Booz Allen Hamilton's second quarter adjusted EPS of $1.76 beat estimates by 19% as guidance is raised

Booz Allen Hamilton reported a strong bottom-line performance for the second quarter of fiscal 2027, significantly exceeding earnings expectations despite a 3.9% year-over-year decline in total revenue. While top-line results were impacted by a slowed procurement environment and lower headcount in civil programs, the company achieved margin expansion and robust growth in its National Security portfolio.

Key Highlights

• Adjusted diluted EPS of $1.76 beat the $1.48 analyst estimate by 18.9%, supported by an adjusted EBITDA margin expansion to 11.3%.
• Total backlog grew 1.9% year-over-year to $40.9 billion, with a quarterly book-to-bill ratio of 1.5x signaling future growth potential.
• Management raised full-year fiscal 2027 adjusted diluted EPS guidance to $6.50–$6.70, up from the prior range of $6.00–$6.35.
• National Security revenue excluding billable expenses increased 5.9% year-over-year, reflecting momentum in advanced cyber and defense technology contracts.