CACI International Inc filed its 10-Q with the SEC, and its figures are now in our data. Revenue over the twelve months to Q1 2027 was $9.75 billion, which rose 10.1% on the year before. That growth rate was down 0.8 percentage points on the rate a quarter earlier.

What stands out

Reported profit and cash are moving at different speeds. Net income rose 7.3% over the year while free cash flow rose 26.7%.

Less of the cash generated was left over due to spending patterns. Capital spending rose 42.0%, faster than operating cash flow’s 28.3%.

Growth and profit

The company converted more of its sales into operating profit. The trailing operating margin was 9.8%, up 0.8 percentage points from a year earlier.

The trailing net margin was 5.5%. Net income over the twelve months was $541.4 million, which rose 7.3% on the year before.

Cash flow

Operating cash flow over the twelve months was $877.0 million, up 28.3% on the year before. Capital spending was $101.0 million, or 1.0% of revenue.

Free cash flow, operating cash flow less capital spending, was $776.0 million, up 26.7% on the year before. Free cash flow was 8.0% of revenue (the free-cash-flow margin), up 1.0 percentage points from a year earlier.

The average diluted share count fell 0.4% over the year.

In context

Today’s free-cash-flow margin of 8.0% is higher than 78% of the company’s own past quarterly readings, which have ranged from 3.6% to 10.8%.

Today’s operating margin of 9.8% is higher than 100% of the company’s own past quarterly readings, which have ranged from 6.2% to 9.6%.

Today’s twelve-month revenue growth rate of 10.1% is higher than 62% of the company’s own past quarterly readings, which have ranged from −7.0% to 26.6%.

Guidance

The company raised its Fiscal Year 2027 guidance for Revenues: $10,700.0 million to $10,900.0 million. The company raised its Fiscal Year 2027 guidance for Adjusted net income: $740.0 million to $760.0 million.

The company raised its Fiscal Year 2027 guidance for Adjusted diluted earnings per share: $33.18 to $34.08. The company kept its Fiscal Year 2027 guidance for Diluted weighted average shares: 22.3.

What it means for value

In our model, growth 5 percentage points lower would lower the value by 30.1%, and 5 percentage points higher would raise it by 39.0%. A free-cash-flow margin 1 percentage point lower would lower it by 12.3%.

It will reveal if the operating margin holds its recent level or reverts toward the historical average. The report will clarify if the revenue growth rate stabilizes after the slight deceleration seen in the last quarter.