From The Motley Fool · Motley Fool Transcribing · · 3m
CACI Q1 2027 Earnings Report Highlights
CACI boosts Q1 revenue by 8.2% with $4.8B in contract awards and $34B backlog.
In brief
CACI boosts Q1 revenue by 8.2% with $4.8B in contract awards and $34B backlog. CACI reported 8.2% Q1 revenue growth, $2.47B revenue, 13.3% EBITDA margin, and raised FY27 guidance to $10.7B revenue. Originally reported by The Motley Fool.
Q1 Revenue Growth
CACI reported $2.47 billion revenue, an 8.2% increase driven by higher gross profit and new contract wins.
Organic Revenue Growth
Organic revenue growth reached 2.1%, aligning with management's previously stated expectations for low single-digit growth.
EBITDA Margin Expansion
EBITDA margin increased to 13.3%, a 160 basis point improvement from the prior year reflecting strong program execution and a favorable mix of high-margin technology work.
Adjusted Diluted EPS
Adjusted diluted EPS grew to $7.66, representing an 11.8% year-over-year increase due to operational performance and margin expansion.
Free Cash Flow
Free cash flow reached $133.5 million, reflecting higher working capital requirements and cash outflows typical of the first quarter.
Contract Awards
CACI secured $4.8 billion in contract awards, resulting in a 2.0x book-to-bill ratio for the quarter.
Total Backlog
Total backlog reached $34.0 billion, providing multiyear visibility into future revenue streams and cash generation.
Funded Backlog Growth
Funded backlog increased by 14.8%, representing the seventh consecutive quarter of double-digit growth in this metric.
Apollo Award
Apollo Award provides $1.5 billion ceiling for USCENTCOM to conduct intelligence and information warfare missions using AI.
SOF-TOPS II Award
SOF-TOPS II Award includes $1.6 billion task order for Army Special Operations Command's response to evolving threats.
Domestic Shield Award
Domestic Shield Award provides $500 million for counter-UAS capabilities including an initial funded task order.
SkyValor Capability
SkyValor offers 75 km detection range using industry-leading cellular detect and defeat technologies for precision nonkinetic counter-UAS operations.
Manufacturing Capacity
CACI added 61,000 square feet of manufacturing space in Rochester, New York to scale production of defense electronics.
Net Leverage Ratio
Net leverage ratio stood at 3.5 times, with management expecting to return to the low threes by the March quarter of 2.027.
FY27 Revenue Guidance
CACI raised FY27 revenue guidance to $10.7 billion to $10.9 billion, an increase of $50 million from previous estimates.
FY27 Adjusted Net Income
CACI revised FY27 adjusted net income guidance to $740 million to $760 million, representing a $5 million increase.
FY27 Adjusted Diluted EPS
CACI updated FY27 adjusted diluted EPS guidance to $33.18 to $34.08, reflecting higher anticipated revenue and profitability.
FY27 Free Cash Flow
CACI reaffirmed FY27 free cash flow guidance of at least $900 million as a key value creation metric.
Existing Program Revenue
94% of FY27 revenue is already in house via existing programs, increasing from 83% in the prior quarter.
Bid Pipeline
Bid pipeline includes $4.7 billion under evaluation and $14.7 billion in planned submissions over the next two quarters.
The essence
CACI reported 8.2% Q1 revenue growth, $2.47B revenue, 13.3% EBITDA margin, and raised FY27 guidance to $10.7B revenue.
