AI Analysis | Feedback

1. Accenture for the U.S. federal government.

2. IBM Consulting for federal agencies.

AI Analysis | Feedback

• IT Modernization: Provides services to update and transform legacy information technology systems and infrastructure for government agencies.
• Cloud Solutions: Offers comprehensive cloud strategy, migration, management, and optimization services across various cloud platforms.
• Cybersecurity: Delivers advanced security solutions, including threat detection, incident response, and compliance services, to protect critical networks and data.
• Data Analytics & AI: Supplies capabilities in data analysis, business intelligence, machine learning, and artificial intelligence to extract insights and automate processes.
• Digital Engineering: Employs model-based systems engineering, simulation, and digital twins to design, develop, and test complex systems more efficiently.
• Mission Solutions: Provides specialized engineering, integration, and operational support services tailored for defense, space, and intelligence community missions.

AI Analysis | Feedback

Science Applications International (SAIC) primarily sells its services and solutions to the U.S. government. Therefore, it does not primarily sell to other private sector companies or to individuals.

Its major customers are various U.S. government departments and agencies, which can be categorized as follows:

• Department of Defense (DoD): This is SAIC's largest customer base, including the U.S. Army, Navy, Air Force, Marine Corps, and various defense agencies such as the Missile Defense Agency and Defense Information Systems Agency (DISA).
• Intelligence Community (IC): SAIC provides critical support to various agencies within the U.S. Intelligence Community.
• Federal Civilian Agencies: This category includes a wide range of non-defense federal agencies such as the Department of Homeland Security (DHS), National Aeronautics and Space Administration (NASA), Department of Justice (DoJ), Department of Energy (DoE), and Department of State.

AI Analysis | Feedback

• Microsoft (MSFT)
• Amazon Web Services (subsidiary of AMZN)
• Cisco Systems (CSCO)
• Dell Technologies (DELL)

AI Analysis | Feedback

Toni Townes-Whitley Chief Executive Officer

Toni Townes-Whitley became SAIC's Chief Executive Officer and was elected to its Board of Directors in October 2023. Prior to joining SAIC, she served as President, U.S. Regulated Industries at Microsoft, where she managed $16 billion in annual revenue and oversaw the company's public sector and regulated commercial industries. Before her tenure at Microsoft, Townes-Whitley was the President of CGI Federal, leading a portfolio exceeding $1 billion and managing 6,600 employees. Earlier in her career, she held several management roles at Unisys Corporation, where she led global and commercial-sector system integration and the Federal Civilian group, achieving significant revenue growth and doubling profitability. She has also served as a U.S. Peace Corps volunteer in Gabon.

Prabu Natarajan Executive Vice President and Chief Financial Officer

Prabu Natarajan was appointed SAIC's Executive Vice President and Chief Financial Officer in January 2021, having joined the company in January 2020. He is responsible for all financial operations, including accounting, financial reporting, treasury, tax, planning, analysis, and investor relations. During his time at SAIC, Mr. Natarajan has spearheaded key initiatives such as acquisitions, divestitures, strategic financial planning, and capital deployment. Before joining SAIC, he held various financial, tax, and management roles at Northrop Grumman starting in 2011, including Vice President of financial planning and mergers and acquisitions, and CFO for Northrop Grumman's Information Systems sector. Earlier in his career, he held positions at PricewaterhouseCoopers LLP and senior roles at the global energy company AES Corp.

Hilary Hageman Executive Vice President, General Counsel, and Corporate Secretary

Hilary Hageman became SAIC's Executive Vice President, General Counsel, and Corporate Secretary in July 2022. In this role, she serves as the company's senior legal advisor, overseeing internal audits, internal controls, risk management, ethics, and legal activities. Ms. Hageman brings extensive legal expertise in government contracting, general legal compliance, and national security law. Before rejoining SAIC, she held the position of Executive Vice President, Corporate Secretary, and General Counsel at Terran Orbital Corporation.

Kathleen McCarthy Executive Vice President and Chief Human Resources Officer

Kathleen McCarthy serves as SAIC's Executive Vice President and Chief Human Resources Officer.

Bob Genter President of Defense and Civilian Sector

Bob Genter has served as the President of SAIC's Defense and Civilian Sector since November 2020. His responsibilities include leading the sector's growth, business development, execution, and service delivery across defense and civilian business customers, including healthcare, commercial, and state and local markets. Mr. Genter joined SAIC in 2013 as a Senior Vice President and General Manager of Strategic Growth Markets. Prior to his time at SAIC, he was a Vice President at CGI.

AI Analysis | Feedback

The key risks to Science Applications International (SAIC) are primarily concentrated around its deep reliance on U.S. government contracts, the complex regulatory environment it operates within, and intense competition impacting pricing and contract acquisition.

1. High Dependency on U.S. Government Contracts and Spending Fluctuations: SAIC is highly dependent on the U.S. government, with approximately 98% of its total revenues in recent fiscal years and 87% in 2023 derived from contracts with federal agencies. This singular focus exposes SAIC to significant risks associated with changes in U.S. government spending priorities, budget reductions, substantial cuts or elimination of defense-related programs, and delays in contract or task order awards. A prolonged federal government shutdown could also impact the company's ability to meet financial goals.
2. Legal, Regulatory, and Compliance Risks: Operating as a primary government contractor, SAIC is subject to an extensive array of federal, state, and international legal and regulatory requirements. These regulations cover areas such as fraud, data privacy and protection, employment, anticorruption, and import/export controls. Non-compliance or misconduct by employees, subcontractors, or partners can lead to severe penalties, including significant fines, restitution, criminal sanctions, loss of security clearances, contract cancellations, and debarment from future contracts. The U.S. government also has the authority to revise procurement rules and regulations at any time, creating ongoing uncertainty and requiring unanticipated investments in compliance efforts.
3. Competition and Pricing Pressures: SAIC operates in a highly competitive market for government contracts. The company faces significant pricing pressures in complex procurement environments, which can impact its profitability. For instance, in 2023, SAIC's average contract margin was 12.4%, below the industry average of 14.7%. The ability to secure new contracts and maintain competitive pricing is crucial for its financial performance and growth prospects.

AI Analysis | Feedback

AI Analysis | Feedback

Science Applications International (SAIC) operates as a premier technology integrator primarily serving U.S. government agencies across defense, space, civilian, and intelligence markets. Their main products and services encompass a robust portfolio of high-end solutions, including Mission IT, Enterprise IT, Engineering Services, Professional Services, Cloud Migration, Cybersecurity, Digital Engineering, Data Management, and Artificial Intelligence/Machine Learning.

The addressable markets for SAIC's primary offerings are substantial, with a significant focus on the United States government sector:

• U.S. GovTech Market (IT Services, Hardware, and Software): This market is expected to demonstrate significant growth, with a Compound Annual Growth Rate (CAGR) of 13.2% from 2025 to 2035.
• Federal Government Software Market (U.S.): Valued at approximately USD 13.5 billion in 2024, this market is projected to reach USD 30.5 billion by 2033, growing at a CAGR of 7.3% from 2025.
• Government Sector ICT Market (Global): The global market for Information and Communication Technology (ICT) in the government sector was estimated at US$ 269.29 billion in 2023 and is forecast to reach US$ 491.44 billion by 2028, with a CAGR of 12.79%. North America held the largest share, at 37.5%, in 2023.
• Government Cloud Market (Global): This market was valued at USD 42.94 billion in 2024 and is anticipated to grow to USD 137.00 billion by 2033, with a CAGR of 13.07% from 2025. North America leads this market with over 34.7% market share in 2024.
• U.S. IT Services Market: The U.S. IT services market is valued at USD 490.86 billion in 2025 and is projected to grow to USD 691.57 billion by 2030, with a CAGR of 7.10%.
• U.S. Engineering Services Market: This market reached USD 388.56 billion in 2025 and is projected to grow to USD 507.35 billion by 2030, with a CAGR of 5.48%. Other estimates place the U.S. engineering services market at US$ 407.3 billion in 2024, with a projection to reach US$ 581.0 billion by 2030, growing at a CAGR of 6.2% from 2025.
• U.S. System Integration Market: Estimated at USD 164.76 billion in 2025, this market is projected to reach USD 622.7 billion by 2035, exhibiting a CAGR of 14.22%. Another source reported the U.S. system integration market size at USD 130.23 billion in 2024, projected to reach approximately USD 500.85 billion by 2034, with a CAGR of 14.42% from 2025.

AI Analysis | Feedback

Science Applications International (SAIC) is expected to drive future revenue growth over the next 2-3 years through several strategic initiatives and market focus areas:

• Expansion in Growth and Technological Accelerants (GTA) and Mission IT: SAIC is concentrating its growth efforts on high-demand areas such as cloud computing, enterprise IT, and systems integration and delivery. The company anticipates these "Growth and Technological Accelerants" to constitute 40% of its total sales by fiscal year 2026, indicating a strategic shift towards higher-growth and higher-margin services. This also encompasses secure high-end solutions in mission IT.
• Strategic Reorganization and Enhanced Customer Alignment: A key driver is the company's reorganization in February 2024 into five distinct, customer-aligned business groups: Army; Navy; Air Force and Combatant Commands; Space and Intelligence; and Civilian. This restructuring is intended to foster closer customer relationships, optimize its go-to-market strategy, and accelerate organic growth by better meeting specific client needs.
• Securing New Business Awards and Leveraging a Robust Backlog: SAIC continues to secure new contracts and maintains a significant backlog, reported at approximately $22.4 billion as of Q3 FY2025. The conversion of these new business pursuits, currently being submitted, into revenue is projected to be a substantial growth factor, with expectations for growth to improve into the 5% range by the end of fiscal year 2026.
• Integration and Innovation in Advanced Technologies: The company is focused on integrating leading-edge technologies to modernize and deliver solutions for critical customer missions. This includes continued innovation in areas such as artificial intelligence (AI), digital engineering, and data analytics, which are experiencing increased demand across the broader consulting services market.

AI Analysis | Feedback

Share Repurchases

• Science Applications International Corp. (SAIC) deployed $527 million for share repurchases in fiscal year 2025, equating to approximately 4.2 million shares.
• In December 2024, the Board of Directors authorized a new share repurchase program of up to $1.2 billion, replacing previous authorizations, with no expiration date.
• SAIC plans to repurchase between $350 million and $400 million in both fiscal years 2026 and 2027.

Share Issuance

• No significant dollar amount of shares issued by SAIC for capital raising purposes was identified within the last 3-5 years. The number of outstanding shares is generally impacted by share buybacks.

Inbound Investments

• There is no information available regarding large inbound investments made in SAIC by third-parties such as strategic partners or private equity firms during the specified period.

Outbound Investments

• In October 2025, SAIC announced its agreement to acquire SilverEdge Government Solutions for $205 million in cash, aiming to enhance its mission-driven technology offerings, particularly in AI and digital transformation for the national security sector.
• In 2021, SAIC acquired Halfaker & Associates for $250 million.
• SAIC divested its logistics and supply chain business to ASRC Federal for $350 million in 2023.

Capital Expenditures

• SAIC's capital expenditures were $36 million in fiscal year 2025.
• The company's capital expenditures were also $36 million in fiscal year 2022.
• Primary focus areas for capital expenditures include investments in "Innovation Factories" to advance capabilities in artificial intelligence (AI), engineering, and digital technologies.