Booz Allen Hamilton posts second-quarter profit above estimates and revenue below them

Booz Allen Hamilton reported second-quarter earnings per share (EPS, profit for each share) of $1.76. That was $0.25 above expectations. Revenue came in at $2.78 billion, short of the $2.84 billion expected.

The gap points to profit rather than sales. In the first quarter, revenue fell 4.2 per cent from a year earlier, while adjusted diluted EPS rose 22.3 per cent. The second quarter follows the same pattern, with costs and margins doing more of the work than top-line growth.

The company raised its fiscal 2027 outlook in several places. It now expects revenue of $11.3 billion to $11.6 billion, against $11.2 billion to $11.7 billion before. The low end went up and the high end came down. Adjusted EBITDA, a measure of earnings before interest, tax, depreciation and amortisation, is now forecast at $1,260 million to $1,290 million, up from $1,240 million at the bottom of the range. Adjusted diluted EPS is now forecast at $6.50 to $6.70, up from $6.00 to $6.35. Free cash flow, the cash left after running costs and capital spending, is forecast at $850 million to $925 million, up from $825 million at the bottom of the range.

The company declared a quarterly dividend of $0.59 per share, payable December 4, 2026, to holders of record on November 12, 2026.

Chairman and chief executive Horacio Rozanski said the company is investing in its next phase of growth. It is scaling its cyber and defence technology products and bringing advanced AI capabilities to national security work.

The higher EPS floor, which moved to $6.50 from $6.00, suggests margins will carry the year. Whether revenue growth returns in the second half is the question the raised outlook leaves open.