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Jan 29, 2021

SAIC Q4 2021 Earnings Report

SAIC's Q4 2021 earnings report was released, demonstrating revenue growth and margin expansion.

Key Takeaways

SAIC announced Q4 2021 results with revenues of $1.7 billion, an 11% increase year-over-year. Diluted earnings per share were $1.05, and adjusted diluted earnings per share were $1.67. The company's book-to-bill ratio for the quarter was 0.4.

Revenues for Q4 2021 increased by 11% to $1.7 billion.

Diluted earnings per share for Q4 2021 were $1.05, while adjusted diluted earnings per share were $1.67.

Adjusted EBITDA as a percentage of revenues for Q4 2021 was 9.3%.

Book-to-bill ratio for the fourth quarter was 0.4.

Total Revenue
$1.72B
Previous year: $1.54B
+11.5%
EPS
$1.67
Previous year: $1.58
+5.7%
Total Backlog
$21.5B
Previous year: $15.3B
+40.5%
Gross Profit
$200M
Previous year: $167M
+19.8%
Cash and Equivalents
$171M
Previous year: $188M
-9.0%
Free Cash Flow
$39M
Previous year: $62M
-37.1%
Total Assets
$5.72B
Previous year: $4.71B
+21.5%

SAIC

SAIC

Forward Guidance

SAIC provided its outlook for fiscal year 2022, including expected impacts from the COVID-19 pandemic. The guidance assumes six months of expected negative COVID-19 impact of between $150 million and $200 million in revenue and approximately $10 million to $15 million in adjusted EBITDA. The guidance also assumes that support currently provided under Section 3610 of the CARES Act continues through the end of fiscal year 2022 (January 28, 2022).

Positive Outlook

  • Revenue: $7.1 billion to $7.3 billion
  • Adjusted EBITDA Margin: 8.6% to 8.8%
  • Adjusted Diluted EPS: $6.00 to $6.25
  • Free Cash Flow: $430 million to $470 million
  • Continued support under Section 3610 of the CARES Act

Challenges Ahead

  • Expected negative COVID-19 impact of between $150 million and $200 million in revenue
  • Expected negative COVID-19 impact of approximately $10 million to $15 million in adjusted EBITDA
  • Guidance assumes six months of COVID-19 impact
  • Inherent difficulty in forecasting certain amounts
  • Variability of charges may have an unpredictable and potentially significant impact on future GAAP financial results.