Investments in Affiliates and Other Entities

3 Months Ended

Mar. 31, 2026

Investments in Affiliates and Other Entities

5. INVESTMENTS IN AFFILIATES AND OTHER ENTITIES:

Equity Investments

The following table presents Quanta’s equity investments by type (in thousands):


	March 31, 2026		December 31, 2025
Equity method investments - integral unconsolidated affiliates	$	267,436	$	265,094
Equity method investments - non-integral unconsolidated affiliates	83,167		76,134
Non-marketable equity securities	55,931		70,453
Total equity investments	$	406,534	$	411,681

Equity Method Investments

As of March 31, 2026 and December 31, 2025, Quanta had receivables of $184.3 million and $165.0 million from its unconsolidated affiliates and payables of $30.4 million and $20.3 million to its unconsolidated affiliates. Quanta recognized revenues of $27.3 million and $51.1 million during the three months ended March 31, 2026 and 2025 from services provided to its unconsolidated affiliates. The receivables balances and revenues recognized are primarily related to services provided to LUMA Energy, LLC (LUMA), Quanta’s joint venture that operates and maintains the electric transmission and distribution system in Puerto Rico, at cost. During the three months ended March 31, 2026 and 2025, Quanta recognized costs of services of $121.9 million and $94.9 million for services provided to Quanta by unconsolidated affiliates other than LUMA.

Total equity in earnings from integral unconsolidated affiliates was $14.5 million and $12.9 million for the three months ended March 31, 2026 and 2025. Total equity in losses from non-integral unconsolidated affiliates was $2.3 million for the three months ended March 31, 2026 and equity in earnings from non-integral unconsolidated affiliates was $0.1 million for the three months ended March 31, 2025. Equity in losses and earnings from non-integral unconsolidated affiliates are included in “Other income, net” in the accompanying condensed consolidated statements of operations. As of March 31, 2026, Quanta had $56.9 million of undistributed earnings from unconsolidated affiliates.

Any difference between Quanta’s carrying value and the underlying equity in the net assets of its equity investments is assigned to the assets and liabilities of the investment, and gives rise to a basis difference, which was $165.4 million and $168.0 million as of March 31, 2026 and December 31, 2025. The amortization of the basis difference is primarily included in “Equity in earnings of integral unconsolidated affiliates” in the accompanying condensed consolidated statements of operations

and was $2.6 million and $0.7 million for the three months ended March 31, 2026 and 2025.

Non-Marketable Equity Securities

As of March 31, 2026 and December 31, 2025, Quanta had cumulative impairments of $31.0 million and $18.1 million related to its non-marketable equity securities.