Revenue falls 3.9% as backlog stands near $41 billion

On Friday, Booz Allen Hamilton raised its fiscal 2027 adjusted earnings outlook after the company’s second-quarter adjusted result exceeded a FactSet estimate. Booz Allen Hamilton reported $181 million in profit for the three months ended Sept. 30, while revenue fell 3.9% to $2.78 billion.

The profit amounted to $1.50 a share, compared with $175 million, or $1.42 a share, a year earlier. After one-time items were excluded, adjusted earnings reached $1.76 a share. Analysts polled by FactSet had expected $1.48.

Revenue of $2.78 billion came in just below Wall Street models of $2.81 billion. The adjusted earnings figure topped the analyst estimate even as revenue fell short.

Booz Allen Hamilton now expects fiscal 2027 adjusted earnings of $6.50 to $6.70 a share, up from its previous forecast of $6 to $6.35 a share. The raised range came after the company reported higher adjusted quarterly earnings despite lower revenue.

The company narrowed its full-year revenue outlook to between $11.3 billion and $11.6 billion, compared with its previous range of $11.2 billion to $11.7 billion. Analysts were looking for adjusted earnings of $6.34 a share on revenue of $11.42 billion.

Booz Allen Hamilton said its national-security portfolio continued to show momentum. The company said that momentum prompted it to build and scale cyber and defense-technology products, while its civil business was performing in line with expectations.

The Wall Street Journal reported that Booz Allen Hamilton cut thousands of jobs last year as the company faced contract reductions in its civil business. The report also said the Trump administration had cut federal contract spending and pushed consulting companies, including Booz Allen Hamilton, to justify their work and propose substantial cost savings.

At the end of the second quarter, total backlog stood at about $41 billion, up 1.9% from a year earlier. Total headcount was roughly 31,000, down 4.6% from a year earlier.

The Wall Street Journal’s separate market display showed BAH up 4.70%.

Booz Allen Hamilton shares rose 5% to $82.50 in premarket trading.