Riding on a wave of increased federal government contracts, particularly around the Department of Defense and its war on terrorism, solution provider CACI International reported second quarter earnings that are up 57 percent from last year.
The company reported income of $7.3 million for the quarter, or 30 cents per diluted share. Revenue for the quarter came in at $162.3 million, up 21 percent from one year ago. Earnings before interest, taxes, depreciation and amortization (EBITDA), increased 30 percent, to $15.5 million from $11.9 million a year ago.
The company says the record growth is primarily the result of "higher levels of managed network and engineering services business for agencies of the federal government, primarily the Department of Defense."
President and CEO Dr. J.P. London said in a statement that the federal government revenue "more than offset" continuing softness in CACI's commercial and state and local markets.
"We were able to quickly respond to the critical needs of our customers who are involved with national security and the war on terrorism while continuing to support ongoing and newly awarded programs in other areas of the government," London said in the statement.
Revenue from federal government customers grew 34 percent over the same period last year and represented 91 percent of the total revenue for the quarter.
Other highlights during the quarter included a large contract with the Department of Justice and the acquisition of Digital Systems International, which expanded the company's managed network and enterprise resource planning capabilities. To that end, the company says its managed network services revenue grew 76 percent in the quarter.
Looking forward, CACI expects revenue for the third quarter to be 15 to 17 percent higher than the $146.7 million reported last year.