Booz Allen Hamilton Holding Corporation · NYSE:BAH
Booz Allen Hamilton — Investor Presentation (May 2019)
24 slides from Booz Allen Hamilton's investor presentation, May 28, 2019
Slide 1: Investor Presentation May 2019 Fiscal Year 2019
Investor Presentation MAY 2019 FISCAL YEAR 2019 Exhibit 99.1
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: Why Invest in Booz Allen Hamilton
WHY INVEST IN BOOZ ALLEN HAMILTON INVESTMENT THESIS STRONG FINANCIAL RETURNS 66% ADEPS GROWTH BY FY21 + ~2% Dividend Yield 6-9% Low 10% Range ~$1.4B Annual Revenue Growth Adj. EBITDA Margins Capital Deployment = + Investments in innovation, talent, and capabilities position us to help clients adopt
Slide 4: Booz Allen's Leadership Team
BOOZ ALLEN’S LEADERSHIP TEAM OUR PURPOSE, AS A FIRM, IS TO EMPOWER PEOPLE TO CHANGE THE WORLD Our employees work at 500+ LOCATIONS IN 25+ COUNTRIES ~26,100 Number of employees(1) As of 3/31/2019 ~29%(1) are Veterans ~66%(1) of staff with security clearances ~85% hold bachelor’s degrees ~40% hold mas
Slide 5: An Industry Leader
AN INDUSTRY LEADER BOOZ ALLEN CONTINUES ITS 100+ YEAR HISTORY AS AN INDUSTRY LEADER We bring bold thinking and a desire to be the best in our work in consulting, analytics, digital solutions, engineering, and cyber, focused on agencies ranging from defense to health, energy, and international develo
Slide 6: Comprehensive Suite of Service Offerings
Focuses on delivering transformational solutions in the areas of decision analytics, automation, and data science, as well as new or emerging areas. Combines the power of modern systems development techniques and cloud platforms with machine learning to transform customer and mission experiences. De
Slide 7: Broad Customer Base Spanning U.S. Government, International and Commercial Clients
BROAD CUSTOMER BASE SPANNING THE U.S. GOVERNMENT, INTERNATIONAL AND COMMERCIAL CLIENTS Commercial: Financial Services, Health and Life Sciences, Energy, Transportation International: Middle East, North Africa Region, and Select Asian Markets GLOBAL / COMMERCIAL (4%) U.S. Intelligence Agencies: Natio
Slide 8: Vision 2020 Growth Strategy
VISION 2020 GROWTH STRATEGY CURRENTLY IN ITS SIXTH YEAR OF IMPLEMENTATION, WE’RE IN THE “PAYOFF PERIOD” KEY ELEMENTS OF VISION 2020 IMPACT ON PERFORMANCE – “PAYOFF” Moving closer to the center of our clients’ core mission Increasing the technical content of our work Attracting and retaining superior
Slide 9: Vision 2020 Results
VISION 2020 RESULTS BOOZ ALLEN ANTICIPATES OUR STRONG FINANCIAL PERFORMANCE WILL CONTINUE 1 2016 Net Income benefited from one time release of pre-acquisition income tax reserves assumed by the Company in connection with the acquisition of our Company by The Carlyle Group (1) (1) NET INCOME (IN MILL
Slide 10: Strong Earnings Growth
STRONG EARNINGS GROWTH DERIVATIVE OF ROBUST, ABOVE-MARKET ORGANIC REVENUE GROWTH Gov Services Industry includes Leidos, SAIC, ManTech, CACI, and Engility (through Q3 FY18) Organic growth reflects disclosed commentary (through SEC filing, presentation, or transcript) around organic growth performance
Slide 11: Historical Backlog & Book-to-Bill
HISTORICAL BACKLOG & BOOK-TO-BILL BACKLOG AND ANNUAL BOOK-TO-BILL POSITION FIRM WELL FOR FUTURE GROWTH 1) For more information on the components of backlog, and the differences between backlog and remaining performance obligations, please see the Company's Form 10-K for the fiscal year ending 3/31/1
Slide 12: Delivering Shareholder Value
DELIVERING SHAREHOLDER VALUE POST-RECESSION, BOOZ ALLEN HAS ESTABLISHED A TRACK RECORD OF DEPLOYING CAPITAL TSR as of 4/30/2019 and assumes dividend reinvested – Capital Deployed as of 3/31/2019 CAPITAL DEPLOYED AND TSR PERFORMANCE SINCE IPO : 701%(1) CAPITAL DEPLOYED SINCE IPO(1): ~$3.3B ($B) 4/30/
Slide 13: Quarterly Dividend
QUARTERLY DIVIDEND BOOZ ALLEN HAS AND WILL CONTINUE TO MAKE OUR QUARTERLY DIVIDEND A FOCUS OF OUR INVESTMENT THESIS Quarterly dividend initiated in 2012 Industry leader in quarterly dividend growth, increasing our quarterly dividend $0.02 annually each of the last four years In FY’19 however, we inc
Slide 14: Fiscal Year 2019 Performance
FISCAL YEAR 2019 PERFORMANCE
Slide 15: Key Financial Results: Fiscal Year 2019 Results
KEY FINANCIAL RESULTS FISCAL YEAR 2019 RESULTS (1) Comparisons are to prior fiscal year periods FOURTH QUARTER (1) FISCAL YEAR 2019 (1) Revenue $1.8 billion 9.1% Increase $6.7 billion 8.7% Increase Revenue, Excluding Billable Expenses $1.2 billion 8.1% Increase $4.7 billion 9.1% Increase Adjusted EB
Slide 16: FY'19 Performance: Aligned with Investment Thesis
FY'19 PERFORMANCE: ALIGNED WITH INVESTMENT THESIS Organic growth in revenue ex-billables of ~9% year-over-year driven by continued strong client demand ~6% year-over-year headcount growth; poised to execute on largest fiscal-year book-to-bill since IPO INDUSTRY LEADING ORGANIC REVENUE GROWTH CONTRAC
Slide 17: Capital Allocation
CAPITAL ALLOCATION DELIVERING STRONG CAPITAL RETURNS THROUGH EFFICIENT CAPITAL DEPLOYMENT STRATEGY Achieved our target of deploying >$350M during FY'19; multi-year capital deployment plan remains on track, subject to market conditions Deployed ~$364M during FY'19, including ~$110M during the fourth
Slide 18: Appendix
APPENDIX
Slide 19: 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 20: Non-GAAP reconciliation footnotes
(a) Reflects debt refinancing costs incurred in connection with the refinancing transaction consummated on July 23, 2018. (b) Reflects the combination of Interest expense and Other income (expense), net from the consolidated statement of operations. (c) Release of pre-acquisition income tax reserves
Slide 21: Non-GAAP reconciliation tables
a The use and definition of Non-GAAP financial measurements can be found in the company's public filings. b Reflects the combination of Interest expense and Other income (expense), net from the consolidated statement of operations. c Reflects amortization of intangible assets resulting from the acqu
Slide 22: Financial Results – Key Drivers: Fourth Quarter Fiscal 2019
FINANCIAL RESULTS – KEY DRIVERS Fourth Quarter Fiscal 2019 – Below is a summary of the key factors driving results for the fiscal 2019 fourth quarter ended March 31, 2019 as compared to the prior year period: Revenue increased by 9.1% to $1.8 billion driven primarily by continued strength in client
Slide 23: Financial Results – Key Drivers: Fiscal Year Ended March 31, 2019
Fiscal Year Ended March 31, 2019 – Booz Allen's cumulative performance for fiscal 2019 has resulted in: Net cash proved by operating activities was $499.6 million for the year ended March 31, 2019 as compared to $369.1 million in the prior year period. The improvement in operating cash flow over the
Slide 24: Shareholder and Stock Information
Shareholder and Stock Information Website: investors.boozallen.com Contact Information Investor Relations Nicholas Veasey Vice President of Investor Relations 703/377-5332 Veasey_Nicholas@bah.com Media James Fisher Principal, Media Relations 703/377-7595 Fisher_James_W@bah.com Corporate Governance N
Booz Allen Hamilton Holding — Investor Presentation (May 2019) on 6ix