CACI International Inc.
) reported pro forma net income of $40.9 million or $1.45 per
diluted share in its third quarter financial results of fiscal
2012, compared to $34.7 million or $1.11 per diluted share in the
previous year period. This beat the Zacks Consensus Estimate of
$1.42 per share.
Pro forma revenues came in at $928 million, up 1.6% year over
year but down 4.6% sequentially, substantially missing the Zacks
Consensus Estimate of $1,004 million. Contract funding orders in
the quarter came in at $800 million, increasing 6.8% year over year
and 32.2% sequentially.
As of March 31, 2012, total funded backlog was $2.04 billion,
rising 4.7% year over year but falling 6.9% sequentially. Total
backlog amounted to $7.65 billion at the end of the quarter, rising
In terms of a customer mix, the Department of Defense accounted
for about 77.5% of total revenue. Federal Civilian Agencies
contributed about 17.2% of total revenue. Commercial customers
accounted for 5.0% of total revenue and State and Local Governments
added 0.3% to total revenue.
Pro forma operating margin came in at 7.8%, up from 6.8% in the
year-ago quarter, primarily stemming from the 23.3% annual rise in
operating income evolving from direct labor boost.
Balance Sheet and Cash Flows
The company ended the quarter with cash and cash equivalents of
$48.9 million, up from $24 million at the end of the previous
quarter. Net long-term debt amounted to approximately $565.8
million, down from $590 million at the end of the previous
Net cash provided by operating activities during the first nine
months of fiscal 2012 fell to $144.8 million from $145.7 million
during the first nine months of fiscal 2011. During this time, cash
used for capital expenditures was $12.8 million rising from $9.2
million during the first nine months of fiscal 2011. Cash used for
share repurchases amounted to $209.7 million during the first nine
months of fiscal 2012.
The strong results attained by CACI International induced
management to raise its 2012 guidance on the whole. The company now
expects net income between $163 million and $169 million, up from
the previous estimate of $162 million - $168 million.
However, revenues are now projected at $3,730 million - $3,830
million, falling from the previous range of $3,850 million - $4,050
million for the full fiscal year. Effective tax rate is now
expected to be at 39.3% from 39.8% expected earlier. Diluted
earnings per share are projected to fall between $5.74 and $5.95,
up from the previous guidance range of $5.72 and $5.94.
At present we have a Neutral recommendation on CACI
International. The stock currently carries a Zacks #4 Rank, which
translates into a short-term rating of Sell.
CACI INTL A (CACI): Free Stock Analysis Report
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