MasTec (NYSE:MTZ) reported fourth-quarter and full-year 2025 results that management said exceeded its guidance for revenue, adjusted EBITDA and adjusted earnings per share, supported by organic growth across segments and a sharp increase in backlog.
Fourth-quarter and full-year results
CEO Jose Mas said fourth-quarter revenue was “just shy of $4 billion,” up 16% year over year, bringing full-year revenue to $14.3 billion, also up 16% and a company record. Adjusted EBITDA in the quarter was $338 million, a 25% year-over-year increase, while full-year adjusted EBITDA totaled $1.15 billion, up 14%.
Backlog growth and data center awards
Mas highlighted a sharp expansion in backlog during 2025. Full-year backlog increased by “over four and a half billion dollars,” or 33% year over year. Sequentially, backlog increased by more than $2 billion, which Mas described as a 1.6x book-to-bill.
Management emphasized the mix of new awards, including “nearly $1 billion of data center-related work” added to backlog in the fourth quarter. Mas said these awards included work MasTec has performed in recent years as well as its first construction management agreement for a turnkey data center site. He noted that much of the work on that initial turnkey project would be subcontracted, but the company sees an opportunity to self-perform more scope on future jobs.
In Q&A, Mas said the $1 billion figure was not solely tied to the turnkey project and included historical data center-related civil and power infrastructure work. He said the turnkey job is expected to conclude in 2027, with revenue earned across 2026 and 2027, and that the company expects additional wins in 2026. Management declined to disclose the customer.
Segment performance: communications, power, clean energy, and pipeline
Communications: MasTec reported 23% revenue growth and 16% EBITDA growth in the communications segment for the fourth quarter, with full-year revenue and EBITDA growth of 32% and 41%, respectively. DiMarco said fourth-quarter communications revenue exceeded guidance by $139 million, driven by strength across wireless and wireline, including middle-mile work that the company expects to further develop into 2026 and beyond. Fourth-quarter adjusted EBITDA margin was 8.5%, down from 9% a year earlier, which management attributed to ramp and startup costs on certain programs. Communications backlog ended the year at $5.5 billion, up 8% sequentially and 20% year over year.
In Q&A, Mas said the company is not assuming “tons of BEAD built into 2026,” but added that MasTec has become more bullish on BEAD and expects the opportunity to be “predominantly 2027.” He also said the company remains excited about wireless, citing the current “rip and replace” activity for a large customer and expectations for additional deployments beginning in 2027 tied to new spectrum.
Power delivery: Fourth-quarter segment revenue increased 13% year over year and EBITDA grew 9%. EBITDA margin was 8.2% versus 8.5% in the prior-year quarter, with management citing headwinds from the absence of storm-related revenue and lower-than-planned Greenlink volumes due to permitting delays. For the full year, the segment posted 16% revenue growth and 12% EBITDA growth. Power delivery backlog rose 17% year over year and 9% sequentially to $5.6 billion, which management called a record and part of an “unbroken” streak of backlog increases since the third quarter of 2023.
Mas said the company received a go-ahead in the first quarter to restart the portion of the Greenlink project that had been delayed by permitting, calling the restart earlier than anticipated. In response to an analyst question, he said the initially delayed permits have been “fully cleared,” though not all permits for later portions of the project are in place yet. Separately, in Q&A the company said a large transmission project awarded in the fourth quarter is expected to start in the second part of the summer and run for about two years.
Clean Energy and Infrastructure (CE&I): Mas said fourth-quarter revenue and EBITDA were slightly ahead of expectations. For the full year, segment revenue grew 15%, and EBITDA margins improved by 110 basis points to 7.4% from 6.3%. DiMarco said fourth-quarter CE&I revenue was $1.3 billion, up 2% year over year, with double-digit renewables growth and infrastructure and industrial revenue in line with expectations. Fourth-quarter segment EBITDA margin was 7.2%, down from 8.3% a year ago due to favorable industrial project closeouts in 2024 that did not repeat in 2025.
Year-end CE&I backlog rose 30% sequentially to $6.5 billion, up 53% from the prior year, with a 2.1x book-to-bill in the quarter. DiMarco said renewables backlog has grown for 10 straight quarters and that visibility extends beyond reported backlog: projects under contract beyond 18 months or under limited notice to proceed total over $4 billion incremental to backlog. He also noted that acquired backlog contributed roughly $300 million to year-end CE&I totals, with organic book-to-bill still 1.9x.
Pipeline infrastructure: Fourth-quarter pipeline revenue increased 50% year over year, with DiMarco reporting revenue of $644 million, the highest quarterly level in the past two years. Full-year pipeline revenue was $2.1 billion, above the company’s initial $1.8 billion guide, as activity “inflected positively earlier in the year.” Fourth-quarter EBITDA was $119 million and EBITDA margin was 18.5%, which management described as indicative of steady-state margins in an expansion cycle. Mas reiterated expectations for double-digit growth in pipeline in 2026, while pointing to a potential acceleration in 2027 and a return to historical highs “as early as 2027.”
Acquisitions, cash flow, and 2026 guidance
MasTec highlighted two acquisitions: NV2A, acquired in the fourth quarter, and McKee Utility Contractors, acquired in the first quarter of 2026. Mas described NV2A as a construction management services firm with a reputation in complex commercial projects, including aviation and seaport work, and noted it was previously MasTec’s joint venture partner on the $600 million Miami Airport expansion project (the first phase of an estimated $9 billion program). He said McKee expands MasTec into water infrastructure, which management views as a structurally growing theme.
For cash flow, DiMarco said MasTec generated operating cash flow of $373 million and free cash flow of $306 million in the fourth quarter, bringing full-year totals to $546 million and $342 million, respectively—below guidance primarily due to working capital investment tied to the revenue beat and higher capital expenditures to support growth. The company ended the year with approximately $2.1 billion of liquidity and net leverage of 1.7x.
For 2026, management guided to:
- Revenue: $17 billion (about 19% growth), with organic growth expected in the “mid-teens.”
- Adjusted EBITDA: $1.45 billion, an 8.5% margin, reflecting 26% profit growth and 50 basis points of margin expansion.
- Adjusted EPS: $8.40, up from $6.55 in 2025.
- Operating cash flow: expected to exceed $1 billion, consistent with a 70% EBITDA conversion target.
- Net capital expenditures: about $200 million.
DiMarco said segment expectations include roughly 35% revenue growth in CE&I (driven in part by data center work), 17% growth in pipeline infrastructure, about 11% growth in power delivery, and communications growth “just under double digits.” He added that guidance assumes acquisitions contribute approximately $500 million of revenue at high single-digit EBITDA margins in 2026. For the first quarter, management forecast revenue growth of 22% and adjusted EBITDA margins just over 7%, 130 basis points higher year over year, with Q2 and Q3 expected to be the highest margin quarters and a typical seasonal revenue decline in Q4.
About MasTec (NYSE:MTZ)
MasTec, Inc is a diversified infrastructure construction company that provides engineering, fabrication, installation and maintenance services across a broad range of end markets. Its principal activities encompass the development of communications networks, oil and gas pipeline systems, electrical transmission and distribution facilities, industrial installations and renewable energy projects.
The company traces its roots to a small cable installation operation in Miami and has grown through a series of strategic acquisitions to become one of the largest infrastructure contractors in North America.
