What are the main concerns in QUANTA SERVICES, INC.'s latest SEC filing?

The analysis identified 5 key concerns: Increase in DSO due to unapproved change orders and claims.; Significant contingent consideration liabilities associated with acquisitions.; Significant unestimatable potential loss related to the Silverado Fire litigation..

What are the top risks for QUANTA SERVICES, INC. (PWR)?

The top risks identified in the 10-Q filing are: Regulatory and Compliance Risks, Customer Concentration and Financial Health, Competitive Pressures and Technological Change. The company faces a high-risk profile characterized by significant regulatory exposure, customer concentration, and intense competitive pressures driven by technological advancements. These factors, combined with operational hazards and supply chain vulnerabilities, create a complex operating environment with potential for material adverse impacts on financial condition and results of operations.

PWR - 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

Strong demand for services continues, supported by increased backlog and remaining performance obligations, driven by utility investments, electrification trends, and strategic acquisitions.. Operating income improved due to higher revenues and favorable work mix, though corporate and non-allocated costs, including amortization and integration expenses from acquisitions, increased.. Significant unestimatable potential loss related to the Silverado Fire litigation.. Revenues increased in both Electric and Underground and Infrastructure segments.

Top Concerns

!Increase in DSO due to unapproved change orders and claims.
!Significant contingent consideration liabilities associated with acquisitions.
!Significant unestimatable potential loss related to the Silverado Fire litigation.
!Guarantees of subsidiary obligations could expose Quanta to material liabilities beyond subsidiary assets.
!Regulatory and Compliance Risks (high)

Top Positives

+Strong demand for services continues, supported by increased backlog and remaining performance obligations, driven by utility investments, electrification trends, and strategic acquisitions.

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

7.0/10

Management tone is confidently optimistic with focus on the increase in operating margin for the three months ended september 30, 2025 was primarily due to the increase in revenues and the overall mix of work performed in the period..

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

Accounting Quality

7.0/10

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 high.

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

Risk Landscape

3.0/10

Overall risk profile shows regulatory and compliance risks as primary concern.

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

Segment Performance

8.0/10

Segment health analysis.

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