Science Applications International Corporation Common Stock (SAIC)
Return on total capital
| Jan 31, 2025 | Feb 2, 2024 | Feb 3, 2023 | Jan 28, 2022 | Jan 29, 2021 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 563,000 | 741,000 | 492,000 | 461,000 | 391,000 |
| Long-term debt | US$ in thousands | 1,907,000 | 2,022,000 | 2,343,000 | 2,370,000 | 2,447,000 |
| Total stockholders’ equity | US$ in thousands | 1,577,000 | 1,785,000 | 1,694,000 | 1,619,000 | 1,542,000 |
| Return on total capital | 16.16% | 19.46% | 12.19% | 11.56% | 9.80% |
January 31, 2025 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $563,000K ÷ ($1,907,000K + $1,577,000K)
= 16.16%
The return on total capital for Science Applications International Corporation Common Stock has shown a positive trend over the past five years, increasing from 9.80% on January 29, 2021, to 16.16% on January 31, 2025. This indicates that the company has been able to generate a higher return on the total capital employed in its operations over the period under consideration. The consistent improvement in this ratio suggests that the company has been effectively utilizing its capital resources to generate profits and create value for its shareholders. The significant increase in the return on total capital from 2023 to 2024, jumping from 12.19% to 19.46%, is particularly noteworthy and may indicate a successful implementation of strategies to enhance profitability and efficiency. Overall, the increasing trend in the return on total capital reflects positively on the financial performance and management effectiveness of Science Applications International Corporation Common Stock.
Peer comparison
Jan 31, 2025