CACI International Updates 2014 Guidance; Shares Plummet 9%
CACI International (NYSE: CACI) announced that it has updated its fiscal 2014 guidance. Shares of the leading information solutions and service provider are currently down $6.56 per share, or 8.80 percent, to $68.00.
The company issued a statement Wednesday saying it is revising guidance as a result of the impact of the continued uncertainty its customers are experiencing, despite the passage of the omnibus appropriations bill in January.
The company continued to say that it is continuing to experience delays in contract awards for new business to CACI.
CACI now expects revenue for full year 2014 to range from $3.5 to $3.6 billion. Net income is expected to come in at $130 to $140 million, which includes approximately $13 million related to its acquisition of Six3 Systems.
Ken Asbury, President and Chief Executive Officer said: “Our lower FY14 guidance reflects reduced government spending and delays in award activity. We are disappointed that these factors have not been mitigated by the passing of the 2014 appropriations act, as we had anticipated. However, the operational performance across our company remains strong in this uncertain environment.
"We are seeing results from the strengthening of our business development initiatives, and we are very pleased with the progress of our integration of Six3 Systems and its performance. We remain confident in our market-driven strategy. Our commitment to winning business and delivering solutions and services aligned with our customers' high-priority missions will enable us to continue to provide long-term value to our shareholders.”
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.