CACI Reports Results for Its Fiscal 2024 Third Quarter and Raises Fiscal Year Guidance

Rhea-AI Summary

CACI International Inc reported strong results for its fiscal 2024 third quarter, with revenues of $1.9 billion, an 11% YoY increase. Net income was $115.4 million, with diluted EPS of $5.13, up 18% YoY. Adjusted net income stood at $129.0 million, and adjusted diluted EPS at $5.74, both showing a 17% YoY increase. The EBITDA margin was 11.3%, up 200 basis points sequentially. Contract awards totaled $3.5 billion, with a book-to-bill of 1.8x. The company raised its fiscal year 2024 guidance for revenue, adjusted net income, and adjusted diluted EPS.

Positive

• Revenues increased by 11% year-over-year, driven by 10% organic growth.
• Net income rose to $115.4 million, with diluted EPS of $5.13, representing an 18% YoY increase.
• Adjusted net income reached $129.0 million, and adjusted diluted EPS was $5.74, both up 17% YoY.
• The EBITDA margin expanded to 11.3%, a 200 basis points increase sequentially.
• Contract awards amounted to $3.5 billion, with a book-to-bill ratio of 1.8x.
• Total backlog as of March 31, 2024, was $28.6 billion, up 13.0% from a year ago.
• Fiscal year 2024 guidance was raised for revenue, adjusted net income, and adjusted diluted EPS.
• CACI was recognized as one of the World's Most Admired Companies in 2024 by Fortune magazine.
• The company was named a Top Workplace USA for the fourth consecutive year.
• Twenty one CACI employees were honored at the Black Engineer of the Year Awards for their excellence in STEM fields.

Negative

• None.

Insights

Financial Analyst

The latest earnings release from CACI International showcases a robust fiscal quarter with revenues ascending to $1.9 billion, a year-over-year increase of 11%. The uptick in net income by 14.5% and a significant leap in adjusted net income by 12.7% reflect a well-managed growth trajectory. Investors should note the EBITDA margin's sequential improvement by 200 basis points; this indicates an efficient operational control. With a diluted EPS jump of 18.5% and a backlog growth of 13%, the company demonstrates an enviable blend of current performance and future potential. The guidance raise is not merely an indicator of a singular successful quarter but points towards sustained future performance, underpinned by strategic contract acquisitions worth $3.5 billion.

Market Research Analyst

CACI's strong contract awards, including a noteworthy $1.3 billion task order, propel its reputation in the Defense and IT sectors. The company’s 46% of new business in these contract awards may appeal to investors seeking exposure in the defense contracting space. The book-to-bill ratio of 1.8x is particularly impressive, underpinning the company's ability to replenish its pipeline effectively. However, the dip in funded backlog might raise some eyebrows, signaling a potential watch point for the timing of revenue realization. The strategic expansions, such as enhancing NATO capabilities, reflect a long-term vision aligning with geopolitical trends. This projection of sustained capability could signal a stable investment avenue amidst defense sector volatility.

Governance and Compliance Expert

The non-GAAP measures such as adjusted net income and EBITDA are critical for investors to understand as they present a more nuanced view of the company’s financial health, excluding certain non-cash expenses and one-time transactions. CACI's management uses these measures to offer a clearer picture of the operational performance. However, it is worth noting for the analytical purist that these non-GAAP metrics should be considered alongside GAAP results to gain a complete financial understanding. The company's adherence to reporting standards, clarity in financial communications and recognition from reputable entities like Fortune magazine, may contribute positively to investor confidence in the governance quality of the company.

Revenues of $1.9 billion, +11% YoY

Net income of $115.4 million and diluted EPS of $5.13, +18% YoY

Adjusted net income of $129.0 million and adjusted diluted EPS of $5.74, +17% YoY

EBITDA margin of 11.3%, +200 basis points sequentially

Contract awards of $3.5 billion representing a book-to-bill of 1.8x

Raising Fiscal Year 2024 guidance for revenue, adjusted net income, and adjusted diluted EPS

RESTON, Va.--(BUSINESS WIRE)-- CACI International Inc (NYSE: CACI), a leading provider of expertise and technology to government customers, announced results today for its fiscal third quarter ended March 31, 2024.

“CACI’s outstanding performance reflects the continued successful execution of our strategy. We’re winning and delivering in the marketplace with differentiated capabilities, exceptional business development, and program execution,” said John Mengucci, CACI President and Chief Executive Officer. “Our third quarter results were strong across the board, including double-digit organic growth, margin expansion, $3.5 billion of awards, and record backlog. Our performance enables us to again raise fiscal year 2024 revenue and earnings guidance. We remain confident in our ability to drive long-term growth, increase free cash flow, and generate value for our customers and our shareholders.”

Third Quarter Results

(in millions, except earnings per share and DSO)	Three Months Ended
	3/31/2024			3/31/2023			% Change
Revenues	$	1,937.5		$	1,744.3		11.1	%
Income from operations	$	181.3		$	155.0		16.9	%
Net income	$	115.4		$	100.7		14.5	%
Adjusted net income, a non-GAAP measure1	$	129.0		$	114.5		12.7	%
Diluted earnings per share	$	5.13		$	4.33		18.5	%
Adjusted diluted earnings per share, a non-GAAP measure1	$	5.74		$	4.92		16.7	%
Earnings before interest, taxes, depreciation and amortization (EBITDA), a non-GAAP measure1	$	218.0		$	191.8		13.6	%
Net cash provided by operating activities excluding MARPA1	$	113.6		$	56.1		102.4	%
Free cash flow, a non-GAAP measure1	$	101.9		$	41.0		148.9	%
Days sales outstanding (DSO)2		50			53

(1)		This non-GAAP measure should not be considered in isolation or as a substitute for measures prepared in accordance with GAAP. For additional information regarding this non-GAAP measure, see the related explanation and reconciliation to the GAAP measure included below in this release.
(2)		The DSO calculations for three months ended March 31, 2024 and 2023 exclude the impact of the Company's Master Accounts Receivable Purchase Agreement (MARPA), which was 8 days and 6 days, respectively.

Revenues in the third quarter of fiscal year 2024 increased 11 percent year-over-year, driven by 10 percent organic growth. The increase in income from operations was driven by higher revenues and gross profit. Growth in diluted earnings per share and adjusted diluted earnings per share was driven by higher income from operations and share repurchases earlier in the year, partially offset by a higher tax provision and higher interest expense. The increase in cash from operations, excluding MARPA, was driven primarily by strong working capital and capital expenditure management, and higher net income.

Third Quarter Contract Awards

Contract awards in the third quarter totaled $3.5 billion, with approximately 46 percent for new business to CACI. Awards exclude ceiling values of multi-award, indefinite delivery, indefinite quantity (IDIQ) contracts. Some notable awards during the quarter were:

• A five-year task order worth a total estimated value of $1.3 billion to provide communications and information technology expertise to U.S. European Command (USEUCOM) and U.S. Africa Command (USAFRICOM). This work continues and expands CACI’s current relationship with these two 4-star commands, service component commands, and associated staff elements and organizations, by providing innovative IT solutions and expertise tailored to their missions to execute global multi-domain operations with NATO, allies, and mission partners to prevent conflict and respond in crisis.
• A $638 million task order to provide enterprise product support to the Department of Defense (DoD) for five years, enabling faster and more effective development and dissemination of actionable intelligence.
• A five-year DoD logistics and sustainment support task order worth up to $271 million.
• A task order valued at up to $199 million over five years to provide expertise to the DoD for tactical command, control, and communications support across the warfighting functions of movement and maneuver, command and control, fires, sustainment, protection, intelligence, and engagement.
• An order of counter-unmanned aircraft systems (C-UAS) by the Canadian Armed Forces that will defeat unmanned aerial vehicle threats, including small drones.

Total backlog as of March 31, 2024 was $28.6 billion compared with $25.3 billion a year ago, an increase of 13.0 percent. Funded backlog as of March 31, 2024 was $3.2 billion compared with $3.4 billion a year ago, a decrease of 5.9 percent. The change in funded backlog was driven by normal variation in timing of funding as well as particularly strong funding in the year-ago quarter.

Additional Highlights

• Fortune magazine recognized CACI as one of the World’s Most Admired Companies in 2024, commemorating its seventh consecutive year on the list and its 13th appearance since the list’s inception. CACI received notable results in Fortune’s survey criteria for the quality of its expertise and technology, long-term investment strategy, financial soundness, and social responsibility. CACI was chosen from among approximately 1,500 global companies considered by Fortune.
• For the fourth consecutive year, CACI was named a Top Workplace USA by employee engagement technology partner Energage, LLC. This latest accolade is a result of the company’s strong culture, total rewards, and legacy spanning more than 60 years.
• Twenty one CACI employees were honored for their excellence in science, technology, engineering, and math (STEM) at the 38th annual Black Engineer of the Year Awards (BEYA) Global Competitiveness Conference held Feb. 15-17 in Baltimore, Maryland.

Fiscal Year 2024 Guidance

The table below summarizes our fiscal year 2024 guidance and represents our views as of April 24, 2024. Our revenue guidance reflects approximately $200 million of higher-than-expected material purchases by our customers, split evenly between the first and second quarters of fiscal year 2024. Our guidance also reflects lower diluted weighted average shares due to the effect of share repurchases earlier in the year.

(in millions, except earnings per share)	Fiscal Year 2024
	Current Guidance		Prior Guidance
Revenues	$7,500 - $7,600		$7,300 - $7,500
Adjusted net income, a non-GAAP measure1	$455 - $465		$450 - $465
Adjusted diluted earnings per share, a non-GAAP measure1	$20.13 - $20.58		$19.91 - $20.58
Diluted weighted average shares	22.6		22.6
Free cash flow, a non-GAAP measure2	at least $420		at least $420

(1)		Adjusted net income and adjusted diluted earnings per share are defined as GAAP net income and GAAP diluted EPS, respectively, excluding intangible amortization expense and the related tax impact. This non-GAAP measure should not be considered in isolation or as a substitute for measures prepared in accordance with GAAP. For additional information regarding this non-GAAP measure, see the related explanation and reconciliation to the GAAP measure included below in this release.
(2)		Free cash flow is defined as net cash provided by operating activities excluding MARPA, less payments for capital expenditures (capex). This non-GAAP measure should not be considered in isolation or as a substitute for measures prepared in accordance with GAAP. Fiscal year 2024 free cash flow guidance assumes approximately $75 million in tax payments related to Section 174 of the Tax Cuts and Jobs Act of 2017, and a $40 million tax refund associated with prior year tax method changes. For additional information regarding this non-GAAP measure, see the related explanation and reconciliation to the GAAP measure included below in this release.

Conference Call Information

We have scheduled a conference call for 8:00 AM Eastern Time Thursday, April 25, 2024 during which members of our senior management will be making a brief presentation focusing on third quarter results and operating trends, followed by a question-and-answer session. You can listen to the webcast and view the accompanying exhibits on CACI’s investor relations website at http://investor.caci.com/events/default.aspx at the scheduled time. A replay of the call will also be available on CACI’s investor relations website at http://investor.caci.com/.

About CACI

At CACI International Inc (NYSE: CACI), our 24,000 talented and dynamic employees are ever vigilant in delivering distinctive expertise and differentiated technology to meet our customers’ greatest challenges in national security and government modernization. We are a company of good character, relentless innovation, and long-standing excellence. Our culture drives our success and earns us recognition as a Fortune World's Most Admired Company. CACI is a member of the Fortune 1000 Largest Companies, the Russell 1000 Index, and the S&P MidCap 400 Index. For more information, visit us at www.caci.com.

There are statements made herein that do not address historical facts and, therefore, could be interpreted to be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are subject to risk factors that could cause actual results to be materially different from anticipated results. These risk factors include, but are not limited to, the following: our reliance on U.S. government contracts, which includes general risk around the government contract procurement process (such as bid protest, small business set asides, loss of work due to organizational conflicts of interest, etc.) and termination risks; significant delays or reductions in appropriations for our programs and broader changes in U.S. government funding and spending patterns; legislation that amends or changes discretionary spending levels or budget priorities, such as for homeland security or to address global pandemics like COVID-19; legal, regulatory, and political change from successive presidential administrations that could result in economic uncertainty; changes in U.S. federal agencies, current agreements with other nations, foreign events, or any other events which may affect the global economy, including the impact of global pandemics like COVID-19; the results of government audits and reviews conducted by the Defense Contract Audit Agency, the Defense Contract Management Agency, or other governmental entities with cognizant oversight; competitive factors such as pricing pressures and/or competition to hire and retain employees (particularly those with security clearances); failure to achieve contract awards in connection with re-competes for present business and/or competition for new business; regional and national economic conditions in the United States and globally, including but not limited to: terrorist activities or war, changes in interest rates, currency fluctuations, significant fluctuations in the equity markets, and market speculation regarding our continued independence; our ability to meet contractual performance obligations, including technologically complex obligations dependent on factors not wholly within our control; limited access to certain facilities required for us to perform our work, including during a global pandemic like COVID-19; changes in tax law, the interpretation of associated rules and regulations, or any other events impacting our effective tax rate; changes in technology; the potential impact of the announcement or consummation of a proposed transaction and our ability to successfully integrate the operations of our recent and any future acquisitions; our ability to achieve the objectives of near term or long-term business plans; the effects of health epidemics, pandemics and similar outbreaks may have material adverse effects on our business, financial position, results of operations and/or cash flows; and other risks described in our Securities and Exchange Commission filings.

CACI International Inc Consolidated Statements of Operations (Unaudited) (in thousands, except per share data)
	Three Months Ended									Nine Months Ended
	3/31/2024			3/31/2023			% Change			3/31/2024			3/31/2023			% Change
Revenues	$	1,937,456		$	1,744,270		11.1	%		$	5,621,537		$	4,999,445		12.4	%
Costs of revenues:
Direct costs		1,290,903			1,143,781		12.9	%			3,819,072			3,293,867		15.9	%
Indirect costs and selling expenses		430,134			410,235		4.9	%			1,244,122			1,180,619		5.4	%
Depreciation and amortization		35,115			35,220		-0.3	%			106,385			106,255		0.1	%
Total costs of revenues		1,756,152			1,589,236		10.5	%			5,169,579			4,580,741		12.9	%
Income from operations		181,304			155,034		16.9	%			451,958			418,704		7.9	%
Interest expense and other, net		27,668			23,570		17.4	%			80,758			59,705		35.3	%
Income before income taxes		153,636			131,464		16.9	%			371,200			358,999		3.4	%
Income taxes		38,286			30,722		24.6	%			85,933			82,031		4.8	%
Net income	$	115,350		$	100,742		14.5	%		$	285,267		$	276,968		3.0	%
Basic earnings per share	$	5.17		$	4.37		18.3	%		$	12.73		$	11.87		7.2	%
Diluted earnings per share	$	5.13		$	4.33		18.5	%		$	12.63		$	11.76		7.4	%
Weighted average shares used in per share computations:
Weighted-average basic shares outstanding		22,292			23,055		-3.3	%			22,407			23,329		-4.0	%
Weighted-average diluted shares outstanding		22,478			23,277		-3.4	%			22,593			23,546		-4.0	%

CACI International Inc Consolidated Balance Sheets (Unaudited) (in thousands)
	3/31/2024			6/30/2023
ASSETS
Current assets:
Cash and cash equivalents	$	159,226		$	115,776
Accounts receivable, net		1,013,677			894,946
Prepaid expenses and other current assets		220,623			199,315
Total current assets		1,393,526			1,210,037
Goodwill		4,138,450			4,084,705
Intangible assets, net		490,004			507,835
Property, plant and equipment, net		188,226			199,519
Operating lease right-of-use assets		303,926			312,989
Supplemental retirement savings plan assets		98,962			96,739
Accounts receivable, long-term		12,557			11,857
Other long-term assets		178,733			177,127
Total assets	$	6,804,384		$	6,600,808
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Current portion of long-term debt	$	61,250		$	45,938
Accounts payable		363,451			198,177
Accrued compensation and benefits		257,485			372,354
Other accrued expenses and current liabilities		402,656			377,502
Total current liabilities		1,084,842			993,971
Long-term debt, net of current portion		1,631,150			1,650,443
Supplemental retirement savings plan obligations, net of current portion		112,455			104,912
Deferred income taxes		36,616			120,545
Operating lease liabilities, noncurrent		321,324			329,432
Other long-term liabilities		252,633			177,171
Total liabilities		3,439,020			3,376,474
Total shareholders' equity		3,365,364			3,224,334
Total liabilities and shareholders' equity	$	6,804,384		$	6,600,808

CACI International Inc Consolidated Statements of Cash Flows (Unaudited) (in thousands)
	Nine Months Ended
	3/31/2024				3/31/2023
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	285,267			$	276,968
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		106,385				106,255
Amortization of deferred financing costs		1,644				1,688
Non-cash lease expense		50,765				52,293
Stock-based compensation expense		35,016				30,564
Deferred income taxes		(36,231	)			(84,794	)
Changes in operating assets and liabilities, net of effect of business acquisitions:
Accounts receivable, net		(109,617	)			(80,116	)
Prepaid expenses and other assets		(24,254	)			(42,137	)
Accounts payable and other accrued expenses		179,922				62,116
Accrued compensation and benefits		(117,580	)			(62,522	)
Income taxes payable and receivable		2,483				28,825
Operating lease liabilities		(55,111	)			(58,667	)
Long-term liabilities		21,434				5,481
Net cash provided by operating activities		340,123				235,954
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures		(41,091	)			(40,844	)
Acquisitions of businesses, net of cash acquired		(81,577	)			—
Other		1,974				1,626
Net cash used in investing activities		(120,694	)			(39,218	)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from borrowings under bank credit facilities		2,421,000				2,384,000
Principal payments made under bank credit facilities		(2,426,625	)			(2,314,969	)
Proceeds from employee stock purchase plans		8,374				7,638
Repurchases of common stock		(158,426	)			(270,449	)
Payment of taxes for equity transactions		(19,945	)			(14,115	)
Net cash used in financing activities		(175,622	)			(207,895	)
Effect of exchange rate changes on cash and cash equivalents		(357	)			3,144
Net change in cash and cash equivalents		43,450				(8,015	)
Cash and cash equivalents, beginning of period		115,776				114,804
Cash and cash equivalents, end of period	$	159,226			$	106,789

Revenues by Customer Group (Unaudited)
	Three Months Ended
(in thousands)	3/31/2024						3/31/2023						$ Change				% Change
Department of Defense	$	1,452,264		74.9	%		$	1,298,700		74.4	%		$	153,564			11.8	%
Federal Civilian agencies		381,214		19.7	%			355,612		20.4	%			25,602			7.2	%
Commercial and other		103,978		5.4	%			89,958		5.2	%			14,020			15.6	%
Total	$	1,937,456		100.0	%		$	1,744,270		100.0	%		$	193,186			11.1	%
	Nine Months Ended
(in thousands)	3/31/2024						3/31/2023						$ Change				% Change
Department of Defense	$	4,163,079		74.0	%		$	3,554,080		71.1	%		$	608,999			17.1	%
Federal Civilian agencies		1,178,500		21.0	%			1,179,467		23.6	%			(967	)		-0.1	%
Commercial and other		279,958		5.0	%			265,898		5.3	%			14,060			5.3	%
Total	$	5,621,537		100.0	%		$	4,999,445		100.0	%		$	622,092			12.4	%

Revenues by Contract Type (Unaudited)
	Three Months Ended
(in thousands)	3/31/2024						3/31/2023						$ Change				% Change
Cost-plus-fee	$	1,174,219		60.6	%		$	1,008,688		57.8	%		$	165,531			16.4	%
Fixed-price		520,987		26.9	%			529,786		30.4	%			(8,799	)		-1.7	%
Time-and-materials		242,250		12.5	%			205,796		11.8	%			36,454			17.7	%
Total	$	1,937,456		100.0	%		$	1,744,270		100.0	%		$	193,186			11.1	%
	Nine Months Ended
(in thousands)	3/31/2024						3/31/2023						$ Change				% Change
Cost-plus-fee	$	3,411,128		60.7	%		$	2,896,778		58.0	%		$	514,350			17.8	%
Fixed-price		1,542,608		27.4	%			1,520,915		30.4	%			21,693			1.4	%
Time-and-materials		667,801		11.9	%			581,752		11.6	%			86,049			14.8	%
Total	$	5,621,537		100.0	%		$	4,999,445		100.0	%		$	622,092			12.4	%

Revenues by Prime or Subcontractor (Unaudited)
	Three Months Ended
(in thousands)	3/31/2024						3/31/2023						$ Change			% Change
Prime contractor	$	1,741,777		89.9	%		$	1,556,733		89.2	%		$	185,044		11.9	%
Subcontractor		195,679		10.1	%			187,537		10.8	%			8,142		4.3	%
Total	$	1,937,456		100.0	%		$	1,744,270		100.0	%		$	193,186		11.1	%
	Nine Months Ended
(in thousands)	3/31/2024						3/31/2023						$ Change			% Change
Prime contractor	$	5,027,516		89.4	%		$	4,467,882		89.4	%		$	559,634		12.5	%
Subcontractor		594,021		10.6	%			531,563		10.6	%			62,458		11.7	%
Total	$	5,621,537		100.0	%		$	4,999,445		100.0	%		$	622,092		12.4	%

Revenues by Expertise or Technology (Unaudited)
	Three Months Ended
(in thousands)	3/31/2024						3/31/2023						$ Change			% Change
Expertise	$	916,955		47.3	%		$	812,300		46.6	%		$	104,655		12.9	%
Technology		1,020,501		52.7	%			931,970		53.4	%			88,531		9.5	%
Total	$	1,937,456		100.0	%		$	1,744,270		100.0	%		$	193,186		11.1	%
	Nine Months Ended
(in thousands)	3/31/2024						3/31/2023						$ Change			% Change
Expertise	$	2,644,590		47.0	%		$	2,288,123		45.8	%		$	356,467		15.6	%
Technology		2,976,947		53.0	%			2,711,322		54.2	%			265,625		9.8	%
Total	$	5,621,537		100.0	%		$	4,999,445		100.0	%		$	622,092		12.4	%

Contract Awards (Unaudited)
	Three Months Ended
(in thousands)	3/31/2024			3/31/2023			$ Change			% Change
Contract Awards	$	3,503,358		$	1,059,094		$	2,444,264		230.8	%
	Nine Months Ended
(in thousands)	3/31/2024			3/31/2023			$ Change			% Change
Contract Awards	$	8,772,272		$	7,793,551		$	978,721		12.6	%

Reconciliation of Net Income to Adjusted Net Income and Diluted EPS to Adjusted Diluted EPS (Unaudited)

Adjusted net income and Adjusted diluted EPS are non-GAAP performance measures. We define Adjusted net income and Adjusted diluted EPS as GAAP net income and GAAP diluted EPS, respectively, excluding intangible amortization expense and the related tax impact as we do not consider intangible amortization expense to be indicative of our operating performance. We believe that these performance measures provide management and investors with useful information in assessing trends in our ongoing operating performance, provide greater visibility in understanding the long-term financial performance of the Company, and allow investors to more easily compare our results to results of our peers. These non-GAAP measures should not be considered in isolation or as a substitute for performance measures prepared in accordance with GAAP.

	(in thousands, except per share data)	Three Months Ended												Nine Months Ended
		3/31/2024				3/31/2023				% Change				3/31/2024				3/31/2023				% Change
	Net income, as reported	$	115,350			$	100,742				14.5	%		$	285,267			$	276,968			3.0	%
	Intangible amortization expense		18,358				18,585				-1.2	%			55,150				56,808			-2.9	%
	Tax effect of intangible amortization1		(4,682	)			(4,813	)			-2.7	%			(14,065	)			(14,712	)		-4.4	%
	Adjusted net income	$	129,026			$	114,514				12.7	%		$	326,352			$	319,064			2.3	%
		Three Months Ended												Nine Months Ended
		3/31/2024				3/31/2023				% Change				3/31/2024				3/31/2023				% Change
	Diluted EPS, as reported	$	5.13			$	4.33				18.5	%		$	12.63			$	11.76			7.4	%
	Intangible amortization expense		0.82				0.80				2.5	%			2.44				2.41			1.2	%
	Tax effect of intangible amortization1		(0.21	)			(0.21	)			0.0	%			(0.63	)			(0.62	)		1.6	%
	Adjusted diluted EPS	$	5.74			$	4.92				16.7	%		$	14.44			$	13.55			6.6	%
		FY24 Guidance Range
	(in millions, except per share data)	Low End								High End
	Net income, as reported	$	400				---			$	410
	Intangible amortization expense		74				---				74
	Tax effect of intangible amortization1		(19	)			---				(19	)
	Adjusted net income	$	455				---			$	465
		FY24 Guidance Range
		Low End								High End
	Diluted EPS, as reported	$	17.70				---			$	18.14
	Intangible amortization expense		3.27				---				3.27
	Tax effect of intangible amortization1		(0.84	)			---				(0.84	)
	Adjusted diluted EPS	$	20.13				---			$	20.58

(1)		Calculation uses an assumed full year statutory tax rate of 25.5% and 25.9% on non-GAAP tax deductible adjustments for March 31, 2024 and 2023, respectively.
Note: Numbers may not sum due to rounding.

Reconciliation of Net Income to Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) (Unaudited)

The Company views EBITDA and EBITDA margin, both of which are defined as non-GAAP measures, as important indicators of performance, consistent with the manner in which management measures and forecasts the Company’s performance. EBITDA is a commonly used non-GAAP measure when comparing our results with those of other companies. We define EBITDA as GAAP net income plus net interest expense, income taxes, and depreciation and amortization expense (including depreciation within direct costs). We consider EBITDA to be a useful metric for management and investors to evaluate and compare the ongoing operating performance of our business on a consistent basis across reporting periods, as it eliminates the effect of non-cash items such as depreciation of tangible assets, amortization of intangible assets primarily recognized in business combinations, which we do not believe are indicative of our operating performance. EBITDA margin is EBITDA divided by revenue. These non-GAAP measures should not be considered in isolation or as a substitute for performance measures prepared in accordance with GAAP.

		Three Months Ended									Nine Months Ended
	(in thousands)	3/31/2024			3/31/2023			% Change			3/31/2024			3/31/2023			% Change
	Net income	$	115,350		$	100,742		14.5	%		$	285,267		$	276,968		3.0	%
	Plus:
	Income taxes		38,286			30,722		24.6	%			85,933			82,031		4.8	%
	Interest income and expense, net		27,668			23,570		17.4	%			80,758			59,705		35.3	%
	Depreciation and amortization expense, including amounts within direct costs		36,667			36,771		-0.3	%			111,168			111,584		-0.4	%
	EBITDA	$	217,971		$	191,805		13.6	%		$	563,126		$	530,288		6.2	%
		Three Months Ended									Nine Months Ended
	(in thousands)	3/31/2024			3/31/2023			% Change			3/31/2024			3/31/2023			% Change
	Revenues, as reported	$	1,937,456		$	1,744,270		11.1	%		$	5,621,537		$	4,999,445		12.4	%
	EBITDA		217,971			191,805		13.6	%			563,126			530,288		6.2	%
	EBITDA margin		11.3%			11.0%						10.0%			10.6%

Reconciliation of Net Cash Provided by Operating Activities to Net Cash Provided by Operating Activities Excluding MARPA and to Free Cash Flow (Unaudited)

The Company defines Net cash provided by operating activities excluding MARPA, a non-GAAP measure, as net cash provided by operating activities calculated in accordance with GAAP, adjusted to exclude cash flows from CACI’s Master Accounts Receivable Purchase Agreement (MARPA) for the sale of certain designated eligible U.S. government receivables up to a maximum amount of $250.0 million. Free cash flow is a non-GAAP liquidity measure and may not be comparable to similarly titled measures used by other companies. The Company defines Free cash flow as Net cash provided by operating activities excluding MARPA, less payments for capital expenditures. The Company uses these non-GAAP measures to assess our ability to generate cash from our business operations and plan for future operating and capital actions. We believe these measures allow investors to more easily compare current period results to prior period results and to results of our peers. Free cash flow does not represent residual cash flows available for discretionary purposes and should not be used as a substitute for cash flow measures prepared in accordance with GAAP.

		Three Months Ended								Nine Months Ended
	(in thousands)	3/31/2024				3/31/2023				3/31/2024				3/31/2023
	Net cash provided by operating activities	$	198,271			$	28,864			$	340,123			$	235,954
	Cash used in (provided by) MARPA		(84,645	)			27,272				(50,000	)			(14,905	)
	Net cash provided by operating activities excluding MARPA		113,626				56,136				290,123				221,049
	Capital expenditures		(11,681	)			(15,174	)			(41,091	)			(40,844	)
	Free cash flow	$	101,945			$	40,962			$	249,032			$	180,205
	(in millions)	FY24 Guidance
		Current				Prior
	Net cash provided by operating activities	$	500			$	510
	Cash used in (provided by) MARPA		—				—
	Net cash provided by operating activities excluding MARPA		500				510
	Capital expenditures		(80	)			(90	)
	Free cash flow	$	420			$	420

CACI-Financial

View source version on businesswire.com: https://www.businesswire.com/news/home/20240424431511/en/

Corporate Communications and Media:

Lorraine Corcoran, Executive Vice President, Corporate Communications

(703) 434-4165, lorraine.corcoran@caci.com

Investor Relations:

George Price, Senior Vice President, Investor Relations

(703) 841-7818, george.price@caci.com

Source: CACI International Inc

FAQ

What were CACI International Inc's revenues for the fiscal 2024 third quarter?

CACI International Inc reported revenues of $1.9 billion for its fiscal 2024 third quarter, reflecting an 11% increase year-over-year.

What was the net income for CACI International Inc in the fiscal 2024 third quarter?

CACI International Inc's net income for the fiscal 2024 third quarter was $115.4 million.

What was the adjusted net income and adjusted diluted EPS for CACI International Inc in the fiscal 2024 third quarter?

CACI International Inc's adjusted net income for the fiscal 2024 third quarter was $129.0 million, with adjusted diluted EPS of $5.74.

What was CACI International Inc's EBITDA margin in the fiscal 2024 third quarter?

CACI International Inc's EBITDA margin in the fiscal 2024 third quarter was 11.3%.

What was the total value of contract awards received by CACI International Inc in the fiscal 2024 third quarter?

CACI International Inc received contract awards totaling $3.5 billion in its fiscal 2024 third quarter.

What was the change in CACI International Inc's total backlog compared to the previous year?

CACI International Inc's total backlog as of March 31, 2024, increased by 13.0% compared to a year ago, reaching $28.6 billion.

In which categories did CACI International Inc receive notable awards in the fiscal 2024 third quarter?

In the fiscal 2024 third quarter, CACI International Inc received notable awards in categories such as communications and information technology expertise, enterprise product support, logistics and sustainment support, and tactical command, control, and communications support.

What recognition did CACI International Inc receive in 2024 from Fortune magazine?

CACI International Inc was recognized as one of the World's Most Admired Companies in 2024 by Fortune magazine.

How many CACI employees were honored at the Black Engineer of the Year Awards for their excellence in STEM fields?

Twenty one CACI employees were honored at the Black Engineer of the Year Awards for their excellence in STEM fields.