Tear Sheet: Science Applications International Corp.

This report does not constitute a rating action. SAIC's trailing-12-month (TTM) book to bill ratio has been at or below 1.0x for 12 of the last 14 quarters. In the absence of significant new contracts, the company has relied on on-contract growth to bolster its top-line revenue. However, this growth has been largely absent in recent years, which has resulted in softer revenue. That said, with a TTM book to bill ratio of 1.2x as of the most recent quarter, we believe there is a greater opportunity for the company to realize modest growth in fiscal year 2027. We anticipate SAIC's contracts with defense customers, such as the U.S. Army and Air Force, that utilize its command and control, as

...January 26, 2026 This report does not constitute a rating action. Limited opportunities for new contract growth but positioned to capitalize in other areas. SAIC's trailing-12-month (TTM) book to bill ratio has been at or below 1.0x for 12 of the last 14 quarters. In the absence of significant new contracts, the company has relied on on-contract growth to bolster its top-line revenue. However, this growth has been largely absent in recent years, which has resulted in softer revenue. That said, with a TTM book to bill ratio of 1.2x as of the most recent quarter, we believe there is a greater opportunity for the company to realize modest growth in fiscal year 2027. We anticipate SAIC's contracts with defense customers, such as the U.S. Army and Air Force, that utilize its command and control, as well as intelligence, surveillance, and reconnaissance capabilities, provide the greatest potential. SAIC is seeking to expand its EBITDA margin by identifying cost-reduction opportunities. Given...

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