DLHC DLH Holdings Corp.

Overview and Growth

DLH Holdings Corp.'s fiscal 2025 revenue totaled $344.50M. Revenue of $344.50M sets the scale for evaluating how effectively sales translated into profit and cash during the year. The top line contracted 13.0% from $395.94M in fiscal 2024; this top-line contraction left the company with a smaller revenue base. Diluted earnings per share were $0.09, translating the period’s attributable earnings into the amount reported for each diluted share. Diluted EPS decreased by 82.4% from $0.51 in fiscal 2024, showing how the earnings change reached shareholders on a per-share basis. The company employed $290.66M of total assets, the balance-sheet base supporting its current operating and cash-flow results. Asset turnover was 1.19x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

Gross profit was $65.16M, representing the portion of revenue remaining after the reported cost of revenue and before operating expenses. Gross profit represented 18.9% of revenue, showing how much of the top line remained after direct costs. Operating income was $16.79M, the earnings remaining from reported operations after the company’s recognized operating cost structure. The operating result equaled 4.9% of revenue, placing the absolute operating-income figure in the context of the company’s sales base. Before income taxes, the company reported $1.75M of earnings, providing a bridge between the operating result and final net income. Pretax income represented 0.5% of revenue, placing earnings before tax in the context of the company’s operating scale. Income tax expense totaled $393.00K, providing the reported tax component that separates pretax and after-tax earnings. Relative to pretax income, the tax provision measured 22.4%, quantifying the portion of pre-tax earnings paid in income tax.

Liquidity and Capital Structure

The company held $290.66M of assets against $177.71M of liabilities and $112.96M of equity, revealing how the asset base was financed. The near-term balance sheet paired $42.54M of current assets with $42.67M of current liabilities at the reporting date. At 1.0x, current liabilities exceeded current assets and placed pressure on the company’s near-term liquidity position. The company held $125.00K in cash and equivalents, a narrower liquidity measure than total current assets. Cash and equivalents represented 0.3% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. The company carried $128.03M of total debt at period end, which frames its leverage and debt-service burden. Debt equaled 1.13x of book equity, describing the relative scale of borrowing and shareholder capital. Debt represented 44.0% of total assets, placing borrowing in the context of the company’s full resource base. Relative to total assets, liabilities measured 61.1%, complementing the separate equity-based view of the company’s capital structure. Cash and equivalents equaled 0.0% of total assets, showing the liquid cash component within the company’s broader resource base. Compared with $314.38M in fiscal 2024, the current asset base moved 7.5% and finished lower. Reported equity changed 2.6% from $110.13M in fiscal 2024, placing the current capital base higher year over year.

Cash Flow and Earnings Quality

Operating activities produced a cash inflow of $23.22M, giving the cash-flow counterpart to the accrual-based profit measures reported for the year. Capital spending was $241.00K, absorbing part of the cash generated from operations before free cash flow. Relative to operating cash flow, capital expenditures measured 1.0%, connecting investment intensity with the company’s cash-generation base. Free cash flow came to $22.98M, leaving a positive amount after capital expenditures. Free cash flow represented 6.7% of revenue, linking post-investment cash generation with the company’s operating scale. Free cash flow equaled 7.9% of total assets, relating post-investment cash generation to the company’s resource base.

Based on the annual report for the fiscal year ending Sep 30, 2025. Analysis generated Oct 21, 2026.