CACI International (CACI) Q1 2026 earnings summary

Executive summary

• Q1 FY26 revenue grew 11.2% to $2.3B, with 5.5% organic growth, $143M free cash flow, and 11.7% EBITDA margin; net income was $124.8M, adjusted diluted EPS $6.85, and major contract awards totaled $5B, driving backlog to $34B.

• Book-to-bill ratio was 2.2x for the quarter, with over half of awards from new business; funded backlog rose 26% year-over-year.

• Reaffirmed FY26 guidance and three-year financial targets, citing resilience amid government shutdown and strong balance sheet.

• Continued investment in differentiated technology, especially in counter-UAS, counter-space, network modernization, and AI tools.

• Focused on defense and national security, with 78% of revenue from defense-related customers.

Financial highlights

• Q1 revenue was $2.3B, up 11.2% year-over-year, with 5.5% organic growth; operating income rose 18% to $212.3M.

• EBITDA margin improved to 11.7%, up 120 bps year-over-year; adjusted diluted EPS was $6.85, up 16%.

• Free cash flow was $143M, up 189.4% year-over-year; DSO at 56 days.

• Net income for Q1 was $124.8M, up 3.9% year-over-year.

• Adjusted net income was $151.7M; reported diluted EPS was $5.63.

Outlook and guidance

• FY26 guidance reaffirmed: revenue $9.2–$9.4B, mid-11% EBITDA margin, adjusted net income $605–$625M, adjusted diluted EPS $27.13–$28.03, and free cash flow at least $710M.

• Q2 EBITDA margin expected around 11%; revenue expected to be relatively flat sequentially.

• Over 92% of FY26 revenue expected from existing programs.