Quanta’s services are generally provided pursuant to master service agreements (MSAs), repair and maintenance contracts, and fixed price and non-fixed price construction contracts. Contracts are combined if they are entered into at or near the same time as one another and negotiated as a group, in contemplation of one another, for a related commercial purpose. When applicable, the transaction price is allocated to performance obligations on the basis of relative standalone selling prices that is generally determined using an expected profit margin on anticipated costs related to the performance obligation. Quanta’s contracts are classified into three categories based on the methods by which transaction prices are determined and revenue is recognized: unit-price contracts, cost-plus contracts and fixed price contracts.


	Three Months Ended June 30,								Six Months Ended June 30,
	2026				2025				2026				2025
By contract type:
Fixed price contracts	$	6,083,463	63.7	%	$	3,948,454	58.3	%	$	10,857,267	62.3	%	$	7,703,780	59.2	%
Unit-price contracts	1,770,593		18.5		1,734,144		25.6		3,492,799		20.0		3,189,630		24.5
Cost-plus contracts	1,702,941		17.8		1,090,409		16.1		3,081,718		17.7		2,112,931		16.3
Total revenues	$	9,556,997	100.0	%	$	6,773,007	100.0	%	$	17,431,784	100.0	%	$	13,006,341	100.0	%


	Three Months Ended June 30,								Six Months Ended June 30,
	2026				2025				2026				2025
By primary geographic location:
United States	$	9,103,463	95.2	%	$	6,279,010	92.8	%	$	16,465,073	94.5	%	$	12,067,063	92.9	%
Canada	215,750		2.3		238,406		3.5		491,774		2.8		448,652		3.4
Australia	206,610		2.2		198,104		2.9		407,854		2.3		369,191		2.8
Others	31,174		0.3		57,487		0.8		67,083		0.4		121,435		0.9
Total revenues	$	9,556,997	100.0	%	$	6,773,007	100.0	%	$	17,431,784	100.0	%	$	13,006,341	100.0	%

Under fixed-price contracts, as well as unit-price contracts with more than an insignificant amount of partially completed units, revenue is recognized as performance obligations are satisfied over time, with the percentage of completion generally measured as the percentage of costs incurred to total estimated costs for such performance obligation. Approximately 68.8% and 62.5% of Quanta’s revenues recognized during the three months ended June 30, 2026 and 2025 were associated with this revenue recognition method, and 66.4% and 63.0% of Quanta’s revenues recognized during the six months ended June 30, 2026 and 2025 were associated with this revenue recognition method.

Quanta’s remaining performance obligations represent management’s estimates of the consolidated revenues that are expected to be realized from the remaining portion of firm orders under fixed price contracts not yet completed or for which work had not yet begun as of such dates and, to a lesser extent, from certain unit-price contracts with more than an insignificant amount of partially completed units. As of June 30, 2026 and December 31, 2025, Quanta’s remaining performance obligations were approximately $33.55 billion and $23.76 billion, of which (i) approximately 70% and 66% are expected to be recognized as revenue within the 12 months following June 30, 2026 and December 31, 2025, (ii) a substantial majority of the remaining balance is expected to be recognized within each of the following 24 months, and (iii) the balance is expected to be recognized thereafter. Estimates of the timing of revenue recognition of remaining performance obligations are subject to change based on, among other things, project accelerations; project cancellations or delays, including but not limited to those caused by commercial issues, regulatory requirements, natural disasters, emergencies and adverse weather conditions; and final acceptance of change orders by customers. These factors can cause revenues to be realized in periods and at levels that are different than originally projected.

For purposes of calculating remaining performance obligations, Quanta includes all estimated revenues attributable to consolidated joint ventures and variable interest entities, revenues from funded and unfunded portions of government contracts to the extent they are reasonably expected to be realized, and revenues from change orders and claims to the extent management believes additional contract revenues will be earned and are deemed probable of collection. Excluded from remaining performance obligations are potential orders under MSAs and expected revenues under certain non-fixed price contracts.

Actual revenues and project costs can vary, sometimes substantially, from previous estimates due to changes in a variety of factors, including unforeseen or changed circumstances not included in Quanta’s cost estimates or covered by its contracts. Some of the factors that can result in positive changes in estimates on projects include successful execution through project risks, reduction of estimated project costs or increases of estimated revenues. Some of the factors that can result in negative changes in estimates include concealed or unknown site conditions; changes to or disputes with customers regarding the scope of services; changes in estimates related to the length of time to complete a performance obligation; changes or delays with respect to permitting and regulatory requirements and materials; changes in the cost of equipment, commodities, materials or

skilled labor; unanticipated costs or claims due to delays or failure to perform by customers or third parties; customer failure to provide, or supply chain and logistical challenges related to, required materials or equipment; errors in engineering, specifications or designs; project modifications; adverse weather conditions, natural disasters, and other emergencies; and performance and quality issues causing delay (including payment of liquidated damages) or requiring rework or replacement. Any changes in estimates could result in changes to profitability or losses associated with the related performance obligations.

Additionally, changes in cost estimates on certain contracts may result in the issuance of change orders, which can be approved or unapproved by the customer, or the assertion of contract claims. Quanta recognizes amounts associated with change orders and claims as revenue if it is probable that the contract price will be adjusted and the amount of any such adjustment can be reasonably estimated.

As of June 30, 2026 and December 31, 2025, Quanta had recognized revenues of $411.1 million and $983.6 million related to unapproved change orders and claims included as contract price adjustments primarily in “Contract assets” in the accompanying condensed consolidated balance sheets. These change orders and claims were in the process of being negotiated in the normal course of business and represent management’s estimates of additional contract revenues that have been earned and are probable of collection. The largest component of the decrease in the unapproved change orders and claims from December 31, 2025 to June 30, 2026 was related to approval by the customer of the balance associated with a large renewable transmission project in Canada. The project was completed in 2024.

Changes in estimates can result in the recognition of revenue in a current period for performance obligations that were satisfied or partially satisfied in prior periods or the reversal of previously recognized revenue if the currently estimated revenue is less than the previous estimate. The impact of a change in contract estimate is measured as the difference between the revenue or gross profit recognized in the prior period as compared to the revenue or gross profit which would have been recognized had the revised estimate been used as the basis of recognition in the prior period. Changes in estimates can also result in contract losses, which are recognized in full when they are determined to be probable and can be reasonably estimated.

Revenues were impacted by 0.9% and 0.6% during the three months ended June 30, 2026 and 2025 as a result of changes in estimates associated with performance obligations on fixed price contracts partially satisfied prior to March 31, 2026 and 2025. Revenues were impacted by (0.5)% and a nominal amount during the six months ended June 30, 2026 and 2025 as a result of changes in estimates associated with performance obligations on fixed price contracts partially satisfied prior to December 31, 2025 and 2024. The net impacts resulted from net changes in estimates across a large number of projects, primarily as a result of favorable or unfavorable performance and changes on estimates related to mitigation of risks and contingencies as the projects progressed to completion. These changes were made in the ordinary course of business and there were no changes that resulted in material amounts that should have been recognized in a prior period.

Contract assets and liabilities fluctuate period to period based on various factors, including, among others, changes in the number and size of projects in progress at period end; variability in billing and payment terms, such as up-front or advance billings, interim or milestone billings, or deferred billings; recognized unapproved change orders and contract claims; and acquisitions. The increase in contract liabilities from December 31, 2025 to June 30, 2026 was primarily due to an increase in favorable billing terms on certain large projects, and, to a lesser extent, acquisitions.

Quanta determines its allowance for credit losses based on an estimate of expected credit losses for financial instruments, primarily accounts receivable and contract assets. The assessment of the allowance for credit losses involves certain judgments and estimates. Management estimates the allowance balance using relevant available information from internal and external sources relating to past events, current conditions and reasonable and supportable forecasts. Expected credit losses are estimated by evaluating trends with respect to Quanta’s historical write-off experience and applying historical loss ratios to pools of

Quanta’s historical loss ratio and its determination of risk pools, which are used to calculate expected credit losses, may be adjusted for changes in customer credit concentrations within its portfolio of financial assets, changes in customers’ ability to pay, and other considerations, such as economic and market changes, changes to regulatory or technological environments affecting customers and the consistency between current and forecasted economic conditions and the historical economic conditions used to derive historical loss ratios. At the end of each quarter, management reassesses these and other relevant factors, including the impact of uncertainty and challenges in the overall economy and in Quanta’s industries and markets, (e.g., inflationary pressure, supply chain and other logistical challenges and increased interest rates).

Additional allowance for credit losses is established for financial asset balances with specific customers where collectability has been determined to be improbable based on customer specific facts and circumstances. Quanta considers accounts receivable delinquent after 30 days but, absent certain specific considerations, generally does not consider such amounts delinquent in its credit loss analysis unless the accounts receivable are at least 120 days outstanding. In addition, management monitors the credit quality of its receivables by, among other things, obtaining credit ratings for significant customers, assessing economic and market conditions and evaluating material changes to a customer’s business, cash flows and financial condition. Should anticipated recoveries relating to receivables fail to materialize, including anticipated recoveries relating to bankruptcies or other workout situations, Quanta could experience reduced cash flows and losses in excess of current allowances provided.


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2026		2025		2026		2025
Balance at beginning of period	$	14,668	$	15,551	$	15,706	$	15,185
(Decrease) increase in provision for credit losses	(2,392)		654		(2,990)		1,602
Write-offs charged against the allowance net of recoveries of amounts previously written off	(120)		(575)		(560)		(1,157)
Balance at end of period	$	12,156	$	15,630	$	12,156	$	15,630

The above activity relates to the largest risk pool Quanta utilizes for assessing credit loss. The second risk pool represents approximately 7% of Quanta’s consolidated financial assets as of June 30, 2026 and did not have any allowance for credit loss or experience any credit loss during the periods presented. Quanta’s customers generally have high credit ratings. In addition, the customers in the second risk pool typically pre-approve invoices and often receive project financing.

Quanta is subject to concentrations of credit risk related primarily to its receivable position for services Quanta has performed for customers. Quanta grants credit under normal payment terms, generally without collateral. No customer represented 10% or more of Quanta’s consolidated revenues for the three and six months ended June 30, 2026 or 2025, and no customer represented 10% or more of Quanta’s consolidated receivable position as of June 30, 2026 or December 31, 2025.

Certain contracts allow customers to withhold a small percentage of billings pursuant to retainage provisions, and such amounts are generally due upon completion of the contract and acceptance of the project by the customer. Based on Quanta’s experience in recent years, the majority of these retainage balances are expected to be collected within one year. Retainage balances with expected settlement dates within one year of June 30, 2026 and December 31, 2025 were $1.19 billion and $994.1 million, which are included in “Accounts receivable.” Retainage balances with expected settlement dates beyond one year were $312.7 million and $228.7 million as of June 30, 2026 and December 31, 2025 and are included in “Other assets, net.”

Quanta recognizes unbilled receivables for non-fixed price contracts within “Accounts receivable” in certain circumstances, such as when revenues have been earned and recorded but the amount cannot be billed under the terms of the contract until a later date or when amounts arise from routine lags in billing. These balances do not include revenues recognized for work performed under fixed-price contracts and unit-price contracts with more than an insignificant amount of partially completed units, as these amounts are recorded as “Contract assets.” As of June 30, 2026 and December 31, 2025, unbilled

receivables included in “Accounts receivable” were $1.39 billion and $1.10 billion. Quanta also recognizes unearned revenues for non-fixed price contracts when cash is received prior to recognizing revenues for the related performance obligation. Unearned revenues, which are included in “Accounts payable and accrued expenses,” were $243.1 million and $121.0 million as of June 30, 2026 and December 31, 2025.