CACI Stock Gains More Than 3% as Q4 Earnings & Revenues Beat Estimates

Core Insights - CACI International Inc. reported better-than-expected results for the fourth quarter of fiscal 2025, leading to a 3.5% increase in shares during extended trading [1] Financial Performance - CACI's fourth-quarter non-GAAP earnings were $8.40 per share, exceeding the Zacks Consensus Estimate by 28.4% and reflecting a 27.1% year-over-year increase, driven by higher revenues, increased operating income, lower taxes, and a reduction in share count, despite increased interest expenses [2][11] - Revenues for the fourth quarter reached $2.3 billion, surpassing the consensus mark by 0.3% and increasing 13% year-over-year, primarily due to 5.3% organic growth [3][11] - The operating income for the quarter was $206.7 million, up 4.5% year-over-year, with an operating margin of 9%, which contracted by 70 basis points [9] Contract Awards and Backlog - In Q4, CACI secured contract awards totaling $2.6 billion, with over 40% attributed to new business [4] - The total backlog as of June 30, 2025, was $31.4 billion, slightly down from $31.6 billion a year ago, while the funded backlog increased by 11% to $4.2 billion [5] Customer and Revenue Mix - The Department of Defense contributed 75.6% to total revenues, with Federal Civilian Agencies at 19.4% and Commercial and other customers at 5% [6] - Prime Contractor and Subcontractor revenues accounted for 90.5% and 9.5% of total revenues, respectively [7] - Revenue contributions by contract type were 60.5% from cost-plus-fee-type, 26.3% from fixed-price, and 13.2% from time and material-type contracts [8] Future Guidance - For fiscal 2026, CACI anticipates revenues between $9.2 billion and $9.4 billion, with a midpoint of $9.3 billion, indicating a 7.3% year-over-year increase [14] - Adjusted net income for fiscal 2026 is projected between $605 million and $625 million, with non-GAAP earnings per share estimated in the range of $27.13 to $28.03 [15]