Science Applications International Corporation Common Stock (SAIC)

Return on total capital

Feb 2, 2024 Feb 3, 2023 Jan 28, 2022 Jan 29, 2021 Jan 31, 2020
Earnings before interest and tax (EBIT) US$ in thousands 741,000 492,000 461,000 391,000 373,000
Long-term debt US$ in thousands 2,022,000 2,343,000 2,370,000 2,447,000 1,851,000
Total stockholders’ equity US$ in thousands 1,785,000 1,694,000 1,619,000 1,542,000 1,417,000
Return on total capital 19.46% 12.19% 11.56% 9.80% 11.41%

February 2, 2024 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $741,000K ÷ ($2,022,000K + $1,785,000K)
= 19.46%

The return on total capital for Science Applications International Corporation Common Stock has shown a positive trend over the past five years, increasing from 11.41% in January 2020 to 19.46% in February 2024. This indicates that the company has been effectively utilizing its total capital to generate profits. The consistent improvement in the return on total capital reflects positively on the company's financial performance and efficiency in deploying its capital resources. It suggests that the company is generating higher returns relative to the total capital invested, demonstrating effective management of assets and liabilities to drive profitability. It is essential for investors to monitor this metric to assess the company's ability to generate returns on the capital employed in its operations.


Peer comparison

Feb 2, 2024