HOUSTON (AP) — Quanta Services Inc., which builds and repairs electricity and natural gas transmission systems, said Thursday that its second-quarter profit more than doubled and raised its earnings forecast as demand for its services increased.
Shares rose $1.46, or 6.5 percent, to close at $23.93 Thursday.
Despite the bullish outlook, the company said customers continued to run into regulatory hurdles on projects, and the weak economy created uncertainty.
Still, the company expects to earn $1.35 to $1.45 per share, excluding one-time items, in 2012, up from May's prediction of $1.19 to $1.39 per share and well above analysts' forecast of $1.33 per share. It expects adjusted profit for the current quarter of 39 to 42 cents per share, above analysts' prediction, based on FactSet, of 38 cents per share.
Second-quarter net income was $65.5 million, or 31 cents per share, compared with $31.8 million, or 15 cents per share, a year earlier.
The company said that excluding items such as noncash compensation costs, it would have earned 36 cents per share. Revenue rose 50 percent to $1.52 billion from $1.01 billion. The quarter's results also topped analyst estimates.