v3.26.3
Revenues
 3 Months Ended
Sep. 30, 2026
Revenue from Contract with Customer [Abstract]  
Revenues
Note 5 – Revenues
Disaggregation of Revenues
The Company disaggregates revenues by contract type, customer type, prime or subcontractor, and whether the solution provided is primarily Technology or Expertise. These categories represent how the nature, amount, timing, and uncertainty of revenues and cash flows are affected.
Revenues by contract type are as follows (in thousands):
Three months ended September 30, 2026Three months ended September 30, 2025
DomesticInternationalTotalDomesticInternationalTotal
Cost-plus-fee$1,306,307 $— $1,306,307 $1,382,630 $— $1,382,630 
Fixed-price774,275 47,551 821,826 564,825 46,668 611,493 
Time-and-materials317,579 28,885 346,464 262,589 30,911 293,500 
Total$2,398,161 $76,436 $2,474,597 $2,210,044 $77,579 $2,287,623 
Revenues by customer type are as follows (in thousands):
Three months ended September 30, 2026Three months ended September 30, 2025
DomesticInternationalTotalDomesticInternationalTotal
Department of War$1,354,257 $— $1,354,257 $1,179,626 $— $1,179,626 
Intelligence Community611,977 — 611,977 596,429 — 596,429 
Federal civilian agencies396,398 — 396,398 411,730 — 411,730 
Commercial and other35,529 76,436 111,965 22,259 77,579 99,838 
Total$2,398,161 $76,436 $2,474,597 $2,210,044 $77,579 $2,287,623 
Revenues by prime or subcontractor are as follows (in thousands):
Three months ended September 30, 2026Three months ended September 30, 2025
DomesticInternationalTotalDomesticInternationalTotal
Prime contractor$2,144,267 $64,977 $2,209,244 $2,006,508 $70,391 $2,076,899 
Subcontractor253,894 11,459 265,353 203,536 7,188 210,724 
Total$2,398,161 $76,436 $2,474,597 $2,210,044 $77,579 $2,287,623 
Revenues by Technology or Expertise are as follows (in thousands):
Three months ended September 30, 2026Three months ended September 30, 2025
DomesticInternationalTotalDomesticInternationalTotal
Technology$1,425,297 $24,039 $1,449,336 $1,273,700 $27,032 $1,300,732 
Expertise972,864 52,397 1,025,261 936,344 50,547 986,891 
Total$2,398,161 $76,436 $2,474,597 $2,210,044 $77,579 $2,287,623 
Changes in Estimates
Aggregate net changes in estimates for the three months ended September 30, 2026 and 2025 resulted in an increase in income before income taxes of $16.0 million ($0.53 per diluted share) and a decrease in income before income taxes of $5.0 million ($0.17 per diluted share), respectively. The Company uses its statutory tax rate when calculating the impact on diluted earnings per share.
Revenues recognized from previously satisfied performance obligations were not material for the three months ended September 30, 2026 and September 30, 2025. The change in revenues generally relates to final true-up adjustments for estimated award or incentive fees in the period in which the customers’ final performance score was received or when it can be determined that more objective, contractually-defined criteria have been fully satisfied.
Remaining Performance Obligations
As of September 30, 2026, the Company had $14.3 billion of remaining performance obligations and expects to recognize approximately 43% and 62% as revenue over the next 12 and 24 months, respectively, with the remainder to be recognized thereafter.
Contract Balances
Contract balances consist of the following (in thousands):
Description of contract related balanceFinancial statement classificationSeptember 30, 2026June 30, 2026
Billed and billable receivablesAccounts receivable, net$1,237,800 $1,259,138 
Contract assets – current unbilled receivablesAccounts receivable, net485,073 445,949 
Contract assets – current costs to obtainPrepaid expenses and other current assets6,732 6,936 
Contract assets – noncurrent unbilled receivablesOther assets17,294 17,159 
Contract assets – noncurrent costs to obtainOther assets13,873 13,972 
Contract liabilities – current deferred revenue and other contract liabilitiesOther accrued expenses and current liabilities337,943 294,059 
Contract liabilities – noncurrent deferred revenue and other contract liabilitiesOther liabilities2,514 2,952 
During the three months ended September 30, 2026 and 2025, revenue recognized from amounts included in contract liabilities at the beginning of each period was $155.5 million and $91.7 million, respectively.