SRA International [SRX] yesterday posted higher net income and sales in the first quarter and achieved a record new contract award total.
Net income increased 18 percent to $18.1 million, 31 cents earnings per share (EPS), versus $15.4 million (27 cents EPS) a year ago. Sales increased 6 percent to $417.5 million from $392.4 million a year ago. After accounting for the elimination of sales last year from businesses that have been divested, SRA said organic revenues increased over 8 percent.
Contract awards in the quarter were $933 million, with nearly half coming from a recent win of a recompete of its enterprise-wide information technology services with the Federal Deposit Insurance Corp. Other key awards came from the Transportation Security Administration related to cyber security and the Cancer Prevention and Research Institute of Texas, a new customer, to provide scientific peer review support and grants management services. Funded backlog stood at $832 million and total signed business orders are $4.5 billion, up 9 percent from a year ago.
SRA nudged up its FY ’10 sales guidance on the low end so that revenues are expected to be at least $1.6 billion. Earnings are still expected to be between $1.15 and $1.25 EPS.