Caci International, Inc. · NYSE:CACI
Caci International — Q1 FY2015 Earnings Presentation
14 slides from Caci International's earnings presentation, Oct 30, 2014
Slide 1: First Quarter Fiscal Year 2015 Conference Call
CACI International Inc First Quarter Fiscal Year 2015 Conference Call October 30, 2014 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: Highlights
Highlights Solid net income Record contract awards Expanding workforce, adding over 1,300 employees Reiterating Fiscal Year ’15 Annual Guidance 4 | CACI 1st Quarter Fiscal Year 2015 Conference Call | October 30, 2014
Slide 5: Key Strategic Factors Affecting Our Customers
Key Strategic Factors Affecting Our Customers Operating in a turbulent environment Government operating under a CR through mid-December No FY15 budget yet Sequestration remains the law of the land Afghanistan Bilateral Security Agreement in place U.S. forces engaged in combat operations against ISIS
Slide 6: First Quarter Results
First Quarter Results Millions Millions Decrease driven primarily by: Indirect expenses higher due to • Higher direct labor more higher fringe expenses than offset by decline in D&A up due to Six3 amortization ODCs • Reductions in sub- Diluted EPS of $1.29, down 2.8% contractor labor and Diluted adj
Slide 7: Six3 Systems, Inc. Acquisition
Six3 Systems, Inc. Acquisition Generated $90 million of revenue Lower revenue due to: • Reductions in run rate of service business • Lower subcontractor and material purchases • Some unsuccessful takeaways • Delays in contract award activity • Some system and product based business Continue to expec
Slide 8: Strong Cash Flow
Strong Cash Flow Generated $112 million in operating cash flow Days sales outstanding – 61 days $400 TTM Free Cash Flow Per 12 $ millions (except per share data) Share (right scale) $350 10 $300 8 $250 6 $200 4 $150 TTM Free Cash Flow 2 (left scale) $100 0 15% free cash flow yield per share at $74 N
Slide 9: Reiterating FY15 Guidance
Reiterating FY15 Guidance FY15 Guidance Revenue (millions) $3,300 – $3,600 Net income (millions) $125 – $135 Diluted EPS $5.10 – $5.51 Diluted shares (millions) 24.5 FY15 revenue expected to be -7% to 1% versus FY14 FY15 net income expected to be -8% to 0% versus FY14 FY15 diluted EPS expected to be
Slide 10: OPM Support Information
OPM Support Information Individual cases take from a few days to several months to complete Revenue recognized as completed cases submitted to OPM Incurring full costs of hiring additional investigators, support personnel, facility space, in addition to other one-time expenses in the second quarter
Slide 11: Operational Highlights
Operational Highlights Gross profit and gross margin higher than last year $2.4 billion in contract awards in the quarter, 33% higher than last year • Contract awards reflect our disciplined business development actions, operational excellence, and high customer satisfaction $1.3 billion in contract
Slide 12: Confidence in our FY15 Plan
Confidence in our FY15 Plan FY15 Planned Revenue as of: Q1, FY15 89% EXISTING BUSINESS 5% 6% RECOMPETES NEW BUSINESS 71% currently funded, comparable to this time last year Initial Guidance 70% 15% 15% EXISTING BUSINESS RECOMPETES NEW BUSINESS Percentages based on mid-point of annual guidance 12 | C
Slide 13: CEO Closing Comments
CEO Closing Comments First quarter performance positions us well Pleased with progress of three-part strategy Performance of CACI’s professionals has been exceptional 13 | CACI 1st Quarter Fiscal Year 2015 Conference Call | October 30, 2014
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