SAIC Reports Net Loss, Misses Analyst Estimates and Announces Dividend

Image courtesy of SAIC

Mclean-based government contractor Science Applications International Corporation (SAIC) (NYSE: SAI) reported its fourth quarter and fiscal year 2012 financial results after hours, posting lower revenues and a net loss.

The company also announced the initiation of a quarterly dividend of $0.12 cents per share available April 30, 2012 to share holders on record by April 15, 2012.

The scientific, engineering, and technology applications company reported revenues of $2.49 billion for the fourth quarter 2012 compared to $2.72 in the fourth quarter 2011 which ended January 31.

SAIC reversed to a net loss of $161 million compared to a net income of $127 million for the comparable quarter. Earnings per diluted share was $-0.49 cents versus $0.35 cents.

The decline in financial results was largely due to the CityTime settlement, where SAIC was accused of fraudulent actions against the city of New York under an automated workforce management system contract also known as the Citytime payroll contract. Settlement terms include SAIC paying $500.4 million in restitution and penalties to the city of New York.

Without the settlement charge revenues would have topped $2.85 billion for the Tysons Corner company and a net income of $197 million or $0.31 cents per diluted share.

The average earnings estimate from 13 analysts was $0.34 cents per share. The average revenue estimate from 11 analysts was $2.67 billion.

SAIC closed at $13.15 per share down $0.15 cents or 1.13 percent.

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