CACI International (CACI) Cantor Fitzgerald Global Technology Conference summary

Business performance and guidance

• Minimal disruption from recent government efficiency measures, with only minor contract impacts.

• 95% of FY2025 revenue is already in backlog, with only 2% left to win, providing high visibility.

• Guidance accommodates a continuing resolution, and no significant risks are seen for the year or three-year targets.

• Long-term targets include high single-digit revenue growth, mid-11% EBITDA margin, and $1.6B free cash flow over three years.

• Free cash flow deployment is not included in revenue and margin guidance, representing potential upside.

Technology and market positioning

• Space business focuses on contested domains, analytics of overhead imagery, and optical comm terminals, with significant production ramp-up expected.

• Only U.S. manufacturer of space-qualified optical comm terminals to SDA specs, with demonstrated interoperability.

• Counter-UAS (counter-drone) solutions span all drone groups, with thousands of systems deployed globally and a pivot toward homeland defense.

• Emphasis on software-defined, open architecture systems for flexibility and rapid integration of commercial and third-party capabilities.

• Partnerships with commercial tech firms (e.g., AWS, GitLab) and focus on integrating commercial AI for defense outcomes.

Financial structure and capital deployment

• Revenue for the year expected at $8.5B, with a $250B total addressable market.

• Capital deployment remains flexible and opportunistic, with recent share repurchases and a gap-focused acquisition strategy.

• Preference for debt over equity financing, with leverage targeted at 2.5–3x trailing EBITDA.

• Acquisitions are evaluated on risk-adjusted returns, integration, and synergy savings, with selective use of earnouts.

• No current need for scale; strong positions in key growth areas and no disadvantage from company size.