CACI International (CACI) risk factors, FY2026 10-K

CACI International's FY2026 10-K, filed Aug 06, 2026, lists 37 risk factors in 4 groups. Against the prior year's 36: 10 new, 9 dropped, 11 substantially reworded.

Risk factors listed
374 groups
New this year
10vs 36 last year
Dropped
9since the prior 10-K
Substantially reworded
11of those kept
Section length
8k wordsItem 1A

What the changes say

  • Federal-government exposure remains dominant: 95.6% of fiscal 2026 revenue came from federal contracts, including 53.6% DoW and 24.6% Intelligence Community revenue.

What changed since the prior 10-K

New

  • NewRisks Related to our Business and Industry

    Our contracts and task orders with the federal government are typically awarded through a competitive bidding process. We expect that much of the business that we will seek in the foreseeable future will continue to be awarded through competitive bidding

    Competitive bidding, multiple-award vehicles, contract-scope enforcement, pricing pressure, and federal diversity policies could reduce CACI’s winning opportunities and revenues.

  • NewRisks Related to our Business and Industry

    We may not realize the full value of the contracts included in our backlog, which could cause our future revenues and operating results to differ materially from those anticipated

    Funded and unfunded backlog may not convert into revenue because appropriations, budgets, and federal spending decisions can delay or eliminate work.

  • NewRisks Related to our Business and Industry

    Changes in mission priorities, procurement strategies, or program execution may also result in reductions in scope, fewer task order awards, or lower-than-anticipated ordering levels

    Mission changes, cancellations, option decisions, reduced ordering, or shifts to other contractors could prevent expected backlog from becoming revenue and cash flow.

  • NewRisks Related to our Business and Industry

    We use estimates in recognizing revenues, and changes in those estimates may adversely affect our financial results

    Complex cost-to-complete and fee estimates on long-term contracts could change, requiring material revenue, margin, cash-flow, and earnings adjustments.

  • NewRisks Related to our Indebtedness

    Our debt instruments impose certain restrictions on our ability to take certain actions which may have an impact on our business, operating results, and financial condition

    The Credit Facility, Term Loan B and B-2, and 2033 Notes restrict debt, dividends, investments, liens, asset sales, and other corporate actions.

  • NewRisks Related to our Indebtedness

    We may incur additional indebtedness, which could impact our ability to service our debts

    CACI could add debt beyond its $660.0 million revolving borrowings, increasing the burden and risk of servicing its obligations.

  • NewRisks Related to our Operations

    Disruptions in our supply chain, including shortages of materials, components, or qualified suppliers, could impair our ability to perform on contracts and increase our costs, which could adversely affect our operating results

    Shortages, supplier failures, transportation or labor problems, geopolitical restrictions, and cleared or domestic-sourcing requirements could delay contract performance and raise costs.

  • NewRisks Related to our Operations

    Cybersecurity and Unauthorized Access

    Malware, ransomware, phishing, credential theft, and other intrusions could expose data, disrupt CACI or customer operations, and cause legal or reputational damage.

  • NewRisks Related to our Operations

    Operational, Infrastructure, and Other Non-Cyber Systems Failures

    Failures involving networks, data centers, facilities, utilities, vendors, natural disasters, or customer systems could interrupt operations and trigger claims or lost revenue.

  • NewRisks Related to our Operations

    Our integration of artificial intelligence and related technologies subjects us to operational and regulatory risks, and our failure to effectively manage these risks could have a material adverse effect on our financial results

    AI flaws, data poisoning, unpredictable outputs, security weaknesses, bias, and changing federal requirements could create remediation costs, compliance problems, or lost business.

Dropped

  • DroppedRisks Related to our Business and Industry

    Our business could be adversely affected by delays caused by our competitors protesting major contract awards received by us, resulting in the delay of the initiation of work

  • DroppedRisks Related to our Business and Industry

    Our federal government contracts may be terminated by the government at any time and may contain other provisions permitting the government not to continue with contract performance, and if lost contracts are not replaced, our operating results may differ materially and adversely from those anticipated

    Competitors’ protests of CACI’s major contract awards could delay work, increase costs, or cause an award’s modification or loss.

  • DroppedRisks Related to our Business and Industry

    We derive significant revenues from contracts and task orders awarded through a competitive bidding process. If we are unable to consistently win new awards over any extended period, our business and prospects will be adversely affected

  • DroppedRisks Related to our Business and Industry

    Restrictions on or other changes to the federal government’s use of service contracts may harm our operating results

    Federal agencies could terminate contracts for convenience or decline option periods, leaving lost work unreplaced.

  • DroppedRisks Related to our Business and Industry

    We may not receive the full amounts authorized under the contracts included in our backlog, which could reduce our revenues in future periods below the levels anticipated

  • DroppedRisks Related to our Business and Industry

    Without additional Congressional appropriations, some of the contracts included in our backlog will remain unfunded, which could materially and adversely affect our future operating results

  • DroppedRisks Related to our Indebtedness

    Our senior secured credit facility (the Credit Facility), senior secured term loan (Term Loan B Facility), and senior unsecured notes (2033 Notes) impose certain restrictions on our ability to take certain actions which may have an impact on our business, operating results and financial condition

    Failure to win new federal competitive awards consistently could weaken CACI’s business and prospects.

  • DroppedRisks Related to our Indebtedness

    Despite our outstanding debt, we may incur additional indebtedness

  • DroppedRisks Related to our Operations

    Systems failures may disrupt our business and have an adverse effect on our operating results

Reworded

  • 88% rewrittenRisks Related to our Business and Industry

    The federal government’s appropriation process and other factors may delay the collection of our receivables, and our business may be adversely affected if we cannot collect our receivables in a timely manner

    The risk now specifically names budget and appropriations delays and funding constraints, while removing DCAA billing-privilege revocation and contractual withholdings.

  • 87% rewrittenRisks Related to our Business and Industry

    Our business could be adversely affected by changes in spending levels or budgetary priorities of the federal government

    The risk now adds continuing resolutions, shutdowns, and funding delays or reductions as potential causes of disrupted performance, delayed awards, or self-funded deliveries.

  • 84% rewrittenRisks Related to our Business and Industry

    The federal government may change its procurement or other practices in a manner adverse to us

    The risk now emphasizes affordability, efficiencies, business systems, fixed-price and multiple-award contracts, small-business set-asides, and possible adverse effects on technology-service procurement.

  • 67% rewrittenRisks Related to our Operations

    We face additional risks which could harm our business because we have International Operations

    The risk adds data-protection, labor, local-law, geopolitical, and compliance-cost concerns, and no longer states that international operations generated 3.0% of revenue.

  • 52% rewrittenRisks Related to our Business and Industry

    Our earnings and margins may vary based on the mix of our contracts and programs

    The risk removes the specific June 2025 backlog contract mix and reframes margin variability around current revenue from cost-reimbursable, time-and-materials, and fixed-price contracts.

  • 51% rewrittenRisks Related to our Acquisitions

    We have substantial investments in goodwill and intangible assets as a result of prior acquisitions, and changes in future business conditions could cause these investments to become impaired, requiring substantial write-downs that would reduce our operating income

    The risk removes the $5.0 billion goodwill figure and adds finite-lived intangible-asset impairment testing at the asset-group level.

    Was: We have substantial investments in goodwill as a result of prior acquisitions, and changes in future business conditions could cause these investments to become impaired, requiring substantial write-downs that would reduce our operating income

  • 50% rewrittenRisks Related to our Business and Industry

    We generate substantially all of our revenues from contracts with the federal government. If the federal government significantly decreased or ceased doing business with us, our business, prospects, financial condition, and operating results would be materially and adversely affected

    Federal revenue exposure changed to 95.6% for fiscal 2026, with DoW at 53.6% and Intelligence Community contracts at 24.6%; the prior DoD figure was 53.5%.

  • 38% rewrittenRisks Related to our Indebtedness

    A change in control or fundamental change may adversely affect us

    The debt references now include Term Loan B-2 and 2033 Notes-2, while retaining default and 101%-plus-interest repurchase consequences for qualifying change-in-control events.

  • 37% rewrittenRisks Related to our Operations

    We must comply with a variety of laws and regulations, and our failure to comply could cause our actual results to differ materially from those anticipated

  • 34% rewrittenRisks Related to our Business and Industry

    If we fail to establish and maintain important relationships with government entities and agencies, our ability to successfully bid for new business may be adversely affected

  • 22% rewrittenRisks Related to our Operations

    Customer systems failures could damage our reputation and adversely affect our operating results

All 37 risk factors

Headings as the filing states them, in filing order.

Risks Related to our Business and Industry

  1. 01We generate substantially all of our revenues from contracts with the federal government. If the federal government significantly decreased or ceased doing business with us, our business, prospects, financial condition, and operating results would be materially and adversely affected50% rewritten
  2. 02Our business could be adversely affected by changes in spending levels or budgetary priorities of the federal government87% rewritten
  3. 03Federal government contracts contain termination rights and numerous other provisions that are unfavorable to us
  4. 04If we fail to establish and maintain important relationships with government entities and agencies, our ability to successfully bid for new business may be adversely affected34% rewritten
  5. 05Our contracts and task orders with the federal government are typically awarded through a competitive bidding process. We expect that much of the business that we will seek in the foreseeable future will continue to be awarded through competitive biddingNew
  6. 06Our business may suffer if we or our employees are unable to obtain the security clearances or other qualifications needed to perform services for our customers
  7. 07If our subcontractors fail to perform their contractual obligations, our performance as a prime contractor and our ability to obtain future business could be materially and adversely impacted and our actual results could differ materially and adversely from those anticipated
  8. 08The federal government’s appropriation process and other factors may delay the collection of our receivables, and our business may be adversely affected if we cannot collect our receivables in a timely manner88% rewritten
  9. 09The federal government may change its procurement or other practices in a manner adverse to us84% rewritten
  10. 10Our contracts and administrative processes and systems are subject to audits and cost adjustments by the federal government, which could reduce our revenues, disrupt our business, or otherwise adversely affect our operating results
  11. 11Failure to maintain strong relationships with other contractors could result in a decline in our revenues
  12. 12We may not realize the full value of the contracts included in our backlog, which could cause our future revenues and operating results to differ materially from those anticipatedNew
  13. 13Changes in mission priorities, procurement strategies, or program execution may also result in reductions in scope, fewer task order awards, or lower-than-anticipated ordering levelsNew
  14. 14Employee misconduct, including security breaches, could result in the loss of customers and our suspension or debarment from contracting with the federal government
  15. 15Our failure to attract and retain qualified employees, including our senior management team, could adversely affect our business
  16. 16Our markets are highly competitive, and many of the companies we compete against have substantially greater resources
  17. 17Our quarterly revenues and operating results could be volatile due to the unpredictability of the federal government’s budgeting process and policy priorities
  18. 18An increase in the prices of goods and services could raise the costs associated with providing our services, diminish our ability to compete for new contracts or task orders and reduce customer buying power
  19. 19We may lose money or generate less than anticipated profits if we do not accurately estimate the cost of an engagement which is conducted on either a fixed-price or a time-and-materials basis
  20. 20We use estimates in recognizing revenues, and changes in those estimates may adversely affect our financial resultsNew
  21. 21Our earnings and margins may vary based on the mix of our contracts and programs52% rewritten

Risks Related to our Acquisitions

  1. 22We may have difficulty identifying and executing acquisitions on favorable terms and therefore may grow at a slower rate than we historically have grown
  2. 23We may have difficulty integrating the operations of any companies we acquire, which could cause actual results to differ materially and adversely from what we anticipated
  3. 24We have substantial investments in goodwill and intangible assets as a result of prior acquisitions, and changes in future business conditions could cause these investments to become impaired, requiring substantial write-downs that would reduce our operating income51% rewritten

Risks Related to our Indebtedness

  1. 25Our debt instruments impose certain restrictions on our ability to take certain actions which may have an impact on our business, operating results, and financial conditionNew
  2. 26We may incur additional indebtedness, which could impact our ability to service our debtsNew
  3. 27Servicing our debt requires a significant amount of cash, and we may not have sufficient cash flow from our business to pay our substantial debt
  4. 28A change in control or fundamental change may adversely affect us38% rewritten

Risks Related to our Operations

  1. 29We must comply with a variety of laws and regulations, and our failure to comply could cause our actual results to differ materially from those anticipated37% rewritten
  2. 30Disruptions in our supply chain, including shortages of materials, components, or qualified suppliers, could impair our ability to perform on contracts and increase our costs, which could adversely affect our operating resultsNew
  3. 31Cybersecurity and Unauthorized AccessNew
  4. 32Operational, Infrastructure, and Other Non-Cyber Systems FailuresNew
  5. 33Customer systems failures could damage our reputation and adversely affect our operating results22% rewritten
  6. 34Our operations involve several risks and hazards, including potential dangers to our employees and to third parties that are inherent in aspects of our federal business (e.g., counterterrorism training services). If these risks and hazards are not adequately insured, it could adversely affect our operating results
  7. 35Our failure to adequately protect our confidential information and proprietary rights may harm our competitive position
  8. 36We face additional risks which could harm our business because we have International Operations67% rewritten
  9. 37Our integration of artificial intelligence and related technologies subjects us to operational and regulatory risks, and our failure to effectively manage these risks could have a material adverse effect on our financial resultsNew

Other CACI International 10-Ks

  • FY2025 10-K risk factors
    36 risks

    Federal government contracting dominates the risk profile, with 95.7% of fiscal 2025 revenues coming from federal contracts, including 75.4% from the DoD.

    Filed Aug 07, 2025

About this page

The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.