CACI(CACI)2025-04-24 19:58Revenue Growth - Revenues for the three months ended March 31, 2025, increased by 11.8% to $2,166,982,000 compared to $1,937,456,000 for the same period in 2024[88] - Revenues for the nine months ended March 31, 2025, increased by 12.5% to $6,323,680,000 compared to $5,621,537,000 for the same period in 2024[88] - The Department of Defense contributed $1,652,206,000 in revenues for the three months ended March 31, 2025, representing a 13.8% increase from $1,452,264,000 in 2024[89] - The total addressable market for the company's offerings is expected to continue to grow, with approximately 75% of revenue coming from defense-related customers[84] Costs and Expenses - Direct costs as a percentage of revenue were 66.2% for the three months ended March 31, 2025, compared to 66.6% for the same period in 2024[89] - Indirect costs and selling expenses were 22.2% of revenue for the three months ended March 31, 2025, consistent with the same percentage in 2024[90] - The increase in interest expense for the three months ended March 31, 2025, was primarily due to higher outstanding debt balances related to acquisitions[92] Net Income and Cash Flow - Net income for the three months ended March 31, 2025, was $111,860,000, a decrease of 3.0% from $115,350,000 in 2024[88] - Net cash provided by operating activities increased by $50.9 million for the nine months ended March 31, 2025, totaling $391.0 million[106] - Net cash used in investing activities increased by $1,556.6 million for the nine months ended March 31, 2025, primarily due to cash used in acquisitions[107] Backlog and Acquisitions - As of March 31, 2025, the company's total backlog was $31.4 billion, an increase of 9.8% from $28.6 billion a year ago[95] - The funded backlog as of March 31, 2025, was $4.2 billion[95] - The company completed two acquisitions during fiscal 2025, contributing to revenue growth and increased direct costs[88] Tax and Interest Rates - The effective income tax rate for the three months ended March 31, 2025, was 26.0%, compared to 24.9% for the same period in 2024[94] - The provision of the TCJA is expected to decrease fiscal 2025 cash flows from operations by $47.7 million[104] - The company has entered into floating-to-fixed interest rate swap agreements for an aggregate notional amount of $1,000.0 million[112] Debt and Financing - The company had $1,290.0 million outstanding under the Revolving Facility as of March 31, 2025[98] - The Term Loan B facility has a principal amount of $750.0 million, with quarterly principal payments of $1.9 million starting March 2025[103] International Operations - Approximately 2.9% of total revenues during the nine months ended March 31, 2025, were derived from international operations headquartered in the U.K.[113] Budget Environment - The budget environment is viewed as constructive, with defense spending capped at a 1% growth for GFY25[81]