Financial Data and Key Metrics Changes - The company achieved a total revenue growth of 12% and an organic revenue growth of 8% for fiscal year 2025, excluding a confidential contract [4][24] - Adjusted EBITDA expanded by 60 basis points to a record margin of 9.6%, building on a previous expansion of 50 basis points in 2024 [4][25] - Free cash flow conversion reached 100%, exceeding the high end of the fiscal year 2025 cash flow guidance range [4][24] Business Line Data and Key Metrics Changes - Critical Infrastructure segment reported a 10% organic growth and a 15% increase in total revenue for the full year, with adjusted EBITDA increasing by 73% [4][27] - Federal Solutions segment experienced a 9% organic growth, but total revenue decreased by 20% due to the impact of a confidential contract [29][24] - The adjusted EBITDA margin for Critical Infrastructure reached 10.4%, while Federal Solutions saw a decrease to 8.7% [27][29] Market Data and Key Metrics Changes - The company reported strong demand in both North America and Middle East markets, with double-digit revenue growth in both regions for four consecutive years [17][18] - The backlog at the end of Q4 totaled $8.7 billion, with a funded backlog of $6.4 billion, representing a record high since the IPO [32] Company Strategy and Development Direction - The company aims to achieve mid-single digit or better annual organic revenue growth supplemented by accretive acquisitions, targeting double-digit adjusted EBITDA margins by 2028 [8][33] - The focus on integrated solutions and strategic contracts is expected to drive long-term shareholder value [7][8] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future growth, citing a robust pipeline of opportunities and alignment with government spending priorities [36][20] - The company anticipates a favorable procurement environment and expects to achieve a book-to-bill ratio of over 1.0 in Federal Solutions starting in the first half of 2026 [43][63] Other Important Information - The company completed three acquisitions during the year and increased share repurchases while maintaining a strong balance sheet [4][5] - The acquisition of Applied Sciences Consulting and Altamira Technologies Corporation is expected to enhance the company's capabilities and market presence [15][16] Q&A Session Summary Question: Will CI margins continue to exceed expectations? - Management confirmed that legacy adjustments are behind them and expects continued margin expansion in Critical Infrastructure [40] Question: How is the order activity in Federal Solutions post-government shutdown? - Management noted a positive procurement environment and anticipates a book-to-bill ratio of over 1.0 for Federal Solutions in the first half of 2026 [42][43] Question: What is the outlook for the DroneArmor system's addressable market? - Management expressed excitement about the DroneArmor solution and its potential applications across various government sectors [49] Question: What is the demand for mega projects in the Middle East? - Management highlighted ongoing growth in the Middle East, particularly in urban development and defense sectors, with a focus on key projects tied to upcoming global events [51][53] Question: What are the largest program movers for 2026? - Key contracts include the Joint Cyber Hunt Kit and several significant projects in the Middle East, which are expected to ramp up in 2026 [78][79]