Caci International, Inc. · NYSE:CACI
Caci International — Q3 FY2015 Earnings Presentation
14 slides from Caci International's earnings presentation, Apr 30, 2015
Slide 1: CACI International Inc Third Quarter Fiscal Year 2015 Conference Call
CACI International Inc Third Quarter Fiscal Year 2015 Conference Call April 30, 2015 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: Continuing to Execute Our Strategy
Continuing to Execute Our Strategy Year-to-date awards of nearly $5 billion, a record Strong contract funding orders Backlog remains above $9 billion OPM contract in line with our expectations Slow pace of award decisions and protests delaying revenue 4 | CACI 3rd Quarter Fiscal Year 2015 Conference
Slide 5: Current Market Conditions
Current Market Conditions Cautiously optimistic about our market environment Enactment of appropriations provides our customers with a more stable planning environment Customers’ priorities shaped by global tensions and threats creating opportunities for CACI’s solutions and services Refining but re
Slide 6: Strengthening CACI's Position in the Market
Strengthening CACI’s Position in the Market Acquired LTC Engineering Associates • Adds innovative security and communications specialists • Expands and enhances our penetration of the C4ISR market Enhanced capabilities in C4ISR opening up a significant number of large, new opportunities for CACI Con
Slide 7: Third Quarter Results
Third Quarter Results Millions Millions Decrease driven primarily by Reflects ongoing cost control efforts continued decline in lower margin other direct costs Tax rate reflects release of reserves Direct labor base continues to Diluted EPS of $1.18, down 0.2% grow Diluted adjusted EPS of $1.69, 43%
Slide 8: Strong Cash Flow
Strong Cash Flow Generated $97 million in operating cash flow in the quarter; $190 million year-to-date Days sales outstanding – 61 days versus 67 days in Q2 $400 TTM Free Cash Flow Per $12.00 Share (right scale) $ millions (except per share data) $350 $10.00 $300 $8.00 $250 $6.00 $200 $4.00 $150 $2
Slide 9: Refining FY15 Guidance
Refining FY15 Guidance FY15 Guidance Revenue (millions) $3,300 – $3,350 Net income (millions) $125 – $130 Diluted EPS $5.12 – $5.33 Diluted shares (millions) 24.4 FY15 revenue expected to be -7% to -6% versus FY14 FY15 net income expected to be -8% to -4% versus FY14 FY15 diluted EPS expected to be
Slide 10: Key Guidance Assumptions
Key Guidance Assumptions We expect: Direct labor to be 3-4 percent increase over FY14; ODCs to be high teen percent decrease from FY14 Indirect costs and selling expenses flat to 2% higher than FY14 Depreciation and amortization of ~ $66 million Operating margin to be about equal to last year Net in
Slide 11: Solid Third Quarter Operational Results
Solid Third Quarter Operational Results $687 million in contract awards in the quarter • About 40% of the awards are for new business Revenue was impacted by delays in contract awards and protests on new work We have offset revenue delays by: • Ramping up background investigations • Growing existing
Slide 12: CACI Well-Positioned
CACI Well-Positioned Virtually 100% of planned FY15 revenue is currently funded $965 million in contract funding orders in the quarter, up 22% from a year ago Total backlog: $9.7 billion, up 32% from a year ago Solid leading indicators: • $8.3 billion in pending contract awards, 75% for new business
Slide 13: CEO Closing Comments
CEO Closing Comments Committed to increasing support to our customers in response to high demand across market areas YTD record contract awards and excellent contract performance position us to finish FY15 strong Confident we are well-positioned for the beginning of FY16 and expect to return to orga
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