Science Applications International Corporation · NASDAQ:SAIC

Science Applications International — Investor Day (April 2023)

39 slides from Science Applications International's investor day presentation, Apr 11, 2023

1. Slide 1: SAIC 2023 Investor Day

   SAIC. 2023 INVESTOR DAY pril 11,2023

2. Slide 2: Introduction

   Introduction Joseph DeNardi Vice President, Investor Relations and Strategic Ventures

3. Slide 3: Forward-Looking Statements

   3SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Certain statements in this presentation are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Wor

4. Slide 4: Investor Day Agenda

   4SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Investor Day Agenda 9:00 – 10:00 Breakfast and Registration 9:30 – 10:45 Solutions Demonstrations 10:45 – 10:50 Introduction Joseph DeNardi, Investor Re

5. Slide 5: Strategy and Market Outlook

   Strategy and Market Outlook Nazzic Keene Chief Executive Officer

6. Slide 6: Executive Leadership Team

   6SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Executive Leadership Team Denotes 2023 Investor Day presenters Nazzic Keene Chief Executive Officer Maria Bishop Chief of Staff Mark Escobar Chief of Bu

7. Slide 7: SAIC Fiscal Year 2026 Targets

   7SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy SAIC Fiscal Year 2026 Targets REVENUE $7.3B – $7.5B 2% to 4% organic revenue growth CAGR FREE CASH FLOW* $515M ~$11/share EBITDA* $700M – $725M FY26 adj

8. Slide 8: SAIC at a Glance

   8SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy SAIC is a premier technology integrator driving our nation’s technology transformation. Our robust portfolio of offerings across the defense, space, civ

9. Slide 9: Building a Differentiated Employee Experience and Culture

   9SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Building a Differentiated Employee Experience and Culture INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Gente

10. Slide 10: Strategy-Focused on Driving Shareholder Value

    10SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Strategy-Focused on Driving Shareholder Value SPIN M&A FOCUSED ON SCALE AND CUSTOMER ACCESS M&A & VENTURES FOCUSED ON SOLUTIONS AND CAPABILITIES INCREA

11. Slide 11: Broad Alignment with Key Market Trends

    11SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Broad Alignment with Key Market Trends Cyber Risk Mitigation Digital Transformation Space Superiority D E F E N S E & C I V I L I A N N AT I O N A L S

12. Slide 12: Large and Growing Addressable Market

    12SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NATIONAL SECURITY & SPACE President Michael LaRouche FI

13. Slide 13: SAIC's Enterprise Focus Areas

    13SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy SAIC’s Enterprise Focus Areas GTA strategy enabled by solutions developed within Innovation Factory GTA GROWTH AND TECHNOLOGY ACCELERANTS Secure Cloud

14. Slide 14: Pipeline Aligned to Drive Higher GTA, Improved Margins

    14SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Pipeline Aligned to Drive Higher GTA, Improved Margins Growth and Technology (GTA) Core Business 40% 60% FY23 SUBMITS FY24-26 PIPELINE COMPOSITION (EST

15. Slide 15: Market Opening for Platform Agnostic Tech Integrator

    15SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Market Opening for Platform Agnostic Tech Integrator MARKET FACTORS SAIC STRATEGY Invest to Provide Speed to Value Identify Best Available Technology O

16. Slide 16: Focus on Long-term Shareholder Value

    16SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy ADVANCE CULTURE Sustain competitive advantage through a differentiated employee experience and culture that bring out the best in our people ALIGN INCE

17. Slide 17: Sector Overview and Outlook: Defense & Civilian

    Sector Overview and Outlook Defense & Civilian Bob Genter Sector President

18. Slide 18: Defense & Civilian Sector Organization

    18SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Defense & Civilian Sector Organization Bob Genter Defense & Civilian Ravi Dankanikote Business Development Josh Jackson Army Barbara Graham Navy Mike M

19. Slide 19: Defense & Civilian Sector Overview

    19SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Defense & Civilian Sector Overview $4.0B FY23 Revenue 9.3%* Adj. EBITDA Margin $15B Total Backlog Cost Plus Firm Fixed Price Time & Materials Civilian

20. Slide 20: Defense & Civilian Notable Wins and Differentiators

    20SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NATIONAL SECURITY & SPACE President Michael LaRouche FI

21. Slide 21: Sector Overview and Outlook: National Security & Space

    Sector Overview and Outlook National Security & Space Michael LaRouche Sector President

22. Slide 22: National Security & Space Sector Organization

    22SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy National Security & Space Sector Organization INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NATIONAL

23. Slide 23: National Security & Space Sector Overview

    23SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy National Security & Space Sector Overview K E Y M E T R I C S $2.9B FY23 Revenue 8.8%* Adj. EBITDA Margin $9B Total Backlog Cost Plus Firm Fixed Price

24. Slide 24: National Security & Space Sector Growth Strategy

    24SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy National Security & Space Sector Growth Strategy Notable Wins Key Differentiators Customer satisfaction – excellent evaluations and repeat customers Ve

25. Slide 25: Financial Update and Outlook

    Financial Update and Outlook Prabu Natarajan Chief Financial Officer

26. Slide 26: Top Areas of Focus

    26SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Top Areas of Focus INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NATIONAL SECURITY & SPACE President

27. Slide 27: FY26 Organic Targets vs. FY23

    27SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy FINANCIAL METRIC FY26 ORGANIC TARGETS (VS. FY23) Revenue 2% - 4% CAGR** EBITDA %* +80 bps EBITDA $* 3% - 5% CAGR** Free Cash Flow / Share* 10% CAGR FY2

28. Slide 28: SAIC Fiscal Year 2026 Targets

    28SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy SAIC Fiscal Year 2026 Targets INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NATIONAL SECURITY & SPACE

29. Slide 29: Committed to Remaining Capital-Light

    29SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Committed to Remaining Capital-Light Margin Improvement Driving Increased ROIC for SAIC 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% CY20 CY21 CY22 CY23 C a

30. Slide 30: Multi-Year Financial Targets

    30SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy FY24 FY25 FY26 Revenue $7.05B - $7.20B $7.1B - $7.3B $7.3B - $7.5B Adjusted EBITDA Margin* 9.2% - 9.4% 9.4% - 9.6% 9.5% - 9.7% Adjusted Earnings per Sh

31. Slide 31: Solid Organic Revenue Growth Expected to Continue

    31SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Solid Organic Revenue Growth Expected to Continue INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NATIO

32. Slide 32: Solid Path to Organic Margin Improvement

    32SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Solid Path to Organic Margin* Improvement FY23 Actual + LSCM Sale & FSA + LSCM Sale + Mix & Execution + Mix & Execution + Mix & Execution FY24 Expected

33. Slide 33: FY23-FY26 Free Cash Flow Bridge

    33SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy FY23 – FY26 Free Cash Flow* Bridge FY 23 F C F In cr ea se d Ea rn in gs / W C Im pa ct o f L & SC M S al e an d FS A JV D ec on so lid at io n H ig he

34. Slide 34: Incentive Compensation Structure

    34SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Incentive Compensation Structure INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NATIONAL SECURITY & SP

35. Slide 35: Driving Change with Incentive Compensation Structure

    35SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Driving Change with Incentive Compensation Structure INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NA

36. Slide 36: Financial Performance and Strategy Resonating with Shareholders

    36SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy Financial Performance and Strategy Resonating with Shareholders -30% -20% -10% 0% 10% 20% 30% 40% 50% D ec -2 1 Ja n- 22 Fe b- 22 M ar -2 2 A pr -2 2 M

37. Slide 37: Focus on Long-term Shareholder Value

    37SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy ADVANCE CULTURE Sustain competitive advantage through a differentiated employee experience and culture that bring out the best in our people ALIGN INCE

38. Slide 38: Analyst Q&A

    38SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED I Analyst Q&A

39. Slide 39: 39SAIC PROPRIETARY INFORMATION I © SAIC. ALL CIVILIAN President Bob CFO Prabu Natarajan Q&A

    39SAIC PROPRIETARY INFORMATION I © SAIC. ALL RIGHTS RESERVED IAsset-light technology integrator with shareholder-focused capital deployment strategy INTRODUCTION STRATEGY & MARKET OUTLOOK CEO Nazzic Keene DEFENSE & CIVILIAN President Bob Genter NATIONAL SECURITY & SPACE President Michael LaRouche FI

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