PW

Quanta Services, Inc. stock research

Sep 30, 2025

FY2025 Q3

Quanta Services (PWR) Gross Margin — Quarter Ended Sep 30, 2025

Revenue increased from the prior quarter and from the same quarter a year earlier. Gross profit rose at a faster pace than cost of revenue, resulting in higher gross margin compared to both periods.

Gross margin takeaway

Quarter ended Sep 30, 2025 · FY2025 Q3

Revenue increased from the prior quarter and from the same quarter a year earlier. Gross profit rose at a faster pace than cost of revenue, resulting in higher gross margin compared to both periods.

  • The primary observable driver of the gross margin improvement is the relatively slower growth in cost of revenue compared to revenue growth.
  • Compared to the prior quarter, gross margin improved as gross profit increased more than cost of revenue. Relative to the same quarter last year, gross margin also strengthened, though the increase was more modest.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

15.9%

Gross profit

$1.2B

Revenue

$7.6B

Cost of revenue

$6.4B

Quarter-over-quarter change

+1.1 pts

Year-over-year change

+0.3 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Dec 31, 2024$6.6B$1.1B$5.5B16.2%
Mar 31, 2025$6.2B$834.0M$5.4B13.4%
Jun 30, 2025$6.8B$1.0B$5.8B14.9%
Sep 30, 2025$7.6B$1.2B$6.4B15.9%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Jun 30, 2025

+1.1 pts

Year-over-year change

Sep 30, 2024

+0.3 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The primary observable driver of the gross margin improvement is the relatively slower growth in cost of revenue compared to revenue growth.

Compared to the prior quarter, gross margin improved as gross profit increased more than cost of revenue. Relative to the same quarter last year, gross margin also strengthened, though the increase was more modest.

Monitor the company's forward-looking projections regarding margins as disclosed in the filing.