MasTec, Inc. MTZ is benefiting from rising investments in U.S. power infrastructure as utilities accelerate spending on grid modernization, transmission upgrades and system reliability projects. Growing electricity demand, particularly from AI-driven data centers, is creating a favorable backdrop for the company’s Power Delivery business.
The segment delivered solid first-quarter 2026 results, supported by higher project activity across transmission and utility infrastructure work. Revenues increased 16% year over year to $1.05 billion in first-quarter 2026. Adjusted EBITDA margin expanded 120 basis points year over year to 6.9%, reflecting improved execution and operating leverage as project volumes increased.
Backlog growth also points to sustained demand in the segment. As of March 31, 2026, MasTec’s total 18-month backlog increased 28% year over year to $20.33 billion. Power Delivery backlog rose around 24% year over year to a record $6.2 billion. A 1.6x book-to-bill ratio during the quarter reflected continued contract wins and scope expansion on existing projects.
Aging grid infrastructure and rising electricity consumption are driving a multiyear investment cycle across the utility market. Utilities are increasing spending on transmission lines, substations and grid hardening projects to improve reliability and support higher power loads. The rapid expansion of AI and data centers is expected to further increase electricity demand, with management indicating that data centers could account for nearly 12% of total U.S. electricity consumption by the end of the decade.
Such trends are likely to require meaningful expansion of transmission and power infrastructure across the country. With utilities prioritizing grid resiliency and power expansion, MasTec appears well positioned to benefit from long-term infrastructure spending trends.
