March 17, 2025 — Science Applications International Corporation (SAIC), a leading technology integrator listed on NASDAQ, has unveiled its financial results for the fourth quarter and full fiscal year ending January 31, 2025. The company demonstrated a notable performance, exceeding revenue and profitability expectations, while announcing significant contract wins that underscore its growth trajectory.

1. Key Financial Highlights

SAIC's financial performance for Q4 and the entire fiscal year reflects a robust operational framework and effective contract management:

Fourth Quarter Results

Revenues: Increased by $101 million year-over-year to $1.838 billion, up 6% from $1.737 billion in Q4 FY2024.

Operating Income: Rose dramatically to $138 million, representing a 75% increase from $79 million in the same quarter last year.

Net Income: Surged to $98 million, compared to $39 million in the prior year, marking a 151% increase.

Diluted Earnings Per Share (EPS): Jumped to $2.00, a substantial rise from $0.74 in Q4 FY2024.

Adjusted Diluted EPS: Reached $2.57, up 80% from $1.43 in the same quarter last year.

Full Fiscal Year Results

Total Revenues: Reported at $7.479 billion, a modest increase of $35 million from $7.444 billion in the previous fiscal year.

Operating Income: Declined to $563 million, down 24% from $741 million in FY2024, mainly due to a one-time gain from a divestiture last year.

Net Income: Totaled $362 million, compared to $477 million in FY2024.

Diluted EPS: Declined to $7.17 from $8.88 year-over-year.

Adjusted Diluted EPS: Improved to $9.13, up 16% from $7.88 in the prior year.

2. Cash Generation and Capital Allocation

SAIC reported $115 million in net cash provided by operating activities for Q4 2025, up from $63 million in Q4 FY2024. For the fiscal year, cash flows from operations totaled $494 million, reflecting a 25% increase from the previous year.

The company deployed $163 million in capital during the fourth quarter, which included $130 million in share repurchases and $18 million in dividends to shareholders. For the full year, total capital deployment reached $638 million.

Quarterly Dividend

In line with its commitment to return value to shareholders, the Board of Directors declared a cash dividend of $0.37 per share, payable on April 25, 2025. This reflects SAIC's ongoing strategy to maintain a steady dividend policy.

3. Contract Awards and Backlog

SAIC experienced a robust quarter in terms of contract awards, with net bookings approximating $1.3 billion in Q4, leading to a total of $6.6 billion for the fiscal year. The estimated backlog at the end of FY2025 stood at $21.9 billion, including $3.4 billion of funded backlog.

Notably, SAIC secured a $1.8 billion recompete win for the System Software Lifecycle Engineering program with the U.S. Army, which is expected to enhance its capabilities significantly.

Notable Contracts

Department of Defense: Awarded a $187 million task order for the Defense Readiness Reporting System to support modernization efforts.

U.S. Space and Intelligence Community: Awarded approximately $480 million in contracts representing both new business and recompetes.

4. Fiscal Year 2026 Guidance

Looking ahead, SAIC has provided guidance for fiscal year 2026, projecting revenues in the range of $7.60 billion to $7.75 billion, with an adjusted EBITDA of $715 million to $735 million. The company anticipates adjusted diluted EPS between $9.10 and $9.30 and free cash flow to be between $510 million and $530 million.

5. Conclusion

Toni Townes-Whitley, SAIC's CEO, expressed pride in the company's performance, highlighting the strong finish to the year and the commitment of the team to customer missions amid challenging times. With a solid backlog and a focus on innovation, SAIC is well-positioned to leverage its strengths in the defense, space, civilian, and intelligence markets moving forward.

As SAIC continues to navigate the complexities of the technology landscape, its results suggest a promising outlook for growth and shareholder value in the coming years.

Original press release