contract_awardAwarded Monday, August 17, 2026Analyzed

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION: $641M General Services Administration Contract

Bullish

Summary

SAIC secured a $641M delivery order from the GSA for system software lifecycle engineering, adding approximately 3.5% to annual revenue over the contract period. The award reinforces SAIC's position in federal IT services but lacks a direct legislative catalyst.

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Key Takeaways

  • 1.SAIC adds $641M to its backlog from a GSA delivery order for software lifecycle engineering.
  • 2.The contract contributes ~3.5% to annual revenue, providing steady cash flow over 2.5 years.
  • 3.No direct legislative catalyst; the award is a standalone procurement action.

Market Implications

SAIC's stock may see a modest positive reaction from this award, but given the size relative to its $7.4B revenue base, the impact is likely limited to a 1-2% move. The contract reinforces SAIC's steady government IT business but does not alter the company's growth trajectory.

Full Analysis

The General Services Administration awarded Science Applications International Corporation (SAIC) a $641M delivery order under the System Software Lifecycle Engineering (SSLE) program. The contract runs from March 2025 to September 2027, covering software lifecycle support for federal systems. SAIC is the direct recipient and a publicly traded company (NYSE: ). With annual revenue of $7.4B, this contract represents roughly $256M per year, or 3.5% of revenue—a meaningful but not transformative addition. No related legislation directly authorizes this spending; the contract appears to be a routine procurement under existing GSA vehicles. Supply chain beneficiaries are not specified, but SAIC typically subcontracts to smaller IT service providers; however, no specific publicly traded subcontractors are identifiable from this award. Historically, SAIC's stock tends to see modest positive movement on large contract wins, but the impact is often muted for awards of this relative size.

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Contract Details

Recipient

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION

Award Amount

$640,580,544

Awarding Agency

General Services Administration

Sub-Agency

Federal Acquisition Service

Contract Type

DELIVERY ORDER

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