BAH – Booz Allen (BAH) Q4 Earnings and Revenues Surpass Estimates
Booz Allen Hamilton Holding Corp. (BAH – Free Report) reported impressive fourth-quarter fiscal 2023 results, with both earnings and revenues beating the respective Zacks Consensus Estimate.
Quarterly adjusted earnings (excluding 1.53 cents from non-recurring items) per share of $1.01 beat the consensus estimate by 9.8% and increased 17.4% on a year-over-year basis.
Revenues, Backlog & Headcount Increase Y/Y
Total revenues of $2.4 billion beat the Zacks Consensus Estimate by 2.7% and increased 8.7% on a year-over-year basis. Revenues, excluding billable expenses, were $1.7 billion, up 7.1% on a year-over-year basis.
Booz Allen Hamilton Holding Corporation Price, Consensus and EPS Surprise
Booz Allen Hamilton Holding Corporation price-consensus-eps-surprise-chart | Booz Allen Hamilton Holding Corporation Quote
Total backlog increased 6.7% from the prior-year quarter’s reported figure to $31.2 billion. Funded backlog of $4.6 billion increased 24.3% year over year. Unfunded backlog declined 4% to $9.5 billion.
Priced options were up 9.6% to $17.1 billion. The book-to-bill ratio was 1.47, down 11.4% year over year. The headcount of 31,925 increased 33.4% year over year.
EBITDA Margins Increase
Adjusted EBITDA amounted to $231 million, up 12.9% year over year. Adjusted EBITDA margin on revenues was 9.5%, up from the year-ago quarter’s figure of 9.2%. Adjusted EBITDA margin on revenues, excluding billable expenses, increased to 13.7% from 13% in the year-ago quarter.
Key Balance Sheet & Cash Flow Numbers
Booz Allen exited the quarter with cash and cash equivalents of $404.9 million, compared with $370.9 million at the end of the prior quarter. Long-term debt (net of current portion) was $2.77 billion, compared with $2.78 billion in the prior quarter.
The company generated $237.1 million of net cash from operating activities. Capital expenditures were $24.7 million and free cash flow was $212.4 million. The company paid out dividends worth $62.5 million and repurchased shares worth $125.7 million in the reported quarter.
Fiscal 2024 Outlook
Booz Allen currently projects revenue growth in the range of 7-11%. It expects adjusted earning per share (EPS) in the range of $4.8-$4.95. The current Zacks Consensus Estimate of $4.84 is below the midpoint ($4.875) of the EPS guidance.
Adjusted EBITDA is expected to be between $1.075 billion and $1.105 billion. Adjusted EBITDA margin on revenues is anticipated in the range of 10-11%. Net cash provided by operating activities is still expected in the range of $500-$600 million. The company expects the effective tax rate to be in the range of 23-25%.
Booz Allen currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Earnings Snapshot
Equifax (EFX – Free Report) reported better-than-expected first-quarter 2023 results. Adjusted earnings (excluding 52 cents from non-recurring items) came in at $1.43 per share, beating the Zacks Consensus Estimate by 4.4% but declining 35.6% from the year-ago figure. Total revenues of $1.3 billion surpassed the consensus estimate by 1.5% but decreased 4.5% on a reported basis from the year-ago figure. The top line was down 3% on a local currency basis.
Omnicom(OMC – Free Report) reported better-than-expected first-quarter 2023 results. OMC’s earnings of $1.56 per share beat the Zacks Consensus Estimate by 13%. EPS increased 12.2% year over year. Total revenues of $3.4 billion surpassed the consensus estimate by 2.3%. The top line increased 1% year over year.
Clean Harbors, Inc. (CLH – Free Report) reported solid first-quarter 2023 results, wherein both earnings and revenues surpassed the respective Zacks Consensus Estimate. Adjusted earnings per share (excluding 3 cents from non-recurring items) of $1.36 outpaced the consensus estimate by 18.3%. The same was up from the year-ago quarter’s figure by 63.9%. Total revenues of $1.31 billion beat the consensus mark by 5.4%. Earnings grew 11.8% year over year.