Acquisitions (Tables)

3 Months Ended

Mar. 31, 2018

Summary of Aggregate Consideration Paid or Payable and Allocation of Amounts to the Net Tangible and Identifiable Intangible Assets

The following table summarizes the aggregate consideration paid or payable as of March 31, 2018 for the 2018 acquisitions and 2017 acquisitions and presents the allocation of these amounts to the net tangible and identifiable intangible assets based on their estimated fair values as of the respective acquisition dates, inclusive of any purchase price adjustments. This allocation requires a significant use of estimates and is based on information that was available to management at the time these consolidated financial statements were prepared. Quanta uses a variety of information to estimate fair values, including quoted market prices, carrying amounts and valuation techniques such as discounted cash flows. Third-party appraisal firms are engaged to assist in fair value determination of fixed assets, intangible assets and certain other assets and liabilities when appropriate (in thousands).



	2018			2017
	All Acquisitions			Stronghold			Other Acquisitions
Consideration:
Cash paid or payable	$	39,291		$	351,014		$	11,904
Value of Quanta common stock issued	13,549			81,337			8,267
Contingent consideration	13,705			51,084			—
Fair value of total consideration transferred or estimated to be transferred	$	66,545		$	483,435		$	20,171

Accounts receivable	$	4,436		$	77,478		$	7,157
Contract assets	—			11,913			193
Other current assets	5,722			20,914			170
Property and equipment	6,716			51,258			1,480
Other assets	543			1,513			12
Identifiable intangible assets	19,836			95,700			8,091
Contract liabilities	—			(13,489		)	(93		)
Other current liabilities	(8,238		)	(58,346		)	(2,705		)
Deferred tax liabilities, net	(4,179		)	—			—
Other long-term liabilities	—			(48		)	—
Total identifiable net assets	24,836			186,893			14,305
Goodwill	41,709			296,542			5,866
	$	66,545		$	483,435		$	20,171

Estimated Fair Values of Identifiable Intangible Assets and Related Weighted Average Amortization

The following table summarizes the estimated fair values of identifiable intangible assets for the 2018 acquisitions as of the acquisition dates and the related weighted average amortization periods by type (in thousands, except for weighted average amortization periods, which are in years).



	Estimated Fair Value		Weighted Average Amortization Period in Years
Customer relationships	$	3,328	5.0
Backlog	1,055		1.0
Trade names	6,257		15.0
Non-compete agreements	196		5.0
Curriculum	9,000		10.0
Total intangible assets subject to amortization acquired in 2018 acquisitions	$	19,836	10.2

Unaudited Supplemental Pro Forma Results of Operations

The following unaudited supplemental pro forma results of operations have been provided for illustrative purposes only and do not purport to be indicative of the actual results that would have been achieved by the combined companies for the periods presented or that may be achieved by the combined companies in the future. Future results may vary significantly from the results reflected in the following pro forma financial information because of future events and transactions, as well as other factors (in thousands, except per share amounts):



	Three Months Ended
	March 31,
	2018		2017
Revenues	$	2,421,644	$	2,303,467
Gross profit	$	302,890	$	299,110
Selling, general and administrative expenses	$	216,396	$	207,315
Amortization of intangible assets	$	10,661	$	10,926
Net income	$	39,050	$	50,851
Net income attributable to common stock	$	38,053	$	50,678

Earnings per share - basic and diluted	$	0.24	$	0.32