Financial Data and Key Metrics Changes - CACI reported revenue of nearly $2.3 billion, representing an 11.2% year-over-year growth, with 5.5% being organic growth [16] - EBITDA margin increased to 11.7%, a year-over-year increase of 120 basis points, driven by strong program execution and higher-margin software-defined technology deliveries [16] - Free cash flow for the quarter was $143 million, supported by strong profitability and effective working capital management [16][18] Business Line Data and Key Metrics Changes - The company won $5 billion in contract awards during the quarter, resulting in a book-to-bill ratio of 2.2 times for the quarter and 1.3 times on a trailing 12-month basis [5][18] - The funded backlog grew nearly 26% year-over-year, indicating strong demand and preparation for essential programs amid the government shutdown [20] - CACI's revenue from federal civilian agencies increased by 17% year-over-year, primarily driven by organic growth [44] Market Data and Key Metrics Changes - The macro environment remains resilient despite a federal government shutdown, with most of CACI's work funded and deemed essential [6][7] - The company anticipates that over 92% of its revenue for fiscal year 2026 will come from existing programs, with less than 4% from recompetes and new business [20] Company Strategy and Development Direction - CACI is focused on critical national security priorities, with a strategic portfolio that is 90% aligned with national security [29] - The company is investing in software-defined technology and agile software development processes to enhance efficiency and effectiveness in delivering solutions [12][14] - CACI aims to leverage its differentiated capabilities in counter-UAS, counter-space, and network modernization to capture growth opportunities [9][11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year guidance and three-year financial targets, citing strong demand signals and a healthy funding environment for national security [5][23] - The company is well-positioned to navigate potential impacts from the government shutdown, with a significant backlog and essential work that is funded [61][62] - Management noted that the hiring environment remains strong, with a high volume of applicants and ongoing recruitment efforts [62] Other Important Information - CACI's record backlog of $34 billion represents nearly four years of annual revenue, reflecting strong performance in the marketplace [18][20] - The company is expanding its use of AI tools to enhance the speed and scalability of its agile software development processes [14] Q&A Session Summary Question: Expectations for FY2027 budget requests - Management indicated that bipartisan support for national security priorities suggests continued funding growth, despite potential concerns about budget cuts [29][30] Question: Changes in contracting approaches for counter-UAS and electronic warfare - Management noted a shift towards more agile contracting methods, with increased use of Other Transaction Authorities (OTAs) and commercial-like purchasing processes [32][33] Question: Impact of the government shutdown on business - Management acknowledged slight disruptions in cash collections and revenue but emphasized that these are manageable and will be made up over the year [91][62] Question: Competitive pricing environment - Management stated that pricing has not been a significant issue, as the company has focused on delivering value and higher margins through strategic investments [92][93] Question: Update on acquisition integration - Management confirmed that the integration of recent acquisitions is largely complete and meeting expectations, contributing positively to the company's strategic goals [97][98]

Financial Data and Key Metrics Changes - CACI reported revenue of nearly $2.3 billion, representing an 11.2% year-over-year growth, with 5.5% being organic growth [23] - EBITDA margin increased to 11.7%, a year-over-year increase of 120 basis points, driven by strong program execution and higher margin software deliveries [23] - Free cash flow for the quarter was $143 million, supported by strong profitability and effective working capital management [24] Business Line Data and Key Metrics Changes - The company won $5 billion in contract awards during the quarter, resulting in a book-to-bill ratio of 2.2x for the quarter and 1.3x on a trailing twelve-month basis [7] - Over half of the contract awards were for new business, indicating strong demand and successful business development efforts [7] - The revenue from intelligence community customers is now disclosed separately, aligning with the company's national security focus [23] Market Data and Key Metrics Changes - CACI's record backlog reached $34 billion, a 4% increase from the previous year, representing nearly four years of annual revenue [26] - Funded backlog grew nearly 26% year-over-year, reflecting customers preparing essential programs amid the government shutdown [26] Company Strategy and Development Direction - CACI is focused on critical national security priorities, with a strategic portfolio that is 90% aligned with national security [36] - The company is investing in software-defined technology and agile software development processes to enhance efficiency and effectiveness in delivering solutions [20][30] - CACI aims to leverage its differentiated capabilities in counter UAS, counter space, network modernization, and digital application modernization to drive growth [10][18] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year guidance despite the federal government shutdown, citing the resilience of their business model [9][10] - The company anticipates continued demand for its services, particularly in areas like modernization and border security, as well as intelligence programs [9] - Management reaffirmed fiscal year 2026 guidance, expecting revenue between $9.2 billion and $9.4 billion, with an EBITDA margin in the mid-eleven percent range [25] Other Important Information - CACI's hiring environment remains strong, with a high volume of applicants and ongoing recruitment efforts despite the government shutdown [75] - The company is expanding its use of AI tools to enhance the speed and efficiency of its software development processes [20] Q&A Session Summary Question: Expectations for FY 2027 budget - Management highlighted that bipartisan support for national security priorities suggests continued funding growth, despite potential budget cuts [36] Question: Changes in contract awarding processes - Management noted a shift towards more agile purchasing methods, with increased use of Other Transaction Authorities (OTAs) [41][42] Question: Impact of government shutdown on business - Management acknowledged slight disruptions in cash collections and revenue but emphasized that these are manageable and expected to recover [105][106] Question: Price competition in the market - Management stated that they have not seen significant price competition affecting their bids, as they have positioned themselves away from price-based competition [108] Question: Update on acquisition integration - Management confirmed that the integration of recent acquisitions is largely complete and meeting expectations [113]