Schedule 5:
SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
NON-GAAP FINANCIAL MEASURES
(Unaudited)
This schedule describes the non-GAAP financial measures included in this earnings release. While we believe that these non-GAAP financial measures may be useful in evaluating our financial information, they should be considered as supplemental in nature and not as a substitute for financial information prepared in accordance with GAAP. Reconciliations, definitions, and how we believe these measures are useful to management and investors are provided below. Other companies may define similar measures differently.
EBITDA, Adjusted EBITDA and Adjusted Operating Income |
|||||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||
|
November 1,
|
|
November 2,
|
|
November 1,
|
|
November 2,
|
||||||||
|
(in millions) |
||||||||||||||
Net income |
$ |
56 |
|
|
$ |
48 |
|
|
$ |
169 |
|
|
$ |
146 |
|
Interest expense |
22 |
|
|
16 |
|
|
69 |
|
|
38 |
|
||||
Interest income |
(1 |
) |
|
(1 |
) |
|
(3 |
) |
|
(2 |
) |
||||
Provision for income taxes |
17 |
|
|
10 |
|
|
48 |
|
|
31 |
|
||||
Depreciation and amortization |
32 |
|
|
11 |
|
|
98 |
|
|
31 |
|
||||
| EBITDA (1) |
126 |
|
|
84 |
|
|
381 |
|
|
244 |
|
||||
| EBITDA as a percentage of revenues |
7.7 |
% |
|
7.1 |
% |
|
7.9 |
% |
|
7.0 |
% |
||||
| Acquisition and integration costs |
12 |
|
|
14 |
|
|
30 |
|
|
14 |
|
||||
| Depreciation included in acquisition and integration costs |
(1 |
) |
|
— |
|
|
(1 |
) |
|
— |
|
||||
| Recovery of acquisition and integration costs |
(2 |
) |
|
— |
|
|
(6 |
) |
|
— |
|
||||
| Adjusted EBITDA (1) |
$ |
135 |
|
|
$ |
98 |
|
|
$ |
404 |
|
|
$ |
258 |
|
| Adjusted EBITDA as a percentage of revenues |
8.3 |
% |
|
8.3 |
% |
|
8.3 |
% |
|
7.4 |
% |
||||
| Operating income |
$ |
94 |
|
|
$ |
73 |
|
|
$ |
282 |
|
|
$ |
213 |
|
| Operating income as a percentage of revenues |
5.8 |
% |
|
6.2 |
% |
|
5.8 |
% |
|
6.1 |
% |
||||
| Acquisition and integration costs |
12 |
|
|
14 |
|
|
30 |
|
|
14 |
|
||||
| Recovery of acquisition and integration costs |
(2 |
) |
|
— |
|
|
(6 |
) |
|
— |
|
||||
| Adjusted operating income (1) |
$ |
104 |
|
|
$ |
87 |
|
|
$ |
306 |
|
|
$ |
227 |
|
| Adjusted operating income as a percentage of revenues |
6.4 |
% |
|
7.4 |
% |
|
6.3 |
% |
|
6.5 |
% |
||||
