Science Applications International Reports Strong Q1 FY27 Results with 69% Net Income Growth and Substantial Share Buybacks
SAIC sits 50% above its 52-week low of $81.08.
Summary
Science Applications International Corp reported robust first-quarter fiscal year 2027 results, with net income surging 69% and diluted EPS increasing 84% year-over-year, alongside significant share repurchases.
Key Events · Earnings and Guidance · SAIC
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Strong Q1 Financial Performance
Net income increased 69% to $115 million, and diluted EPS rose 84% to $2.61 for Q1 FY27 compared to the prior year.
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Revenue Growth
Revenues grew 1.5% to $1.906 billion, driven by the SilverEdge acquisition and ramp-up on existing contracts.
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Significant Share Repurchases
The company repurchased approximately 1.9 million shares for $175 million during the quarter, part of a $1.2 billion authorization.
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Solid Backlog and Bookings
Net bookings for the quarter were $2.1 billion, contributing to a total backlog of $22.86 billion.
Analysis · SAIC · Technology
The first-quarter fiscal year 2027 results demonstrate a significant turnaround in profitability compared to the prior year, with substantial growth in net income and diluted EPS. The continued share repurchase program, representing a material return of capital to shareholders, further enhances investor value. The solid backlog and new bookings provide good revenue visibility, while the positive impact of the new tax law on R&D expensing is a favorable long-term factor. These strong results are likely to be well-received by the market, especially as the stock is trading near its 52-week high.
At the time of this filing, SAIC was trading at $121.93 on NASDAQ in the Technology sector, with a market capitalization of approximately $5.3B. The 52-week trading range was $81.08 to $123.41. This filing was assessed with positive market sentiment and an importance score of 9 out of 10.