SAN FRANCISCO -- Sales of products and services for border security and intelligence projects helped defense contractor and engineering services firm SAIC (SAI) top third-quarter financial estimates.
The company also modified its annual guidance to suggest it would likely top its prior forecasts.
Third-quarter net income rose to $105 million, or 25 cents a share, from $98 million, or 28 cents a share, a year earlier. The drop in earnings per share stems from the higher share count.
Excluding a loss from discontinued operations, the company earned 26 cents a share, beating analysts' consensus estimate of 23 cents a share, according to Thomson Financial.Revenue rose 14% to $2.37 billion, also topping analysts' average estimate, helped by acquisitions and sales of defense, intelligence and domestic security products and services. Excluding acquisitions, revenue rose 8%. During the quarter, SAIC booked $3.9 billion in net new projects, for a book-to-bill ratio of 1.6. For the full year, the company said its earnings would fall near the top of -- or slightly above -- its originally forecasted range of 83 to 88 cents a share, which would likely beat analysts consensus forecast of 87 cents. SAIC expects revenue within its originally forecasted range of $8.7 billion to $9.0 billion, the midpoint of which is slightly ahead of analysts' views. Shares of SAIC were recently up 76 cents, or 3.8%, in after-hours trading to $20.60.