By Connor Hart

Science Applications International raised its full-year earnings outlook as it logged a higher-than-expected profit in its fiscal first quarter, boosted by better margins.

The company on Monday reported a profit of $115 million, or $2.61 a share, for the quarter ended May 1, up from $68 million, or $1.42 a share, a year earlier.

Stripping out one-time items, earnings came in at $3.23 a share. Analysts polled by FactSet expected adjusted earnings of $2.28 a share.

Revenue ticked up 1.5% to $1.91 billion, ahead of Wall Street models for $1.82 billion.

Chief Executive Jim Reagan said Science Applications delivered record margin growth, as well as modest organic growth.

"These results reflect our focus on execution and our commitment to our financial targets," he said. "We are raising our guidance to reflect this strong start, while continuing to invest for the future."

The company now expects adjusted earnings of $9.90 to $10.10 a share for the year, up from a previous forecast of $9.50 to $9.70 a share. It continues to expect revenue between $7 billion and $7.2 billion.

Analysts were looking for adjusted earnings of $9.63 a share on revenue of $7.11 billion.

Shares climbed 7.5%, to $112, in premarket trading.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

June 01, 2026 07:38 ET (11:38 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.