Science Applications International Corporation Common Stock (SAIC)
Interest coverage
| 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 |
| Interest expense | US$ in thousands | 126,000 | 7,000 | 120,000 | 105,000 | 122,000 |
| Interest coverage | 4.47 | 105.86 | 4.10 | 4.39 | 3.20 |
January 31, 2025 calculation
Interest coverage = EBIT ÷ Interest expense
= $563,000K ÷ $126,000K
= 4.47
The interest coverage ratio of Science Applications International Corporation Common Stock has shown a positive trend over the past five years, starting at 3.20 in January 29, 2021, and increasing steadily to 4.39 in January 28, 2022, 4.10 in February 3, 2023, and 4.47 in January 31, 2025. Notably, there was a significant spike in the ratio to 105.86 in February 2, 2024, suggesting a substantial improvement in the company's ability to cover its interest expenses with operating income. Overall, this trend indicates that the company has been effectively managing its interest obligations relative to its operating profitability, reflecting a potentially stronger financial position and improved creditworthiness.
Peer comparison
Jan 31, 2025