SRA Profit Up Slightly; CACI International's Down

By Renae Merle and Griff Witte
Washington Post Staff Writers
Thursday, November 2, 2006

SRA International Inc., a contractor in Fairfax, announced higher quarterly profit yesterday, while CACI International Inc. of Arlington said its earnings fell slightly.

SRA said profit rose to $15.1 million (26 cents a share) in its fiscal first quarter ended Sept. 30 from $14.4 million (25 cents) in the comparable quarter a year earlier. Revenue rose 8 percent, to $304 million, exceeding the company's forecast for the quarter.

The information technology firm said it expects to report as much as $1.3 billion in revenue this year.

SRA completed its acquisition of Raba Technologies LLC, a provider of technical services, including software development, to intelligence agencies, last month. The acquisition will "enhance our presence in the intelligence community," Renato A. DiPentima, president and chief executive, said in a written statement.

CACI said profit for the fiscal first quarter ended Sept. 30 was $18.8 million (60 cents a share), down from $19.1 million (62 cents).

Revenue rose 11 percent, to $467.6 million. CACI forecast revenue for the year of $2 billion to $2.1 billion.

CACI said it won contracts worth $900 million in the quarter, $230 million of which came from the intelligence community. The company said 60 percent of its awards in the quarter represent new work.

SRA and CACI reported their earnings after the stock market closed.

A smaller government contractor, NCI Inc. of Reston, which provides information technology services to federal agencies, had a profit of $2.4 million (18 cents a share) in the third quarter, down from $2.7 million (36 cents) a year earlier, when fewer shares were outstanding.

Revenue increased 20 percent, to $59.9 million, which the company attributed mainly to spending under the Air Force's $9 billion NetCents information technology initiative. Its shares rose 84 cents, to $12.45.

In results reported yesterday by other Washington area companies:

· Trex Co. of Winchester, which makes simulated wood deck and railing products, said third-quarter profit declined on a slowdown in deck installations and forecast a fourth-quarter loss.

Profit was $4.6 million (31 cents a share), down from $5.2 million (35 cents). Revenue rose 1 percent, to $78.1 million.

The company said that it typically reports a loss in the fourth quarter because of the seasonal nature of deck installations but that this year's slowdown was more pronounced than usual as distributors and dealers reduced inventories. Trex said it plans to temporarily shut down some manufacturing lines. Shares fell $5.52, to $20.90.

· Advancis Pharmaceutical Corp. of Germantown lost $9.9 million (33 cents a share) in the third quarter, compared with a loss of $5.9 million (20 cents). Revenue doubled, to $2.4 million, on sales of its Keflex oral antibiotic. Shares closed at $4.07, up 8 cents.

· TNS Inc. of Reston, which provides communications for electronic financial transactions, lost $1.8 million (8 cents a share) in the third quarter, compared with a profit of $2.6 million (12 cents). The company said the recent quarter's losses stemmed largely from severance costs. Revenue rose 13 percent, to $73.2 million. Shares rose 14 cents, to $16.66.

· Opnet Technologies Inc. of Bethesda, a provider of network management software, earned $1.7 million (8 cents a share) in its fiscal second quarter ended Sept. 30, up from $440,000 (2 cents). Revenue increased 29 percent, to $23.6 million. Shares fell $1.05, to $13.57.

· Sinclair Broadcast Group Inc. of Hunt Valley said third-quarter profit fell to $22.6 million (25 cents a share), from $31.2 million (36 cents) a year earlier, when the sale of assets in Kansas City added $17.5 million. Revenue rose 2 percent, to $168.5 million, largely on political advertising. Shares closed at $9.03, up 1 cent.

· Gladstone Investment Corp. of McLean, which invests in small and mid-size businesses, had a profit of $2.8 million (27 cents a share) in its fiscal second quarter ended Sept. 30, up from $1.5 million (9 cents). Total assets were $228.1 million, down from $230.3 million at the end of March. Shares closed at $14.37, down 28 cents.

· Primus Telecommunications of McLean , a provider of phone and Internet service, had a profit of $121,000 (0 cents) in the third quarter, compared with a loss of $50.6 million (51 cents). Revenue fell 15 percent, to $247.7 million. The company said in a statement that it is shedding "low-margin retail revenue" and the costs that stem from it.

· First Potomac Realty Trust of Bethesda said funds from operations, the measure most commonly used to describe the finances of real estate investment trusts, was $9.9 million (41 cents a share), up from $8.3 million (46 cents). Profit was $700,000 (3 cents), down from $1.6 million (9 cents). Revenue rose 33 percent, to $27.1 million. Shares closed at $30.46, down 48 cents.

· Annapolis Bancorp Inc. , parent of BankAnnapolis, had a profit of $740,000 (18 cents a share) in the third quarter, up from $678,000 (17 cents). Interest income rose, to $3 million from $2.8 million. Shares closed at $9.01, up 1 cent.

Information from news services was used in this report.