Key Highlights

● Fiscal 2026 Revenue was US$9,567.8 million, up 10.9% year on year.

● Free Cash Flow rose 66.2% to US$735.4 million, about 137% of net income.

● Funded Backlog rose 28.6% to US$5.4 billion, while total backlog was US$32.0 billion.

● Fiscal 2027 revenue is guided to US$10,650 million to US$10,850 million.

Latest verified development

CACI International Inc (NYSE:CACI), the US defence and intelligence technology contractor, reported fiscal 2026 fourth-quarter and full-year results on 5 August 2026, with a conference call on 6 August, and issued guidance for fiscal 2027. Fiscal 2026 ended on 30 June 2026.

Fiscal 2026 results

Fourth-quarter revenue was US$2,709.1 million, up 17.6%, and full-year revenue was US$9,567.8 million, up 10.9%. Full-year Net Income was US$535.8 million, up 7.2%, and Diluted Earnings per Share were US$24.16, up 8.2%. Adjusted diluted earnings per share, a non-GAAP measure, were US$29.83, up 12.7%.

Fourth-quarter diluted earnings were US$7.05, down 1.3%, while adjusted earnings were US$8.91, up 6.1%. Fourth-quarter revenue growth of 17.6% was faster than the full-year 10.9%, so growth accelerated through the year. Fourth-quarter net income was US$156.8 million, down 0.7%, so profit growth lagged sales in that quarter.

Full-year EBITDA, which CACI reports on a non-GAAP basis, was US$1,173.9 million, a 12.3% margin. Free cash flow was US$735.4 million, up 66.2%, with US$232.9 million generated in the fourth quarter. The 66.2% rise in free cash flow compares with net income growth of 7.2%, and full-year free cash flow was about 137% of net income, a simple calculation showing strong cash conversion.

Backlog and awards

Total backlog was US$32.0 billion, up 1.9%, and funded backlog was US$5.4 billion, up 28.6%. Contract awards were US$1.6 billion in the quarter and US$10.2 billion for the year, a book-to-bill ratio of 1.1 times, meaning awards exceeded revenue recognised. Funded backlog is the portion for which customer money has been formally obligated, so its faster growth compared with total backlog is a notable feature.

Fiscal 2027 guidance

CACI guided to fiscal 2027 revenue of US$10,650 million to US$10,850 million, adjusted net income of US$735 million to US$755 million and adjusted diluted earnings per share of US$32.96 to US$33.86, on 22.3 million diluted shares. It expects free cash flow of at least US$900 million.

The revenue midpoint of US$10,750 million would be about 12% above fiscal 2026 revenue, and the earnings midpoint implies about 12% growth on fiscal 2026 adjusted earnings per share of US$29.83. Chief executive John Mengucci said the company is "on track to meet or exceed" its three-year financial targets. The guidance depends on contract execution and government funding.

Backlog conversion and the cash target

With awards running ahead of revenue at a book-to-bill of 1.1 times, the guided revenue range of US$10,650 million to US$10,850 million rests on converting a US$32.0 billion backlog into sales, and on government budgets and contracting schedules holding to plan.

The cash target is the sharper test: fiscal 2026 free cash flow of US$735.4 million, helped by US$232.9 million in the fourth quarter, now has to reach at least US$900 million.