Company: MTZ
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0000015615-25-000128
Chunk: 135

Company: MASTEC INC
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 2
Chunk 135
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 facility, vehicle and equipment needs, including certain related party leases.  As of September 30, 2025, the Company’s leases have remaining lease terms of up to 14 years.  Lease agreements may contain renewal clauses, which, if elected, generally extend the term of the lease for 1 to 5 years for both equipment and facility leases.  Certain lease agreements may also contain options to purchase the leased property and/or options to terminate the lease.  In addition, lease agreements may include periodic adjustments to payment amounts for inflation or other variables, or may require payments for taxes, insurance, maintenance or other expenses, which are generally referred to as non-lease components.  The Company’s lease agreements do not contain significant residual value guarantees or material restrictive covenants.Finance LeasesThe gross amount of assets held under finance leases as of September 30, 2025 and December 31, 2024 totaled $808.6 million and $713.9 million, respectively.  Assets held under finance leases, net of accumulated depreciation, totaled $562.0 million and $473.0 million as of September 30, 2025 and December 31, 2024, respectively.  Depreciation expense associated with finance leases totaled $16.9 million and $18.3 million for the three months ended September 30, 2025 and 2024, respectively, and totaled $53.8 million and $65.2 million for the nine months ended September 30, 2025 and 2024, respectively.Operating LeasesOperating lease additions for the three months ended September 30, 2025 and 2024 totaled $42.3 million and $20.2 million, respectively, and for the nine months ended September 30, 2025 and 2024, totaled $138.8 million and $136.0 million, respectively.  For the three months ended September 30, 2025 and 2024, rent expense for leases that have terms in excess of one year totaled approximately $57.3 million and $49.3 million, respectively, of which $5.4 million and $4.2 million, respectively, represented variable lease costs.  For the nine months ended September 30, 2025 and 2024, rent expense for such leases totaled approximately $162.4 million and $146.7 million, respectively, of which $15.5 million and $13.5 million, respectively, represented variable