Booz Allen Hamilton Holding ( BAH ) stock dropped on Friday after it reported fiscal fourth-quarter results.

The company reported quarterly adjusted EPS of $1.61, topping the analyst consensus estimate of $1.59. Quarterly sales of $2.97 billion, up 7.3% year-on-year, missed the street view of $3.03 billion.

The backlog grew by 15.3%, reaching $37.03 billion, while the quarterly book-to-bill ratio stood at 0.71x. Organic revenue grew by 6.2%.

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Booz Allen recorded a quarterly operating income of $274 million, compared with $264 million a year ago.

As of March 31, the client staff headcount had risen by around 1,400 compared to the previous year, marking a 4.5% increase.

Booz Allen exited the quarter with cash and equivalents worth $885 million. Long-term debt, net of the current portion, totals $3.92 billion. BAH announced a quarterly dividend of 55 cents per share.

Chair and CEO Horacio Rozanski said the company used its leading positions in AI and the advanced technology ecosystem to accelerate the administration’s priorities.

Outlook

Booz Allen expects fiscal 2026 revenue of $12.0 billion-$12.5 billion (up by 0%-4.0% Y/Y) versus the analyst consensus estimate of $12.86 billion.

The company expects adjusted EPS of $6.20-$6.55 versus the $6.87 analyst consensus estimate.

The company anticipates an adjusted EBITDA margin of roughly 11% in the fiscal year 2026, and free cash flow of about $700 million to $800 million, much lower than $911 million clocked in the fiscal year 2025.

Price Action: BAH stock is down 15.30% to $109.31 at the last check Friday.

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