SAIC Earnings: Here’s Why the Stock is Rising Now
SAIC, Inc. (NYSE:SAI) delivered a profit and beat Wall Street’s expectations, AND met the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 3.59%.
SAIC, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased to $0.54 in the quarter versus EPS of $-0.49 in the year-earlier quarter.
Revenue: Rose 8.75% to $2.71 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: SAIC, Inc. reported adjusted EPS income of $0.54 per share. By that measure, the company beat the mean analyst estimate of $0.52. It met the average revenue estimate of $2.71 billion.
Quoting Management: “During the fourth quarter, our revenue and operating income both declined from adjusted prior year levels,” said John P. Jumper, chairman and chief executive officer. “Nevertheless, we made a number of significant investments towards the future separation of the company, and had a few unexpected items that adversely impacted our results. Our focus is on the long term. We are committed to improving our operating performance by sustaining focus on our customers and aggressively aligning our cost base. We remain on schedule for our planned separation later in the year and look to aggressively position both future companies for cost competitiveness by streamlining indirect management and support functions, reducing our real estate footprint, and driving other efficiencies.”
Key Stats (on next page)…