Booz Allen’s Cyber Business Advances National Missions

Rhea-AI Summary

Booz Allen Hamilton (NYSE: BAH) has announced new insights into its cyber business, highlighting its role as the leading cyber security provider for the U.S. government. With over 8,000 cyber professionals and nearly 300 active cyber projects, Booz Allen supports both offensive and defensive U.S. government missions and commercial enterprises.

The company expects its total cyber revenue to reach between $2.5 and $2.8 billion in Fiscal Year 2025, representing nearly a quarter of its projected total revenue. Booz Allen's 'One Battlespace' approach addresses the growing cyber threat across defense, intelligence, civilian, and commercial infrastructures. This strategy positions the company to tackle key trends in clients' cyber missions, including maintaining U.S. strategic advantage, transforming cyber defense through Zero Trust and AI systems, securing the physical world, and preparing for a post-quantum world.

Positive

• Leading cyber security provider for the U.S. government
• Over 8,000 cyber professionals supporting government and commercial missions
• Nearly 300 active cyber projects
• Expected cyber revenue of $2.5-$2.8 billion in FY2025
• Cyber revenue projected to represent nearly 25% of total company revenue in FY2025

Negative

• None.

Insights

Cyber Security Expert

Booz Allen Hamilton's announcement reveals significant growth and dominance in the cybersecurity sector, particularly in government contracts. Their projected $2.5-$2.8 billion cyber revenue for FY25, representing nearly 25% of total revenue, underscores the company's strategic focus on this high-growth area. The "One Battlespace" approach demonstrates a sophisticated understanding of evolving cyber threats, positioning BAH to address critical national security challenges.

The company's leadership in federal cybersecurity contracts and its extensive workforce of over 8,000 cyber professionals indicate a strong competitive advantage. This positions BAH well for future growth, especially as government spending on cybersecurity is likely to increase. However, investors should consider the potential risks of over-reliance on government contracts and the need for continuous innovation to maintain market leadership in a rapidly evolving field.

Financial Analyst

Booz Allen Hamilton's cyber business projections are impressive, with expected revenue of $2.5-$2.8 billion by FY25. This represents a significant portion of their total projected revenue, indicating a strong growth driver for the company. Their leadership in federal cybersecurity contracts, as reported by Deltek, suggests a stable and potentially expanding revenue stream from government sources.

For investors, this focus on high-value cybersecurity contracts could translate to improved profit margins and sustained growth. The company's strategic positioning across various sectors also provides diversification within the cybersecurity market. However, the heavy reliance on government contracts may pose concentration risks. Investors should monitor BAH's ability to maintain its competitive edge and expand into commercial markets to mitigate this risk.

One Battlespace approach drives solutions at speed and scale

MCLEAN, Va.--(BUSINESS WIRE)-- Booz Allen Hamilton (NYSE: BAH) announced today new insights into the size and scope of its cyber business, highlighting its essential role as the leading cyber security provider for the U.S. government.

Building on more than 30 years of technology, tradecraft, and adversarial insights, Booz Allen’s broad and deep cyber portfolio puts the company at the center of nearly all major cyber missions across public and private sectors. Today, the company has more than 8,000 cyber professionals supporting both offensive and defensive U.S. government missions as well as a range of commercial enterprises. It has nearly 300 active cyber projects ranging from small, innovative task orders at the leading edge of quantum to marquee billion-dollar contracts.

In Deltek’s comprehensive Federal Cybersecurity Market, 2023-2027 report, Booz Allen led in cyber-related prime contract obligations from the federal government in Fiscal Years 2020 to 2022. In Fiscal Year 2025, Booz Allen expects its total cyber revenue to reach between $2.5 and $2.8 billion, representing nearly a quarter of the company’s total projected FY25 revenue.

Aligned with its VoLT strategy (Velocity, Leadership, Technology), Booz Allen’s cyber business is positioned at the nexus of technology innovation and missions of national importance. The company pursues a “One Battlespace” approach, reflecting the nature of today’s growing cyber threat where adversaries see the cyber domain as a single, expanding attack surface across defense, intelligence, civilian, and commercial infrastructures. Booz Allen takes a holistic view of the threat landscape and emerging tech solutions to defeat advanced cyber threats across sectors, domains and missions.

This approach positions the company to address the trends that are likely to significantly drive clients’ cyber missions in the near future, including a need to maintain U.S. strategic advantage in the cyber domain, the transformation of cyber defense through Zero Trust and AI systems, a need to secure the physical world, and preparing for a post-quantum world.

“Our adversaries don’t see boundaries, and neither do we,” said Brad Medairy, executive vice president and leader of Booz Allen’s national cyber business. “Maintaining a strategic advantage in the cyber domain requires a unified approach that applies IP and tradecraft to develop best-in-class solutions that leverage commercial partnerships and advanced dual-use technologies. We’ve organized our business to meet the adversary where they are, enabling us to bring the full scale and expertise of Booz Allen to the mission—because cyber security is national security.”

A presentation with additional details about Booz Allen’s cyber business is available at investors.boozallen.com.

Learn more about Booz Allen’s cybersecurity expertise and capabilities.

About Booz Allen Hamilton

Trusted to transform missions with the power of tomorrow’s technologies, Booz Allen Hamilton advances the nation’s most critical civil, defense, and national security priorities. We lead, invest, and invent where it’s needed most —at the forefront of complex missions, using innovation to define the future. We combine our in-depth expertise in AI and cybersecurity with leading-edge technology and engineering practices to deliver impactful solutions. Combining 110 years of strategic consulting expertise with the perspectives of diverse talent, we ensure results by integrating technology with an enduring focus on our clients. We’re first to the future—moving missions forward to realize our purpose: Empower People to Change the World®.

With global headquarters in McLean, Virginia, our firm employs approximately 35,100 people globally as of June 30, 2024, and had revenue of $10.7 billion for the 12 months ended March 31, 2024. To learn more, visit www.boozallen.com. (NYSE: BAH)

Forward-Looking Statements

Certain statements contained in this release include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Examples of forward-looking statements include statements that do not directly relate to any historical or current fact. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “could,” “should,” “forecasts,” “expects,” “intends,” “plans,” “anticipates,” “projects,” “outlook,” “believes,” “estimates,” “predicts,” “potential,” “continue,” “preliminary,” or the negative of these terms or other comparable terminology. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we can give you no assurance these expectations will prove to have been correct.

These forward-looking statements relate to future events or our future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. A number of important factors could cause actual results to differ materially from those contained in or implied by these forward-looking statements, including those factors discussed in our filings with the Securities and Exchange Commission (SEC), including our Annual Report on Form 10-K for the fiscal year ended March 31, 2024, which can be found at the SEC’s website at www.sec.gov. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the foregoing cautionary statements. All such statements speak only as of the date made and, except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

BAHPR-GI

View source version on businesswire.com: https://www.businesswire.com/news/home/20240924586929/en/

Media Relations: Jessica Klenk, Jessica_Klenk@bah.com

Investor Relations: Investor_Relations@bah.com

Source: Booz Allen Hamilton Holding Corporation

FAQ

What is Booz Allen Hamilton's projected cyber revenue for Fiscal Year 2025?

Booz Allen Hamilton (BAH) expects its total cyber revenue to reach between $2.5 and $2.8 billion in Fiscal Year 2025.

How many cyber professionals does Booz Allen Hamilton employ?

Booz Allen Hamilton (BAH) has more than 8,000 cyber professionals supporting both offensive and defensive U.S. government missions as well as commercial enterprises.

What is Booz Allen Hamilton's 'One Battlespace' approach?

Booz Allen Hamilton's (BAH) 'One Battlespace' approach reflects the nature of today's growing cyber threat, viewing the cyber domain as a single, expanding attack surface across defense, intelligence, civilian, and commercial infrastructures.

How many active cyber projects does Booz Allen Hamilton currently have?

Booz Allen Hamilton (BAH) has nearly 300 active cyber projects ranging from small, innovative task orders to marquee billion-dollar contracts.