DLH Q3 revenue beats expectations

Reuters08-07
DLH Q3 revenue beats expectations

Overview

  • DLH Holdings Corp fiscal Q3 rev declines to $83.3 mln, beating analyst expectations

  • EPS for fiscal Q3 falls to $0.02, reflecting industry headwinds

  • The provider of systems engineering and cyber security solutions reduces total debt by $9.4 mln during fiscal Q3

Outlook

  • DLH expects robust bid activity and funding in fiscal 2026

  • Company anticipates growth due to increased defense spending

  • DLH sees demand for cybersecurity and digital transformation services

Result Drivers

  • REVENUE DECLINE - Revenue fell due to small business set-aside transitions and scope reductions from federal efficiency initiatives

  • CONTRACT TIMING - Service delivery timing on key contracts contributed to revenue changes

  • DEBT REDUCTION - Co reduced total debt by $9.4 mln, reflecting improved working capital conditions

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$83.34 mln

$83 mln (1 Analyst)

Q3 EPS

$0.02

Q3 Net Income

$289,000

Q3 Basic EPS

$0.02

Q3 Income From Operations

$3.76 mln

Analyst Coverage

  • The one available analyst rating on the shares is "buy"

  • The average consensus recommendation for the it services & consulting peer group is "buy"

  • Wall Street's median 12-month price target for DLH Holdings Corp is $10.00, about 45% above its August 5 closing price of $5.50

Press Release: ID:nGNX9pMTVZ

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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