v3.25.2
Debt Obligations
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
Debt Obligations
8. DEBT OBLIGATIONS:
Quanta’s long-term debt obligations consisted of the following (in thousands):
June 30, 2025December 31, 2024
4.75% Senior Notes due August 2027
$600,000 $600,000 
2.90% Senior Notes due October 2030
1,000,000 1,000,000 
2.35% Senior Notes due January 2032
500,000 500,000 
5.25% Senior Notes due August 2034
650,000 650,000 
3.05% Senior Notes due October 2041
500,000 500,000 
Borrowings under senior credit facility (including Term Loan)693,750 735,445 
Borrowings under commercial paper program600,000 — 
Lease financing transactions175,332 155,549 
Other long-term debt3,368 4,939 
Finance leases47,242 47,993 
Unamortized discount and financing costs(29,067)(31,490)
Total long-term debt obligations4,740,625 4,162,436 
Less — Current maturities of long-term debt86,782 62,680 
Total long-term debt obligations, net of current maturities$4,653,843 $4,099,756 
Senior Notes
The interest amounts due on Quanta’s senior notes on each payment date are set forth below (dollars in thousands):
Title of the NotesInterest AmountPayment DatesCommencement Date
4.75% Senior Notes due August 2027
$14,250 February 9 and August 9February 9, 2025
2.90% Senior Notes due October 2030
$14,500 April 1 and October 1April 1, 2021
2.35% Senior Notes due January 2032
$5,875 January 15 and July 15July 15, 2022
5.25% Senior Notes due August 2034
$17,063 February 9 and August 9February 9, 2025
3.05% Senior Notes due October 2041
$7,625 April 1 and October 1April 1, 2022
The fair value of Quanta’s senior notes was $2.98 billion as of June 30, 2025, compared to a carrying value of $3.22 billion net of unamortized bond discount, underwriting discounts and deferred financing costs of $28.3 million. The fair value of the senior notes is based on the quoted market prices for the same issue, and the senior notes are categorized as Level 1 liabilities.
Senior Credit Facility
As of June 30, 2025, the credit agreement for Quanta’s senior credit facility provided for a $750.0 million term loan facility and aggregate revolving commitments of $2.80 billion. Borrowings under the senior credit facility and the applicable interest rates were as follows (dollars in thousands):
Three Months EndedSix Months Ended
June 30,June 30,
2025202420252024
Maximum amount outstanding$761,550 $888,448 $761,550 $888,448 
Average daily amount outstanding$694,775 $872,133 $707,584 $856,714 
Weighted-average interest rate5.63 %6.76 %5.68 %6.78 %
As of June 30, 2025, Quanta was in compliance with all of the financial covenants under the credit agreement.
Term Loan. As of June 30, 2025, Quanta had $693.8 million outstanding under its term loan facility. The carrying amount of the term loan under Quanta’s senior credit facility approximates fair value due to its variable interest rate. The maturity date for the term loan facility is October 8, 2026.
Revolving Loans. As of June 30, 2025, Quanta had no outstanding revolving loans under the senior credit facility.
Letters of Credit. As of June 30, 2025, Quanta had $69.1 million of letters of credit issued under the senior credit facility, of which $68.7 million were denominated in U.S. dollars and $0.4 million were denominated primarily in Canadian and Australian dollars. Additionally, available commitments for revolving loans under the senior credit facility must be maintained in order to provide credit support for notes issued under Quanta’s commercial paper program, and therefore such notes effectively reduce the available borrowing capacity under the senior credit facility.
As of June 30, 2025, $2.13 billion remained available under the senior credit facility for new revolving loans, letters of credit and support of the commercial paper program.
Subsequent to June 30, 2025, Quanta extended the maturity date for revolving loans under the credit agreement for its senior credit facility from July 31, 2029 to July 31, 2030.
Commercial Paper Program
As of June 30, 2025, Quanta had $600.0 million of outstanding unsecured notes under its commercial paper program, with a weighted average interest rate of 4.75%. The carrying amounts of the notes issued under Quanta’s commercial paper program approximate fair value, and all notes currently have a short maturity.
Borrowings under the commercial paper program and the applicable interest rates were as follows (dollars in thousands):
Three Months EndedSix Months Ended
June 30,June 30,
2025202420252024
Maximum amount outstanding$897,500 $554,500 $897,500 $705,900 
Average daily amount outstanding $591,190 $301,786 $383,818 $258,930 
Weighted-average interest rate4.90 %5.55 %4.82 %5.67 %
On July 25, 2025, Quanta utilized $700.0 million of borrowings under its commercial paper program and availability under its revolving credit facility to finance the cash portion of the acquisition of Dynamic Systems.
Additional Letters of Credit
As of June 30, 2025, Quanta had $669.2 million of letters of credit issued outside of its senior credit facility, which were denominated in U.S. dollars.