DLH Holdings (DLHC) Company Report

DLHC reported Q4 2025 revenue of $81.2 million, EBITDA of $6.6 million, and Free Cash Flow of $10.7 million.
For the full fiscal year 2025, the company achieved revenue of $344.5 million, EBITDA of $34.0 million, and Free Cash Flow of $23.0 million.
The company significantly reduced its total debt by $10.7 million in Q4 2025, bringing the total to $131.6 million, and paid mandatory term debt through September 30, 2026, a year ahead of schedule.
DLHC secured new contract awards, including an NIH Office of Information Technology contract and a sole-source Indefinite Quantity/Indefinite Delivery contract for pharmacy and logistic services at multiple CMOP locations, and achieved CMMC Level 2 certification.

Dec 11, 2025, 3:00 PM

Presentation

DLH Holdings Corp. Reports Q4 and Full-Year 2025 Results, Highlights Strategic Transformation

DLHC

Earnings

Guidance Update

New Projects/Investments

DLH Holdings Corp. reported Q4 2025 revenue of $81.2 million and EBITDA of $6.6 million, with full-year 2025 revenue reaching $344.5 million and EBITDA of $34 million. The Q4 revenue decline was largely attributed to $11 million from small business set-aside conversions and contract unbundling.
The company demonstrated strong financial management by reducing debt by $10.7 million in Q4, bringing the fiscal year-end balance to $131.6 million, and has made all mandatory term debt payments through September 30, 2026, a year ahead of schedule.
Strategically, DLH is focusing on technology-powered solutions, achieving Cybersecurity Maturity Model Level Two (CMMC) certification and developing AI/ML tools like DLH Cyclone.
Management is optimistic about future performance, expecting a return to low double-digit organic growth and historical EBITDA margins, supported by a pipeline of qualified opportunities exceeding $3 billion.

Dec 11, 2025, 3:00 PM

Transcript

DLH Holdings Corp. Reports Q4 and Full-Year 2025 Results, Highlights Debt Reduction and Strategic Transformation

DLHC

Earnings

Guidance Update

New Projects/Investments

DLH Holdings Corp. (DLHC) reported Q4 2025 revenue of $81.2 million and full-year 2025 revenue of $344.5 million, with the quarterly decline primarily due to $11 million from small business set-aside conversions and contract unbundling.
EBITDA for Q4 2025 was $6.6 million (8.1% of revenue) and $34 million for the full year (approximately 10% of revenue). The company expects to return to historical gross and EBITDA margins with growth and scaling activities.
DLHC significantly reduced its debt, ending fiscal year 2025 with $131.6 million outstanding, a $23 million reduction over 12 months, and has made all mandatory term debt payments through September 30, 2026, a year ahead of schedule.
Strategically, DLHC achieved Cybersecurity Maturity Model Level Two (CMMC) certification and is focusing on digital transformation, cybersecurity, and AI/ML-powered solutions like DLH Cyclone. The company is optimistic about returning to low double-digit organic growth and has a qualified opportunities pipeline north of $3 billion.

Dec 11, 2025, 3:00 PM

Transcript

DLH Holdings Corp. Reports Q4 and Full-Year 2025 Results, Highlights Debt Reduction and Strategic Transformation

DLHC

Earnings

Guidance Update

New Projects/Investments

DLH Holdings Corp. reported Q4 2025 revenue of $81.2 million and EBITDA of $6.6 million, contributing to full-year 2025 revenue of $344.5 million and EBITDA of $34 million.
The company achieved significant debt reduction, lowering its outstanding debt by $10.7 million in Q4 to $131.6 million by fiscal year-end, and has made all mandatory term debt payments through September 30, 2026, a year ahead of schedule.
Revenue in Q4 was impacted by approximately $11 million due to the transition of contracts to small business set-aside contractors, including CMOP locations.
Strategically, DLH achieved Cybersecurity Maturity Model Level Two (CMMC) certification and introduced DLH Cyclone, an AI/ML-powered data science engine, as part of its focus on higher value-added technology-powered applications.
Management is optimistic about future growth opportunities, aiming to return to historical gross and EBITDA margins, supported by a qualified pipeline exceeding $3 billion.

Dec 11, 2025, 3:00 PM

Transcript

DLH Holdings Corp. Reports Fiscal Fourth Quarter 2025 Results

DLHC

Earnings

Demand Weakening

DLH Holdings Corp. reported a revenue decrease of 15.8% to $81.2 million for the fiscal fourth quarter ended September 30, 2025, compared to the same period in 2024.
The company posted a net loss of $(0.9) million and diluted earnings per share of $(0.06) for Q4 2025, down from a net income of $2.3 million and diluted EPS of $0.16 in Q4 2024.
EBITDA for Q4 2025 was $6.6 million, representing a 38.3% decrease from Q4 2024, while free cash flow was $10.7 million.
As of September 30, 2025, debt was reduced to $131.6 million, a 14.9% decrease year-over-year, and backlog stood at $514.3 million, a 25.5% decrease from the prior year.

Dec 10, 2025, 9:30 PM

8-K

DLH Holdings Corp. Reports Fiscal Fourth Quarter 2025 Results

DLHC

Earnings

Demand Weakening

New Projects/Investments

DLH Holdings Corp. reported revenue of $81.2 million for its fiscal fourth quarter ended September 30, 2025, a decrease from $96.4 million in the prior year period.
The company posted a net loss of $0.9 million and diluted earnings per share of $(0.06) for Q4 2025, compared to net income of $2.3 million and diluted EPS of $0.16 in Q4 2024.
EBITDA was $6.6 million and free cash flow was $10.7 million for the quarter ended September 30, 2025.
Debt was reduced to $131.6 million as of September 30, 2025, reflecting a $23 million total reduction in indebtedness for the year.
Despite overall mixed revenue performance, the National Security contract portfolio showed solid revenue growth of 8.8% in Q4 2025 compared to Q4 2024.

Dec 10, 2025, 9:15 PM

Press Release

DLH Holdings Corp. Reports Preliminary Debt Reduction and Key Contract Updates

DLHC

Guidance Update

Debt Issuance

New Projects/Investments

DLH Holdings Corp. reported preliminary fiscal year-end 2025 total debt of $131.6 million, reflecting a $23.0 million reduction from September 30, 2024, with $10.7 million reduced in the fourth quarter.
The company will cease providing services for the Office of Head Start (OHS) contract after October 31, 2025, as its small business partners' proposals were not selected in a competitive procurement. This contract generated $28.4 million in revenue through Q3 2025, representing approximately 10.7% of total revenues for the fiscal year to date.
DLH Holdings Corp. was awarded a sole-source Indefinite Quantity/Indefinite Delivery (IDIQ) contract for the VA Consolidated Mail Outpatient Pharmacy (CMOP) program, with a ceiling value of $90.0 million and a maximum performance period through April 2027. This contract is expected to generate approximately $28 million in quarterly revenue.

Oct 30, 2025, 8:33 PM

8-K

DLH Holdings Achieves CMMC Level 2 Certification

DLHC

New Projects/Investments

DLH Holdings Corp. has achieved Cybersecurity Maturity Model Certification (CMMC) Level 2.
This certification validates DLH's ability to secure national defense data and carry out national security missions, following a rigorous audit of over one hundred security requirements.
With CMMC 2.0 requirements expected in new Department of Defense solicitations as early as November 2025, this achievement positions DLH to compete for new business across the federal contracting landscape.

Oct 22, 2025, 12:00 PM

Press Release