Science Applications International Corp
NASDAQ:SAIC

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Science Applications International Corp
NASDAQ:SAIC
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Price: 96.23 USD -1.06%
Market Cap: $4.3B

Science Applications International Corp
Investor Relations

Science Applications International Corporation, better known as SAIC, traces its origins back to 1969 when it was founded by Dr. J. Robert Beyster. Situated at the intersection of science, engineering, and technology, the company crafts a compelling narrative of innovation and service. SAIC carved a niche by merging theoretical science with practical solutions, which allowed it to become a formidable contractor primarily for the United States government. It builds its reputation on expertise in IT modernization, cloud migration, and cybersecurity. Over the years, SAIC's ability to stay at the cutting edge of technology while maintaining a strong service-oriented ethos has firmly anchored it in defense, space, and intelligence sectors.

SAIC's business model thrives on long-term contracts and a robust portfolio of solutions that support national security, civilian, and health markets. The company distinguishes itself by addressing client needs through tailored IT services, integrating systems engineering, and managing critical infrastructure. Its revenue streams primarily flow from complex projects where it offers end-to-end solutions, generating income not just from providing immediate technology fixes but through lifecycle service contracts. The firm's strategic push into digital transformation aligns with broader governmental goals of increasing efficiency and data security, ensuring SAIC remains a key player in governmental contracting circles.

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Last Earnings Call
Fiscal Period
Q4 2026
Call Date
Mar 16, 2026
AI Summary
Q4 2026

Leadership: Jim Regan named permanent CEO after serving as interim; management is focused on sharpening strategy, BD discipline and execution.

Revenue: Q4 revenue was $1.75 billion and full-year revenue was $7.26 billion, with FY '27 guided to $7.0–$7.2 billion (organic decline expected).

Margins: FY '26 adjusted EBITDA margin was 9.7% and FY '27 guidance implies roughly 10% adjusted EBITDA margin at the midpoint — the first full-year double-digit margin guide.

Cash generation: Free cash flow remained strong — $336 million in Q4 and $577 million for FY '26 — and FY '27 free cash flow guidance is at least $600 million (> $14 per share).

Portfolio pivot: Management is de-emphasizing commoditized cost-plus enterprise IT, selectively no-bidding low-margin work (Cloud One ~$200M no-bid) and focusing BD on higher‑return opportunities ($25–$28B submissions target).

Headwinds and outlook: FY '27 assumes ~ $400 million of recompete headwinds and 2%–4% organic contraction; management reaffirmed prior FY '27 guidance.

Transformation: Company launched a bottoms-up enterprise transformation and $100 million cost reduction program to free capacity for investment and margin expansion.

Key Financials
Revenue (Q4)
$1.75 billion
Revenue (FY '26)
$7.26 billion
Adjusted EBITDA (Q4)
$181 million
Adjusted EBITDA margin (Q4)
10.3%
Adjusted EBITDA margin (FY '26)
9.7%
Adjusted diluted earnings per share (Q4)
$2.62
Adjusted diluted earnings per share (FY '26)
$10.75
Free cash flow (Q4)
$336 million
Free cash flow (FY '26)
$577 million
FY '27 revenue guidance
$7.0 billion to $7.2 billion
FY '27 adjusted EBITDA guidance
$705 million to $715 million
FY '27 adjusted diluted earnings per share guidance
$9.50 to $9.70
FY '27 free cash flow guidance
at least $600 million
FY '28 free cash flow expectation
at least $530 million
Recompete headwind (FY '27)
approximately $400 million
Cloud One no-bid impact
approximately $200 million (FY '26)
Submission / BD target
$25 billion to $28 billion of submissions
Cost reduction target
$100 million
Nonrecurring cash tax benefit in FY '27 guide
$70 million
Enterprise IT revenue mix
from 17% (FY '25) to expected 10% (FY '27)
Earnings Call Recording
Other Earnings Calls

Management

Ms. Toni Townes-Whitley
CEO & Director
No Bio Available
Mr. Prabu Natarajan
Executive VP & CFO
No Bio Available
Ms. Michelle A. O'Hara
Executive VP & Chief Human Resource Officer
No Bio Available
Mr. Nathan G. Rogers
Chief Information Officer
No Bio Available
Mr. Joseph William DeNardi
Senior VP of Investor Relations & Treasurer
No Bio Available
Ms. Hilary L. Hageman J.D.
Executive VP, General Counsel & Corporate Secretary
No Bio Available
Mr. Paul H. Greiner
Senior VP & Deputy General Counsel
No Bio Available
Mr. John Bonsell
Senior Vice President of Government Affairs
No Bio Available
Ms. Maria M. Bishop
Senior Vice President of Internal Audit & Internal Controls
No Bio Available
Mr. Mark Escobar
Executive VP & Chief of Business Operations
No Bio Available

Contacts

Address
VIRGINIA
Reston
12010 Sunset Hills Rd
Contacts
+17036764300.0
www.saic.com
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