The chart below shows how BAH performed 10 days before and after its earnings report, based on data from the past quarters. Typically, BAH sees a -1.91% change in stock price 10 days leading up to the earnings, and a +0.88% change 10 days following the report. On the earnings day itself, the stock moves by +2.82%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Civil Revenue Increase: Civil revenues rose approximately 12% from the prior year quarter excluding the discrete items.
Quarterly Revenue Increase: Total revenue for the quarter grew 18% year-over-year to $3.1 billion.
Organic Revenue Increase: Organic revenue increased 17% year-over-year, and revenue excluding billable expenses grew about 18%.
Record Book-to-Bill Ratio: Net bookings for the quarter were $8.2 billion and our quarterly book-to-bill was 2.6 times, translating to a trailing 12-month book-to-bill of 1.5 times, our highest in six years.
Record Backlog Growth: Total backlog as of September 30 was a record $41 billion, up about 18% from a year ago.
Negative
Quarterly Revenue Increase: Total revenue for the quarter grew 18% year-over-year to $3.1 billion, indicating a significant increase but also highlighting the challenges faced in maintaining consistent growth.
Record Backlog Challenges: Despite a strong operational quarter, the company faced challenges with a backlog that reached a record $41 billion, which may indicate potential future operational inefficiencies.
EBITDA Margin Analysis: The adjusted EBITDA margin was reported at 11.6%, which, while an increase, suggests that there are still underlying cost pressures affecting profitability.
Client Staff Increase: The company experienced a 4.3% increase in client staff, which may indicate rising operational costs and potential strain on resources.
Net Income Concerns: The net income for the quarter was $390 million, which, despite being 129% higher year-over-year, raises concerns about sustainability in future quarters.
Booz Allen Hamilton (BAH) Q2 2025 Earnings Call Transcript
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