Science Applications International Corporation (SAIC) confirmed that James "Jim" Reagan will serve as its chief executive officer, a role he has held in an interim capacity since October 2025. Reagan brings two decades of senior leadership experience from defense and government‑services firms, including Leidos, PAE, and Vencore, and his appointment follows the departure of former CEO Toni Townes‑Whitley.
Reagan’s elevation reflects SAIC’s intent to accelerate a transformation toward higher‑margin mission and enterprise IT services. The company has faced a challenging federal procurement environment, with delays and elongated decision cycles that have pressured revenue growth in its larger, commoditized enterprise IT contracts. By focusing on technology‑driven opportunities and selective customer engagements, SAIC aims to improve profitability while maintaining a robust pipeline of government and commercial work.
Board Chair Donna Morea said the selection of Reagan was a unanimous decision, noting that “Jim has proven to be the steady hand at the tiller SAIC needs.” CFO Prabu Natarajan added that the firm will “be more selective by focusing on customer opportunities with the potential for technology transformation and execution upside,” underscoring a shift toward higher‑margin, technology‑centric projects.
Financially, SAIC has revised its FY26 and FY27 revenue guidance downward, citing procurement delays and weak customer awards. The company now projects Q4 revenue of approximately $1.745 billion and adjusted EPS of $2.30–$2.50, compared with prior guidance of $1.80 billion and $2.60–$2.70. For FY26, revenue is now expected at $7.26 billion, down from earlier estimates of $7.50 billion. Despite the revenue cut, margins are projected to exceed previous guidance, driven by a shift to higher‑margin services and improved operational leverage.
Investors reacted negatively to the guidance downgrade, reflecting concerns about SAIC’s ability to secure new business amid a sluggish procurement cycle. The company’s strategic pivot, however, signals management’s confidence that a focus on technology transformation and selective contracting will restore growth and profitability over the long term.
The appointment of Reagan, a finance‑savvy executive, signals a renewed emphasis on disciplined financial management and a clear path to higher margins. His background in large‑scale defense and government contracts positions SAIC to navigate the current procurement headwinds while pursuing growth in high‑value, technology‑driven service lines.
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