MasTec’s Record Revenue Rises 30% to $5.2 Billion Despite 2.9% Share Drop
Key Facts
MasTec reported record quarterly revenue of $5.2 billion in the third quarter of 2026, up 30% year over year, while adjusted diluted EPS was $2.96, below analysts’ consensus estimate of $2.97. The company’s shares fell 2.9% in after-hours trading on Thursday, October 29, following the results. The figures show a contrast between growth in operating activity and revenue, on one hand, and a slight miss on earnings per share, on the other. Revenue also exceeded analysts’ estimate of $4.94 billion. The company closed at $181 a share on October 28, according to EL7 data.
Adjusted EBITDA was $486 million, up 30.2% from the same period a year earlier, while the margin held at 9.4%. Adjusted diluted EPS rose 19.3% year over year, from $2.48 in the third quarter of 2025. But GAAP diluted EPS fell 7.7% to $1.89 from $2.04 a year earlier. The divergence between the two profit measures highlights the different trajectories of adjusted earnings and reported results. Estimated 18-month backlog expanded to $24.546 billion on September 30, compared with $21.391 billion on June 30 and $16.780 billion on September 30, 2025.
Power delivery was the main growth driver, with revenue up 65.2% year over year to $1.835 billion and EBITDA rising 131.6% to $241.5 million. MasTec said the segment’s strength came from its existing operations and Superior, whose remaining interests it acquired in July 2026 and incorporated into power delivery. Superior operates in electrical contracting and critical infrastructure. The segment’s revenue growth and more than doubling of operating earnings reflect its expanding contribution to the company’s quarterly results. This coincided with an increase in backlog, offering an indication of the volume of work expected to be carried out in the coming period.
The pipeline infrastructure segment posted revenue of $724.1 million, up 21.1% year over year, but EBITDA fell 18.4% to $75.1 million. The company attributed margin pressure to delays in permits and access on some projects, which reduced crew and equipment utilization. It said construction had begun and activity was ramping up. The chief financial officer said the updated guidance range accounts for the possibility that some projects may start late and the resulting effect on resource utilization. He added that revenue and earnings not recorded this year because of project timing are expected to shift to 2027.
By contrast, revenue in the communications segment fell 11.8% to $806.9 million, while EBITDA dropped 47.6% to $54 million, compared with $103 million a year earlier. MasTec said some customers had deferred spending in the second half of 2026. It also said profitability improvement initiatives are expected to begin contributing to results in 2027. This segment’s weakness contrasts with the rapid expansion in power delivery, while pipeline margins remain affected by the timing of permits and project access. The results are therefore shaped by strong power growth, operational pressures and weaker demand in the pipeline and communications segments.
MasTec updated its 2026 fiscal-year outlook, setting adjusted diluted EPS at between $8.92 and $9.30 and revenue at $18.3 billion. The midpoint of the EPS range is $9.11, below analysts’ consensus of $9.27. The company said it expects to generate more than $1 billion in operating cash flow during the year. It is scheduled to hold a conference call to discuss the results on October 30, 2026, at 9:00 a.m. Eastern Time. The call follows the guidance update, with the company expecting some revenue and earnings tied to project timing to shift to 2027.