Slide 1: CACI International Inc Q1 FY21 Earnings Conference Call
CACI International Inc Q1 FY21 Earnings Conference Call October 29, 2020 CACI Proprietary Information CACI Proprietary Information
Slide 2: Forward-looking Statements
Forward-looking Statements There are statements made herein that 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 risk factors that co
Slide 3: On Today's Call
On Today’s Call John Mengucci Thomas Mutryn Greg Bradford President and Chief Chief Financial Officer President and Chief Executive Officer Executive, CACI Limited UK 3 | CACI Proprietary Information CACI Q1 FY21 Earnings Conference Call
Slide 4: Q1 Results – Strong Start to FY21
Q1 Results – Strong Start to FY21 Revenue +7% as reported, +6% organic Adjusted EBITDA Margin 11.3%1 Net Income and Diluted EPS +38% Robust cash flow from operations (>$190 million)1 Successfully mitigating impacts from COVID-19 Raising FY21 guidance 1 See slides at the end of this presentation for
Slide 5: What We Deliver: Expertise and Technology
What We Deliver: Expertise and Technology Expertise Talent with technical, functional, and domain knowledge ~$145B TAM, 5-year CAGR of ~1% Technology Software and hardware capabilities enabled by innovative R&D ~$90B TAM, 5-year CAGR of ~3% 5 | CACI Proprietary Information CACI Q1 FY21 Earnings Conf
Slide 6: Awards and Backlog
Awards and Backlog Q1 FY21: Capabilities enabling internal agency operations Capabilities enabling agency missions Book-to-bill of 1.3x VA Financial DHS Data and Management System Technology >50% Analytical Support Modernization of total awards Backlog of $22 billion +13% YoY DHS Enterprise IT Cyber
Slide 7: Investing Ahead of Customer Need
Investing Ahead of Customer Need Investments drive higher value for customers and IP, differentiation, and future growth for CACI Cyber - offensive and defensive technologies, modeling and simulation 5G – technology for signal collection/processing and to ensure network resiliency Electromagnetic Sp
Slide 8: Budget and Market Environment
Budget and Market Environment Bipartisan support for defense and national security priorities Global threat environment remains elevated Continue to see investment to support national security and IT modernization Large and growing addressable market of >$230 billion CACI well aligned to critical bu
Slide 9: Q1 FY21 Revenue and Net Income
Q1 FY21 Revenue and Net Income Revenue (Ms) Revenue driven by new business wins, $1,600 on-contract growth, and acquired revenue +7% $1,460 $1,363 $1,400 Organic growth of 6.1% $1,200 Technology revenue +12.1%, $1,000 Expertise revenue +2.5% $800 Q1 FY20 Q1 FY21 Net Income (Ms) Higher net income dri
Slide 10: Strong Cash Flow
Strong Cash Flow Cash Flow1 and CapEx (millions, TTM) $600 ▪ Q1 FY21 net cash provided by operating $550 activities excluding MARPA of $500 $450 $193 million1, up 68% YoY $400 $350 ▪ Days Sales Outstanding of 54 days1 $300 $250 ▪ Leverage of 2.4x2 $200 $150 $100 ▪ Strong cash flow and borrowing $50
Slide 11: Raising FY21 Guidance
Raising FY21 Guidance Current Guidance Prior Guidance Organic revenue growth of Revenue $6,050 – $6,250 $6,000 – $6,200 about 6.3% at the midpoint (millions) Adj. EBITDA Margin1 of ~10.8% Net Income $372 – $392 $347 – $367 Diluted shares outstanding (millions) expected to be 25.7 million Capital exp
Slide 12: Positive Forward Indicators for FY21
Positive Forward Indicators for FY21 Q1 FY21 contract awards of $1.8 billion 90% STRONG TTM Book-to-Bill of 1.6x Existing Business Performance Record backlog of $22 billion, +13% YoY 6% HIGH Pipeline of submitted bids totals Recompetes Win Rate $9.5 billion >70% for new business to CACI and 60% Tech
Slide 13: Delivering Results and Meeting Commitments
Delivering Results and Meeting Commitments Strong start to FY21, successfully mitigating COVID-19 impacts Raising FY21 guidance to reflect higher organic growth, margin expansion, and cash flow CACI positioned well, performing well, and delivering strong results Confident in our ability to continue
Slide 14: Definitions of Non-GAAP Measures
Definitions of Non-GAAP Measures The Company defines net cash provided by operating activities excluding CACI’s Master Accounts Receivable Purchase Agreement (MARPA) as net cash provided by operating activities calculated in accordance with GAAP, adjusted to exclude net cash received from CACI’s MAR
Slide 15: Reconciliation of Net Cash Provided by Operating Activities to Excluding MARPA
Reconciliation of Net Cash Provided by Operating Activities to Net Cash Provided by Operating Activities Excluding MARPA Three Months Three Months Ended Ended (dollars in thousands) 9/30/2020 9/30/2019 Net cash provided by operating activities $ 176,900 $ 103,204 Cash used (provided) by MARPA 15,795
Slide 16: Adjusted EBITDA Reconciliation
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) Three Months Ended (dollars in thousands) 9/30/2020 9/30/2019 % Change Net income $ 93,644 $ 67,977 37.8% Plus: Income taxes 30,800 15,369 100.4% Interest income and expense, net 9,980 16,811 -40.6% Depreciatio