CACI International Inc
NYSE:CACI
CACI International Inc
CACI International Inc., headquartered in Arlington, Virginia, operates at the intersection of technology and national security, serving primarily the U.S. federal government. The company’s origins date back to 1962 when it was founded as California Analysis Center, Inc., a pioneer in delivering simulation technology to the government. Over the decades, CACI has carved out a niche, providing information technology solutions and services that address critical national security missions. The essence of CACI’s operations lies in its extensive expertise in cybersecurity, cloud computing, and software development, which are vital components in maintaining and advancing the infrastructure of defense, intelligence, and civilian agencies.
CACI generates revenue by combining innovation with deeply entrenched relationships in federal contracting—offering high-value technology services and solutions that optimize government operations and bolster national defense. Through long-term contracts, often structured as multi-year engagements, CACI ensures a consistent revenue stream. It leverages its technological prowess and knowledge of governmental needs to deliver solutions like advanced signal processing and geolocation services. The company’s portfolio also includes enterprise IT solutions, which enhance operational efficiency and effectiveness across various government departments. Moreover, CACI’s strategic acquisitions of specialized firms have expanded its capabilities, helping it to mitigate competitive pressures in the dynamic federal services market. This dual focus on organic growth and acquisition-based expansion has been key to CACI’s sustained financial health and strategic positioning within the industry.
CACI International Inc., headquartered in Arlington, Virginia, operates at the intersection of technology and national security, serving primarily the U.S. federal government. The company’s origins date back to 1962 when it was founded as California Analysis Center, Inc., a pioneer in delivering simulation technology to the government. Over the decades, CACI has carved out a niche, providing information technology solutions and services that address critical national security missions. The essence of CACI’s operations lies in its extensive expertise in cybersecurity, cloud computing, and software development, which are vital components in maintaining and advancing the infrastructure of defense, intelligence, and civilian agencies.
CACI generates revenue by combining innovation with deeply entrenched relationships in federal contracting—offering high-value technology services and solutions that optimize government operations and bolster national defense. Through long-term contracts, often structured as multi-year engagements, CACI ensures a consistent revenue stream. It leverages its technological prowess and knowledge of governmental needs to deliver solutions like advanced signal processing and geolocation services. The company’s portfolio also includes enterprise IT solutions, which enhance operational efficiency and effectiveness across various government departments. Moreover, CACI’s strategic acquisitions of specialized firms have expanded its capabilities, helping it to mitigate competitive pressures in the dynamic federal services market. This dual focus on organic growth and acquisition-based expansion has been key to CACI’s sustained financial health and strategic positioning within the industry.
Strong Q2 Results: CACI reported 5.7% year-over-year revenue growth, 70 bps higher EBITDA margin, and 14% higher adjusted diluted EPS.
Guidance Raised: Management increased fiscal 2026 guidance across all major metrics, including revenue ($9.3–$9.5B), free cash flow (at least $725M), and EBITDA margin (11.7–11.8%).
Technology Focus: Technology now accounts for nearly 60% of total revenue, supporting margin expansion and long-term growth.
Major Wins & Pipeline: $1.4B in awards this quarter (book-to-bill 0.65x) and a 12-month book-to-bill of 1.3x; large contract wins like JCM ramping up and significant pipeline of new business.
ARKA Acquisition: Pending ARKA deal expected to further expand CACI’s presence in the space and intelligence markets, with leverage targeted to return to low 3s within six quarters post-close.
Favorable Macro & Funding: Management sees strong demand from national security customers, reconciliation funds starting to flow, and constructive macro environment despite some post-shutdown unevenness.
