Booz Allen revenue falls 6% on procurement delays, shutdown; margin compresses 200bp

Filed May 22, 2026 · Period ending March 31, 2026 · Compared to 10-K May 23, 2025 · ~2 min read

Key Changes

• high

  Revenue declined 6% to $11.2B and operating margin compressed from 11% to 9% (200bp) as a slowed procurement environment and Q3 government shutdown drove headcount cuts of 4,300 (12%) and lower billable expenses.

  MD&A: Revenue and Operating Income verify on EDGAR →
• high

  Funded backlog additions fell 9% to $11.1B (from $12.2B prior year), and active IDIQ task orders declined 6.5% to 2,426, signaling future revenue pressure as procurement delays materially impacted backlog conversion.

  MD&A: Backlog; Business: Contract Portfolio verify on EDGAR →
• high

  Executive order signed April 30, 2026 mandates increased fixed-price contracting and directs agencies to renegotiate their top ten highest-value non-fixed-price contracts, shifting risk profile toward higher margins but greater cost-overrun exposure.

  MD&A: Executive Orders verify on EDGAR →