Company: MTZ
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000015615-25-000021
Chunk: 1173

Company: MASTEC INC
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1A
Chunk 1173
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 customers have no obligation to undertake any infrastructure projects or other work with us.  In addition, most of our contracts are cancelable on short or no advance notice, ranging from immediate cancellation to cancellation upon 180 days’ notice, even if we are not in default under the contract.  This makes it difficult to estimate our customers’ demand for our services.  A significant decline in the volume of work our customers request us to perform under these service agreements could negatively affect our results of operations, cash flows and liquidity.

Many of our contracts, including our service agreements, are periodically open to public bid.  We may not be the successful bidder on existing contracts that are re-bid.  We could experience a reduction in revenue, profitability and liquidity if we fail to win a significant number of existing contracts upon re-bid.  Additionally, from time to time, we enter into contracts that contain financing or other conditions that must be satisfied before we can begin work.  Certain of these contracts may not result in revenue or profits if our customers are unable to obtain financing or to satisfy other conditions associated with such projects.

If we are unable to attract and retain qualified managers and skilled employees, we will be unable to operate efficiently, which could reduce our revenue, profitability and liquidity.

Our business is labor intensive, and some of our operations experience a high rate of employee turnover.  In addition, given the nature of the highly specialized work we perform, many of our employees are trained in, and possess, specialized technical skills that are necessary to efficiently operate our business and maintain productivity and profitability.  In times of low unemployment, such as the recent market environment, it can be difficult for us to find appropriately skilled and qualified personnel at affordable rates.  An increase in immigration actions as a result of changes to immigration policies may also affect the availability of labor.  Our labor costs may increase due to shortages in the supply of skilled labor and increases in compensation rates generally.  We may be unable to hire and retain a sufficiently skilled labor force to support our operating requirements and growth strategy.  Our labor and training expenses could increase as a result of a shortage in the supply of skilled personnel, which could adversely affect our profitability.  Additionally, our business is managed by a number of key executive and operational officers, many of whom have extensive industry experience, and we are dependent upon retaining and recruiting qualified management to execute our business strategy.  Lack of skilled labor, the loss of key personnel, labor shortages and/or increased turnover rates could negatively affect our ability to operate efficiently