Caci International, Inc. · NYSE:CACI
Caci International — Q3 FY2016 Earnings Presentation
16 slides from Caci International's earnings presentation, Apr 28, 2016
Slide 1: CACI International Inc Third Quarter Fiscal Year 2016 Conference Call
CACI International Inc Third Quarter Fiscal Year 2016 Conference Call April 28, 2016 INFORMATION DEPLOYED. SOLUTIONS ADVANCED. MISSIONS ACCOMPLISHED.
Slide 2: Forward-looking Statements
Forward-looking Statements There are statements made herein which do not address historical facts and, therefore, could be interpreted to be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are subject to factors that could c
Slide 3: Our Participants Today
Our Participants Today Ken Asbury President and Chief Executive Officer Tom Mutryn Chief Financial Officer John Mengucci Chief Operating Officer and President, U.S. Operations Greg Bradford Chief Executive Officer, CACI Limited in the UK INFORMATION DEPLOYED. SOLUTIONS ADVANCED. MISSIONS ACCOMPLISHE
Slide 4: Third Quarter Highlights
Third Quarter Highlights Revenue and net income higher due to strong execution and the performance of NSS acquisition Cash flow, awards, and contract funding orders strong Narrowing revenue and net income guidance NSS acquisition is performing above expectations 4 | CACI 3rd Quarter Fiscal Year 2016
Slide 5: Current Market Environment & Accomplishments
Current Market Environment & Accomplishments O&M spending lower than a year ago Pace of outlays is improving • Increase in spending in March • CACI awards in the quarter higher than a year ago Accomplishments • Won $180 million new award to support geospatial intelligence for US SOCOM • Revalidated
Slide 6: Third Quarter Revenue and Net Income
Third Quarter Revenue and Net Income NSS revenue of $172 NSS net income of $5.6 million million includes: Legacy CACI • $1.7 million of intangible amortization and $3.2 million of • Performance on programs pre-tax acquisition expenses • Contributions from recent business awards Legacy CACI net incom
Slide 7: Continued Strong Cash Flow
Continued Strong Cash Flow Generated $54 million in operating cash flow for the quarter; TTM free cash flow of $204 million Days sales outstanding – 64 days versus 61 days in Q3’15 Net debt/TTM pro forma EBITDA of ~3.9 times TTM Free Cash Flow Per $400 Share (right scale) $12.00 $ millions (except p
Slide 8: Updated FY16 Guidance
Updated FY16 Guidance Current Previous FY16 Guidance FY16 Guidance Revenue (millions) $3,700 - $3,800 $3,700 - $3,900 Net Income (millions) $133 - $140 $133 - $143 Diluted EPS $5.37 - $5.65 $5.37 - $5.77 Diluted shares (millions) 24.8 24.8 FY16 revenue expected to be 11.7% to 14.7% higher than FY15
Slide 9: Confidence in our Guidance
Confidence in our Guidance FY16 Planned Revenue as of: Q3, FY16 99% EXISTING BUSINESS 1% 0% RECOMPETES NEW BUSINESS ~96% funded Initial Guidance 78% 15% 7% EXISTING BUSINESS RECOMPETES NEW BUSINESS 9 | CACI 3rd Quarter Fiscal Year 2016 Conference Call | April 28, 2016
Slide 10: NSS Integration
NSS Integration NSS is already integrated into our market-aligned US Operations Combined operations running on the same systems and processes Enjoying improved competitive position, enhanced combined capabilities, past performance, and effective cost structures Performing well: achieving financial,
Slide 11: Another Strong Quarter
Another Strong Quarter Won $1.2B of awards a 75% increase over the same quarter last year • ~25% new business to CACI • ~35% recompete • ~40% growth on existing contracts Booked $1.3B of contract funding orders, 37% higher than the same quarter last year Total backlog stands at $12.9B, 34% greater t
Slide 12: Pipeline Remains Healthy
Pipeline Remains Healthy $12.3 billion in pending contract awards, ~75% for new business $15.6 billion in bids to be submitted over next six months, ~75% for new business Reflects focus on critical missions in each of our market areas and our large addressable market 12 | CACI 3rd Quarter Fiscal Yea
Slide 13: CEO Closing Comments
CEO Closing Comments Pleased with our team’s performance year-to-date CACI Investor Day • June 30th in New York City at the NYSE • Strategy and operations presentations • Demonstrations of compelling solutions • More information to come 13 | CACI 3rd Quarter Fiscal Year 2016 Conference Call | April
Slide 14: Definitions of Non-GAAP Measures
Definitions of Non-GAAP Measures Trailing twelve month (TTM) free cash flow is TTM cash flow from operations less TTM capital expenditures. TTM free cash flow per share is TTM free cash flow divided by TTM diluted share count. EBITDA is GAAP net income plus net interest expense, income taxes, and de
Slide 15: Definitions of Non-GAAP Measures (continued)
Definitions of Non-GAAP Measures (continued) Pro forma adjusted TTM EBITDA is adjusted EBITDA assuming that the NSS acquisition occurred at the beginning of April 2015, adjusted for certain one-time expenses. Pro Forma Pro Forma Pro Forma Q4 FY15 FY16 YT D T railing (dollars in thousands) 3 Months 9
Slide 16: Key Guidance Assumptions
Key Guidance Assumptions Depreciation and amortization of ~ $65 million Net interest expense of ~ $41 million Effective tax rate of 37.6% Operating cash flow in excess of $225 million 16 | CACI 3rd Quarter Fiscal Year 2016 Conference Call | April 28, 2016