問題。所以讓我用稍微不同的方式來解決這個問題。同樣，您過去曾談到 30 億美元的數字，並表示上個季度您擁有的機會遠遠多於這個數字。漏斗是不是比那個大很多，現在是原來的兩倍？ 現在有關於量化漏斗的任何想法嗎？杜克大學，50 億、60 億美元只是為了長遠考慮嗎？

If we talked about all the jobs that were out there, there's not enough material to talk about it, to begin with. So I think in our mind, we're being prudent about how we discuss it. The larger projects are growing, especially with the sentiment around bringing renewables in a carbon-free environment by 2030, 2050 even. So the transmission corridors will have to exponentially get larger than they are now in a significant way. In order for that to happen, you're going to need large project dynamics for the next decade.

如果我們談論現有的所有工作，那麼首先就沒有足夠的材料來談論它。所以我認為，在我們看來，我們對如何討論它持謹慎態度。更大的項目正在不斷增長，尤其是考慮到 2030 年、甚至 2050 年將再生能源帶入無碳環境的情緒。因此，輸電走廊必須比現在大幅擴大。為了實現這一目標，未來十年您將需要大型專案動態。

I just want to follow-up on one other thing that you talked about with LUMA. LUMA's CEO recently talked about $10 billion in federal recovery funds now flowing in Puerto Rico. Do you think those funds just don't make their way into projects until next year as you said? Or is it possible that can happen as early as this year?

我只想跟進您與 LUMA 談論的另一件事。 LUMA 的執行長最近談到了目前在波多黎各流動的 100 億美元聯邦復甦資金。您是否認為這些資金就像您所說的要到明年才會投入專案？或者說最早可能在今年發生？

I mean, you have about $1 billion budget down there, $600 million of a $1 billion budget down there a year on any given day. So there is projects down on the island. What I would say is the FEMA funds are on top of that, that would come in. I would be prudent to say it would be next year.

我的意思是，你在那裡有大約 10 億美元的預算，每年 10 億美元的預算中有 6 億美元在任何一天。所以島上有一些項目。我想說的是，聯邦緊急事務管理署的資金是最重要的，這將會進來。

The next question is from Chigusa Katoku of Crédit Suisse.

下一個問題來自瑞士信貸銀行的 Chigusa Katoku。

This is Chigusa Katoku on for Jamie Cook. So our first question is, we were wondering if you have any concerns on securing labor in this cycle, just given the current labor market and the robust outlook? And then if you could comment on what you're seeing in the pricing environment, that would be great?

我是傑米庫克 (Jamie Cook) 的加德千草 (Chigusa Katoku)。因此，我們的第一個問題是，考慮到當前的勞動力市場和強勁的前景，您是否對本週期中的勞動力保障有任何擔憂？ 然後，如果您能對您在定價環境中看到的情況發表評論，那就太好了？

Yes, thank you for the question. From a labor standpoint, a tight labor market really suits us well. That's who we are. We really work on labor. I have invested well over $100 million over the last 6 to 7 years. So any time we have a tight labor market, cross-skill labor market, Quanta does really well. So we're in a good position there. We pretty much regulate some of the way that we look at wages. We have ability to pass through those costs if they escalate. So we're in good shape.

是的，謝謝你的提問。從勞動力的角度來看，緊張的勞動市場確實很適合我們。這就是我們。我們確實是在做勞動。在過去的 6 到 7 年裡，我已經投資了超過 1 億美元。因此，每當勞動市場、跨技能勞動市場緊張時，廣達都會表現得很好。所以我們在那裡處於有利地位。我們幾乎規範了我們看待薪資的一些方式。如果這些成本升級，我們有能力轉嫁。所以我們的狀態很好。

As far as pricing power, and I would just say, in general, we'll stand by what we said in the past, the double-digit margins over time. At times, it'll go higher. And we're in good times now, so you're seeing some push on that. Primarily around the utilizations and things of that nature that is pushing up your margins more so than pricing power.

至於定價能力，我只想說，總的來說，我們將堅持我們過去所說的，隨著時間的推移，兩位數的利潤率。有時，它會更高。我們現在正處於美好時光，所以你會看到一些推動力。主要是圍繞著利用率和類似性質的事情，這些因素比定價能力更能提高你的利潤。

The next question is from Min Cho of FBR Riley.

下一個問題來自 FBR Riley 的 Min Cho。

This is Min Cho for Alex Regal at B. Riley Securities. Just one question really, Derrick, given your continuation of strong cash flow and liquidity. Just wanted to know if there was any shift in change to your capital allocation strategy and want to know if there were any more kind of opportunistic M&A opportunities that you're seeing in the current market?

我是 B. Riley 證券公司 Alex Regal 的 Min Cho。德里克，鑑於您持續強勁的現金流和流動性，這確實只是一個問題。只是想知道您的資本配置策略是否有任何變化，並想知道您在當前市場上是否看到了更多機會主義併購機會？

No, I'd say that we're still committed to the same allocation strategy really that we've held for a number of years. We look at first leaning into the growth of the business, on the working capital and CapEx front. Very much still yet look at the acquisition and investment side of the equation, partly as an example, as highlighted or Duke's comments here for the minority interposition here this quarter. And then as well with the buyback of stock and dividends. We still look at all of those. We like to have our balance sheet positioned well to be able to lean into all of those areas at any given time, not having to choose which one creates the most value at a point in time.

不，我想說的是，我們仍然致力於多年來一直堅持的相同分配策略。我們首先關注業務的成長、營運資本和資本支出。仍然需要關注等式的收購和投資方面，部分作為示例，正如杜克在本季度針對少數股權幹預的評論所強調的那樣。 然後還有股票和股利的回購。我們仍然關注所有這些。我們希望我們的資產負債表處於良好的位置，以便能夠在任何特定時間涉足所有這些領域，而不必選擇在某個時間點創造最大價值的領域。

I would say that acquisitions has historically been kind of the largest component of recent years, and we still see an active market there, ability to find good acquisitions. It will be sporadic because we're opportunistic with the deployment of capital there, looking for strong management teams that supplement who we are. You can see over the last 4 or 5 years, we probably averaged about $300 million on average deployment there. And I wouldn't take exception to that kind of view as we go forward.

我想說，從歷史上看，收購一直是近年來最大的組成部分，我們仍然看到那裡的市場活躍，有能力找到好的收購。這將是零星的，因為我們在那裡部署資本，尋找強大的管理團隊來補充我們的機會。你可以看到，在過去的四、五年裡，我們在那裡的平均部署費用可能約為 3 億美元。在我們前進的過程中，我不會反對這種觀點。

There are no additional questions at this time. I would like to turn the call back to management for closing remarks.

目前沒有其他問題。我想將電話轉回管理層以供結束語。

Yes, I just want to thank everyone, our field leadership team and many and women working in the fill through the pandemic through all the things that we've done well. We performed well safely, and it's to their credit. So I want to thank you for participating in the conference call. We appreciate your questions and ongoing interest in Quanta Services. Thank you. This concludes our call.

是的，我只想感謝所有人，感謝我們的現場領導團隊以及許多在疫情期間工作的女性，感謝我們所做的一切。我們在安全方面表現出色，這是他們的功勞。因此，我要感謝您參加電話會議。我們感謝您提出問題以及對廣達服務的持續關注。謝謝。 我們的通話到此結束。

This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation.

今天的會議到此結束。此時您可以斷開線路。感謝您的參與。