Science Applications International (SAIC) released its fiscal 2022 third-quarter results on Monday, Dec. 6, before the opening bell. The engineering firm beat estimates on its quarterly earnings and revenue. Before market open today, SAIC stock hadn't budged compared to yesterday's close, which was $85.56 per share.
SAIC Earnings and Revenue Beat Market Expectations
The company's adjusted earnings for its fiscal third-quarter came in at $1.85 a share, which was higher than market estimates of around $1.45 per share. Revenue for the Virginia company was $1.9 billion for the quarter, beating prior predictions of $1.87 billion.
COVID-19 and Supply Chain Challenges Affect Guidance
According to the firm, due to “year-to-date performance and future expectations, including expected impacts from the COVID-19 pandemic,” Science Applications International is revising its 2022 guidance. Current guidance “assumes expected negative COVID-19 impact of approximately $125 million in revenue and approximately $10 million in adjusted EBITDA.”
SAIC anticipates full-year earnings of $6.75 to $6.95 per share. Revenue is now forecast between $7.35 billion to $7.4 billion. Prior 2022 revenue guidance was in the $7.30 billion to $7.40 billion range.
“Our focus remains on positioning our portfolio and empowering our talented workforce to meet the needs of our customer, today and in the future.” CEO Nazzic Keene remarked. “…We estimate the third quarter program impact from the COVID-19 pandemic to be approximately $30 million, primarily driven by reduced volume in our supply chain business.”