Booz Allen Hamilton Holding Corporation · NYSE:BAH
Booz Allen Hamilton — Investor Presentation (August 2023)
24 slides from Booz Allen Hamilton's investor presentation, Aug 9, 2023
Slide 1: August 2023 Investor Presentation Deck
August 2023 Investor Presentation Deck
Slide 2: Disclaimer: Forward Looking Safe Harbor Statement
2 DISCLAIMER Forward Looking Safe Harbor Statement Certain statements contained in this presentation and in related comments by our management include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Examples of forward-looking statements inclu
Slide 3: Company History: Our Heritage Is at the Core
3 20171966 COMPANY HISTORY OUR HERITAGE IS AT THE CORE OF EVERYTHING WE DO 1914 Booz Allen founded in 1914 by Edwin Booz in Chicago With over 100 years of industry leadership, Booz Allen is one of the most respected names in government contracting Hired to help U.S. Navy prepare for WWII Spun off co
Slide 4: Why Invest in Booz Allen
WHY INVEST IN BOOZ ALLEN BOOZ ALLEN HAS A 100+ YEAR HISTORY AS AN INDUSTRY LEADER 4 History of Driving Industry Leading Organic Growth Strategic Organic Revenue Growth and earnings growth Growing backlog, supported by a robust pipeline and sustained win rates Strong Balance Sheet Driven by Robust Ca
Slide 5: Leading From the Top
5 LEADING FROM THE TOP OUR PURPOSE, AS A FIRM, IS TO EMPOWER PEOPLE TO CHANGE THE WORLD 32,600 employees1 ~1,100 LOCATIONS IN 20+ COUNTRIES 28% are Veterans 65% hold security clearances 87% hold bachelor’s degrees 40% hold master’s degrees 3% hold doctoral degrees DI VE RS IT Y M EA SU RE S2 CR ED E
Slide 6: VoLT: Our Growth Strategy
VoLT: OUR GROWTH STRATEGY WE WILL OPERATE WITH INCREASED SPEED, AGILITY AND SCALE IN A RAPIDLY CHANGING, HIGHLY COMPETITIVE AND INCREASINGLY TECHNICAL ENVIRONMENT 6 BUILDING BLOCKS OF VoLT ACHIEVED BY • Doubling-down on innovation • Using strategic M&A and partnerships to build market positions • Ma
Slide 7: Technical Experience Groups (TXGs)
7 Justin Neroda (CTO) Scott Jachimski (GDS) PLATFORM & INFRASTRUCTURE Raynor Dahlquist (NSS) Jandria Alexander (GDS) Saurin Shah (NSS) Craig Swanson (CS) Santiago Milan (CS) Cameron Mayer (GDS) Dan Tucker (CS) Dave Gagliano (GDC) Brian Zimmerman (GDS) Adam Weiner (GDS) Osama Malik (CS) Brian MacCart
Slide 8: Broad Customer Base
BROAD CUSTOMER BASE WE SERVE A BROAD CUSTOMER BASE THAT SPANS ACROSS THE U.S. GOVERNMENT AND COMMERCIAL MARKETS 8 + Commercial: Financial Services, Health and Life Sciences, Energy, and Technology + International GLOBAL COMMERCIAL, 3% + U.S. Intelligence Agencies: National Security Agency, National
Slide 9: Strong Financial Returns
9 $584 $1,014 9.5% 11.0% FY18 FY23 STRONG FINANCIAL RETURNS WE HAVE A PROVEN TRACK RECORD OF STRONG FINANCIAL PERFORMANCE $6.0 $9.1 FY18 FY23 8.5% CAGR Delivering Industry-Leading Organic Growth ($ in billions) Sustained Adjusted EBITDA & Margin Expansion ($ in millions) Organic Revenue Growth(1)(2)
Slide 10: Capital Deployment: FY23 in Review
CAPITAL DEPLOYMENT: FY23 IN REVIEW OUR DEPLOYMENT PRIORITIES FOLLOW A DISCIPLINED, OPPORTUNISTIC APPROACH THAT MAXIMIZES NEAR- AND LONG-TERM SHAREHOLDER VALUE 10 $B Quarterly Dividends Sustained strong annual dividend growth since 2013 Strategic Transactions Strategic investments to fuel growth Shar
Slide 11: Outperforming the Market
11 OUTPERFORMING THE MARKET DRIVING LONG-TERM SHAREHOLDER VALUE THROUGH STRONG FINANCIAL PERFORMANCE AND PRUDENT CAPITAL MANAGEMENT 66% 32% 1% 160% 42% 8% 5-year 3-year 1-year Booz Allen Core Peers Total Shareholder Returns vs. Core Peers One-, Three- and Five-Year Periods(1) 160% 68% 67% Booz Allen
Slide 12: Strong Backlog and Contract-Level Performance
12 STRONG BACKLOG AND CONTRACT-LEVEL PERFORMANCE DEMONSTRATES THE STRENGTH OF OUR VALUE PROPOSITION AND CORE CAPABILITIES 3,436 3,415 3,510 3,710 4,619 3,687 4,518 6,086 9,925 9,519 12,198 12,796 14,436 15,612 17,064 FY19 FY20 FY21 FY22 FY23 Funded Unfunded Priced Options 19,321 20,729 24,032 29,247
Slide 13: FY24 Pipeline and Demand Dynamics
13 FY24 PIPELINE AND DEMAND DYNAMICS (1) Qualified pipeline and backlog as of June 30, 2023. (2) Includes awards that were under protest as of June 30, 2023. (3) Rates disclosed in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2023. Consideration Conversion Diverse por
Slide 14: Reduced our total greenhouse gas emissions by 65% compared to FY20 emissions3 Maintained a
14 Reduced our total greenhouse gas emissions by 65% compared to FY20 emissions3 Maintained a 99% completion rate of firmwide mandatory annual Ethics & Compliance training Facilitated a 13% increase in employee charitable giving ($) through a series of firmwide giving campaigns and our Booz Allen Ca
Slide 15: First Quarter Fiscal 2024 Financial Results & Fiscal 2024 Outlook
FIRST QUARTER FISCAL 2024 FINANCIAL RESULTS & FISCAL 2024 OUTLOOK
Slide 16: Key Financial Results: First Quarter Fiscal Year 2024
16 KEY FINANCIAL RESULTS FIRST QUARTER FISCAL YEAR 2024 RESULTS (1) Comparisons are to prior fiscal year period. (2) Reconciliations of Adjusted EBITDA and Adjusted EBITDA Margin on Revenue can be found on Slide 22. Net Income attributable to common stockholders was $161.4 million for the three mont
Slide 17: Financial Outlook: Full Year Fiscal 2024 Guidance
17 FINANCIAL OUTLOOK FULL YEAR FISCAL 2024 GUIDANCE(1) OPERATING PERFORMANCE Fiscal Year 2024 Revenue Growth 7.0% – 11.0% Adjusted EBITDA $1,075 – $1,105 million Adjusted EBITDA Margin on Revenue High 10% to 11% Adjusted Diluted EPS $4.80 – $4.95 Updated Net Cash Provided by Operating Activities(2)
Slide 18: FY2023 − FY2025 Investment Thesis
FY2023 − FY2025 INVESTMENT THESIS
Slide 19: Investment Thesis
INVESTMENT THESIS EXCEPTIONAL SHAREHOLDER VALU Ne E CREATION a FY2025 GOALS ADJUSTED EBITDA tisintine GROWTH TO $1.2—1.3B fatal Deployment Organic Strategic Strong Mid 10% $3.5—4.5B Revenue @ Acquisitions & @ Adjusted EBITDA - 5-8% Investments Margin :
Slide 20: Appendix
APPENDIX
Slide 21: Non-GAAP Financial Information
21 NON-GAAP FINANCIAL INFORMATION • “Revenue, Excluding Billable Expenses” represents revenue less billable expenses. Booz Allen uses Revenue, Excluding Billable Expenses because it provides management useful information about the Company’s operating performance by excluding the impact of costs that
Slide 22: Non-GAAP Financial Information (Unaudited)
22 NON-GAAP FINANCIAL INFORMATION (Unaudited) Three Months Ended June 30, (In thousands, except share and per share data) 2023 2022 Revenue, Excluding Billable Expenses Revenue $ 2,654,486 $ 2,249,600 Less: Billable expenses 812,304 674,266 Revenue, Excluding Billable Expenses $ 1,842,182 $ 1,575,33
Slide 23: Financial Results – Key Drivers
23 FINANCIAL RESULTS – KEY DRIVERS First Quarter Fiscal 2024 – Below is a summary of the key factors driving results for the fiscal 2024 first quarter ended June 30, 2023 as compared to the prior year period: • Revenue increased 18.0% to $2.7 billion and Revenue, Excluding Billable Expenses increase
Slide 24: Booz Allen Investor & Media Relations Contacts
BOOZ ALLEN INVESTOR & MEDIA RELATIONS CONTACTS 24 • Website: investors.boozallen.com • Contact Information: - Investor Relations Nathan P Rutledge Director & Head of Investor Relations 202-440-3943 Rutledge_Nathan@bah.com - Media Jessica Klenk Director, Media Relations 703-377-4296 Klenk_Jessica@bah
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