SAIC Q2 Profit Falls; Updates Annual Targets - Quick Facts

(RTTNews) - Defense contractor SAIC Inc. (SAI) posted significantly lower second-quarter income from continuing operations of $44 million, versus last year's $108 million. During the recent period, earnings per share from continuing operations were $0.13, down 59 percent from $0.32 reported a year back, mainly attributable to the operating income reductions that translated to a reduction in income from continuing operations of $64 million.

Three-month earnings per share fell to $0.12, from $0.32 in the prior-year quarter. On average, 10 analysts polled by Thomson Reuters expected earnings per share of $0.22 for the quarter. Analysts' estimates typically exclude one-time items.

Quarterly revenues of $2.47 billion, were lower than $2.83 billion in the second quarter of fiscal 2013, reflecting a revenue contraction of 12 percent and an internal revenue contraction of 15 percent. Nine analysts estimated revenues of $2.56 billion for the quarter. Revenues were impacted by the ramp down of certain contracts, drawdowns of overseas U.S. military forces and the reduction of the U.S. Government budget, partially offset by growth in the Health and Engineering segment primarily resulting from fiscal 2013 acquisition of maxIT Healthcare Holdings, Inc., the company added.

Looking ahead, the firm now sees full-year earnings from continuing operations to be in the range of $0.95 - $1.03 per share and revenues of $9.7 billion - $10.2 billion. Ten analysts project earnings of $1.13 per share and revenue of $10.36 billion for the year.