CACI Int’l Reiterates 2010 Guidance – Analyst Blog

CACI International Inc. (CACI) recently reiterated its fiscal 2010 guidance and issued guidance for fiscal 2011.

 

For fiscal 2010, management expects revenues between $3,050 million and $3,125 million. Net income is projected between $103.8 million and $107.4 million.

 

Earnings per share are estimated between $3.38 and $3.50. This compares with the Zacks Consensus Estimate of $3.44.

 

CACI International Inc. also issued guidance for fiscal 2011. Management expects revenues between $3.25 billion and $3.40 billion. Operating margin is expected at 6.4%.

 

Net income is projected between $116 million and $122 million. Earnings are estimated at between $3.70 and $3.90 per share. Fiscal 2011 guidance does not include any impact from future acquisitions or share repurchases. This compares with the Zacks Consensus Estimate of $3.74.

 

CACI International has constantly been exceeding expectations. In the March quarter, the company reported earnings that were 2.35% above the Zacks Consensus Estimate. On an average, the company has come ahead of the Zacks Consensus Estimate by 3.99% in the last four quarters.

 

Management expects that the proposed freeze on non-national security-related discretionary appropriations will have a minimal effect on the programs that the company supports for its federal civilian clients.

 

CACI International continues to build on its competitive advantages and capitalize on attractive opportunities in existing, adjacent, and new markets, organically and through acquisitions. The continuing asymmetric threat to natural security continues to drive strong demand for the company’s services.

 

CACI targets its services at defense, intelligence, homeland security and IT modernization. The demand for company’s services is created by the increasingly complex network, systems and information environments that governments and businesses operate in. These agencies need to update their systems for increasing productivity and performance.

 

Meanwhile, the board of directors has authorized management to repurchase up to 1 million shares of common stock. This should boost net income per share due to a lower number of outstanding shares.