Booz Allen Hamilton Holding Corp - Class A
Q1 2027 Earnings
Market Reaction
S&P 500 over the same 30 days: +3.65%.
Did BAH Beat Earnings? Q1 2027 Results
Booz Allen Hamilton delivered a sharply bifurcated first quarter for fiscal 2027, posting adjusted diluted EPS of $1.81 and beating the $1.49 consensus estimate by 21.30%, even as revenue of $2.80 billion came in just shy of the $2.81 billion Wall Street expected, a 4.2% decline year-over-year driven by slowed government procurement and a headcount reduction to roughly 30,900 from 33,400 a year ago. The profitability story was the quarter's defining feature: Adjusted EBITDA rose 7.4% to $334.00 million, with margin expanding 130 basis points to 11.9%, reflecting disciplined contract execution and favorable investment timing that more than offset the top-line pressure. National Security revenue held roughly flat at $2.03 billion, while the Civil segment bore the brunt of federal spending headwinds, falling to $772.00 million from $923.00 million. A quarterly book-to-bill of 1.5x and total backlog of $39.48 billion offered reassurance on forward demand, and the company maintained its full-year guidance of $11.20 to $11.70 billion in revenue and adjusted EPS of $6.00 to $6.35.
- Strong contract execution driving profitability above expectations
- Favorable timing of investment spending
- Lower tax rate and reduced share count boosting Adjusted Diluted EPS
- Strong working capital management and lower tax payments driving free cash flow
- Unrealized investment gains contributing to EPS growth
“Booz Allen is on track with the expectations we set for the fiscal year amid challenging market dynamics. We are executing the business well, investing in cyber and defense technologies to accelerate our growth, and transforming at speed.”
Booz Allen Hamilton CEO, on the earnings call
Forward Guidance & Outlook
For fiscal year 2027, Booz Allen maintains its guidance: revenue of $11.2–$11.7 billion (0–4% YoY growth), Adjusted EBITDA of $1,240–$1,290 million (~11% margin), Adjusted Diluted EPS of $6.00–$6.35, and free cash flow of $825–$925 million. Guidance assumes an effective tax rate of 20–23%, average diluted shares outstanding of 118–120 million, and capital expenditures of approximately $220 million ($105 million related to the new headquarters).
BAH YoY Financials
BAH Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.