Booz Allen Hamilton Holding Corporation · NYSE:BAH
Booz Allen Hamilton — Investor Presentation (May 2021)
26 slides from Booz Allen Hamilton's investor presentation, May 25, 2021
Slide 1: Fiscal Year 2021 Investor Presentation
FISCAL YEAR 2021 Investor Presentation May 2021
Slide 2: Disclaimer: Forward Looking Safe Harbor Statement
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 include
Slide 3: Company History: Our Heritage Is at the Core
COMPANY HISTORY OUR HERITAGE IS AT THE CORE OF EVERYTHING WE DO Booz Allen founded in 1914 by Edwin Booz in Chicago Spun off commercial consulting business; Carlyle became majority shareholder Launched Vision 2020 Strategy Carlyle completed ownership exit Supported GSA Machine Learning Analytics ($8
Slide 4: Why Invest in Booz Allen
WHY INVEST IN BOOZ ALLEN BOOZ ALLEN HAS A 100+ YEAR HISTORY AS AN INDUSTRY LEADER History of Driving Industry Leading Organic Growth Strategic organic revenue and earnings growth Growing backlog, supported by a robust pipeline and sustained win rates Strong Balance Sheet Driven by Robust Cash Genera
Slide 5: Leading From the Top
LEADING FROM THE TOP OUR PURPOSE, AS A FIRM, IS TO EMPOWER PEOPLE TO CHANGE THE WORLD Horacio D. Rozanski President and CEO Lloyd W. Howell, Jr. CFO and Treasurer Nancy J. Laben Chief Legal Officer ~27,700 employees ~1,000 LOCATIONS IN 20 COUNTRIES Elizabeth M. Thompson Kristine Martin Anderson Kare
Slide 6: Vision 2020: Our Transformation Strategy
VISION 2020: OUR TRANSFORMATION STRATEGY IN FY14, OUR TEAM LAUNCHED A COMPREHENSIVE STRATEGY TO CREATE SUSTAINABLE LONG-TERM GROWTH AT THE INTERSECTION OF MISSION AND TECHNOLOGY Under the Vision 2020 Strategy, we: Moved closer to the center of our clients’ core missions The success can be seen in: B
Slide 7: Advanced Solutions & Capabilities
ADVANCED SOLUTIONS & CAPABILITIES WE HAVE EXPANDED BEYOND OUR MANAGEMENT CONSULTING FOUNDATION TO DEVELOP DEEP EXPERTISE IN FIELDS THAT ADDRESS OUR CLIENTS’ CORE MISSIONS C O N S U LT I N G D I G I TA LS O L U T I O N S P R O V E N M I S S I O N S O L U T I O N S ( 1 ) A N A LY T I C S C Y B E R E N
Slide 8: Broad Customer Base
BROAD CUSTOMER BASE WE SERVE A BROAD CUSTOMER BASE THAT SPANS ACROSS THE U.S. GOVERNMENT, INTERNATIONAL AND COMMERCIAL MARKETS DEFENSE, 49%CIVIL, 28% + Air Force + Army + Joint Combatant Commands + Navy/Marine Corps + Homeland Security + Health & Human Services + Veterans Affairs + Treasury + Justic
Slide 9: Strong Financial Returns
STRONG FINANCIAL RETURNS WE HAVE A PROVEN TRACK RECORD OF STRONG FINANCIAL PERFORMANCE Strategic Revenue GrowthSustained Adjusted EBITDA & Margin Expansion 10.7% CAGR ($) 7.8% CAGR $7.9B +130 bps (%) 10.7% $5.4B 9.4% $840M $506M FY16FY21 Total Revenue Growth(1) FY16FY21 Adjusted EBITDA(1)(2)Adjusted
Slide 10: Capital Deployment: FY21 in Review
CAPITAL DEPLOYMENT: FY21 IN REVIEW OUR DEPLOYMENT PLANS FOLLOW A DISCIPLINED, OPPORTUNISTIC APPROACH THAT SUPPORTS LONG-TERM SHAREHOLDER VALUE In FY21, we deployed ~$571M(1) through a mix of quarterly dividends, strategic M&A, share repurchases and reinvestments in required CapEx Quarterly Dividends
Slide 11: Outperforming the Market
OUTPERFORMING THE MARKET DRIVING LONG-TERM SHAREHOLDER VALUE THROUGH STRONG FINANCIAL PERFORMANCE AND PRUDENT CAPITAL MANAGEMENT Total Shareholder Returns vs. Core Peers(1) One-, Three-and Five-Year Periods Total Shareholder Returns vs. Broader Indexes Three-Year Period 1-year 19% 15% 118% 112% 3-ye
Slide 12: Strong Backlog and Contract-Level Performance
STRONG BACKLOG AND CONTRACT-LEVEL PERFORMANCE DEMONSTRATES THE STRENGTH OF OUR VALUE PROPOSITION AND CORE CAPABILITIES Historical Backlog(1) ($ in millions) 13,592 16,020 19,321 20,729 24,032 14,436 7,679 9,174 12,19812,796 6,086 3,0984,1613,6874,518 2,8152,6853,4363,4153,510 FY17FY18FY19FY20FY21 Fu
Slide 13: Cohesive & Focused Approach to ESG Performance
COHESIVE & FOCUSED APPROACH TO ESG PERFORMANCE ENVIRONMENTAL, SOCIAL, GOVERNANCE IMPACT SUPPORTS LONG-TERM RESILIENCE SOCIAL ENVIRONMENTAL We are stewards of the environment Carbon Footprint: We set targets to reduce operational greenhouse gas emissions in 2015 and achieved those targets ahead of ou
Slide 14: Fiscal 2021 Financial Results & Fiscal 2022 Outlook
FISCAL 2021 FINANCIAL RESULTS & FISCAL 2022 OUTLOOK
Slide 15: Key Financial Results: Fiscal Year 2021 Results
KEY FINANCIAL RESULTS FISCAL YEAR 2021 RESULTS Comparisons are to prior fiscal year; totals may not sum due to rounding.
Slide 16: Financial Outlook: Full Year FY22 Guidance
FINANCIAL OUTLOOK FULL YEAR FY22 GUIDANCE Assumes an effective tax rate of 22-24%; an average diluted share count of 134-137 million; interest expense of $75-$78 million; and all-cash funding for the planned Liberty acquisition.
Slide 17: FY22 ADEPS Walk
FY22 ADEPS WALK ADEPS BRIDGE FROM FY21 TO FY22 FY21 ADEPS$3.90 4 – 7% Organic Revenue Growth~$0.17 – 0.32 Mid 10% Adjusted EBITDA Margin~$(0.04) FY22 Operational ADEPS(1)$4.03 – 4.18 Incremental D&A Related to NextGen Financial System~$(0.06) Higher Effective Tax Rate (Midpoint of FY22 estimate vs.
Slide 18: FY22 Income Tax Drivers
FY22 INCOME TAX DRIVERS EFFECTIVE TAX RATE BRIDGE FROM FY21 TO FY22 FY21 Effective Tax Rate on an Adjusted Diluted EPS Basis20.1% Puts and Takes: NOTES: As the Company’s federal/state statutory tax rate is higher than its effective tax rate, a higher marginal tax rate is applied to incremental forec
Slide 19: Three-Year Investment Thesis Results
THREE-YEAR INVESTMENT THESIS RESULTS
Slide 20: Three-Year Investment Thesis Results
THREE-YEAR INVESTMENT THESIS RESULTS DELIVERING STRONG FINANCIAL RETURNS THROUGH OUR UNIQUE MARKET POSITION Our strong ADEPS performance was supported by organic revenue growth, margin expansion, and strategic capital deployment We nearly doubled our original ADEPS growth goal of 50% 8.4% CAGR Three
Slide 21: Appendix
APPENDIX
Slide 22: Non-GAAP Financial Information
NON-GAAP FINANCIAL INFORMATION "Revenue, Excluding Billable Expenses" represents revenue less billable expenses. We use Revenue, Excluding Billable Expenses because it provides management useful information about the Company's operating performance by excluding the impact of costs that are not indic
Slide 23: Non-GAAP Financial Information
NON-GAAP FINANCIAL INFORMATION Fiscal Year Ended March 31, (In thousands, except share and per share data)20212020 (Unaudited) Revenue, Excluding Billable Expenses Revenue$7,858,938$7,463,841 Billable expenses2,325,8882,298,413 Revenue, Excluding Billable Expenses$5,533,050 $5,165,428 Adjusted Opera
Slide 24: Non-GAAP Financial Information
NON-GAAP FINANCIAL INFORMATION Unaudited Non-GAAP Financial Information $ in thousands, except for shares and per share data Revenue, Excluding Billable Expenses FY2016FY2017FY2018FY2019FY2020FY2021 Reflects the combination of Interest expense and Other income (expense), net from the consolidated st
Slide 25: Financial Results – Key Drivers
FINANCIAL RESULTS – KEY DRIVERS Fiscal Year Ended March 31, 2021 – Below is a summary of the key factors driving results for the fiscal year ended March 31, 2021 as compared to the prior year: Revenue increased by 5.3% to $7.9 billion and Revenue, Excluding Billable Expenses increased 7.1% to $5.5 b
Slide 26: Booz Allen Investor & Media Relations Contacts
BOOZ ALLEN INVESTOR & MEDIA RELATIONS CONTACTS Website: investors.boozallen.com Contact Information: Investor Relations Rubun Dey Investor Relations 703-377-5332 Dey_Rubun@bah.com Media Jessica Klenk Media Relations 703-377-4296 Klenk_Jessica@bah.com 26
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