MTZ - Comprehensive Filing Intelligence

Q3 2025•10-Q•Filed Oct 30, 2025
5.0/10
Filing Health:CAUTION

Notable concerns that warrant closer review

Executive Summary

Consolidated revenue increased significantly by 22% year-over-year, driven by strong performance across most segments, particularly Communications and Clean Energy.. Gross margins were negatively impacted by project mix and reduced efficiencies, especially in the Pipeline Infrastructure segment, leading to a declining overall margin trend.. Significant performance and payment bonds of $9.4 billion may represent a substantial contingent liability if MasTec fails to perform or pay subcontractors.. Revenue growth in Communications, Clean Energy, and Power Delivery segments.

Top Concerns

  • !The company uses multiple 'adjusted' non-GAAP measures which exclude items like stock-based compensation, loss on debt extinguishment, and changes in contingent consideration, potentially obscuring underlying operating performance.
  • !Significant increase in Days Sales Outstanding (DSO) from 60 to 69, indicating slower collections and a potential strain on working capital.
  • !Significant performance and payment bonds of $9.4 billion may represent a substantial contingent liability if MasTec fails to perform or pay subcontractors.
  • !Substantial self-insurance liabilities totaling $295.1 million require careful monitoring for potential material adverse effects on financial condition.
  • !Dynamic trade policies and tariffs creating uncertainty for customer spending and demand. (medium)

Top Positives

  • +Consolidated revenue increased significantly by 22% year-over-year, driven by strong performance across most segments, particularly Communications and Clean Energy.
  • +Operating cash flow saw a substantial decrease due to unfavorable working capital movements, specifically an increase in Days Sales Outstanding (DSO), despite higher net income.
  • +The company is investing in capital expenditures to support operational growth and equipment replacement, indicating a focus on future capacity.

Analysis Dimensions

Our 5-pass AI analysis examines this filing across multiple dimensions. Each dimension score is derived from direct analysis of SEC filing text.

Narrative Intelligence

6.0/10

Management tone is balanced with focus on costs of revenue, excluding depreciation and amortization, as a percentage of revenue increased due to a combination of project mix and reduced project efficiencies, primarily within our pipeline infrastructure segment..

Full analysis includes: tone changes vs prior quarter, margin driver breakdown, forward guidance analysis, strategic priorities.

Accounting Quality

6.0/10

Earnings quality shows moderate accounting practices.

Full analysis includes: reserve and allowance changes, non-recurring item analysis, stock-based compensation impact, disclosure concerns.

Hidden Liabilities

Off-balance sheet risk is moderate with $9.4 billion in identified exposure.

Full analysis includes: cloud and purchase commitments, VIE/SPE exposure, covenant compliance status, refinancing risk assessment.

Risk Landscape

6.0/10

Overall risk profile shows dynamic trade policies and tariffs creating uncertainty for customer spending and demand. as primary concern.

Full analysis includes: 8 risk categories with severity, new vs escalated risks, management response assessment, risk trend analysis.

Segment Performance

7.0/10

Segment health analysis shows Communications as strongest performer while Pipeline Infrastructure lags.

Full analysis includes: segment-by-segment revenue breakdown, geographic concentration risk, customer concentration analysis, segment margin trends.