XML 36 R25.htm IDEA: XBRL DOCUMENT v3.21.2
Acquisitions (Tables)
 9 Months Ended
Sep. 30, 2021
Business Combination and Asset Acquisition [Abstract]  
Aggregate Consideration Paid or Payable and Allocation Net Assets The following table summarizes the fair value of
total consideration transferred or estimated to be transferred and the fair value of assets acquired and liabilities assumed as of September 30, 2021 for acquisitions completed in the year-to-date periods shown below (in thousands).
September 30, 2021December 31, 2020
Consideration:
Cash paid or payable$59,226 $359,624 
Value of Quanta common stock issued2,479 57,119 
Contingent consideration— 2,250 
Fair value of total consideration transferred or estimated to be transferred$61,705 $418,993 
Accounts receivable$10,678 $74,492 
Contract assets2,048 8,919 
Other current assets7,189 53,302 
Property and equipment5,651 143,276 
Other assets216 14 
Identifiable intangible assets18,506 96,827 
Contract liabilities(16)(3,750)
Other current liabilities(10,371)(35,112)
Deferred tax liabilities, net(2,093)(3,185)
Total identifiable net assets31,808 334,783 
Goodwill29,897 84,210 
Fair value of net assets acquired$61,705 $418,993 
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 acquisitions completed in the nine months ended September 30, 2021 as of the acquisition
date and the related weighted average amortization periods by asset type (in thousands, except for weighted average amortization periods, which are in years).    
Estimated Fair ValueWeighted Average Amortization Period in Years
Customer relationships$3,063 5.6
Backlog3,811 1.3
Trade names1,110 14.4
Non-compete agreements1,494 5.0
Patented rights, developed technology, and process certifications9,028 3.5
Total intangible assets subject to amortization$18,506 4.2
Discount Rates and Customer Attrition Rates The following table includes the discount rates and customer attrition rates used to determine the fair value of customer relationship intangible assets for businesses acquired during the nine months ended September 30, 2021 and the year ended December 31, 2020 as of the respective acquisition dates:
 20212020
RangeWeighted AverageRangeWeighted Average
Discount rates
22% to 25%
22%
19% to 25%
20%
Customer attrition rates
20% to 30%
23%
10% to 43%
13%
Unaudited Supplemental Pro Forma Results of Operations
The following unaudited supplemental pro forma results of operations for Quanta, which incorporate the acquisitions completed in the three and nine months ended September 30, 2021 and 2020, 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 EndedNine Months Ended
September 30, September 30,
2021202020212020
Revenues$3,357,877 $3,069,921 $9,090,656 $8,519,226 
Gross profit$535,935 $520,866 $1,367,256 $1,254,826 
Selling, general and administrative expenses$(275,363)$(256,608)$(794,249)$(740,564)
Amortization of intangible assets$(22,836)$(22,843)$(68,167)$(69,742)
Net income $175,865 $166,326 $387,713 $287,171 
Net income attributable to common stock$174,832 $165,539 $383,184 $282,718 
Earnings per share attributable to common stock:
Basic$1.25 $1.17 $2.73 $1.98 
Diluted$1.21 $1.14 $2.65 $1.94