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Mar 31, 2023

CACI Q3 2023 Earnings Report

CACI reported strong Q3 2023 results, marked by double-digit revenue growth and solid profitability.

Key Takeaways

CACI International Inc. announced its fiscal third quarter results, demonstrating a 10% year-over-year revenue increase to $1.7 billion, driven by organic growth. The company's net income reached $100.7 million, with a diluted EPS of $4.33. CACI is raising its fiscal year 2023 revenue and earnings guidance.

Revenues increased by 10.1% year-over-year, reaching $1.74 billion.

Net income was reported at $100.7 million, with a diluted EPS of $4.33.

Contract awards in the third quarter totaled $1.1 billion, with approximately 50% for new business.

Total backlog as of March 31, 2023, was $25.3 billion, an 8% increase compared to the previous year.

Total Revenue
$1.74B
Previous year: $1.58B
+10.1%
EPS
$4.92
Previous year: $4.64
+6.0%
Gross Profit
$155M
Previous year: $125M
+23.7%
Cash and Equivalents
$107M
Previous year: $125M
-14.6%
Total Assets
$6.65B
Previous year: $6.58B
+1.1%

CACI

CACI

CACI Revenue by Segment

Forward Guidance

CACI is raising its fiscal year 2023 guidance for Revenue, Adjusted Net Income, and Adjusted EPS.

Positive Outlook

  • Revenue: $6,675 - $6,750 million (Previous: $6,475 - $6,675 million)
  • Adjusted net income: $425 - $440 million (Previous: $420 - $440 million)
  • Adjusted diluted earnings per share: $18.09 - $18.72 (Previous: $17.65 - $18.49)
  • Diluted weighted average shares: 23.5 million
  • Free cash flow: at least $280 million (Previous: at least $320 million)

Challenges Ahead

  • Free cash flow guidance reflects the delay of a $40 million tax refund related to the previously-disclosed tax method changes.
  • Assumes $95 million in tax payments related to Section 174 of the Tax Cuts and Jobs Act of 2017.
  • Reliance on U.S. government contracts and potential termination risks.
  • Significant delays or reductions in appropriations for programs.
  • Competitive factors such as pricing pressures and competition to hire and retain employees.

Revenue & Expenses

Visualization of income flow from segment revenue to net income