Quanta Services (PWR) 2 May 242024 Q1 Earnings call transcript

Greetings and welcome to the Quanta Services First Quarter 2024 Earnings Conference Call. [Operator Instructions] As a reminder, this conference is being recorded.

It is now my pleasure to introduce your host, Kip Rupp, Vice President, Investor Relations. Thank you.

You may begin.

everyone, Call. Quanta welcome, XXXX First and Conference Earnings you to Services the Quarter Thank we a in morning, results, section This issued our which quarter our of can XXXX first be at found website the Relations press Investor quantaservices.com. release announcing

our financial in morning, this XXXX we quarter Relations our results call this release our after the XXXX we've materials. first financial our and morning, outlook supplemental earnings on Shortly updated commentary operational release earnings Quanta's highlighted As website. recently format summary of and and our expectation posted Investor

during While commentary management will this replace additional make morning's to the intended questions the brief management's financial introductory institutional and for remarks, community. allowing remarks time operational largely prepared call, is from investment

longer call a accompany now historically have that has be to presentation and as operational included our information financial no in presentation this been slide commentary. found Additionally, the can the we in

reported And remember advised on of XXXX. any this X, this information only replay time-sensitive call. today, accurate May speaks call information as longer may therefore, of Please be that no as you're any that of

Litigation intentions, This or Act all future call facts. statements intended Securities harbor from historical current or solely XXXX, to of forward-looking events assumptions expectations, that liability, or established performance will beliefs statements to the or Private under reflecting the including by not relate qualify include safe Reform about do

risks, involve may or implied. should and on beyond You they results those and statements that certain control, actual from differ expressed uncertainties reliance are not place to Quanta's undue assumptions as materially difficult or predict these

our directly in earnings to statements and commentary. and financial financial of financial non-GAAP measures release and regarding forecasted for are measures non-GAAP forward-looking refer included and Reconciliations our historical certain present financial also Please documents to information most their GAAP will additional measures. these operational these financial comparable We measures.

section Quanta information, e-mail of please through the notified releases sign like Relations you publishes be Investor alerts when if Lastly, for up would news quantaservices.com. to and other

We social and to others in the website. interested company also and channels our Quanta on media follow our encourage on IR Services listed investors Quanta

With over CEO. Duke? the call that, Mr. Quanta's I'd like to Duke now President Austin, turn and to

Thanks, to XXXX growth Call. which Quanta overall to XXXX reported welcome adjusted morning, Conference our Quarter flow, results, adjusted Earnings This cash Kip. quarter and EBITDA, an in share we start included demonstrating everyone, Good Services first earnings revenue, morning, and First the year. good strong double-digit per

and reflects States Utilities and increases momentum years backlog client strategically transition Total adoption quarter technologies many driven first intended billion, are the United by end energy demand including collaborative data designed the and artificial at as to which well for and policies believe across chain reinforce related and of the accelerate intelligence new evidences forecasting the experiencing as was of manufacturing domestic federal in and time state XXXX. and the for the see relationships infrastructure, to our power supply $XX.X meaningful centers we value policies resources. we in

valued by enhancements growth, to is clients than collaborative and With our the of power upgrades grid the required solution-based the facilitate significant more ever. load our and approach complexities

of years. coming to and this in initiatives We our we look and to achieve goals the forward realization continue the the to multiyear expect strategic

our total addressable service positioning our and are decades necessary Quanta expand platforms that investment expected for for We infrastructure diversity of believe growth line market. creates

that as ability energy increasingly skilled across the geographies, service important provides craft is labor we strategic us to -- shift approach is portfolio Our and advantage lines which manage the resources risk and believe accelerates. strategic transition and a focus on

we resources us find achieve and results. financial the We profile and operating opportunities to well to attractive believe and has economically our efficiencies flow portfolio our diversity improved most approach to consistent positions cash allocate also and

few a to over call to Jayshree? then provide results and about we remarks will I will the Thanks. your guidance. turn take now Desai, questions. our Jayshree And XXXX CFO, Quanta's

Thanks, Of setting good diluted billion, $XXX.X morning, share operations net generated of million diluted of X.X% earnings $XXX was Adjusted healthy cash we with and free This first and records. of adjusted in stock million EBITDA income or quarter per $X reported quarter attributable $XXX.X flow million revenues per the first of morning, flows of flow everyone. $XXX.X share $X.XX Duke, note, million, revenue. we quarter from cash of or $X.XX. cash and to both first common

deployment consideration performance generate To This of opportunistic allowed X companies the balance ample and earnings million. for aggregate expectations year-to-date, approximately both end, liquidity capital for and that organic us that growth to flow first returns a to incremental $XXX quarter our end and sheet stockholders. we've of cash the with supports our acquired

the we to expectation XXXX to This an approach with year growth our opportunity expectations, to our our calls adjusted of financial long-term profitable free for update for which and and in position favorable believe trends demonstrates marketplace. year morning, our share our the provided strength our another record flow. and cash per double-digit EBITDA, the adjusted business, also full end-market strategy, competitive earnings commitment growth revenues of in We portfolio

both and XXXX about on our and of website. our which in commentary operational financial details financial commentary outlook guidance found and Additional expectation IR are be can our summary, posted

Operator? we that, to answer happy questions. your are With

Cook with first of Jamie the Credit [Operator Instructions] Suisse. question Our line comes from

on questions, that? guess they the you And think to I short about little quarter. margins? expectations. renewable bit shorter relative X could one Jayshree, term, one longer a color, guess, a any fell talk I just how -- Congrats little behind the just term. I

of question second AI, lots throughout data talk cetera. Obviously, Duke, And couple of then I et months question. for centers, past the the on just longer-term would be a guess

just close If with guess, you I to -- because so load talk you're how impacts, just that and could growth. grid

hearing approach trends how could of think to how your you going what talk If accelerating. from you in about customers just you're they're to this, terms CapEx

Just any would color be around positioned how Quanta there?

question. margin take back. the Welcome Thanks, I'll Jamie.

-- -- we a call look expect that didn't there to work, of from of portfolio that execute on have X% standpoint, some from and we ourselves the executed side. They what should of our when perform, just series think solar/wind renewables segment didn't where series our customers expect. we it, I what projects at and the had the we segment,

So I yes execute of should. projects, we there a is the the can make it's of -- we're We not. of the like didn't expectations. piece. our of jobs, is majority grew the the everything I tons of own rest look, vast -- We exceeding the -- business, doing am majority excuses, portfolio really small We it. the And

continue. to that expect We

we've Growth creates up. inefficiencies, showed and some

in it's it's it. to the projects. we fix that So got stage And -- not something later

part the not just the first in concerned. quarter, of is I'm nicely. of a it up. I It's think bit else, shows in and seasonality all, performing segment all so noise But everything And little

we great. looks see the is in segment. The certainly backlog What the accelerating future in renewables

So we forward. we're excited going see what about

executing and some we growth. the invest move segment. field in people inefficiencies as real forward it. we've feel We I are how many and to It do put added We what showed this has you in for good about up.

we in So all I what think we see. all, like

caught go for electricity the time great As up. the far it's it's you our macro I great It customers. have At you if is demand moving obviously back, for -- data demand, as saw any it, business, a to of needed centers think like February, amount. months back, show March. center in bit It off ago, it see little January, me but X roll call up data we some you guard we the demand, nothing

one is talking You're gigs. XXX customer talking

and electricity So with the necessary when to mind, customer talking amount mind-blowing, about of start -- you one it's it's just about renewables. primarily think gigs, XXX my in winning

gain both a T&D quite customers sides the to it's as bit rate not and easy when trying not and It's both kind stand to easy base. you our and huge So at of renewable plan your showing it's out business, well. from gone But doorstep power in a those business, plant, with you're build years for deal things day. to one and a up of XX our

X-decade, in think think from plan build I It difficult. our customers, very to a put It's the X-decade-type work. pressing windows. business here. us, long-term is planning trying So to It our showing it's and everyone build piece better to of XX-day certainly We're the a term. certainly longer up, is doesn't --

a our set the collaborate and with talking we hyperscalers. then We're centers. demand, exciting. power certainly is all and where to we're company to of in right excited about us. the And we expect benefit to need deliver in just like of of from work -- I the them piece clients like get execute. We to I talking excited data lot it. time. to help unique think clients, sources. We're and of sit they it's ancillary and It's can We're with I about middle our -- it. a we how

line Our of next with Kaplowitz Citi. question from Andy the comes

was, going margin quite a a a us color in give quite power? down as good you you Duke just know, weak forecast electric was quarter bit or Jayshree, seasonally you Revenue happened but the bit, can QX. think for more into and than I little higher What forward? a little

you You in upside does QX didn't the your segment? confidence And improve but margin for the talk potential for segment signal maybe revenue the half. could change for distribution-focused year, expectation margin does in about your the that the second higher

Sure.

think go together, little combining and I power this through we've so to electric a bit, little a I that something renewables So portfolio want about is the and and bit. talked

are you the business, electric like the and look look business -- and so which segments, what look segments from things. those is doesn't you at the X delineated it today, substation the numbers, which you print If transmission, some causing is is when the across distribution

X% the in in over So is and segment. of it's an in it because business electric of That's electric up type, renewable the over the work pieces segment, quarter. are pieces

up the X.X%. But is together business itself

the So look. it's the just way segments

The business look look some You've where like at. causing got with It It's is doesn't combine delineations got them. a like the portfolio. to are number print. to

almost and So I our is And the X.X% up explain transmission quarter. which wanted type, distribution backlog is are substation, to flat. electric, in work

is the long takes at to the levels. to not a sense negotiate. think there's It's for projects, timing, business the us. the see against expect timing. backlog fully We just We're complicated. we XX-day and The negotiations quarter. early. MSA a It's I It time are prices of make to bigger doesn't going be first record renewal press Yes, what It print.

you when patient. got an load, Any So we see got just it. We concerned. more you We're about not It's -- talking load about you more we'll growth. simple were think business. time outstanding be

demand, business. more than demand ever more We more we've seen. So see

good I I so And about -- it. feel just

a As far operated print, we little the electric even down. margins, great, as

margins. is. So that we've we're operate revenue It the digits. matter really doesn't you the EPS what drive those and what That's trying is to can always said double in

the where I segment. this So in segment, well performed in liked -- a thought And nice going. that in -- we had we're

XX days. in -- there is We it's going not think to guidance opportunity. We're I early. change

good. So looks it

would do We I have downside upside a more go-forward on basis lots of than opportunity. segment. we we say the have in

quarter, transmission maybe helpful. better up the of sort just around to Very And projects. commentary, follow you your last visibility mentioned large on

just answering You about talked MSAs my in question.

conviction year. But it the So in grows backlog in or the 'XX? increase just grows is think it project business the sort in of doesn't Is you the business it that again, happen I base larger over that know quarters level more both?

off show up, systems 'XX, to data you're and half seeing certain some customers happening transmission distribution a I capital work, on the distribution side. the There already see transmission where utility transmission show would become increasingly up is build you'd start more it the move got the you're your of you shift again. what's your Southeast -- starts into transmission if areas, move centers you've your seeing and the you versus -- to your to think MSAs, say, your have going out is to up places you're And in I crude demand capital -- counts distribution systems. the the start the and bit pull so booking the business in back

the does It's sits. not where fine the but why that's that and sits It's we distribution -- talked than MSA up. diversified. -- hours an was that your And it in show softer work We're nimble XX, fourth company That's versus issue, move. why on working about XX quarter able is normal. where it we're the we're And side XX. be to that's

-- XX-hour as believe the I the do seeing not work part to later more start you're I'm to us move XX-, going of more say think that's inclined I into still weeks. the case. year, you

showing that And up count build And almost to in infrastructure. got up year-over-year. And it highly see XX,XXX, I as is moves moving kind confident West, -- which the penetrate the up certainly, we still our is already. EV that's to head across, X,XXX starts certain EV there's feel of we've to areas.

of Sachs. Our comes from Mehta Goldman question Neil the next line with

moments quarter bolt-on M&A some of as talk about in I some acquisitions active divestitures. wanted quarter, the to an few both also the activity to a take and from

about what strategy? talk fit this about to excites your bit does you how to what So a And us little you into portfolio. all added the

We acquired blocks pullers. was which Sherman+Reilly, and

we There's you If the wire lots they of pullers our you're put bring the in something for to that and being in into that's since do It XXXX. was field, with about grew things in can tensioners here. the it's new have, lot they that accomplish. the our technology business There's think they have, ecosystem, believe training the the they product in what up people compelling talk they been from it, with that we're the craft, safe, market There's we R&Ds and as business, part of the you're pulled. a with I out. us. Sherman+Reilly deserve of that to the It's coupled what conductors trying standpoint,

And resources. to people hands capacity. protect very of it's supply value sure clients our always We and business. needs be specialized, bit, we really lastly, concerned that concerned it a well lot pullers internal with the to need believe safe. to use that proud make capacity. I -- with good our as something have It chain piece is and that certainly a We're and it's the something of our in It's was

we're something business that -- go not that and the made invest to for at XXXX people's at we've has going go the other basically to say As something It's off certainly this long in into before, to to not It's The international. a is gas or decision time in. looked better far and point. company international divestiture, an hands. not international the as we've this is since had divestiture legacy oil

with and it So owners be The do that will will team it's the something divested be need great. management happy is new someone The to fantastic. business.

is the it's on the follow-up then And project. Obviously, SunZia important for very project the just a company.

temperature latest litigation some there. challenges in the just managing execution or And progress for, terms give be big us latest with of should of it's out the we inevitably report stuff Just watching projects? through or whether that happen anything

No, is We're SunZia great. well. doing doing

We're things no permanent ]. think I team issues the is We together. No out be, of had progressing on put great nicely. would think a see coming plan. there. issues don't good there it All there's [ that. I but I

great. Did I've hand that It there, the noisy long could be good line. client. or really with Safety here but but on in hand is not seen the production. Working anything

continue project. we to as through early release it. I We're So contingencies in to opportunities like that go

believe actually, it. So running nice to going I a really one, was it's I be that wish

a it's [ ]. So one long

of And Stifel. Brian our comes the question line next Brophy from with

conversation what some the Just discussion seen of around continuing the on growth terms data mean. centers. in eye-popping low that We've estimates may pretty

comments. You earlier your alluded in to of that some

meet of to might what your for that pricing the mean ultimately Just and capacity these some industry's curious how margins? about and thinking you're demands

so to get more unique I country for start -- seeing. see, happen double-digit to at really, it's us we regulatory, pay to you overnight. returns that looking think how of not to more utilization pricing And over pressure. the out some time. we it's we've that execute across now, and need loads for money, of to we what it's and for else. it, you When it. But it set rates kind see about pricing. think Again, do really talked starting it's But we're it fair they accommodate platforms about I We starting think everyone execute. when tech are it's you figured Yes. the going is of do than to they how -- just wants can got it's that that get to want It's And need

If switching. you talk well, start about fuel another it's complication want resources already you renewable were as when We it. to

renewables our loads in It We is in doubling switching be. in that It's would I say days, like. grid, and it real. are segment. cheapest fuel seems coming demand will people electric transmission, it. we're generation is paying across one the a robust it Now and need and creates load general, for XX always But

where data approach with within we a this talk solution-based a load because it's approach. about it's help. We going to like towards If been nuclear certainly, sit We I we the plant be seeing that going to there's ever So sources. in. centers. can plants power complicated on will it -- how solution-based bought to power get really And renewables get you're plants, power whole work,

up. in X want tomorrow it's Virginia. now would seeing the thought we that across across and show have we And It's up. megs, unique tomorrow. want it country. and in only we're my -- circumstances customer some renewable it's see it's I So they not in X I it megs every never just single And creating a And They that show lifetime, state.

So like can And we of can that. both certainly like sit where sides accomplish. certainly what We sit. I help. on can We I we

to plan with do. and distribution and got The we better both the customer, better Just client. collaborate on on more, will transmission the serve better the company the plan

I And great. one. one other That's guess

be? grid reviews you few some capacity here I Curious days some the how to ago. the DOE environmental a announced transmission lines, reform think permitting of think some streamlining that might impactful

we've It's -- we're west. got we've the regulations, around especially we're got significantly investment state already, late It's an incrementally is believe. get helpful, that load still And fact out policies, to grid. I But commissions, state PUCs, higher. behind,

at come you. need make and like need this the track to it's -- doesn't we up And on to sitting catch sure train transition so that and we a

The go look on a your You've when down is, on NPV invest an basis to you rates go-forward. got modern more infrastructure in infrastructure.

the next pays So off for generation. investment now

I it. have the we case that's just invest And think need in going. you to to keep today, and So

Our next with Cowen. from Marc the question comes Bianchi TD line of

on first the you how growth exposed to meter generation? And has some gas-fired for customer outlook to been I data with at occurs one see -- load business center that behind site? was this ask the talking The if your wanted related that about. What everybody is do role to the perhaps of stuff that,

gas still that mean play They transition. degree role some Data to to and going renewables. a want do this generation here in I in think centers renewables. I want is

enough load. problem fast see gas. The natural the into to have a -- is balance you're to lot coming aren't coming I play. little You're going have balance of of a to going Values to is so gas-fired

talk you If about gigs generation, gas-fired you're gig, gigs. XX X gigs, X gigs, X X still of off

we So what enough enough generation -- build you generation for see can't renewable coming.

hear do along. But Batteries a to -- I to and systems, natural -- generation of I you feed to I the coming gas-fired know problem. mean piece of I it how I the it, help. lies that going if plants I you So the them. build country piece being pipe therein gas we're need I in get load try feed to are pipe believe the balance will it it still see to this to XX proposed. XX don't see still

yes. Yes,

Sorry, Duke, ahead. go

it. That's

Okay.

other The had progression. margin renewable the question on was I

the time in some the below in project you And the I'm is going for half that I Can past, the that release later of half. if on then you're think line. in in I where contingency driving talk talked back second the you conviction So you year? curious digits are maybe be in improvement? would just that where this look also, about come with the discussed X%, then at to double what's about be to back -- and quarter

be We back and we that progression. across the release believe that the we'll for Yes, various of in do to Thanks progress these Yes. able seeing as contingencies, half. some that question. some risks projects are

transmission got of to is the There's just than more You solar/wind. substation -- work. segment a lot

in All is the see of acceleration, believe, going half. that to a we big back

contingency fall releases that absorption, better will margins can so as be the obtained. And cost and in

went -- new educate operated conviction the people better the a do we And the we degradation, we've up. through that. Growth below some history. bit. is a And think job well got do so leadership sure pressing segments, degradation when margins, making in field I companies, Most and that we've jobs. of talk both about of -- We some new and it's we that digits, history had to at train the And of and roles, our what we're is times. double both of shows

And there so feel projects. through bread-and-butter. We type they're jobs said, the today that XX, we XX good and renewable-type -- out went we're are that

at see decade we're So it, at runway, here. We for we're runway backlog. a looking us, nice looking

I intact, And the in in that right not invested we're is in the any not field and yes, feel with the comfortable in the spots can really with fact, by promise measures. So pleased that opportunities we've quarter still pleased. years it. And you leadership I

lot So of we expect a out ourselves.

a we're lot of good even customers it expect us. And the running in Our times, hard. out pretty

don't changes necessary we that sure made we that that. out And like on the within anything us few don't was probably made see to something a [ not and some able we've it I at projects. by it. X% adjustments. early. contingencies let the make catch -- we saw like this And doesn't or So $XX only the ] know, it like also talking be but that perform to don't level operations. surprise or about we're we I maybe on thing the as won't double-digit-type whole think we or like, And it million of operate We that We drag

have rest level So a operate -- of high very, through and to them. the -- do very opportunities at on

feel I year it. and and good the I good the on year So next and about really on. next and feel about

the next with Justin Our comes question of Hauke from line Baird.

going too, was some we've I think ask questions thematic the covered of I what and here. is progression margin to renewables the -- that So about,

us the just that terms of also announced? what the new your numeric guess, you then from pieces from that lot contribution both about, in here, the year had there's given I of on M&A, you the net proceeds you moving context So $XXX is give I is some inclusive can a that guidance? for the divestitures ones. is a additions kind revenue the of and couple first, of talked And of million of divestitures, that

Yes.

so well to Justin, you half is second would I'd million announcements as around inorganic $XXX million. we from the by oil of tell X the contribution business. gas much say in the revenue $XXX of deals year recent there last the this revenue offset the contributes I pretty did revenue the -- the as divestiture and acquisitions, contribution the year

$XXX we're and So around contribution million $XXX EPS to million still around $X.XX to $X.XX.

Okay. Great.

changed had So what net in that's not versus you before.

Okay. some And grounds. numeric the covered again, I a question, sorry, second guess but it's one, the other of we've

other Just seemed that? was on the income What $XX was high. line, little it million a

had gain pipeline, Well, an a the of sale is, that that. investment in on we the

So did EBITDA adjust EPS. adjusted which out of and we

So $XX that's that factor million. in the biggest

in gains our had some also comp, but gets SG&A. on offset deferred We that

So around gain and the EPS pipeline impact backed EBITDA. around the real is that we in investment, adjusted which out

Northland with from Gus Richard of Our the comes next line Capital. question

hit the their guys stocks. demand basically load AI maybe drops like Typically, kind reduces their typically, think run to their the inference, about a a what of centers, chip constraint scale consumption plans, wrong, and change a to I'm power the infrastructure I've XX the power sudden, of these last wall. their shift I'm wondering, which data And changed change they or these by from they training, have over chip. is which this very power-intensive but the map XX%. companies huge is happens? significantly just if all I AI about from minds the When where seen road until in And of years guys the

we fuel This we is can't go. EV I AI coal. had mean the a coming we out we XX that switching, if see months from penetration, you renewables, out, And you say -- additive. today, fuel XX I prior great see months you're in business see look, switching to --

is what a So that's we why this to the generation you're we one and unless Everyone build going build go, seeing going why are infrastructure, why seeing. guarantees going no are exactly load. to is to someone saying, you're

that is sure that's have to agree So I growth not, can payer customer mean every get why if you. party That's you. dilemma. other going as forward agree is side because load I sustainable yes, with that's why I that rate every other of or right, the side investment we stalling everyone's your utility including tech. making And the with the That's got you're up you for -- the on again fast the pay pays. -- signing instead as to

Okay. then construction Got at grid the Is sort least second reading I mitigate considering? I've got, way that to your wondering, I've it. question been are something the lines, was it. of is I And transmission appreciate Europe. And business? reconduction a that the in particularly the would some impact And of on reduce for and need new how people routes? of about that

certain what I makes areas. new is high-density hot. run in But what still Yes. would It's -- They I easier, basically. you're better, mean still And it helpful. wires, look, we've rebuild, career. a it's work the they reconductored my -- say

today. in that just corridors the exists You're

which energized it. miles hot in is We in state. training we -- now can even We're is can. line yes, So reconducting, we're and specializing it in it, energized the we're while doing do XXX

R&D So of conductor, we it. advantage certainly have high-density We've certainly an it's conductor. here. and spent like company. We of to We tons installed like the the the plenty other

if But load of is talked big right of And you the are in I you idea come haven't ain't just as try the power the So great. look know, you fantastic. it. it piece demand, X AI And everything love will you you chips, it. yes, now. general, move well. had this. -- be Amazon years mind that at would I -- it's, think makes a ] are things onshoring, or Technology centers, used fully a from data in a my see We a forward, ChatGPT, Autopilot piece we I electric, push. don't can and It that be we centers would that AI [ drawing about That's imagine the I all ago, anywhere. -- look said as It's it, and no it sense. going that when learning will I machines ] at [ think in and

and country going and and even for it's and out appliances us growth. demand of in there given certainly to appliances. I did we with We're X, what is power. we of chips It's do the if the reduce that years, X, think day, you moving get helped great it X kind like things direction, about on everything any else load

load growth for negative had long time. a You

country the throughout growth for most general. load positive got You the in just part,

up, included. when more now than anyone thought, And significant it's data so shows myself

next from with line the Riley question comes Securities. Alex Rygiel Our of B.

Very quarter. nice

here, strong, the question incrementally full at very your I with yet guide. view follow-up. of confident uses in now? free First all? don't And changed changed end Are your year a your flow has you range cash I quarter on you believe of high the flow was And have cash more

Yes.

sit that's a I high where cash that as So coming to in, where opportunity think free we There negative just we to slightly the still We But range at that should think cash today of prudent to our where the free in flow-neutral is flow Pleased we half tends in right need good the profile I of be. are it's free We think now. the with sitting the most quarter. be fourth cash the the first is range. typical end given think we or early. year here it's have cash flow, did that. quarter, of But quarter. of flow with be

the set business Alex, flow say to I business. some we of the profiles would out the itself of cash too, change

Even about what -- the When returns, are head was done you we moving returns softer, had and in first generating up I we've we when the quarter, little typically, free nice a we business, generation. margins the in business. job them, free way bad. cash in in a think certainly the count cash are fantastic. It's growth been talking And certainly was from an the had the capital. calculate we've internal-invested at growth the look

where know like hesitant changed, has So fundamentally has that I business is DSO I say sit. to changed. really fundamentally the we everyone

I think they have.

deploy that capital we to we talked that in past sure is past. as we it cash continue deploy outcomes always in the think free that way have make it how to the about gives in have the to the proper something us I have we create that more flexibility. We've we, the and team, the

M&A, look look at do gives look everything to us opportunistic, and certainly, the opportunity. be free at at our buybacks, I we ability think So that to to cash generation more

And in the then on industrial the the for of we've year? or on or there remainder secondly, I Any don't the call think notable here. movements quarter either telecom touched

up like the the We side. there it's really even nicely. industrial on we're solutions, in synergies sitting We bought picking environmental really the

this or the parity point the data In fact term. Certainly, of And you're part like Telecom to that going electric a hub say, also -- to I performing put centers business have really business we go some at they're want backlog center. data centers can't We to fiber, is is added had still say to other to the quarter. fiber because when the the a long hub they -- better. data nice this I into got everywhere. center there. well. to mean little I data segment I

building feed to all to going some at start it fiber point. you're So on

Our next line of question Jain Sangita from Markets. comes the Capital KeyBanc with

know it's companies, some build-out to solutions, directly substation I discussed behind-the-meter call, whether center but lot for there for Duke, aside data I grid. something a a or this dynamics if data is your you the way to was on with from wondering, just leverage we've engage center

and our to we them. do are mean our time. clients Yes. job, help talk support our them think collaborate talking and well. to Look, them all clients I I as the to opportunities with there's we

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today of the the the the shape? meet comments are the challenges next in get So a over business. -- kind importance in capacity there get it here growth you're but like and what bodies seems good growth -- on do? more to mentioned demand X meet are the on where you investing lot been to and you you are we've sustainable growth, to of into next to talking Where call the I just staffing. remarks is do Or Are a in much your prepared your the, several years relative -- so to in get the and about seeing, want during the over to check work fairly there a extraordinary X you this years? call

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talking transmission. were you from utilities about Duke, to So are how shifting CapEx distribution

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[Operator come of will Morningstar. from Castelli with question line Instructions] the Brett next Our

Can for the orders wind I renewables. wanted between parse relative full your within solar ask new to there? between any you to year XXXX? for And just and expectations out XXXX thoughts the technologies

just in obviously, EV wind would double-digit say about as with well digits, I and businesses. that. mean we're double I plus we're and double growth solar growing But beyond talked digits and those comfortable like growing we've

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permitting opportunities support some also intensity transmission. type seen out we've federal but recently, of more coming for capital within So some lower

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concludes This today's teleconference.

time. You for may participation. your disconnect you this lines at Thank your