Booz Allen CEO: DOJ investigation more likely to take 'years, than months'

By Marjorie Censer / August 7, 2017 at 9:31 AM

A Justice Department investigation of Booz Allen Hamilton is “more likely” to go on for “years, than months,” the company’s chief executive said today.

Speaking to analysts, Horacio Rozanski said “the timing for resolution remains uncertain.”

The company disclosed in June it had been informed the Justice Department "is conducting a civil and criminal investigation relating to certain elements of the company's cost accounting and indirect cost charging practices with the U.S. government."

During today’s call, Rozanski said Booz Allen is cooperating with the government, but there are limits to what the contractor can share about the investigation.

“Our firm has not been charged with any wrongdoing,” he said. “Today, we do not believe there has been any negative impact to our client relationships.”

Rozanski stressed that most of Booz Allen remains focused on its clients’ work.

“The investigation is an important matter that we are taking very seriously, but it will progress on its own timeline and in its own space,” he said.

Meanwhile, Booz Allen also said today sales in its most recent quarter reached about $1.5 billion, up roughly 5 percent from the same three-month period a year earlier. The company’s quarterly profit hit nearly $80 million, up about 17 percent from the prior year.