SAIC Tops Q1 Aided By Ramp-Up In Contracts, Halfaker; Boosts Buyback

  • Science Applications International Corp SAIC reported first-quarter FY22 revenue growth of 6% year-over-year to $1.996 billion and +3.9% organic, beating the consensus of $1.93 billion.
  • The growth reflected a ramp-up in new and existing contracts and the acquisition of Halfaker.
  • Adjusted EPS of $1.88 beat the consensus of $1.77.
  • Adjusted operating margin contracted by 80 bps to 6.7% due to higher indirect costs.
  • Adjusted EBITDA margin contracted 110 bps to 8.7%.
  • SAIC generated $118 million in operating cash flow and held $56 million in cash and equivalents.
  • Net bookings for the quarter were $2 billion, reflecting a book-to-bill ratio of 1.0. 
  • CEO Nazzic Keene said, "While we face some modest top-line pressure in the near-term, the momentum we see in our business development efforts gives me confidence in our ability to continue to profitably grow the business."
  • Dividend: The board declared a cash dividend of $0.37 per share.
  • Buyback: SAIC's board hiked the share buyback program by 8 million shares, resulting in an aggregate of 8.8 million shares available for repurchase, representing 16% of shares outstanding.
  • FY23 Outlook: SAIC raised its revenue outlook from $7.35 billion-$7.55 billion to $7.43 billion - $7.55 billion versus the consensus of $7.47 billion.
  • SAIC boosted the adjusted EPS guidance from $6.80 -$7.10 to $6.90 - $7.20 versus the consensus of $6.99.
  • Price Action: SAIC shares closed higher by 0.39% at $88.10 on Friday.

Posted In: BriefsEarningsNewsGuidanceDividendsBuybacksTech

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.