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Segments and Related Information | 9 Months Ended
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Sep. 30, 2021
Segment Reporting [Abstract] |
Segment and Related Information | Segments and Related Information Segment Discussion The Company manages its operations under five operating segments, which represent its five reportable segments: (1) Communications; (2) Clean Energy and Infrastructure; (3) Oil and Gas; (4) Electrical Transmission and (5) Other. This structure is generally focused on broad end-user markets for the Company’s labor-based construction services. All five reportable segments derive their revenue from the engineering, installation and maintenance of infrastructure, primarily in North America. The Communications segment performs engineering, construction, maintenance and customer fulfillment activities related to communications infrastructure, primarily for wireless and wireline/fiber communications and install-to-the-home customers, as well as infrastructure for utilities, among others. The Clean Energy and Infrastructure segment primarily serves energy, utility, government and other end-markets through the installation and construction of power generation facilities, primarily from clean energy and renewable sources, such as wind, solar, biomass, natural gas and hydrogen, as well as battery storage for renewable energy and various types of heavy civil and industrial infrastructure. The Company performs engineering, construction and maintenance services for pipelines and processing facilities for the energy and utilities industries through its Oil and Gas segment. The Electrical Transmission segment primarily serves the energy and utility industries through the engineering, construction and maintenance of electrical transmission lines and substations, including electrical distribution network systems. The Other segment includes certain equity investees, the services of which vary from those provided by the Company’s primary segments, as well as other small business units that perform construction and other services for a variety of international end-markets. Earnings before interest, taxes, depreciation and amortization (“EBITDA”) is the measure of profitability used by management to manage its segments and, accordingly, in its segment reporting. As appropriate, the Company supplements the reporting of its consolidated financial information determined in accordance with U.S. GAAP with certain non-U.S. GAAP financial measures, including EBITDA. The Company believes these non-U.S. GAAP measures provide meaningful information and help investors understand the Company’s financial results and assess its prospects for future performance. The Company uses EBITDA to evaluate its performance, both internally and as compared with its peers, because it excludes certain items that may not be indicative of the Company’s core operating results for its reportable segments, as well as items that can vary widely across different industries or among companies within the same industry. Segment EBITDA is calculated in a manner consistent with consolidated EBITDA. Summarized financial information for MasTec’s reportable segments is presented and reconciled to consolidated financial information for total MasTec in the following tables, including a reconciliation of consolidated income before income taxes to EBITDA, all of which are presented in millions. The tables below may contain slight summation differences due to rounding.
| For the Three Months Ended September 30, |  | For the Nine Months Ended September 30,
Revenue: | 2021 |  | 2020 |  | 2021 |  | 2020
Communications (a) | $ | 670.3 |  |  | $ | 645.4 |  |  | $ | 1,869.3 |  |  | $ | 1,943.8 |
Clean Energy and Infrastructure | 518.4 |  |  | 468.9 |  |  | 1,350.3 |  |  | 1,181.4 |
Oil and Gas | 858.4 |  |  | 462.5 |  |  | 2,205.3 |  |  | 1,190.1 |
Electrical Transmission | 365.3 |  |  | 128.5 |  |  | 731.4 |  |  | 380.7 |
Other | 0.0 |  |  | 0.1 |  |  | 0.0 |  |  | 0.2 |
Eliminations | (8.1) |  |  | (7.1) |  |  | (13.9) |  |  | (12.0) |
Consolidated revenue | $ | 2,404.3 |  |  | $ | 1,698.3 |  |  | $ | 6,142.4 |  |  | $ | 4,684.2 |
(a) Revenue generated primarily by utilities customers represented 22.2% and 15.7% of Communications segment revenue for the three month periods ended September 30, 2021 and 2020, respectively, and represented 21.0% and 15.3% for the nine month periods ended September 30, 2021 and 2020, respectively.
| For the Three Months Ended September 30, |  | For the Nine Months Ended September 30,
EBITDA: | 2021 |  | 2020 |  | 2021 |  | 2020
Communications | $ | 71.6 |  |  | $ | 79.6 |  |  | $ | 193.1 |  |  | $ | 206.8 |
Clean Energy and Infrastructure | 13.8 |  |  | 34.4 |  |  | 40.2 |  |  | 69.5 |
Oil and Gas | 170.6 |  |  | 160.4 |  |  | 476.2 |  |  | 315.0 |
Electrical Transmission | 34.9 |  |  | 9.1 |  |  | 47.8 |  |  | 14.2 |
Other | 7.5 |  |  | 7.6 |  |  | 23.3 |  |  | 22.5 |
Corporate | (26.6) |  |  | (37.5) |  |  | (86.3) |  |  | (100.6) |
Consolidated EBITDA | $ | 271.8 |  |  | $ | 253.6 |  |  | $ | 694.3 |  |  | $ | 527.4 |
| For the Three Months Ended September 30, |  | For the Nine Months Ended September 30,
Depreciation and Amortization: | 2021 |  | 2020 |  | 2021 |  | 2020
Communications | $ | 26.4 |  |  | $ | 21.1 |  |  | $ | 72.0 |  |  | $ | 62.1 |
Clean Energy and Infrastructure | 13.0 |  |  | 5.0 |  |  | 31.1 |  |  | 13.7 |
Oil and Gas | 55.5 |  |  | 47.5 |  |  | 163.8 |  |  | 107.7 |
Electrical Transmission | 21.1 |  |  | 6.2 |  |  | 41.3 |  |  | 18.6 |
Other | 0.0 |  |  | 0.0 |  |  | 0.0 |  |  | 0.0 |
Corporate | 2.7 |  |  | 2.8 |  |  | 8.5 |  |  | 8.5 |
Consolidated depreciation and amortization | $ | 118.7 |  |  | $ | 82.6 |  |  | $ | 316.7 |  |  | $ | 210.6 |
| For the Three Months Ended September 30, |  | For the Nine Months Ended September 30,
EBITDA Reconciliation: | 2021 |  | 2020 |  | 2021 |  | 2020
Income before income taxes | $ | 140.0 |  |  | $ | 157.4 |  |  | $ | 338.3 |  |  | $ | 271.5 |
Plus: |  |  |  |  |  |  |
Interest expense, net | 13.1 |  |  | 13.6 |  |  | 39.4 |  |  | 45.4 |
Depreciation | 95.4 |  |  | 71.4 |  |  | 262.1 |  |  | 182.2 |
Amortization of intangible assets | 23.4 |  |  | 11.2 |  |  | 54.5 |  |  | 28.4 |
Consolidated EBITDA | $ | 271.8 |  |  | $ | 253.6 |  |  | $ | 694.3 |  |  | $ | 527.4 |
Foreign Operations and Other. MasTec has operations in North America, primarily in the United States and Canada, and, to a lesser extent, in Mexico, the Caribbean and India. Revenue derived from U.S. operations totaled $2.4 billion and $1.7 billion for the three month periods ended September 30, 2021 and 2020, respectively, and totaled $6.0 billion and $4.6 billion for the nine month periods ended September 30, 2021 and 2020, respectively. Revenue derived from foreign operations totaled $40.8 million and $18.2 million for the three month periods ended September 30, 2021 and 2020, respectively, and totaled $120.7 million and $77.8 million for the nine month periods ended September 30, 2021 and 2020, respectively, substantially all of which was derived from the Company’s Canadian operations in its Oil and Gas segment. Long-lived assets held in the U.S. included property and equipment, net, of $1.0 billion and $959.5 million as of September 30, 2021 and December 31, 2020, respectively, and, for the Company’s businesses in foreign countries, totaled $21.7 million and $22.8 million, respectively. Intangible assets and goodwill, net, related to the Company’s U.S. operations totaled approximately $1.8 billion and $1.4 billion as of September 30, 2021 and December 31, 2020, respectively, and for the Company’s businesses in foreign countries, totaled approximately $45.4 million and $50.5 million as of September 30, 2021 and December 31, 2020, respectively. The majority of the Company’s long-lived and intangible assets and goodwill in foreign countries relate to its Canadian operations. As of September 30, 2021 and December 31, 2020, amounts due from customers from which foreign revenue was derived accounted for approximately 4% and 5%, respectively, of the Company’s consolidated net accounts receivable position, which represents accounts receivable, net, less deferred revenue. Revenue from governmental entities for both the three and nine month periods ended September 30, 2021 totaled approximately 5% of total revenue, and for both the three and nine month periods ended September 30, 2020 totaled approximately 2% of total revenue, substantially all of which was derived from the Company’s U.S. operations. Significant Customers Revenue concentration information for significant customers as a percentage of total consolidated revenue was as follows:
| For the Three Months Ended September 30, |  | For the Nine Months Ended September 30,
Customer: | 2021 |  | 2020 |  | 2021 |  | 2020
Enbridge, Inc. (a) | 21% |  | 1% |  | 19% |  | 1%
AT&T (excluding DIRECTV®) (b)(c) | 7% |  | 12% |  | 8% |  | 16%
(a) The Company’s relationship with Enbridge, Inc. is based upon various construction contracts for pipeline activities, for which the related revenue is included within the Oil and Gas segment. (b) DIRECTV® was spun off from AT&T in July 2021. Revenue from DIRECTV® is excluded from AT&T for all periods presented. (c) The Company’s relationship with AT&T is based upon multiple separate master service and other service agreements, including for installation and maintenance services, as well as construction/installation contracts for AT&T’s: (i) wireless; (ii) wireline/fiber; and (iii) other installation services, including smart city initiatives. Revenue from AT&T is included within the Communications segment.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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