We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CACI International (CACI) Beats Q2 Earnings, Guides Up
Read MoreHide Full Article
Information technology services provider CACI International Inc. (CACI - Free Report) reported strong second-quarter fiscal 2017 results with healthy year-over-year increase in both earnings and revenues. The company benefited from increased material purchases, accelerated contract modifications, and admirable contract performance.
GAAP earnings for the reported quarter were $42.4 million or $1.69 per share compared with $30.5 million or $1.23 per share in the prior-year quarter. GAAP earnings per share comprehensively beat the Zacks Consensus Estimate of $1.42. The year-over-year increase in earnings was primarily driven by a significant improvement in revenues.
On adjusted basis, second-quarter fiscal 2017 earnings were $2.30 per share, up from $1.72 in the year-earlier quarter.
Quarterly revenues were $1,057.5 million compared with $830.4 million in the year-ago quarter, driven primarily by revenues of $260 million from the National Security Solutions (NSS) acquisition. The reported revenues exceeded the Zacks Consensus Estimate of $1,025 million.
Other Significant Details
Contract awards in the reported quarter were $1.6 billion, of which approximately 85% accounted for new businesses for CACI International. Contract funding orders were $752 million in the quarter. Total backlog as of Dec 31, 2016 was $11.6 billion with a funded backlog of $2 billion.
In terms of customer mix, the Department of Defense accounted for about 64.8% of the total revenue in the reported quarter. Federal Civilian Agencies contributed about 29.1%, while Commercial and other customers accounted for 6.1% of revenues.
Balance Sheet and Cash Flow
At quarter end, CACI International had cash and cash equivalents of $72.7 million with long-term debt (net of current portion) of $1,292.3 million.
Net cash from operations for the first six months of fiscal 2017 was $135.4 million compared with $135.6 million in the year-ago period.
CACI International, Inc. Price, Consensus and EPS Surprise
CACI International raised its earlier guidance for fiscal 2017 on improved growth dynamics. Revenues are expected in the range of $4,150–$4,300 million (earlier expectation was $4,050 million–$4,250 million). Net income is expected in the range of $155–$162 million (earlier expected range was $150 million–$160 million), resulting in earnings per share of $6.18–$6.45 (earlier expectation was $5.98–$6.37).
Moving ahead, CACI International expects to diligently focus on its operating plans to reward shareholders with attractive risk-adjusted returns. The company remains confident about its competitive position and continued ability to meet customer requirements through the delivery of innovative, affordable solutions and services.
Some other favorably ranked stocks in the space include Barracuda Networks, Inc. , Science Applications International Corporation (SAIC - Free Report) and SecureWorks Corp. (SCWX - Free Report) . All three stocks carry the same Zacks Rank as CACI.
Barracuda has long-term earnings growth expectations of 21.31% and is currently trading at a forward P/E of 67.11x.
SecureWorks has long-term earnings growth expectations of 25% and it beat estimates twice in the trailing four quarters with an average positive surprise of 34.21%.
Science Applications has long-term earnings growth expectations of 5% and is currently trading at a forward P/E of 24.20x.
Zacks’ Best Private Investment Ideas
In addition to the recommendations that are available to the public on our website, how would you like to follow all Zacks' private buys and sells in real time?
Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors. Starting today, for the next month, you can have unrestricted access. Click here for Zacks' private trades >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
CACI International (CACI) Beats Q2 Earnings, Guides Up
Information technology services provider CACI International Inc. (CACI - Free Report) reported strong second-quarter fiscal 2017 results with healthy year-over-year increase in both earnings and revenues. The company benefited from increased material purchases, accelerated contract modifications, and admirable contract performance.
GAAP earnings for the reported quarter were $42.4 million or $1.69 per share compared with $30.5 million or $1.23 per share in the prior-year quarter. GAAP earnings per share comprehensively beat the Zacks Consensus Estimate of $1.42. The year-over-year increase in earnings was primarily driven by a significant improvement in revenues.
On adjusted basis, second-quarter fiscal 2017 earnings were $2.30 per share, up from $1.72 in the year-earlier quarter.
Quarterly revenues were $1,057.5 million compared with $830.4 million in the year-ago quarter, driven primarily by revenues of $260 million from the National Security Solutions (NSS) acquisition. The reported revenues exceeded the Zacks Consensus Estimate of $1,025 million.
Other Significant Details
Contract awards in the reported quarter were $1.6 billion, of which approximately 85% accounted for new businesses for CACI International. Contract funding orders were $752 million in the quarter. Total backlog as of Dec 31, 2016 was $11.6 billion with a funded backlog of $2 billion.
In terms of customer mix, the Department of Defense accounted for about 64.8% of the total revenue in the reported quarter. Federal Civilian Agencies contributed about 29.1%, while Commercial and other customers accounted for 6.1% of revenues.
Balance Sheet and Cash Flow
At quarter end, CACI International had cash and cash equivalents of $72.7 million with long-term debt (net of current portion) of $1,292.3 million.
Net cash from operations for the first six months of fiscal 2017 was $135.4 million compared with $135.6 million in the year-ago period.
CACI International, Inc. Price, Consensus and EPS Surprise
CACI International, Inc. Price, Consensus and EPS Surprise | CACI International, Inc. Quote
Guidance Raised
CACI International raised its earlier guidance for fiscal 2017 on improved growth dynamics. Revenues are expected in the range of $4,150–$4,300 million (earlier expectation was $4,050 million–$4,250 million). Net income is expected in the range of $155–$162 million (earlier expected range was $150 million–$160 million), resulting in earnings per share of $6.18–$6.45 (earlier expectation was $5.98–$6.37).
Moving ahead, CACI International expects to diligently focus on its operating plans to reward shareholders with attractive risk-adjusted returns. The company remains confident about its competitive position and continued ability to meet customer requirements through the delivery of innovative, affordable solutions and services.
CACI International currently has a Zacks Rank #2 (Buy).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Stocks to Consider
Some other favorably ranked stocks in the space include Barracuda Networks, Inc. , Science Applications International Corporation (SAIC - Free Report) and SecureWorks Corp. (SCWX - Free Report) . All three stocks carry the same Zacks Rank as CACI.
Barracuda has long-term earnings growth expectations of 21.31% and is currently trading at a forward P/E of 67.11x.
SecureWorks has long-term earnings growth expectations of 25% and it beat estimates twice in the trailing four quarters with an average positive surprise of 34.21%.
Science Applications has long-term earnings growth expectations of 5% and is currently trading at a forward P/E of 24.20x.
Zacks’ Best Private Investment Ideas
In addition to the recommendations that are available to the public on our website, how would you like to follow all Zacks' private buys and sells in real time?
Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors. Starting today, for the next month, you can have unrestricted access. Click here for Zacks' private trades >>