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CACI Reports Results for Its Fiscal 2013 Third Quarter



  CACI Reports Results for Its Fiscal 2013 Third Quarter

      Diluted EPS increased 17.9 percent over FY12 adjusted diluted EPS

               Revenue decreased 2.3 percent from FY12 revenue

                Generated operating cash flow of $50.9 million

                      Revises Fiscal Year 2013 guidance

Business Wire

ARLINGTON, Va. -- May 1, 2013

CACI International Inc (NYSE: CACI), a leading information solutions and
services provider to the federal government, announced results today for its
third fiscal quarter ended March 31, 2013:

  * Revenue of $906.2 million
  * Operating income of $68.6 million
  * Net income attributable to CACI of $38.4 million
  * Diluted earnings per share of $1.62

CEO Commentary and Outlook

Ken Asbury, CACI’s President and CEO, said, “We remain confident in our
market-focused strategy and see continued demand in our high-growth and
high-volume markets. We continued our solid operating performance, grew direct
labor, maintained our margins, and generated excellent cash flow. During the
quarter, however, our customers began to take actions to manage their budgets
as a result of sequestration, and based on those actions, we are revising our
guidance for our fiscal year.

“Our strategy remains focused on the government’s high-priority missions. We
believe that this strategy will serve us well in this challenging environment.
To grow in our large addressable market, my vision is to increase our emphasis
on new business development, continue to drive operational excellence,
leverage mergers and acquisitions to further increase our market share, and to
create long-term shareholder value.”

Third Quarter Comparisons

When analyzing our performance, we believe better insight and a more
meaningful comparison of our Fiscal Year 2013 (FY13) third quarter results
with those of Fiscal Year 2012 (FY12) third quarter can be made by adjusting
for a significant one-time item that positively impacted our results last
year. In our third quarter FY12, a one-time item impacted our quarterly
results which we discussed when we released both our third quarter FY12
results and our FY13 annual guidance. This item was greater-than-expected
profitability on a large fixed-price contract that generated $2.3 million in
additional net income in the third quarter of FY12.

Results for the third quarter of FY13 compared with results for the third
quarter of FY12, excluding the item described above, are shown below:

                                                                  
                                                 Q3, FY12       
                                                 As Adjusted
(in millions except per share data)   Q3, FY13   (see page 13)   % Change
Revenue                               $906.2     $928.0          -2.3%
Operating income                      $68.6      $69.0           -0.5%
Net income attributable to CACI       $38.4      $38.5           -0.5%
Diluted earnings per share            $1.62      $1.37           17.9%
                                                                  

Revenue decreased 2.3 percent from revenue for the third quarter of FY12. Our
5.2 percent increase in direct labor was offset by the anticipated reduction
of contract purchases of materials tied to the draw down in Afghanistan as
well as sequestration-related reductions in other such material purchases.
Operating income in the third quarter of FY13 was negatively impacted by lower
other direct costs (ODCs) and severance-related costs incurred in the quarter.
Net income attributable to CACI in the third quarter of FY13 was $38.4
million, or $1.62 diluted earnings per share, a decrease of 0.5 percent over
adjusted net income attributable to CACI of $38.5 million, or $1.37 adjusted
diluted earnings per share, for the same period in FY12. The increase in
diluted earnings per share was due to share repurchase activity in FY12. Net
cash provided by operations in the quarter was $50.9 million. (See
Reconciliation of Revenue, Operating Income, Net Income, and Diluted Earnings
Per Share to Adjusted Amounts on page 13.)

For a comparison of our FY13 results to FY12 results reported in accordance
with generally accepted accounting principles (GAAP), see the income statement
on page 7 of this release.

Additional Financial Metrics

                                                                       
                                                        Q3, FY12     
                                             Q3, FY13   As Adjusted   % Change
Earnings before interest, taxes,
depreciation and amortization (EBITDA), a    $83.1      $82.9         0.2%
non-GAAP measure (in millions)
Diluted adjusted earnings per share, a       $2.08      $1.83         13.7%
non-GAAP measure
Days sales outstanding                       61         63             
                                                                       

Third Quarter Awards and Contract Funding Orders

During the third quarter, we received awards in all ten of our markets with
approximately one-third of those in our high-growth markets of Business
Systems, Cyberspace, Healthcare and Integrated Security Solutions. Our
contract awards of $555 million were 1.5 percent higher than the year earlier
quarter. Approximately three-quarters of our awards were either contract
modifications or recompete wins, which assures us that we continue to serve
the critical missions of our customers. FY13 year-to-date awards totaled $2.9
billion, led by Business Systems, C4ISR, and Intelligence.

Contract funding orders in the third quarter were $655 million, and $2.69
billion year-to-date. Our total backlog at March 31, 2013 was $7.2 billion.
Funded backlog at March 31, 2013 was $1.9 billion.

We continued to expand our inventory of indefinite delivery, indefinite
quantity (IDIQ) contract vehicles during the quarter by being awarded prime
positions on new multiple and single award contracts, resulting in a combined
total of over 160 of these vehicles. IDIQ contract vehicles support our growth
plans across our ten market areas and provide us the flexibility to deliver on
our customers’ mission-critical requirements.

Awards during the quarter included:

  * An $11 billion, five-year multiple-award to provide acquisition support to
    the Department of Homeland Security on the Technical, Acquisition and
    Business Support Services contract. This new work for us expands our
    presence in our Business Systems, C4ISR, and Logistics and Material
    Readiness markets.
  * A $21 million, three-year award to provide academic and technical support
    to the National Defense University on the Professional and Technical
    Support Services contract. This new work for us, which includes strategy,
    planning, and thought leadership support, expands our presence in our
    Integrated Security Solutions market.

Other Third Quarter Highlights

  * Kenneth Asbury was appointed President and Chief Executive Officer of CACI
    International Inc. Mr. Asbury has proven industry leadership in strategy
    and business development, including more than 27 years leading highly
    successful systems and services expansion and program delivery at Lockheed
    Martin.
  * CACI received a number of differentiating credentials that support our
    market-based strategies for growth in high-value markets. Two
    industry-unique awards were:

       * Becoming the first U.S. company to achieve ISO® 28000 certification
         in supply chain security management. Protecting supply chains is
         vital to national security, and CACI solutions provide security,
         minimize disruption, and enable rapid restoration after a
         catastrophe. This accomplishment enhances the capabilities we offer
         customers in our Logistics and Material Readiness and Cyberspace
         markets.
       * We became the first U.S. company to have a division appraised at
         Maturity Level 5 of the CMMI Institute’s Capability Maturity Model
         Integration for Services. Level 5 is the highest CMMI® rating and
         indicates that CACI customers can expect high-quality software
         implementation and support that consistently generates productivity
         gains and savings in time and cost. This achievement positions us to
         grow in our Enterprise IT Solutions market.

  * An additional credential includes the revalidation of our CMMI Level 3 for
    Development for U.S. Operations. This appraisal crosses all of our markets
    and assures CACI customers of state-of-the-art software and systems
    engineering solutions that advance their capabilities and help meet
    critical missions.
  * We formed two business groups from our former Mission Systems Group: C4ISR
    (command, control, communications, computers, intelligence, surveillance,
    and reconnaissance) Solutions, and Missions Systems and Services. This
    action was taken to provide a higher level of focus on our markets, and
    further integrates resources and skillsets to add value for our customers
    and drive cost efficiencies in our organization.

Third Quarter Recognition

  * CACI’s Executive Chairman and Chairman of the Board, Dr. J.P. (Jack)
    London, was awarded the Nathan Hale Award from the Reserve Officers
    Association in recognition of his dedicated individual service to national
    security. The award honors Dr. London’s 40 years of CACI leadership in
    supporting the nation’s most critical missions safeguarding our troops and
    securing the homeland.
  * CACI was named a winner in the highly competitive 2013 WhatWorks Awards
    presented by the human resources research firm Bersin by Deloitte. CACI’s
    award recognizes the performance of our Recruiting and Assimilation team
    in merging marketing and technology to improve job candidates’ experience
    with CACI, lower recruiting and hiring costs, and enhance the entire
    hiring process.
  * CACI was ranked among Military Times Edge’s Best for Vets employers,
    reflecting the dedication to military hiring shown in our recruiting
    resources and corporate culture. Veteran-related programs at CACI include
    support for veterans with disabilities, a mentoring program for service
    members re-entering the workforce, and tailored training and development
    programs that ensure veterans enjoy meaningful CACI careers.

Nine Months Results

The following are our results for the first nine months of our FY13:

  * Revenue of $2.77 billion
  * Operating income of $202.9 million
  * Net income attributable to CACI of $113.8 million
  * Diluted earnings per share of $4.79

Nine Months Comparison

We believe better insight and a more meaningful comparison of our FY13
year-to-date results with those of FY12 can be made by adjusting for three
significant one-time items that positively impacted our results last year.
These items, which we discussed when we released both our nine months FY12
results and our FY13 annual guidance, are:

  * A large commercial product sale that generated $12.0 million of revenue
    and $6.1 million of net income in the first quarter of FY12
  * During each of the first three quarters of FY12, greater-than-expected
    profitability on a large fixed-price contract that generated a total of
    $7.0 million in additional net income in the first three quarters of FY12
  * A $0.4 million increase in net income in the first quarter of FY12
    associated with a reduction in the fair value of contingent consideration
    related to a prior year acquisition

Results for the first nine months of FY13 compared with results for the first
nine months of FY12, excluding the items described above, are shown below:

                                                                  
                                                 Nine Months,   
                                      Nine       FY12
                                      Months,    As Adjusted
(in millions except per share data)   FY13       (see page 13)   % Change
Revenue                               $2,769.1   $2,813.6        -1.6%
Operating income                      $202.9     $201.0          1.0%
Net income attributable to CACI       $113.8     $110.6          2.9%
Diluted earnings per share            $4.79      $3.89           23.1%
                                                                  

Revenue decreased 1.6 percent from adjusted revenue for the first nine months
of FY12 primarily due to increases in direct labor being offset by the
anticipated reduction of contract purchases of materials (ODCs) tied to the
draw down in Afghanistan as well as sequestration-related reductions in other
such material purchases. Operating income increased primarily as a result of a
5.6 percent growth in direct labor and lower stock-based compensation expense.
Net income attributable to CACI in the first nine months of FY13 was $113.8
million, or $4.79 diluted earnings per share, an increase of 2.9 percent over
adjusted net income attributable to CACI of $110.6 million, or $3.89 adjusted
diluted earnings per share, for the same period in FY12. The larger increase
in diluted earnings per share was due to two share repurchase programs largely
executed in FY12. Net cash provided by operations in the first nine months of
FY13 was $142.4 million. (See Reconciliation of Revenue, Operating Income, Net
Income, and Diluted Earnings Per Share to Adjusted Amounts on page 13.)

For a comparison of our FY13 results to FY12 results reported in accordance
with GAAP, see the income statement on page 7 of this release.

Additional Financial Metrics

                                                                       
                                                           Nine      
                                                 Nine      Months,
                                                 Months,   FY12 As
                                                 FY13      Adjusted   % Change
Earnings before interest, taxes, depreciation
and amortization (EBITDA), a non-GAAP measure    $244.7    $243.5     0.5%
(in millions)
Diluted adjusted earnings per share, a           $6.27     $5.26      19.3%
non-GAAP measure
                                                                       

CACI Revises Its FY13 Guidance

We are revising the FY13 guidance we issued on January 30, 2013 to reflect the
impact of actions being taken by our customers to manage their budgets,
including lower contract run rates and delays in awards. We are also
anticipating additional severance related expenses. The table below summarizes
our FY13 guidance ranges:

                                           
                                          FY 2013
(in millions except for per share data)   Guidance
Revenue                                   $3,650 - $3,750
Net income attributable to CACI           $151 - $157
Diluted earnings per share                $6.29 - $6.55
                                           

We are now assuming a lower effective tax rate of 37.7 percent as a result of
non-taxable gains in our deferred compensation plan and certain tax credits.
Diluted weighted average shares for FY13 remain at 24.0 million. This
information represents our views as of May 1, 2013.

Conference Call Information

We have scheduled a conference call for 8:30 AM Eastern Time Thursday, May 2,
2013 during which members of our senior management team will be making a brief
presentation focusing on third quarter results and operating trends followed
by a question-and-answer session. You can listen to the conference call and
view the accompanying exhibits over the Internet by logging on to our
homepage, www.caci.com, at the scheduled time, or you may dial 877-303-9143
and enter the confirmation code 15743121. A replay of the call will also be
available over the Internet beginning at 1:00 PM Eastern Time Thursday, May 2,
2013 and can be accessed through our homepage (www.caci.com) by clicking on
the CACI Investor Info button.

CACI provides information solutions and services in support of national
security missions and government transformation for Intelligence, Defense, and
Federal Civilian clients. A member of the Fortune 1000 Largest Companies and
the Russell 2000 Index, CACI provides dynamic careers for approximately 15,300
employees working in over 120 offices worldwide. Visit www.caci.com.

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 cause actual results to differ
materially from anticipated results. The factors that could cause actual
results to differ materially from those anticipated include, but are not
limited to, the following: regional and national economic conditions in the
United States and globally (including the impact of uncertainty regarding U.S.
debt limits and actions taken related thereto); terrorist activities or war;
changes in interest rates; currency fluctuations; significant fluctuations in
the equity markets; changes in our effective tax rate; failure to achieve
contract awards in connection with re-competes for present business and/or
competition for new business; the risks and uncertainties associated with
client interest in and purchases of new products and/or services; continued
funding of U.S. government or other public sector projects, based on a change
in spending patterns, implementation of spending cuts (sequestration) under
the Budget Control Act of 2011, changes in budgetary priorities or in the
event of a priority need for funds, such as homeland security or the war on
terrorism; government contract procurement (such as bid protest, small
business set asides, loss of work due to organizational conflicts of interest,
etc.) and termination risks; the results of government investigations into
allegations of improper actions related to the provision of services in
support of U.S. military operations in Iraq; the results of government audits
and reviews conducted by the Defense Contract Audit Agency, the Defense
Contract Management Agency, or other governmental entities with cognizant
oversight; individual business decisions of our clients; paradigm shifts in
technology; competitive factors such as pricing pressures and/or competition
to hire and retain employees (particularly those with security clearances);
market speculation regarding our continued independence; material changes in
laws or regulations applicable to our businesses, particularly in connection
with (i) government contracts for services, (ii) outsourcing of activities
that have been performed by the government, and (iii) competition for task
orders under Government Wide Acquisition Contracts (GWACs) and/or schedule
contracts with the General Services Administration; the ability to
successfully integrate the operations of our recent and any future
acquisitions; our own ability to achieve the objectives of near term or long
range business plans; and other risks described in our Securities and Exchange
Commission filings.

CACI-Financial

 
Selected Financial Data
                                                                                         
CACI
International
Inc
Condensed Consolidated Statements of Operations
(Unaudited)
(Amounts in thousands, except per share
amounts)
                                                                                           
                 Quarter Ended                            Nine Months Ended
                   3/31/2013       3/31/2012     %          3/31/2013       3/31/2012     %
                                                 Change                                   Change
Revenue          $ 906,196       $ 927,962       -2.3 %   $ 2,769,059     $ 2,825,600     -2.0  %
Costs of
revenue
Direct costs       623,125         632,570       -1.5 %     1,908,411       1,946,899     -2.0  %
Indirect costs
and selling        200,684         208,843       -3.9 %     617,375         613,666       0.6   %
expenses
Depreciation
and                13,767          13,768        0.0  %     40,334          41,894        -3.7  %
amortization
Total costs of     837,576         855,181       -2.1 %     2,566,120       2,602,459     -1.4  %
revenue
Operating          68,620          72,781        -5.7 %     202,939         223,141       -9.1  %
income
Interest
expense and        6,295           6,175         1.9  %     19,308          18,313        5.4   %
other, net
Income before      62,325          66,606        -6.4 %     183,631         204,828       -10.3 %
income taxes
Income taxes       23,838          25,475        -6.4 %     69,174          80,304        -13.9 %
Net income
including
portion
attributable
to                 38,487          41,131        -6.4 %     114,457         124,524       -8.1  %
noncontrolling
interest in
earnings of
joint ventures
Noncontrolling
interest in        (120      )     (275      )              (706      )     (467      )
earnings of
joint ventures
                                                                                           
Net income
attributable     $ 38,367        $ 40,856        -6.1 %   $ 113,751       $ 124,057       -8.3  %
to CACI
                                                                                           
Basic earnings   $ 1.67          $ 1.54          8.3  %   $ 4.95          $ 4.54          9.0   %
per share
Diluted
earnings per     $ 1.62          $ 1.45          11.3 %   $ 4.79          $ 4.37          9.7   %
share
                                                                                           
Weighted average shares used in per share computations:
Basic              23,021          26,537                   22,968          27,303
Diluted            23,706          28,086                   23,740          28,402
                                                                                           
Statement of Operations Data (Unaudited)
                 Quarter Ended                            Nine Months Ended
                   3/31/2013       3/31/2012     %          3/31/2013       3/31/2012     %
                                                 Change                                   Change
Operating          7.6       %     7.8       %              7.3       %     7.9       %
income margin
Tax rate           38.3      %     38.4      %              37.8      %     39.3      %
Net income         4.2       %     4.4       %              4.1       %     4.4       %
margin
                                                                                           
Adjusted         $ 83,092        $ 82,946        0.2  %   $ 244,711       $ 243,516       0.5   %
EBITDA*
Adjusted           9.2       %     8.9       %              8.8       %     8.7       %
EBITDA Margin
                                                                                           
Adjusted net     $ 49,322        $ 51,393        -4.0 %   $ 148,880       $ 149,256       -0.3  %
income*
Diluted
adjusted         $ 2.08          $ 1.83          13.7 %   $ 6.27          $ 5.26          19.3  %
earnings per
share
                                                                                           
**See Reconciliation of Net Income to Earnings before Interest, Taxes, Depreciation and
Amortization and to Adjusted Net Income on page 12.

                                                              
Selected Financial Data (Continued)
                                                                
CACI International Inc
Condensed Consolidated Balance Sheets (Unaudited)
(Amounts in thousands)
                                                 3/31/2013     6/30/2012
ASSETS:
Current assets
Cash and cash equivalents                        $ 56,256      $ 15,740
Accounts receivable, net                           628,238       628,842
Prepaid expenses and other current assets          47,990        41,210
Total current assets                               732,484       685,792
                                                                
Goodwill and intangible assets, net                1,588,476     1,521,769
Property and equipment, net                        67,905        67,449
Other long-term assets                             128,357       113,212
Total assets                                     $ 2,517,222   $ 2,388,222
                                                                
LIABILITIES AND SHAREHOLDERS' EQUITY:
Current liabilities
Current portion of long-term debt                $ 7,500       $ 7,500
Accounts payable                                   126,122       149,549
Accrued compensation and benefits                  165,477       180,871
Other accrued expenses and current liabilities     136,047       147,009
Total current liabilities                          435,146       484,929
                                                                
Long-term debt, net of current portion             676,999       527,307
Other long-term liabilities                        242,967       211,541
Total liabilities                                  1,355,112     1,223,777
                                                                
Shareholders' equity                               1,162,110     1,164,445
Total liabilities and shareholders' equity       $ 2,517,222   $ 2,388,222

                                                                
Selected Financial Data (Continued)
                                                                  
CACI International Inc
Condensed Consolidated Statements of Cash Flows (Unaudited)
(Amounts in thousands)
                                                                  
                                                 Nine Months Ended
                                                   3/31/2013       3/31/2012  
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income including portion attributable to
noncontrolling interest in earnings of joint     $ 114,457       $ 124,524
ventures
Reconciliation of net income to net cash
provided by operating activities:
Depreciation and amortization                      40,334          41,894
Non-cash interest expense                          9,573           8,946
Amortization of deferred financing costs           1,543           1,743
Stock-based compensation expense                   6,394           11,095
Provision for deferred income taxes                16,351          18,109
Distribution of earnings from unconsolidated       5,627           -
joint ventures
Equity in earnings of unconsolidated joint         (2,074    )     (1,133    )
ventures
Other                                              -               1,274
Changes in operating assets and liabilities
Accounts receivable, net                           19,032          (73,120   )
Prepaid expenses and other assets                  (19,888   )     (9,397    )
Accounts payable and accrued expenses              (26,872   )     35,571
Accrued compensation and benefits                  (29,069   )     (12,037   )
Income taxes receivable and payable                (8,159    )     (9,787    )
Other liabilities                                  15,183          7,116      
Net cash provided by operating activities          142,432         144,798    
                                                                  
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures                               (12,759   )     (12,794   )
Purchases of businesses, net of cash acquired      (105,420  )     (179,746  )
Net investment in unconsolidated joint             (838      )     -
ventures
Other                                              (2,658    )     (1,128    )
Net cash used in investing activities              (121,675  )     (193,668  )
                                                                  
CASH FLOWS FROM FINANCING ACTIVITIES:
Net proceeds under credit facilities               138,763         153,126
Payment of contingent consideration                (3,187    )     (20,255   )
Proceeds from employee stock purchase plans        3,486           3,118
Proceeds from exercise of stock options            7,244           7,410
Repurchases of common stock                        (126,507  )     (209,680  )
Other                                              105             (589      )
Net cash provided by (used in) financing           19,904          (66,870   )
activities
Effect of exchange rate changes on cash and        (145      )     (148      )
cash equivalents
Net increase (decrease) in cash and cash           40,516          (115,888  )
equivalents
Cash and cash equivalents, beginning of period     15,740          164,817    
Cash and cash equivalents, end of period         $ 56,256        $ 48,929     

                                                                              
Selected Financial Data (Continued)
               
Revenue by Customer Type (Unaudited)
                Quarter Ended                                                   
(dollars in     3/31/2013               3/31/2012               $ Change       %
thousands)                                                                     Change
Department of   $ 668,119     73.7  %   $ 718,982     77.5  %   $ (50,863  )   -7.1  %
Defense
Federal
Civilian          186,190     20.5  %     159,201     17.2  %     26,989       17.0  %
Agencies
Commercial        47,709      5.3   %     46,667      5.0   %     1,042        2.2   %
State and
Local             4,178       0.5   %     3,112       0.3   %     1,066        34.3  %
Governments
Total           $ 906,196     100.0 %   $ 927,962     100.0 %   $ (21,766  )   -2.3  %
                                                                                
                Nine Months Ended                                               
(dollars in     3/31/2013               3/31/2012               $ Change       %
thousands)                                                                     Change
Department of   $ 2,076,659   75.0  %   $ 2,220,916   78.6  %   $ (144,257 )   -6.5  %
Defense
Federal
Civilian          536,617     19.4  %     452,342     16.0  %     84,275       18.6  %
Agencies
Commercial        144,308     5.2   %     141,372     5.0   %     2,936        2.1   %
State and
Local             11,475      0.4   %     10,970      0.4   %     505          4.6   %
Governments
Total           $ 2,769,059   100.0 %   $ 2,825,600   100.0 %   $ (56,541  )   -2.0  %
                                                                                
Revenue by Contract Type (Unaudited)
                Quarter Ended                                                   
(dollars in     3/31/2013               3/31/2012               $ Change       %
thousands)                                                                     Change
Cost            $ 435,662     48.1  %   $ 416,369     44.9  %   $ 19,293       4.6   %
reimbursable
Fixed price       250,519     27.6  %     248,276     26.7  %     2,243        0.9   %
Time and          220,015     24.3  %     263,317     28.4  %     (43,302  )   -16.4 %
materials
Total           $ 906,196     100.0 %   $ 927,962     100.0 %   $ (21,766  )   -2.3  %
                                                                                
                Nine Months Ended                                               
(dollars in     3/31/2013               3/31/2012               $ Change       %
thousands)                                                                     Change
Cost            $ 1,327,033   47.9  %   $ 1,224,323   43.3  %   $ 102,710      8.4   %
reimbursable
Fixed price       773,961     28.0  %     761,466     27.0  %     12,495       1.6   %
Time and          668,065     24.1  %     839,811     29.7  %     (171,746 )   -20.5 %
materials
Total           $ 2,769,059   100.0 %   $ 2,825,600   100.0 %   $ (56,541  )   -2.0  %
                                                                                
Revenue Received as a Prime versus Subcontractor (Unaudited)
                Quarter Ended                                                   
(dollars in     3/31/2013               3/31/2012               $ Change       %
thousands)                                                                     Change
Prime           $ 786,683     86.8  %   $ 821,776     88.6  %   $ (35,093  )   -4.3  %
Subcontractor     119,513     13.2  %     106,186     11.4  %     13,327       12.6  %
Total           $ 906,196     100.0 %   $ 927,962     100.0 %   $ (21,766  )   -2.3  %
                                                                                
                Nine Months Ended                                               
(dollars in     3/31/2013               3/31/2012               $ Change       %
thousands)                                                                     Change
Prime           $ 2,426,082   87.6  %   $ 2,498,341   88.4  %   $ (72,259  )   -2.9  %
Subcontractor     342,977     12.4  %     327,259     11.6  %     15,718       4.8   %
Total           $ 2,769,059   100.0 %   $ 2,825,600   100.0 %   $ (56,541  )   -2.0  %

                                                                    
Selected Financial Data (Continued)
                         
Contract Funding Orders Received (Unaudited)
                          Quarter Ended                               
(dollars in thousands)    3/31/2013     3/31/2012     $ Change       % Change
Contract Funding Orders   $ 655,319     $ 800,327     $ (145,008 )   -18.1  %
                          Nine Months Ended                           
(dollars in thousands)    3/31/2013     3/31/2012     $ Change       % Change
Contract Funding Orders   $ 2,694,046   $ 3,008,927   $ (314,881 )   -10.5  %

                                                                          
Direct Costs by Category (Unaudited)
             Quarter Ended
(dollars                                                                   %
in           3/31/2013               3/31/2012               $ Change      Change
thousands)
Direct       $ 265,308     42.6  %   $ 252,229     39.9  %   $ 13,079      5.2  %
labor
Other
direct         357,817     57.4  %     380,341     60.1  %     (22,524 )   -5.9 %
costs
Total
direct       $ 623,125     100.0 %   $ 632,570     100.0 %   $ (9,445  )   -1.5 %
costs
                                                                            
             Nine Months Ended
(dollars                                                                   %
in           3/31/2013               3/31/2012               $ Change      Change
thousands)
Direct       $ 766,362     40.2  %   $ 725,845     37.3  %   $ 40,517      5.6  %
labor
Other
direct         1,142,049   59.8  %     1,221,054   62.7  %     (79,005 )   -6.5 %
costs
Total
direct       $ 1,908,411   100.0 %   $ 1,946,899   100.0 %   $ (38,488 )   -2.0 %
costs

 
Reconciliation of Total Revenue Growth and Organic Revenue Growth
(Unaudited)
 
We are presenting organic revenue growth, on both an as reported and as
adjusted basis, to reflect the effect of acquisitions on total revenue
growth.  Revenue generated from the date a business is acquired through the
first anniversary of that date is considered acquired revenue growth.  All
remaining revenue growth is considered organic.  We believe that this non-GAAP
financial measure provides investors with useful information to evaluate the
growth rate of our core business.  This non-GAAP measure should not be
considered in isolation or as a substitute for performance measures prepared
in accordance with GAAP.

                                             
             Quarter Ended                    Twelve Months Ended
(dollars                             %                                    %
in           3/31/2013   3/31/2012   Change   3/31/2013     3/31/2012     Change
thousands)
Revenue,
as           $ 906,196   $ 927,962   -2.3 %   $ 3,717,933   $ 3,788,761   -1.9 %
reported
Less:
Acquired       31,360                           123,931                    
revenue
Organic      $ 874,836   $ 927,962   -5.7 %   $ 3,594,002   $ 3,788,761   -5.1 %
revenue
                                                                           
             Quarter Ended                    Twelve Months Ended
(dollars                             %                                    %
in           3/31/2013   3/31/2012   Change   3/31/2013     3/31/2012     Change
thousands)
Revenue,
as           $ 906,196   $ 927,962   -2.3 %   $ 3,717,933   $ 3,776,726   -1.6 %
adjusted
Less:
Acquired       31,360                           123,931                    
revenue
Organic      $ 874,836   $ 927,962   -5.7 %   $ 3,594,002   $ 3,776,726   -4.8 %
revenue

 
Selected Financial Data (Continued)
Reconciliation of Net Income to Adjusted Earnings Before Interest, Taxes,
Depreciation
and Amortization (EBITDA) and to Adjusted Net Income
(Unaudited)
 
The Company views EBITDA, EBITDA margin, Adjusted Net Income and Diluted
Adjusted Earnings Per Share as important indicators of performance, consistent
with the manner in which management measures and forecasts the Company’s
performance.   EBITDA is a commonly used non-GAAP measure when comparing our
results with those of other companies.  We believe Adjusted Net Income is a
significant driver of long-term value and is used by investors to measure our
performance.  This measure in particular assists readers in further
understanding our results and trends from period-to-period by removing certain
non-cash items that do not impact the cash flow performance of our business.
We are presenting FY12 EBITDA, EBITDA margin, Adjusted Net Income and Diluted
Adjusted Earnings Per Share on an adjusted basis, to remove the impact of
three significant items that positively impacted our FY12 results as we
believe these adjusted measures provide a better comparison to our ongoing,
recurring operations.  Adjusted EBITDA is defined by us as GAAP net income
plus net interest expense, income taxes, and depreciation and amortization,
and less the three significant items described earlier in this
release.  Adjusted EBITDA margin is adjusted EBITDA divided by adjusted
revenue.  Adjusted Net Income is defined by us as GAAP net income plus
stock-based compensation expense,  depreciation and amortization, and
amortization of financing costs, and less the three significant items
described earlier in this release; net of related tax effects computed using
an assumed marginal tax rate of 39.3 percent. Diluted Adjusted Earnings Per
Share is Adjusted Net Income divided by diluted weighted-average shares, as
reported.  Adjusted EBITDA and Adjusted Net Income as defined by us may not be
computed in the same manner as similarly titled measures used by other
companies.  These non-GAAP measures should not be considered in isolation or
as a substitute for performance measures prepared in accordance with GAAP.

                                                                                        
               Quarter Ended                             Nine Months Ended
(dollars in      3/31/2013       3/31/2012     %           3/31/2013       3/31/2012     %
thousands)                                     Change                                    Change
Net income
attributable                                                            
to CACI,
as reported    $ 38,367        $ 40,856        -6.1  %   $ 113,751       $ 124,057       -8.3  %
Plus:
Income taxes     23,838          25,475        -6.4  %     69,174          80,304        -13.9 %
Interest
income and       7,120           6,647         7.1   %     21,452          19,446        10.3  %
expense, net
Depreciation
and              13,767          13,768        0.0   %     40,334          41,894        -3.7  %
amortization
Less:
Product sale     -               -                         -               (10,093   )
adjustment
Fixed price
contract         -               (3,800    )               -               (11,500   )
adjustment
Earn-out         -               -                         -               (592      )    
adjustment
Adjusted       $ 83,092        $ 82,946        0.2   %   $ 244,711       $ 243,516       0.5   %
EBITDA
                                                                                          
               Quarter Ended                             Nine Months Ended
(dollars in      3/31/2013       3/31/2012     %           3/31/2013       3/31/2012     %
thousands)                                     Change                                    Change
Revenue, as    $ 906,196       $ 927,962       -2.3  %   $ 2,769,059     $ 2,813,565     -1.6  %
adjusted
Adjusted       $ 83,092        $ 82,946        0.2   %   $ 244,711       $ 243,516       0.5   %
EBITDA
Adjusted
EBITDA           9.2       %     8.9       %               8.8       %     8.7       %    
margin
                                                                                          
               Quarter Ended                             Nine Months Ended
(dollars in      3/31/2013       3/31/2012     %           3/31/2013       3/31/2012     %
thousands)                                     Change                                    Change
Net income
attributable
to CACI,
as reported    $ 38,367        $ 40,856        -6.1  %   $ 113,751       $ 124,057       -8.3  %
Plus:
Stock-based      493             3,852         -87.2 %     6,394           11,095        -42.4 %
compensation
Depreciation
and              13,767          13,768        0.0   %     40,334          41,894        -3.7  %
amortization
Amortization
of financing     531             495           7.3   %     1,543           1,743         -11.5 %
costs
Non-cash
interest         3,248           3,036         7.0   %     9,573           8,946         7.0   %
expense
Less:
Product sale     -               -                         -               (10,093   )
adjustment
Fixed price
contract         -               (3,800    )               -               (11,500   )
adjustment
Earn-out         -               -                         -               (592      )
adjustment
Related tax      (7,084    )     (6,814    )   4.0   %     (22,715   )     (16,294   )   39.4  %
effect
Adjusted net   $ 49,322        $ 51,393        -4.0  %   $ 148,880       $ 149,256       -0.3  %
income
                                                                                          
               Quarter Ended                             Nine Months Ended
(shares in       3/31/2013       3/31/2012     %           3/31/2013       3/31/2012     %
thousands)                                     Change                                    Change
Diluted
weighted
average          23,706          28,086                    23,740          28,402
shares, as
reported
Diluted
earnings per   $ 1.62          $ 1.45          11.3  %   $ 4.79          $ 4.37          9.7   %
share, as
reported
Diluted
adjusted       $ 2.08          $ 1.83          13.7  %   $ 6.27          $ 5.26          19.3  %
earnings per
share

 
Selected Financial Data (continued)
 
Reconciliation of Revenue, Operating Income, Net Income and Diluted Earnings
Per Share
to Adjusted Amounts
(Unaudited)
 
As described earlier in this release, the Company is presenting adjusted
Revenue, Operating Income, Net Income and Diluted Earnings per Share to
present results excluding the impact of three significant items recorded
during the fiscal year ended June 30, 2012.  During the third quarter of FY12,
only the fixed price contract adjustment impacted the income statement, as
follows:  $3.8 million reduction of direct costs. These items were recorded in
the income statement for the first nine months of FY12, as follows:  product
sale -- $12.0 million of revenue and $1.9 million of indirect costs and
selling expenses; fixed price contract adjustment-- $11.5 million reduction of
direct costs; and earn-out adjustment -- $0.6 million reduction in indirect
costs and selling expenses.  The Company believes that presenting the
key  measures of Revenue, Operating Income, Net Income, and Diluted Earnings
per Share without the impact of these significant items recorded in
FY12  provides readers a better comparison to our ongoing, recurring
operations. These non-GAAP measures should not be considered in isolation or
as a substitute for performance measures prepared in accordance with GAAP.

                                                                               
                                                                                 
               Quarter Ended                      Nine Months Ended
(dollars in    3/31/2013   3/31/2012     %        3/31/2013     3/31/2012       %
thousands)                               Change                                 Change
Revenue, as    $ 906,196   $ 927,962     -2.3 %   $ 2,769,059   $ 2,825,600     -2.0 %
reported
Less:
Product sale     -           -                      -             (12,035   )    
adjustment
Revenue, as    $ 906,196   $ 927,962     -2.3 %   $ 2,769,059   $ 2,813,565     -1.6 %
adjusted
                                                                                 
               Quarter Ended                      Nine Months Ended
(dollars in    3/31/2013   3/31/2012     %        3/31/2013     3/31/2012       %
thousands)                               Change                                 Change
Operating
income, as     $ 68,620    $ 72,781      -5.7 %   $ 202,939     $ 223,141       -9.1 %
reported
Less:
Product sale     -           -                      -             (10,093   )
adjustment
Fixed price
contract         -           (3,800  )              -             (11,500   )
adjustment
Earn-out         -           -                      -             (592      )    
adjustment
Operating
income, as     $ 68,620    $ 68,981      -0.5 %   $ 202,939     $ 200,956       1.0  %
adjusted
                                                                                 
               Quarter Ended                      Nine Months Ended
(dollars in    3/31/2013   3/31/2012     %        3/31/2013     3/31/2012       %
thousands)                               Change                                 Change
Net income
attributable   $ 38,367    $ 40,856      -6.1 %   $ 113,751     $ 124,057       -8.3 %
to CACI, as
reported
Less:
Product sale     -           -                      -             (10,093   )
adjustment
Fixed price
contract         -           (3,800  )              -             (11,500   )
adjustment
Earn-out         -           -                      -             (592      )
adjustment
Plus:
Related tax      -           1,492                  -             8,718          
effect*
Net income,    $ 38,367    $ 38,548      -0.5 %   $ 113,751     $ 110,590       2.9  %
as adjusted
                                                                                 
               Quarter Ended                      Nine Months Ended
(shares in     3/31/2013   3/31/2012     %        3/31/2013     3/31/2012       %
thousands)                               Change                                 Change
Diluted
weighted
average          23,706      28,086                 23,740        28,402
shares, as
reported
Diluted
earnings per   $ 1.62      $ 1.45        11.3 %   $ 4.79        $ 4.37          9.7  %
share, as
reported
Diluted
earnings per   $ 1.62      $ 1.37        17.9 %   $ 4.79        $ 3.89          23.1 %
share, as
adjusted
                                                                                 
* Computed using an assumed marginal
tax rate of 39.3 percent.

Contact:

CACI International Inc
Corporate Communications and Media:
Jody Brown, Executive Vice President,
Corporate Communications
703-841-7801
jbrown@caci.com
or
Investor Relations:
David Dragics, Senior Vice President,
Investor Relations
866-606-3471
ddragics@caci.com
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