Three Months Ended

September 27, 2024

September 29, 2023

Net cash provided by operating activities

$                 656

$                 795

Payments for property, equipment and software

(23)

(50)

Non-GAAP free cash flow

$                 633

$                 745

Net income (loss) attributable to Leidos common stockholders

$                 364

$               (399)

Acquisition, integration and restructuring costs^(1)(2)(3)

2

13

Amortization of acquired intangibles⁽¹⁾⁽³⁾

28

38

Goodwill impairment charges⁽²⁾⁽³⁾

—

571

Asset impairment charges⁽²⁾⁽³⁾

4

57

Non-GAAP net income attributable to Leidos common stockholders

$                 398

$                 280

Operating cash flow conversion ratio

180 %

(199) %

Non-GAAP free cash flow conversion ratio

159 %

266 %

(1) After-tax expenses excluded from non-GAAP net income.

(2) Asset markdowns associated with restructuring activities were recorded to "Cost of revenues" in the condensed consolidated statements of operations.

(3) Non-GAAP tax rates were revised for the three months ended September 29, 2023, from using a blended rate to an individual tax rate for each non-GAAP adjustment, as this approach better reflects the allocation of the tax adjustment.