Booz Allen (NYSE: BAH) posts FY26 results and sets cautious FY27 outlook
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Booz Allen Hamilton reported fiscal 2026 revenue of $11.2 billion, down 6.4%, as a slower procurement and funding environment reduced headcount and billable expenses. Net income was $851 million, down 9.0%, while Adjusted EBITDA reached $1.23 billion, down 6.5%, with margin steady at 11.0%.
Adjusted diluted EPS rose to $6.51, up 2.5%, and free cash flow increased to $951 million. Backlog grew to $38.2 billion with a trailing twelve‑month book‑to‑bill of 1.1x. For fiscal 2027, the company guides revenue of $11.2–$11.7 billion, Adjusted EBITDA of $1,240–$1,290 million, Adjusted diluted EPS of $6.00–$6.35, and free cash flow of $825–$925 million, assuming a 20–23% tax rate and 118–120 million diluted shares. A quarterly dividend of $0.59 per share is payable on June 26, 2026.
Positive
- None.
Negative
- None.
Insights
Revenue declined but margins, cash flow, and backlog remained solid with cautious FY27 growth guidance.
For fiscal 2026, Booz Allen Hamilton saw revenue fall 6.4% to $11.2 billion and net income drop 9.0% to $851 million, reflecting a slowed procurement and funding environment and lower billable expenses. Despite this, Adjusted EBITDA margin held at 11.0%, indicating disciplined cost management.
Adjusted diluted EPS increased 2.5% to $6.51, supported by lower taxes, share count reductions, and investment gains. Free cash flow rose to $951 million, and backlog reached $38.2 billion with a trailing book‑to‑bill of 1.1x, providing visibility into future work.
Fiscal 2027 guidance calls for flat to low‑single‑digit revenue growth to $11.2–$11.7 billion and Adjusted EBITDA of $1,240–$1,290 million at roughly stable margins, alongside free cash flow of $825–$925 million. The company also highlighted ongoing investments in advanced cyber, AI‑native products, and defense technologies, while noting anticipated Civil portfolio declines from external factors.
8-K Event Classification
3 items: 2.02, 7.01, 9.01
3 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
FY26 Revenue: $11.2 billion
FY26 Net Income: $851 million
FY26 Adjusted EBITDA: $1.23 billion
+5 more
8 metrics
FY26 Revenue
$11.2 billion
Fiscal year ended March 31, 2026; down 6.4% year over year
FY26 Net Income
$851 million
Fiscal year ended March 31, 2026; down 9.0% year over year
FY26 Adjusted EBITDA
$1.23 billion
Fiscal year ended March 31, 2026; down 6.5% year over year
FY26 Adjusted Diluted EPS
$6.51
Fiscal year ended March 31, 2026; up 2.5% year over year
FY26 Free Cash Flow
$951 million
Fiscal year ended March 31, 2026; up 4.4% year over year
Total Backlog
$38.2 billion
As of March 31, 2026; up 3.1% year over year
FY27 Revenue Guidance
$11.2–$11.7 billion
Fiscal 2027 outlook; 0–4.0% revenue growth range
Quarterly Dividend
$0.59 per share
Payable June 26, 2026 to holders of record June 10, 2026
Key Terms
Adjusted EBITDA, Free Cash Flow, Revenue, Excluding Billable Expenses, book-to-bill ratio, +2 more
6 terms
Adjusted EBITDA financial
"Adjusted EBITDA1 of $1.23 billion, a 6.5 percent decrease"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
Free Cash Flow financial
"Free cash flow1 of $951 million, compared to $911 million in the prior year"
Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.
Revenue, Excluding Billable Expenses financial
"Revenue Ex. Billable Expenses $7,767 $8,200 (5.3)%"
book-to-bill ratio financial
"Record Q4 backlog of $38 billion and trailing twelve-month book-to-bill ratio of 1.1x"
The book-to-bill ratio compares the value of new orders a company receives to the value of products it ships out or bills for over a certain period. If the ratio is above 1, it means the company is getting more orders than it is completing, which can indicate growth. If it's below 1, it suggests demand is slowing down.
Net Leverage Ratio financial
"Net Leverage Ratio (d) 2.6 2.4"
The net leverage ratio measures how much debt a company has compared to its available assets or earnings, after accounting for its cash and liquid assets. It helps investors understand how heavily a company relies on borrowed money to finance its operations and growth. A higher ratio indicates greater financial risk, while a lower ratio suggests a more cautious approach to borrowing.
Adjusted Diluted EPS financial
"Adjusted Diluted EPS1 of $6.51, a 2.5 percent increase"
Adjusted diluted EPS is a company’s profit per share after adding back or removing one-time items (like restructuring costs or gains) and dividing by the number of shares including potential shares from options and convertible securities. Investors use it as a cleaner view of ongoing earnings—like looking at a car’s regular fuel efficiency rather than a trip boosted by downhill coasting—to judge underlying performance and compare companies without temporary distortions.
Earnings Snapshot
Revenue: $11.2 billion · Guidance included
Fiscal year ended March 31, 2026
Revenue
$11.2 billion
-6.4% YoY
Net Income
$851 million
-9.0% YoY
Adjusted EBITDA
$1.23 billion
-6.5% YoY
Adjusted Diluted EPS
$6.51
+2.5% YoY
Free Cash Flow
$951 million
+4.4% YoY
Guidance
For fiscal 2027, the company projects revenue of $11.2–$11.7 billion (0–4.0% growth), Adjusted EBITDA of $1,240–$1,290 million, Adjusted diluted EPS of $6.00–$6.35, and free cash flow of $825–$925 million.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
___________________________________
FORM 8-K
___________________________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): May 22, 2026
___________________________________
(Exact name of Registrant as specified in its charter)
___________________________________
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||||||||||||||
| (Address of principal executive offices) | (Zip Code) | |||||||||||||||||||
Registrant’s telephone number, including area code: (703 ) 902-5000
___________________________________
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class | Trading Symbol | Name of Each Exchange on Which Registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
On May 22, 2026, Booz Allen Hamilton Holding Corporation (the “Company”) issued a press release announcing its results of operations for the fiscal year ended March 31, 2026. A copy of the press release is attached hereto as Exhibit 99.1.
The information in this Item 2.02 and Exhibit 99.1 shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in that filing.
Item 7.01 Regulation FD Disclosure.
On May 22, 2026, the Company posted to the “Investor Relations” section of its website the presentation that accompanies the earnings conference call. A copy of the presentation is attached hereto as Exhibit 99.2.
The information in this Item 7.01 and Exhibit 99.2 shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in that filing.
Item 9.01 Financial Statements and Exhibits.
| Exhibit No. | Description | |||||||
| 99.1 | Press Release dated May 22, 2026 | |||||||
| 99.2 | Earnings Conference Call Presentation | |||||||
| 104 | The cover page of this Current Report on Form 8-K, formatted as inline XBRL. | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Booz Allen Hamilton Holding Corporation | |||||
| BY: | /s/ Troy Lahr | ||||
| Troy Lahr | |||||
| Executive Vice President and Chief Financial Officer | |||||
Date: May 22, 2026
McLean, Virginia - May 22, 2026 - Booz Allen Hamilton Holding Corporation (NYSE: BAH), the parent company of advanced technology company Booz Allen Hamilton Inc., today announced results for the fourth quarter and full year of fiscal 2026. Strong profitability, disciplined execution, and strategic investments position the company for improved performance in FY27 Demand accelerating across portfolios; expect continued growth in National Security portfolio while external factors drive anticipated Civil business declines Record Q4 backlog of $38 billion and trailing twelve-month book-to-bill ratio of 1.1x Continued focus on driving critical mission impact with advanced cyber and defense technologies, AI-native products, and outcomes-based delivery "In a challenging year, Booz Allen delivered strong profitability while continuing to accelerate our transformation," said Horacio Rozanski, Booz Allen Chairman and CEO. "We enter FY27 with momentum and are well-positioned for the year ahead. We’re investing in proven growth areas and building tech to create long-term value for our shareholders and our nation.” Q4 Summary • Revenue of $2.8 billion, a 6.4 percent year-over-year decrease ◦ Revenue ex-billables of $1.9 billion, a 6.8 percent decrease • Net Income of $205 million, a 6.2 percent increase • Adjusted Net Income1 of $215 million, a 5.9 percent increase • Adjusted EBITDA1 of $309 million, a 2.2 percent decrease • Adjusted EBITDA Margin on Revenue1 increased by 50 basis points to 11.1% • Adjusted Diluted EPS1 of $1.78, a 10.6 percent increase • Free cash flow1 of $212 million, compared to $194 million in the prior year • 0.9x quarterly book-to-bill ratio • Total backlog of $38 billion, a 3.1 percent increase FY26 Summary • Revenue of $11.2 billion, a 6.4 percent year-over-year decrease ◦ Revenue ex-billables of $7.8 billion, a 5.3 percent decrease • Net Income of $851 million, a 9.0 percent decrease • Adjusted Net Income1 of $797 million, a 2.2 percent decrease • Adjusted EBITDA1 of $1.23 billion, a 6.5 percent decrease • Adjusted EBITDA Margin on Revenue1 remained flat at 11.0% • Adjusted Diluted EPS1 of $6.51, a 2.5 percent increase • Free cash flow1 of $951 million, compared to $911 million in the prior year • 1.1x trailing twelve month book-to-bill ratio • $1.1 billion in total capital deployment A regular quarterly dividend of $0.59 per share will be payable on June 26, 2026, to stockholders of record on June 10, 2026. Booz Allen Hamilton Announces Fourth Quarter and Full Year Fiscal 2026 Results 1 Due to the fiscal 2025 change in rounding presentation to millions, individual quarters may not sum due to rounding. 1 Revenue, Excluding Billable Expenses, Adjusted Net Income, Adjusted EBITDA, Adjusted Diluted EPS, Adjusted EBITDA Margin on Revenue, and Free Cash Flow are non- GAAP financial measures. See "Non-GAAP Financial Information" below for additional details.
2 Three Months Ended March 31, Fiscal Year Ended March 31, 2026 2025 % Change 2026 2025 % Change (unaudited) (unaudited) Revenue $2,783 $2,974 (6.4)% $11,217 $11,980 (6.4)% Revenue Ex. Billable Expenses $1,906 $2,046 (6.8)% $7,767 $8,200 (5.3)% Net Income $205 $193 6.2% $851 $935 (9.0)% Adjusted Net Income $215 $203 5.9% $797 $815 (2.2)% Diluted EPS $1.68 $1.52 10.5% $6.90 $7.25 (4.8)% Adjusted Diluted EPS $1.78 $1.61 10.6% $6.51 $6.35 2.5% EBITDA $305 $316 (3.5)% $1,196 $1,535 (22.1)% Adjusted EBITDA $309 $316 (2.2)% $1,229 $1,315 (6.5)% Adjusted EBITDA Margin on Revenue 11.1% 10.6% +50 bps 11.0% 11.0% — Net Cash Provided by Operating Activities $240 $218 10.1% $1,041 $1,009 3.2% Free Cash Flow $212 $194 9.3% $951 $911 4.4% FINANCIAL SUMMARY 2 Reconciliations omitted in reliance on Item 10(e)(1)(i)(B) of Regulation S-K. See "Non-GAAP Financial Information." 3 Fiscal 2027 Guidance assumes an effective tax rate of 20–23% and average diluted shares outstanding of 118–120 million. 4 Fiscal 2027 Guidance assumes capital expenditures of approximately $220 million, $105 million of which is related to our new headquarters. OPERATING PERFORMANCE FISCAL YEAR 2027 GUIDANCE Revenue $11.2 - $11.7 billion Revenue Growth 0 - 4.0% Adjusted EBITDA $1,240 - $1,290 million Adjusted EBITDA Margin on Revenue ~11% Adjusted Diluted EPS3 $6.00 - $6.35 Free Cash Flow4 $825 - $925 million EARNINGS WEBCAST We will host a live conference call at 8 a.m. EDT on Friday, May 22, 2026, to discuss the financial results for our fourth quarter and full fiscal year 2026. Analysts and institutional investors may participate on the call by registering online at investors.boozallen.com. The conference call will be webcast simultaneously to the public through a link at investors.boozallen.com. This press release, including the reconciliations of certain non-GAAP measures to their nearest comparable GAAP measures, is also available at investors.boozallen.com. A replay of the conference call will also be available on the site beginning at 11 a.m. EDT on Friday, May 22, 2026, and continuing for 12 months. OUTLOOK2 For fiscal year 2027, we expect:
3 ABOUT BOOZ ALLEN HAMILTON Booz Allen is an advanced technology company delivering outcomes with speed for America’s most critical defense, civil, and national security priorities. We build technology solutions using AI, cyber, and other cutting-edge technologies to advance and protect the nation and its citizens. By focusing on outcomes, we enable our people, clients, and their missions to succeed—accelerating the nation to realize our purpose: Empower People to Change the World®. With global headquarters in McLean, Virginia, our company employs approximately 31,500 people globally as of March 31, 2026, and had revenue of $11.2 billion for the 12 months ended March 31, 2026. To learn more, visit www.boozallen.com. (NYSE: BAH) CONTACT INFORMATION Investor Relations Dustin Darensbourg Investor_Relations@bah.com Media Relations Jessica Klenk Klenk_Jessica@bah.com
NON-GAAP FINANCIAL INFORMATION Booz Allen utilizes and discusses in this release Revenue, Excluding Billable Expenses, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, Adjusted Diluted EPS, and Free Cash Flow. While we believe that these non-GAAP financial measures may be useful in evaluating our financial information, they should be considered as supplemental in nature and not as a substitute for financial information prepared in accordance with GAAP. Reconciliations, definitions, and how we believe these measures are useful to management and investors are provided below. Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, Adjusted Diluted EPS, and Free Cash Flow exclude the impact of the items detailed in the supplemental exhibits, as these items are generally not operational in nature. These non-GAAP measures also provide another basis for comparing period to period results by excluding potential differences caused by non-operational and unusual or non-recurring items. “Revenue, Excluding Billable Expenses” represents revenue less billable expenses. Booz Allen uses Revenue, Excluding Billable Expenses because it provides management useful information about the Company’s operating performance by excluding the impact of costs such as subcontractor expenses, travel expenses, and other non-labor expenses incurred to perform on contracts. Billable expenses generally have lower margin and thus are less indicative of our profit generation capacity. "EBITDA” represents net income before income tax expense, interest expense, net and other income (expense), and depreciation and amortization. “Adjusted EBITDA” represents net income before income tax expense, interest expense, net and other income (expense), and depreciation and amortization and before certain other items, including the change in provision for claimed costs for historical rate years, certain other corporate expenses, and certain insurance recoveries. “Adjusted EBITDA Margin on Revenue” is calculated as Adjusted EBITDA divided by revenue. Booz Allen prepares Adjusted EBITDA and Adjusted EBITDA Margin on Revenue to eliminate the impact of items it does not consider indicative of ongoing operating performance due to their inherent unusual, extraordinary or non- recurring nature or because they result from an event of a similar nature. “Adjusted Net Income” represents net income before: (i) the change in provision for claimed costs for historical rate years (ii) certain other corporate expenses, (iii) acquisition amortization, (iv) certain insurance recoveries, (v) gain associated with divestitures, and (vi) amortization or write-off of debt issuance costs and debt discount, in each case net of the tax effect where appropriate calculated using an assumed effective tax rate. Booz Allen prepares Adjusted Net Income to eliminate the impact of items, net of tax, it does not consider indicative of ongoing operating performance due to their inherent unusual, extraordinary or non-recurring nature or because they result from an event of a similar nature. “Adjusted Diluted EPS” represents diluted EPS calculated using Adjusted Net Income as opposed to net income. Additionally, Adjusted Diluted EPS does not contemplate any adjustments to net income as required under the two- class method as disclosed in the footnotes to the consolidated financial statements of the Company's Form 10-K for the fiscal year ended March 31, 2025. "Free Cash Flow" represents the net cash generated from operating activities less the impact of purchases of property, equipment and software. Booz Allen presents these supplemental measures because it believes that these measures provide investors and securities analysts with important supplemental information with which to evaluate Booz Allen’s performance, long-term earnings potential, or liquidity, as applicable.These non-GAAP measurements may vary from and may not be comparable to similarly titled measures by other companies in Booz Allen’s industry. "Adjusted Effective Tax Rate" represents income tax expense (benefit) excluding the income tax effects of adjustments to net income, divided by adjusted earnings before income tax expense. "Net Leverage Ratio" is calculated as net debt (total debt less cash) divided by Adjusted EBITDA over the prior twelve months. Revenue, Excluding Billable Expenses, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, Adjusted Diluted EPS, Free Cash Flow, and Net Leverage Ratio are not recognized measurements under accounting principles generally accepted in the United States, or GAAP, and when analyzing Booz Allen’s performance or liquidity, as applicable, investors should (i) evaluate each adjustment in our reconciliation of revenue to Revenue, Excluding Billable Expenses, net income to Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, and Adjusted Diluted Earnings Per Share, net cash provided by operating activities to Free Cash Flow, and net debt to Net Leverage Ratio, (ii) use Revenue, Excluding Billable Expenses, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, and Adjusted Diluted EPS in addition to, and not as an alternative to, revenue, net income or diluted EPS as measures of operating results, each as defined under GAAP, (iii) use Free Cash Flow and Net Leverage Ratio, in addition to, and not as an alternative to, net cash provided by operating activities as a measure of liquidity, each as defined under GAAP, and (iv) use Net Leverage Ratio in addition to, and not as an alternative to, net debt as a measure of Booz Allen's debt leverage. Exhibit 4 includes a reconciliation of Revenue, Excluding Billable Expenses, Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, Adjusted Diluted EPS, Free Cash Flow and Net Leverage Ratio to the most directly comparable financial measure calculated and presented in accordance with GAAP. With respect to our expectations under “Outlook” above, a reconciliation of Adjusted Diluted EPS guidance to the closest corresponding GAAP measure is not available without unreasonable efforts on a forward- looking basis due to our inability to predict our stock price, equity grants, and dividend declarations during the course of fiscal 2026. Projecting future stock price, equity grants, and the dividends to be declared would be necessary to accurately calculate the difference between Adjusted Diluted EPS and GAAP EPS as a result of the effects of the two-class method and related possible dilution used in the calculation of EPS. Consequently, any attempt to disclose such reconciliation would imply a degree of precision that could be confusing or misleading to investors. We expect the variability of the above charges to have an unpredictable, and potentially significant, impact on our future GAAP financial results. Accordingly, Booz Allen is relying on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K to exclude the reconciliation. In addition, our expectations for Adjusted EBITDA and Adjusted EBITDA Margin on Revenue for fiscal 2026 are presented under "Outlook" above and management may discuss its expectation for Adjusted EBITDA and Adjusted EBITDA Margin on Revenue for fiscal 2026 from time to time. A reconciliation of Adjusted EBITDA and Adjusted EBITDA Margin on Revenue guidance to the closest corresponding GAAP measure is not available without unreasonable efforts on a forward-looking basis due to our inability to predict specific quantification of the amounts that would be required to reconcile such measures. Consequently, any attempt to disclose such reconciliation would imply a degree of precision that could be confusing or misleading to investors. Accordingly, Booz Allen is relying on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K to exclude the reconciliation. 4
FORWARD LOOKING STATEMENTS Certain statements contained in this press release and in related comments by our management include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Examples of forward-looking statements include information concerning Booz Allen’s preliminary financial results, financial outlook and guidance, including forecasted revenue, Diluted EPS, and Adjusted Diluted EPS, future quarterly dividends, and future improvements in operating margins, as well as any other statement that does not directly relate to any historical or current fact. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “could,” “should,” “forecasts,” “expects,” “intends,” “plans,” “anticipates,” “projects,” “outlook,” “believes,” “estimates,” “predicts,” “potential,” “continue,” “preliminary,” or the negative of these terms or other comparable terminology. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we can give you no assurance these expectations will prove to have been correct. These forward-looking statements relate to future events or our future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to differ materially from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. A number of important factors could cause actual results to differ materially from those contained in or implied by these forward-looking statements, including the risks and factors described in our Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC) on May 22, 2026 and in our other filings with the SEC. In light of these risks, uncertainties, and other factors, the forward-looking statements might not prove to be accurate and you should not place undue reliance upon them. All forward-looking statements speak only as of the date made and, except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events, or otherwise. 5
EXHIBIT 1 Booz Allen Hamilton Holding Corporation Consolidated Statements of Operations 6 Three Months Ended March 31, Fiscal Year Ended March 31, (unaudited) (Amounts in millions, except per share data) 2026 2025 2026 2025 Revenue $ 2,783 $ 2,974 $ 11,217 $ 11,980 Operating costs and expenses: Cost of revenue 1,283 1,378 5,305 5,419 Billable expenses 877 928 3,450 3,780 General and administrative expenses 318 352 1,266 1,246 Depreciation and amortization 42 42 163 165 Total operating costs and expenses 2,520 2,700 10,184 10,610 Operating income 263 274 1,033 1,370 Interest expense, net (45) (43) (184) (168) Other income (expense) 8 11 13 17 Income before income taxes 226 242 862 1,219 Income tax expense 21 49 11 284 Net income $ 205 $ 193 $ 851 $ 935 Earnings per common share: Basic $ 1.69 $ 1.53 $ 6.92 $ 7.28 Diluted $ 1.68 $ 1.52 $ 6.90 $ 7.25
EXHIBIT 2 Booz Allen Hamilton Holding Corporation Consolidated Balance Sheets (Amounts in millions, except share and per share data) March 31, 2026 March 31, 2025 Assets Current assets: Cash and cash equivalents $ 728 $ 885 Accounts receivable, net 2,063 2,271 Prepaid expenses and other current assets 170 157 Total current assets 2,961 3,313 Property and equipment, net of accumulated depreciation 171 177 Operating lease right-of-use assets 147 178 Intangible assets, net of accumulated amortization 509 563 Goodwill 2,399 2,405 Deferred tax assets 294 332 Other long-term assets 637 344 Total assets $ 7,118 $ 7,312 Liabilities and stockholders' equity Current liabilities: Current portion of long-term debt $ 19 $ 83 Accounts payable and other accrued expenses 909 987 Accrued compensation and benefits 641 702 Operating lease liabilities 43 41 Other current liabilities 51 33 Total current liabilities 1,663 1,846 Long-term debt, net of current portion 3,921 3,915 Operating lease liabilities, net of current portion 139 180 Other long-term liabilities 290 368 Total liabilities 6,013 6,309 Stockholders’ equity: Common stock, Class A — $0.01 par value — authorized, 600,000,000 shares; issued, 169,805,201 shares at March 31, 2026 and 168,522,544 shares at March 31, 2025; outstanding, 120,341,320 shares at March 31, 2026 and 124,879,004 shares at March 31, 2025 2 2 Treasury stock, at cost — 49,463,881 shares at March 31, 2026 and 43,643,540 shares at March 31, 2025 (3,673) (3,082) Additional paid-in capital 1,155 1,042 Retained earnings 3,644 3,070 Accumulated other comprehensive loss (23) (29) Total stockholders’ equity 1,105 1,003 Total liabilities and stockholders’ equity $ 7,118 $ 7,312 7
EXHIBIT 3 Booz Allen Hamilton Holding Corporation Consolidated Statements of Cash Flows Fiscal Year Ended March 31, (Amounts in millions) 2026 2025 Cash flows from operating activities Net income $ 851 $ 935 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 163 165 Noncash lease expense 51 50 Stock-based compensation expense 69 94 Deferred income taxes 35 (91) Net gains on investments, dispositions, and other (16) (16) Changes in assets and liabilities: Accounts receivable, net 207 (206) Income taxes receivable / payable (11) (31) Prepaid expenses and other current and long-term assets (43) 1 Accrued compensation and benefits (60) 207 Accounts payable and other accrued expenses (86) (66) Other current and long-term liabilities (119) (33) Net cash provided by operating activities 1,041 1,009 Cash flows from investing activities Purchases of property, equipment, and software (90) (98) Proceeds from (payments for) business dispositions and acquisitions, net of cash acquired 22 (97) Net payments for investments (232) (23) Net cash used in investing activities (300) (218) Cash flows from financing activities Proceeds from issuance of common stock 45 38 Repurchases of common stock (598) (812) Cash dividends paid (276) (268) Proceeds from revolving credit facility — 200 Repayments on revolving credit facility, term loans, and Senior Notes (62) (262) (Payments for)/net proceeds from debt refinancing and issuance (7) 644 Net cash used in financing activities (898) (460) Net (decrease) increase in cash and cash equivalents (157) 331 Cash and cash equivalents––beginning of year 885 554 Cash and cash equivalents––end of year $ 728 $ 885 Supplemental disclosures of cash flow information Net cash paid during the period for: Interest $ 191 $ 186 Supplemental disclosures of non-cash investing and financing activities Share repurchases transacted but not settled and paid $ 16 $ 22 Unpaid property, equipment and software purchases $ 8 $ 9 8
EXHIBIT 4 Booz Allen Hamilton Holding Corporation Non-GAAP Financial Information (UNAUDITED) Three Months Ended March 31, Fiscal Year Ended March 31, (In millions, except share and per share data) 2026 2025 2026 2025 Revenue, Excluding Billable Expenses Revenue $ 2,783 $ 2,974 $ 11,217 $ 11,980 Less: Billable expenses 877 928 3,450 3,780 Revenue, Excluding Billable Expenses* $ 1,906 $ 2,046 $ 7,767 $ 8,200 EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin on Revenue Net income $ 205 $ 193 $ 851 $ 935 Income tax expense 21 49 11 284 Interest expense, net and other income (expense) 37 32 171 151 Depreciation and amortization 42 42 163 165 EBITDA $ 305 $ 316 $ 1,196 $ 1,535 Change in provision for claimed costs (a) — — — (113) Other corporate expenses (b) 4 — 33 8 Insurance recoveries (c) — — — (115) Adjusted EBITDA $ 309 $ 316 $ 1,229 $ 1,315 Net income margin 7.4 % 6.5 % 7.6 % 7.8 % Adjusted EBITDA Margin on Revenue 11.1 % 10.6 % 11.0 % 11.0 % Adjusted Net Income Net income $ 205 $ 193 $ 851 $ 935 Change in provision for claimed costs (a) — — — (113) Other corporate expenses (b) 4 — 33 8 Insurance recoveries (c) — — — (115) Acquisition amortization (d) 12 13 48 54 Amortization or write-off of debt issuance costs and debt discount — 1 — 4 Gain associated with divestitures (e) — — (7) — Adjustments for tax effect (f) (6) (4) (128) 42 Adjusted Net Income $ 215 $ 203 $ 797 $ 815 Adjusted Diluted Earnings Per Share Weighted-average number of diluted shares outstanding 120,738,749 126,255,581 122,375,151 128,290,417 Diluted earnings per share $ 1.68 $ 1.52 $ 6.90 $ 7.25 Adjusted Net Income Per Diluted Share $ 1.78 $ 1.61 $ 6.51 $ 6.35 Free Cash Flow Net cash provided by operating activities $ 240 $ 218 $ 1,041 $ 1,009 Less: Purchases of property, equipment and software (28) (24) (90) (98) Free Cash Flow $ 212 $ 194 $ 951 $ 911 * Revenue, Excluding Billable Expenses includes $113 million of revenue for the fiscal year ended March 31, 2025 resulting from the reduction to our provision for claimed costs as noted below. 9 (a) Represents the reduction to our provision for claimed costs for years prior to fiscal 2025 recorded during the second quarter of fiscal 2025, which resulted in a corresponding increase to revenue, as a result of the Defense Contract Audit Agency's findings related to its audits of our claimed costs for multiple fiscal years. See Note 19, “Commitments and Contingencies,” to the consolidated financial statements in the Company's Form 10-K for the fiscal year ended March 31, 2025 for further information. (b) In fiscal 2026, other corporate expenses consist primarily of nonrecoverable costs associated with employee severance from cost management and restructuring initiatives, transaction costs associated with a divestiture, and acquisition related costs associated with the acquisition of Defy Security, which closed in the first quarter of fiscal 2027. See Note 20, “Supplemental Consolidated Financial Information,” and Note 21, "Subsequent Events," to the consolidated financial statements for further information. In fiscal 2025, other corporate expenses consist primarily of acquisition related costs from the acquisition of PAR Government Systems Corporation (“PGSC”). (c) Reflects insurance recoveries from claims related to the Company’s fiscal 2024 settlement as described in Note 20, “Commitments and Contingencies,” to the consolidated financial statements contained within the Annual Report on Form 10-K for the fiscal year ended March 31, 2024. (d) Amortization expense associated with acquired intangibles from acquisitions. (e) Represents the gain recognized on the divestiture of a group of contracts in the third quarter of fiscal 2026. (f) Reflects the tax effect of adjustments at an assumed effective tax rate of 26%, which approximates the blended federal and state tax rates, and consistently excludes the impact of other tax credits and incentive benefits realized. The tax effect of certain discrete items is calculated specifically and may vary from the general 26% rate. The year to date tax effect also includes the one-time benefit stemming from the favorable agreement reached with the IRS, resulting in $86 million in release of tax reserves and $24 million (net of tax effect) for the accrual of interest income on the income tax receivable. See Note 13, "Income Taxes," to the consolidated financial statements for further information.
EXHIBIT 4 Booz Allen Hamilton Holding Corporation Non-GAAP Financial Information (Continued) (UNAUDITED) Fiscal Year Ended March 31, 2026 Fiscal Year Ended March 31, 2025 (In millions, except share and per share data) Net income $ 851 $ 935 Income tax expense 11 284 Interest expense, net and other income (expense) 171 151 Depreciation and amortization 163 165 EBITDA $ 1,196 $ 1,535 Change in provision for claimed costs (a) — (113) Other corporate expenses (b) 33 8 Insurance recoveries (c) — (115) Last 12 months Adjusted EBITDA $ 1,229 $ 1,315 Total Debt $ 3,940 $ 3,998 Less: Cash 728 885 Net Debt $ 3,212 $ 3,113 Net Leverage Ratio (d) 2.6 2.4 10 (a) Represents the reduction to our provision for claimed costs for years prior to fiscal 2025 recorded during the second quarter of fiscal 2025, which resulted in a corresponding increase to revenue, as a result of the Defense Contract Audit Agency's findings related to its audits of our claimed costs for multiple fiscal years. See Note 19, “Commitments and Contingencies,” to the consolidated financial statements in the Company's Form 10-K for the fiscal year ended March 31, 2025 for further information. (b) In fiscal 2026, other corporate expenses consist primarily of nonrecoverable costs associated with employee severance from cost management and restructuring initiatives, transaction costs associated with a divestiture, and acquisition related costs associated with the acquisition of Defy Security, which closed in the first quarter of fiscal 2027. See Note 20, “Supplemental Consolidated Financial Information,” and Note 21, "Subsequent Events," to the consolidated financial statements for further information. In fiscal 2025, other corporate expenses consist primarily of acquisition related costs from the acquisition of PAR Government Systems Corporation (“PGSC”). (c) Reflects insurance recoveries from claims related to the Company’s fiscal 2024 settlement as described in Note 20, “Commitments and Contingencies,” to the consolidated financial statements contained within the Annual Report on Form 10-K for the fiscal year ended March 31, 2024. (d) "Net Leverage Ratio" is calculated as net debt (total debt less cash) divided by Adjusted EBITDA over the prior twelve months.
EXHIBIT 5 Booz Allen Hamilton Holding Corporation Operating Data (UNAUDITED) Backlog: As of March 31, (Amounts in millions) 2026 2025 Funded $ 4,319 $ 4,421 Unfunded 10,183 8,804 Priced options 23,685 23,802 Total backlog $ 38,187 $ 37,027 Book-to-Bill (1): Three Months Ended March 31, Trailing Twelve Months Ended December 31, 2026 2025 2026 2025 0.9x 0.7x 1.1x 1.4x (1) Book-to-bill is calculated as net bookings, which represents the change in total backlog during the relevant fiscal period plus the relevant fiscal period revenue, divided by the relevant fiscal period revenue. Headcount As of March 31, (Amounts are rounded) 2026 2025 Total Headcount 31,500 35,800 Customer Staff Headcount 28,800 32,700 Revenue by Customer Type Three Months Ended March 31, Fiscal Year Ended March 31, 2026 2025 2026 2025 Defense $ 1,518 $ 1,527 $ 6,069 $ 5,943 Intelligence 499 458 1,900 1,867 Civil 766 989 3,248 4,170 Total Revenue $ 2,783 $ 2,974 $ 11,217 $ 11,980 Percentage of Total Revenue by Contract Type Three Months Ended March 31, Fiscal Year Ended March 31, 2026 2025 2026 2025 Cost-Reimbursable 58% 59% 59% 57% Time-and-Materials 23% 22% 22% 23% Fixed-Price 19% 19% 19% 20% 11
Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com OK TO WORK DESIGN Booz Allen Hamilton Internal ri t ll ilt I . 6 Q4 FY26 EARNINGS CALL PRESENTATION MAY 22, 2026
2Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com6 PARTICIPANTS EARNINGS CALL PARTICIPANTS HORACIO ROZANSKI Chairman, Chief Executive Officer KRISTINE MARTIN ANDERSON President, Chief Operating Officer TROY LAHR Executive Vice President, Chief Financial Officer DUSTIN DARENSBOURG Head of Investor Relations
3Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Booz Allen Hamilton Restricted Disclaimer DISCLAIMER 6 Forward Looking Safe Harbor Statement Certain statements contained in this presentation and in related comments by our management include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Examples of forward- looking statements include information concerning Booz Allen’s preliminary financial results, financial outlook and guidance, including forecasted revenue, Adjusted EBITDA, Diluted EPS, Adjusted Diluted EPS, future quarterly dividends, and future improvements in operating margins, as well as any other statement that does not directly relate to any historical or current fact. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “could,” “should,” “forecasts,” “expects,” “intends,” “plans,” “anticipates,” “projects,” “outlook,” “believes,” “estimates,” “predicts,” “potential,” “continue,” “preliminary,” or the negative of these terms or other comparable terminology. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we can give you no assurance these expectations will prove to have been correct. These forward-looking statements relate to future events or our future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. A number of important factors could cause actual results to differ materially from those contained in or implied by these forward-looking statements, including those factors discussed in our filings with the Securities and Exchange Commission (SEC), including our Annual Report on Form 10-K for the fiscal year ended March 31, 2026, which can be found at the SEC’s website at www.sec.gov. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the foregoing cautionary statements. All such statements speak only as of the date made and, except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise. Booz Allen’s fiscal year ends on March 31 and unless otherwise noted, references to fiscal year, fiscal or FY are for fiscal years ended March 31. Note Regarding Non-GAAP Financial Data Information Booz Allen discloses Revenue, Excluding Billable Expenses, Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, Adjusted Diluted EPS, Free Cash Flow, and Net Leverage Ratio, which are not recognized measurements under accounting principles generally accepted in the United States, or GAAP, and when analyzing Booz Allen’s performance or liquidity as applicable, investors should (i) evaluate each adjustment in our reconciliation of revenue to Revenue, Excluding Billable Expenses, net income attributable to common stockholders to Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income and Adjusted Diluted EPS, net cash used in operating activities to Free Cash Flow, and net debt to Net Leverage Ratio, and the explanatory footnotes regarding those adjustments, each as defined under GAAP, (ii) use Revenue, Excluding Billable Expenses, Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, and Adjusted Diluted EPS in addition to, and not as an alternative to, revenue, operating income, net income attributable to common stockholders or diluted EPS as measures of operating results, each as defined under GAAP, (iii) use Free Cash Flow in addition to, and not as an alternative to, net cash used in operating activities as a measure of liquidity, each as defined under GAAP, and (iv) use Net Leverage Ratio in addition to, and not as an alternative to, net debt as a measure of Booz Allen's debt leverage. The Appendix includes a reconciliation of Revenue, Excluding Billable Expenses, Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, Adjusted Net Income, Adjusted Diluted EPS, Free Cash Flow and Net Leverage Ratio to the most directly comparable financial measure calculated and presented in accordance with GAAP. Booz Allen presents these supplemental performance measures because it believes that these measures provide investors and securities analysts with important supplemental information with which to evaluate Booz Allen’s performance, long term earnings potential, or liquidity, as applicable, and to enable them to assess Booz Allen’s performance on the same basis as management. These supplemental performance and liquidity measurements may vary from and may not be comparable to similarly titled measures by other companies in Booz Allen’s industry. With respect to our expectations under “Financial Outlook", reconciliation of Adjusted Diluted EPS guidance, Adjusted EBITDA, and Adjusted EBITDA Margin on Revenue, and Adjusted Effective Tax Rate to the closest corresponding GAAP measure is not available without unreasonable efforts on a forward-looking basis due to our inability to predict our stock price, equity grants and dividend declarations with respect to Adjusted Diluted EPS, and our net income, net interest and other expenses with respect to Adjusted EBITDA, Adjusted EBITDA Margin on Revenue, and Adjusted Effective Tax Rate, during the course of fiscal 2026. With respect to Adjusted Diluted EPS guidance, projecting future stock price, equity grants and dividends to be declared would be necessary to accurately calculate the difference between Adjusted Diluted EPS and GAAP EPS as a result of the effects of the two-class method and related possible dilution used in the calculation of EPS. Consequently, any attempt to disclose such reconciliation would imply a degree of precision that could be confusing or misleading to investors. We expect the variability of the above charges to have an unpredictable, and potentially significant, impact on our future GAAP financial results. For the same reason, a reconciliation of Adjusted EBITDA and Adjusted EBITDA Margin on Revenue guidance for fiscal 2026, of Adjusted EBITDA guidance through fiscal 2026, and of Adjusted Effective Tax Rate guidance through fiscal 2026 to the closest corresponding GAAP measures are not available without unreasonable efforts on a forward-looking basis due to our inability to predict specific quantifications of the amounts that would be required to reconcile such measures. Accordingly, Booz Allen is relying on the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K to exclude these reconciliations.
4Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com KEY TAKEAWAYS 6 "As we enter Fiscal Year 2027, I am optimistic about the opportunities ahead. We have momentum and focus, and we are investing to accelerate our growth." — Horacio Rozanski (Chairman & Chief Executive Officer) Delivered strong profitability with solid execution Continuing to invest in advanced technologies National Security remains a growth driver Civil gaining momentum in a challenging market Cyber and Defense Tech are strong growth vectors
5Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com BY THE NUMBERS 6 REVENUE $ $11.2B ADJUSTED EBITDA %(1) 11.0% ADJUSTED DILUTED EPS(1) $6.51 FREE CASH FLOW(1) $951M LTM BOOK-TO-BILL 1.1x RETURN TO SHAREHOLDERS $837M BACKLOG $38.2B STRATEGIC CAPITAL DEPLOYMENT $234M Fiscal Year 2026 Financial Results (1) Reconciliations of Adjusted EBITDA, Adjusted Diluted EPS, and Free Cash Flow can be found in the Appendix, beginning on slide 10. ADJUSTED EBITDA $(1) $1.23B
6Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com $194 $212 Q4 FY25 Q4 FY26 $2,974 $2,783 Q4 FY25 Q4 FY26 $1.61 $1.78 Q4 FY25 Q4 FY26 $316 $309 10.6% 11.1% Q4 FY25 Q4 FY26 Revenue • Market bifurcation remains with continued growth in National Security; Civil still working through challenging comps • Strong profitability driven by contract execution and disciplined cost management • Double digit Adj. EPS growth driven by lower tax and share count along with unrealized investment gains • Robust free cash flow generation supported by billing efficiencies and strong collections • 0.9x quarterly book-to-bill, 1.1x LTM book- to-bill • Backlog up 3% YoY to $38B KEY FINANCIAL RESULTS Q4 Summary Financial Results 6 Adjusted EBITDA Adjusted Diluted EPS Free Cash Flow (6.4)% (2.2)% +9.3%+10.6% +50 bps
7Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Deploying Capital for Value Creation CAPITAL DEPLOYMENT 6 $219M Strategic Investments Made In Fourth Quarter 2.6x Net Leverage Ratio(1) (1) Reconciliation of Net Leverage can be found in the Appendix, on slide 16. $147M Returned to Shareholders In Fourth Quarter >$2.2B Substantial Liquidity Creates Optionality DEPLOYING INVESTMENT ACROSS OUR KEY GROWTH VECTORS STRONG CASH FLOW SUPPORTING SHAREHOLDER RETURNS STRONG BALANCE SHEET AND LIQUIDITY Flexible and Opportunistic Capital Deployment Strategy
8Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com REVENUE $ $11.2 -$11.7B FINANCIAL OUTLOOK Initiating FY27 Guidance (YoY Growth of 0 – 4.0%) 6 ADJUSTED EBITDA $1,240 - $1,290M ADJUSTED DILUTED EPS $6.00 - $6.35 FREE CASH FLOW $825 - $925M Assumptions Effective Tax Rate: 20 - 23% Average Diluted Share Count: 118M - 120M Capital Expenditures: $220M, $105M of which is related to our new headquarters Reconciliations omitted in reliance on Item 10(e)(1)(i)(B) of Regulation S-K. See "Non-GAAP Financial Information." (Margin of ~11%)
9Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com FY27 ADEPS Bridge FINANCIAL OUTLOOK 6 (1) Tax-affected at statutory rate of 26.0% Adjusted Earnings Per Share (ADEPS) FY26 ADEPS as Reported $6.51 (-) Unrealized Gains on Other Venture Investments(1) $(0.11) (-) Non-Recurring Portion of R&D Tax Credit Benefit $(0.50) FY26 ADEPS Excluding Above Items $5.90 FY27 ADEPS Guidance $6.00 - $6.35 YoY Growth 2% - 8%
10Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Booz Allen Hamilton Restricted APPENDIX 6
11Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com FOURTH QUARTER (1) FISCAL YEAR 2026 (3/31/26) (1) Revenue $2.8 billion (6.4)% $11.2 billion (6.4)% Revenue, Excluding Billable Expenses $1.9 billion (6.8)% $7.8 billion (5.3)% Net Income $205 million +6.2% $851 million (9.0)% Adjusted EBITDA (2) $309 million (2.2)% $1,229 million (6.5)% Adjusted EBITDA Margin on Revenue (2) 11.1% +50 bps 11.0% — Adjusted Net Income $215 million +5.9% $797 million (2.2)% Diluted EPS $1.68 +10.5% $6.90 (4.8)% Adjusted Diluted EPS $1.78 +10.6% $6.51 +2.5% Net Cash Provided by Operating Activities $240 million +10.1% $1,041 million +3.2% Booz Allen Hamilton Restricted Q4 and Fiscal 2026 Results KEY FINANCIAL RESULTS 6 (1) Comparisons are to prior fiscal year period. (2) Reconciliations of Adjusted EBITDA and Adjusted EBITDA Margin on Revenue can be found on Slide 13. Net income margin was 7.4% and 7.6% for the three and twelve months ended March 31, 2026.
12Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Booz Allen Hamilton Restricted Non-GAAP Financial Information DISCLAIMER 6 • “Revenue, Excluding Billable Expenses” represents revenue less billable expenses. Booz Allen uses Revenue, Excluding Billable Expenses because it provides management useful information about the Company’s operating performance by excluding the impact of costs such as subcontractor expenses, travel expenses, and other non-labor expenses incurred to perform on contracts. Billable expenses generally have lower margin and thus are less indicative of our profit generation capacity. • "EBITDA” represents net income before income tax expense, interest expense, net and other income (expense), and depreciation and amortization. • “Adjusted EBITDA” represents net income before income tax expense, interest expense, net and other income (expense), and depreciation and amortization and before certain other items, including the change in provision for claimed costs for historical rate years, certain other corporate expenses, and certain insurance recoveries. “Adjusted EBITDA Margin on Revenue” is calculated as Adjusted EBITDA divided by revenue. Booz Allen prepares Adjusted EBITDA and Adjusted EBITDA Margin on Revenue to eliminate the impact of items it does not consider indicative of ongoing operating performance due to their inherent unusual, extraordinary or non-recurring nature or because they result from an event of a similar nature. • “Adjusted Net Income” represents net income before: (i) the change in provision for claimed costs for historical rate years (ii) certain other corporate expenses, (iii) acquisition amortization, (iv) certain insurance recoveries, (v) gain associated with divestitures, and (vi) amortization or write-off of debt issuance costs and debt discount, in each case net of the tax effect where appropriate calculated using an assumed effective tax rate. Booz Allen prepares Adjusted Net Income to eliminate the impact of items, net of tax, it does not consider indicative of ongoing operating performance due to their inherent unusual, extraordinary or non-recurring nature or because they result from an event of a similar nature. • “Adjusted Diluted EPS” represents diluted EPS calculated using Adjusted Net Income as opposed to net income. Additionally, Adjusted Diluted EPS does not contemplate any adjustments to net income as required under the two-class method as disclosed in the footnotes to the consolidated financial statements of the Company's Form 10-K for the fiscal year ended March 31, 2025. • "Free Cash Flow" represents the net cash generated from operating activities less the impact of purchases of property, equipment and software. • "Adjusted Effective Tax Rate" represents income tax expense (benefit) excluding the income tax effects of adjustments to net income, divided by adjusted earnings before income tax expense • "Net Leverage Ratio" is calculated as net debt (total debt less cash) divided by Adjusted EBITDA over the prior twelve months.
13Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Booz Allen Hamilton Restricted Non-GAAP Financial Information (Unaudited) FINANCIAL INFORMATION 6 Three Months Ended March 31, Fiscal Year Ended March 31, (In millions, except share and per share data) 2026 2025 2026 2025 Revenue, Excluding Billable Expenses Revenue $ 2,783 $ 2,974 $ 11,217 $ 11,980 Less: Billable expenses 877 928 3,450 3,780 Revenue, Excluding Billable Expenses* $ 1,906 $ 2,046 $ 7,767 $ 8,200 EBITDA, Adjusted EBITDA, and Adjusted EBITDA Margin on Revenue Net income $ 205 $ 193 $ 851 $ 935 Income tax expense 21 49 11 284 Interest expense, net and other income (expense) 37 32 171 151 Depreciation and amortization 42 42 163 165 EBITDA $ 305 $ 316 $ 1,196 $ 1,535 Change in provision for claimed costs (a) — — — (113) Other corporate expenses (b) 4 — 33 8 Insurance recoveries (c) — — — (115) Adjusted EBITDA $ 309 $ 316 $ 1,229 $ 1,315 Net income margin 7.4 % 6.5 % 7.6 % 7.8 % Adjusted EBITDA Margin on Revenue 11.1 % 10.6 % 11.0 % 11.0 % * Revenue, Excluding Billable Expenses includes $113 million of revenue for the fiscal year ended March 31, 2025 resulting from the reduction to our provision for claimed costs as noted below. Due to the fiscal 2025 change in rounding presentation to millions, individual quarters may not sum due to rounding.
14Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Booz Allen Hamilton Restricted Non-GAAP Financial Information (Unaudited) FINANCIAL INFORMATION 6 Three Months Ended March 31, Fiscal Year Ended March 31, (In millions, except share and per share data) 2026 2025 2026 2025 Adjusted Net Income Net income $ 205 $ 193 $ 851 $ 935 Change in provision for claimed costs (a) — — — (113) Other corporate expenses (b) 4 — 33 8 Insurance recoveries (c) — — — (115) Acquisition amortization (d) 12 13 48 54 Amortization or write-off of debt issuance costs and debt discount — 1 — 4 Gain associated with divestitures (e) — — (7) — Adjustments for tax effect (f) (6) (4) (128) 42 Adjusted Net Income $ 215 $ 203 $ 797 $ 815 Adjusted Diluted Earnings per Share Weighted-average number of diluted shares outstanding 120,738,749 126,255,581 122,375,151 128,290,417 Diluted earnings per share $ 1.68 $ 1.52 $ 6.90 $ 7.25 Adjusted Net Income Per Diluted Share $ 1.78 $ 1.61 $ 6.51 $ 6.35 Free Cash flow Net cash provided by operating activities $ 240 $ 218 $ 1,041 $ 1,009 Less: Purchases of property, equipment and software (28) (24) (90) (98) Free Cash Flow $ 212 $ 194 $ 951 $ 911
15Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Booz Allen Hamilton Restricted Non-GAAP Financial Information DISCLAIMER 6 (a) Represents the reduction to our provision for claimed costs for years prior to fiscal 2025 recorded during the second quarter of fiscal 2025, which resulted in a corresponding increase to revenue, as a result of the Defense Contract Audit Agency's findings related to its audits of our claimed costs for multiple fiscal years. See Note 19, “Commitments and Contingencies,” to the consolidated financial statements in the Company's Form 10-K for the fiscal year ended March 31, 2025 for further information. (b) In fiscal 2026, other corporate expenses consist primarily of nonrecoverable costs associated with employee severance from cost management and restructuring initiatives, transaction costs associated with a divestiture, and acquisition related costs associated with the acquisition of Defy Security, which closed in the first quarter of fiscal 2027. See Note 20, “Supplemental Consolidated Financial Information,” and Note 21, "Subsequent Events," to the consolidated financial statements for further information. In fiscal 2025, other corporate expenses consist primarily of acquisition related costs from the acquisition of PAR Government Systems Corporation (“PGSC”). (c)Reflects insurance recoveries from claims related to the Company’s fiscal 2024 settlement as described in Note 20, “Commitments and Contingencies,” to the consolidated financial statements contained within the Annual Report on Form 10-K for the fiscal year ended March 31, 2024. (d) Amortization expense associated with acquired intangibles from acquisitions. (e) Represents the gain recognized on the divestiture of a group of contracts in the third quarter of fiscal 2026. (f) Reflects the tax effect of adjustments at an assumed effective tax rate of 26%, which approximates the blended federal and state tax rates, and consistently excludes the impact of other tax credits and incentive benefits realized. The tax effect of certain discrete items is calculated specifically and may vary from the general 26% rate. The year to date tax effect also includes the one- time benefit stemming from the favorable agreement reached with the IRS, resulting in $86 million in release of tax reserves and $24 million (net of tax effect) for the accrual of interest income on the income tax receivable. See Note 13, "Income Taxes," to the consolidated financial statements for further information.
16Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Booz Allen Hamilton Restricted Non-GAAP Financial Information (Unaudited) FINANCIAL INFORMATION 6 (a) Represents the reduction to our provision for claimed costs for years prior to fiscal 2025 recorded during the second quarter of fiscal 2025, which resulted in a corresponding increase to revenue, as a result of the Defense Contract Audit Agency's findings related to its audits of our claimed costs for multiple fiscal years. See Note 19, “Commitments and Contingencies,” to the consolidated financial statements in the Company's Form 10-K for the fiscal year ended March 31, 2025 for further information. (b)In fiscal 2026, other corporate expenses consist primarily of nonrecoverable costs associated with employee severance from cost management and restructuring initiatives, transaction costs associated with a divestiture, and acquisition related costs associated with the acquisition of Defy Security, which closed in the first quarter of fiscal 2027. See Note 20, “Supplemental Consolidated Financial Information,” and Note 21, "Subsequent Events," to the consolidated financial statements for further information. In fiscal 2025, other corporate expenses consist primarily of acquisition related costs from the acquisition of PAR Government Systems Corporation (“PGSC”). (c) Reflects insurance recoveries from claims related to the Company’s fiscal 2024 settlement as described in Note 20, “Commitments and Contingencies,” to the consolidated financial statements contained within the Annual Report on Form 10-K for the fiscal year ended March 31, 2024. (d) "Net Leverage Ratio" is calculated as net debt (total debt less cash) divided by Adjusted EBITDA over the prior twelve months. (In thousands, except share and per share data) Fiscal Year Ended March 31, 2026 Fiscal Year Ended March 31, 2025 Net income $ 851 $ 935 Income tax expense 11 284 Interest expense, net and other income (expense) 171 151 Depreciation and amortization 163 165 EBITDA $ 1,196 $ 1,535 Change in provision for claimed costs (a) — (113) Other corporate expenses (b) 33 8 Insurance recoveries (c) — (115) Last 12 months Adjusted EBITDA $ 1,229 $ 1,315 Total Debt $ 3,940 $ 3,998 Less: Cash 728 885 Net Debt $ 3,212 $ 3,113 Net Leverage Ratio (d) 2.6 2.4
17Copyright © Booz Allen Hamilton Inc. 2025 www.boozallen.com Booz Allen Hamilton Restricted Financial Results – Key Drivers FINANCIAL INFORMATION 6 Fourth Quarter Fiscal 2026 – Below is a summary of the key factors driving results for the fiscal 2026 fourth quarter ended March 31, 2026 as compared to the prior year period: • Revenue decreased 6.4% to $2.8 billion, primarily driven by the impact of a slowed procurement and funding environment. These factors drove a decrease in headcount, as well as a decline in billable expenses. • EBITDA decreased to $305 million from $316 million. These changes were primarily due to the factors described impacting revenue, partially offset by strong contract execution and disciplined cost management. • Net income increased to $205 million from $193 million, primarily driven by lower income tax expense and a gain on the sale of contracts, partially offset by the factors noted above and higher net interest expense. • Diluted EPS increased to $1.68 from $1.52, driven by the same factors noted above in net income and a reduction in share count. • Net cash provided by operating activities was $240 million for the quarter ended March 31, 2026, as compared to $218 million in the prior year, primarily driven by working capital management and lower tax payments as compared to the prior year.
FAQ
How did Booz Allen Hamilton (BAH) perform financially in fiscal 2026?
Booz Allen Hamilton reported fiscal 2026 revenue of $11.2 billion, down 6.4%, and net income of $851 million, down 9.0%. Adjusted EBITDA was $1.23 billion with an 11.0% margin, while adjusted diluted EPS rose 2.5% to $6.51 and free cash flow reached $951 million.
What were Booz Allen Hamilton’s (BAH) fourth quarter 2026 results?
In Q4 fiscal 2026, Booz Allen Hamilton generated $2.8 billion in revenue, down 6.4% year over year. Net income was $205 million, up 6.2%, with adjusted EBITDA of $309 million and an adjusted EBITDA margin of 11.1%. Adjusted diluted EPS increased to $1.78, and free cash flow was $212 million.
What guidance did Booz Allen Hamilton (BAH) give for fiscal year 2027?
For fiscal 2027, Booz Allen Hamilton expects revenue of $11.2–$11.7 billion, implying 0–4% growth. The company guides adjusted EBITDA of $1,240–$1,290 million, adjusted diluted EPS of $6.00–$6.35, and free cash flow of $825–$925 million, assuming a 20–23% effective tax rate.
How strong is Booz Allen Hamilton’s (BAH) backlog and book-to-bill ratio?
As of March 31, 2026, Booz Allen Hamilton reported total backlog of $38.2 billion, up 3.1% year over year. The trailing twelve‑month book‑to‑bill ratio was 1.1x, indicating that contract awards exceeded revenue over the period, while Q4 book‑to‑bill stood at 0.9x.
What did Booz Allen Hamilton (BAH) report about cash flow and leverage?
For fiscal 2026, Booz Allen Hamilton generated $1,041 million in net cash from operating activities and $951 million in free cash flow. Total debt was $3,940 million and cash $728 million, resulting in net debt of $3,212 million and a net leverage ratio of 2.6x based on adjusted EBITDA.
Is Booz Allen Hamilton (BAH) paying a dividend following its FY26 results?
Yes. Booz Allen Hamilton declared a regular quarterly dividend of $0.59 per share, payable on June 26, 2026, to stockholders of record on June 10, 2026. This dividend follows a fiscal year in which the company generated $951 million in free cash flow.