Defense Tech Summit Takes: Diversifying Tech Across EW, Space, and Digital

Research evidence excerpt

Defense Tech Summit Takes: Diversifying Tech Across EW, Space, and Digital

Jun-24 Aug-24 Oct-24 Dec-24 Feb-25 Apr-25 Jun-25 Aug-25 Oct-25 Dec-25 Feb-26 Apr-26

year, with some threat-response updates pushed to the field in hours . CACI FY2 FCF Yield 3 Yr Avg. FCF Yield % vs. S&P 3 Yr Avg. % vs. S&P

Source: FactSet, Jefferies estimates

Space Portfolio Expands With ARKA And All-Domain Sensing. ARKA moves CACI from land,

air, and maritime sensing into space, making the company an all-domain sensing provider. The

acquired capability includes high-end EOIR imaging sensors, decades of tradecraft, IP, facilities, and

specialized production processes for mission-critical space sensors. ARKA was expected at close

to contribute ~$650MM of next-12-month revenue and ~$145MM of EBITDA, within an over $1BB

space portfolio.

Actionable Intelligence Is Becoming The Focus In Space. ARKA adds ground processing and

Agentic AI platforms deployed on classified networks, with software operating on the high side for

~2 years and learning from classified data. The objective is to automate mission management,

data processing, and the conversion of imagery into actionable intelligence, including identifying

battlefield intent rather than simply producing imagery.

International Growth Is Moderate And Allied-Focused. International demand is concentrated

among NATO and Five Eyes partners across Counter-UAS, SIGINT, and EW. CACI has sold systems

into ~20 countries, including Counter-UAS capability to Canada, and close to closing backpack

Counter-UAS capability with Australia. Export controls remain a constraint, and the approach is to Sheila Kahyaoglu * | Equity Analyst

bring proven, U.S.-deployed national security technology to allies rather than unproven offerings.