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Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- Elanco Animal Health Incorporated (NYSE: ELAN) will announce its first quarter 2026 financial results on Wednesday, May 6, 2026. Elanco will also conduct a conference call on that day with the investment community and media to further detail the company's performance.

The conference call will begin at 8:00 a.m. Eastern time. Investors, media, and the general public can access a live webcast of the conference call through the link that will be posted on Elanco's website at https://investor.elanco.com/events-and-presentations/default.aspx. A replay will also be available on the website shortly following the call.

ABOUT ELANCO
Elanco Animal Health Incorporated (NYSE: ELAN) is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders and society as a whole. With 70 years of animal health heritage, we are committed to breaking boundaries and going beyond to help our customers improve the health of animals in their care, while also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and Companionship Enriching Life and our purpose – all to Go Beyond for Animals, Customers, Society and Our People. Learn more at www.elanco.com.

Investor Contact: Tiffany Kanaga (765) 740-0314 [email protected]
Media Contact: Colleen Parr Dekker (317) 989-7011 [email protected]  

SOURCE Elanco Animal Health

Also from this source

/C O R R E C T I O N – Elanco Animal Health/ In the news release, Elanco's Negasunt™ Powder (Coumaphos, Propoxur, Sulfanilamide Topical Powder) and Tanidil™ (Coumaphos, Propoxur) Receive Emergency Authorization for Use Against New World Screwworm in Livestock, issued 27-Apr-2026 by Elanco Animal Health over PR Newswire, we are advised by the company that changes have been made. The complete, corrected release follows, with additional details at the end:

Elanco's Negasunt™ Powder (Coumaphos, Propoxur, Sulfanilamide Topical Powder) and Tanidil™ (Coumaphos, Propoxur) Receive Emergency Authorization for Use Against New World Screwworm in Livestock Action Prepares Veterinarians and Livestock Producers with Prevention and Treatment Options Prior to Fly Being Detected in the U.S.

Federal agencies grant emergency authorizations for New World screwworm in livestock, reinforcing Elanco's leadership in livestock health innovations   Actions underscore the commitment of the U.S. Food and Drug Administration, U.S. Environmental Protection Agency, and U.S. Department of Agriculture to act swiftly against emerging animal health threats  Early detection and immediate treatment of open wounds on livestock is critical to prevention of New World screwworm myiasis in individual animals and rapid spread of the pest An effective fly and tick control regimen is also essential, helping to avoid small bites on animals that can be an entry point for the screwworm , /PRNewswire/ -- Elanco Animal Health Incorporated (NYSE: ELAN) announced it has received Emergency Use Authorization (EUA) from the U.S. Food and Drug Administration (FDA) for Negasunt Powder (coumaphos, propoxur, sulfanilamide topical powder) and a Section 18 Emergency Exemption from the U.S. Environmental Protection Agency (EPA) in cooperation with the United States Department of Agriculture (USDA) for Tanidil (coumaphos, propoxur) for the prevention and treatment of New World screwworm infestations in a variety of livestock species.

With confirmed cases of New World screwworm detected as close as 62 miles south of the U.S.-Mexico borderi, these authorizations ensure veterinarians and livestock producers have a ready-now treatment option for various livestock species should the fly enter the U.S.

Negasunt Powder and Tanidil will be available only through the U.S. Animal Plant Health and Inspection Service (APHIS) and its National Veterinary Stockpile. They will be distributed in coordination with state animal health officials and federally recognized tribal agencies. In the near future, APHIS will share additional information about the requirements for use, including tracking and reporting requirements and required safety and personal protective equipment.

With more than 70 years of on-farm experience, Elanco is standing alongside livestock producers and regulators during this challenging time by providing New World screwworm options for prevention and treatment of New World screwworm infestations, education and science-based resources if the fly enters the U.S.

"We appreciate our federal agencies' swift review of the scientific data demonstrating that these products may be effective in prevention and treatment against New World screwworm infestations," said Dr. Ellen de Brabander, Executive Vice President of Research & Development at Elanco. "We're committed to working alongside state and federal regulatory authorities to provide our support and scientific expertise. These emergency authorizations provide new, science-based solutions and treatment options to livestock producers, veterinarians, and other animal health industry stakeholders at a time when they need them most."

Effective Parasite Protection is Paramount

Elanco now offers producers and veterinarians several key products that can help prevent and treat New World screwworm infestations in a variety of livestock species. In addition to the EUA for Negasunt Powder and the Section 18 Emergency Exemption for Tanidil, the company also offers Catron IV – one of the few EPA registered products labeled for treatment against screwworm in a variety of livestock species. This screwworm and ear tick spray can help producers kill and control screwworm flies and maggots on beef and dairy cattle, sheep, goats, hogs and horses.

"The most important thing producers can do is self-education. They should be learning more about New World screwworm from credible sources, staying current with treatment protocol recommendations, and knowing where active cases are located," said Dr. M. Wayne Ayers, Elanco Sr. Technical Consultant and veterinarian. "The second most important part of preventing losses from New World screwworm is for producers to keep their 'eyes on livestock.' Looking over livestock as frequently as possible will allow early detection and treatment of infestation. Early intervention is key to minimizing tissue damage, decreasing mortality, and reducing the risk to the area by preventing the fly's potential offspring from completing their lifecycle."

Preventing Wound-Causing Parasites Also Essential

According to APHIS, an important way to prevent New World screwworm infestation is to protect livestock from other wound-causing parasites such as biting flies and ticks.ii

"Some of the surgical and care procedures we perform for livestock could result in potential sites for the female screwworm to deposit her eggs," said Dr. Ayers. "Wounds as small as fly and tick bites are potential areas to watch for as well. Therefore, treating open wounds, including those from surgical sites, and instituting a good fly and tick prevention program will play an important role in reducing the number of infestations we may see."

Elanco offers several EPA registered products to help control flies and ticks on livestock in the forms of pour-on liquids, sprays, dusts and ear tags.

Elanco recommends that livestock producers and veterinarians review the latest resources available from the USDA and FDA and consider the additional resources below in advance of the potential entry of New World screwworm into the United States.

To learn more about New World screwworm (NWS) using the following resources:

USDA NWS Alert and Fact Sheet NCBA NWS Resources FDA Information for Veterinarians on NWS Emergency Use Authorization of Negasunt Powder (coumaphos, propoxur, and sulfanilamide topical powder) for New World Screwworm (NWS)

WARNING: Neurotoxicity. Read full Fact Sheet for complete information. 

Coumaphos and propoxur can cause neurotoxicity. May be fatal if swallowed. May be fatal if inhaled. Harmful if absorbed through skin. Causes moderate eye irritation. Do not breathe dust. Avoid contact with eyes, skin, or clothing.   Use only with appropriate personal protective equipment (PPE): coveralls worn over long-sleeve shirt and long pants, shoes, socks, and protective eyewear; chemical-resistant gloves made of  barrier laminate, butyl rubber (≥ 14 mils), nitrile rubber (≥14 mils), neoprene rubber (>14 mils), natural rubber (≥14 mils), polyethylene, polyvinyl chloride (PVC) ≥14 mils, or Viton (>14 mils); and a minimum of a NIOSH-approved elastomeric half mask respirator consisting of protection factor (PF) 10 fitted with organic vapor (OV) cartridges and combination  R or P filters; or a NIOSH-approved gas mask with OV canisters; or a NIOSH-approved powered air purifying respirator with OV cartridges and combination HE filters.   This product is toxic to mammals, birds, fish, and aquatic invertebrates.  The U.S. Food and Drug Administration (FDA) has issued an Emergency Use Authorization (EUA) for the emergency use of the unapproved product Negasunt Powder for the prevention and treatment of infestations caused by New World screwworm (Cochliomyia homnivorax) larvae (myiasis) in cattle, swine, goats, sheep, horses, donkeys, domestic hybrid equids, and captive wild, exotic, and zoo mammals. Negasunt Powder is not approved for this use.

For use by employees of federal, state, local, and federally recognized tribal agencies, and persons working under their authority and at their direction. Also for use by or on the order of a licensed veterinarian in NWS infested zones and adjacent surveillance zones as defined by the U.S. Department of Agriculture (USDA). 

For additional information on the EUA and for complete safety information, please refer to the Negasunt Powder NWS Fact Sheet.  

Limitations of Authorized Use  
It is a violation of federal law to use this drug product other than as directed in the authorized Fact Sheet. 

Treated animals must not be slaughtered for human consumption within 28 days of the last treatment. 

A milk discard time has not been established for this product; do not use in animals producing milk for human consumption. 

A withdrawal period has not been established for this product in pre-ruminating calves; treated calves and calves born to treated cows must not be processed for veal. 

Do not use in horses intended for human consumption. Do not use in domestic indoor pets (e.g., dogs, cats, rodents, rabbits) nor in residences. Do not use in birds. Do not use in free-ranging wildlife. 

To avoid overexposure, each individual person cannot treat more than 3 large wounds (>2 inches diameter) a day or more than 30 small superficial wounds (≤2 inches diameter) a day (or an equivalent thereof) with Negasunt Powder or any other coumaphos-containing products.  

Negasunt Powder is authorized for this use only for the duration of the declaration that circumstances exist justifying the authorization of the emergency use of Negasunt Powder under section 564(b)(1) of the Federal Food, Drug, and Cosmetic Act (FD&C Act), 21 U.S.C. § 360bbb-3(b)(1), unless the declaration is terminated or the authorization is revoked sooner. 

Federal law prohibits the extra-label use of this drug. 

Additional Important Safety Information
Not for use in humans. Keep out of reach of children. Only handlers wearing required PPE may be in the area during application.  Do not apply in a confined, non-ventilated area; provide thorough ventilation. Call a poison control center or doctor immediately for treatment advice if Negusant Powder is swallowed, inhaled, on skin or clothing, or in eyes. Sulfonamides are contraindicated in animals that are hypersensitive to them and in animals with severe renal or hepatic impairment. For external use only on animals.  Do not contaminate water, feed, troughs, feed handling equipment, or milk or meat handling equipment. Use with caution in very young, weak, or debilitated animals.  In the case of overdose, treat with atropine sulfate or pralidoxine chloride (2-PAM) as soon as possible. The most common adverse reactions associated with organophosphate and carbamate toxicity in animals include frequent urination and defecation, muscle twitching, and watering eyes.

Important Information about Tanidil
Tanidil™ is an unregistered product for distribution and use only under a Section 18 emergency exemption. The Section 18 labeling must be in the possession of the user at the time of pesticide application.  This product may only be used to prevent or control New World screwworm in and on animal wounds on labeled animal host species.

For use only by federal, state, local, and federally recognized tribal agencies, and persons working under their supervision; personnel at quarantine stations and areas; veterinarians; veterinarians or certified applicators at livestock and game facilities, zoos, wildlife facilities, animal rehabilitation centers; and wildlife professionals. 

Read the entire label. This product must be used strictly in accordance with this label's precautionary statements and use directions, as well as with all applicable state and federal laws and regulations. Please visit the Tanidil fact sheet for more information.

Use Period: This exemption is effective on April 27, 2026 and expires on April 27, 2029. No applications of Tanidil may be made under the emergency exemption before its effective date or after its expiration date.  

ABOUT ELANCO
Elanco Animal Health Incorporated is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders and society as a whole. With 70 years of animal health heritage, we are committed to breaking boundaries and going beyond to help our customers improve the health of animals in their care, while also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and Companionship Enriching Life and our purpose – all to Go Beyond for Animals, Customers, Society and Our People. Learn more at www.elanco.com.

Media Contact: Season Solorio (765) 316-0233 [email protected]
Investor Contact: Tiffany Kanaga (765) 740-0314 [email protected]

Negasunt, Tanidil, Catron, Elanco and the diagonal bar logo are trademarks of Elanco or its affiliates. © 2026 Elanco or its affiliates.

Correction: Additional hyperlinks have been added to fact sheets in the release.

SOURCE Elanco Animal Health

Raising Full Year Outlook and Innovation Target, Improving Year-End Net Leverage Ratio Target

First Quarter 2026 Financial Results: Revenue of $1,371 million, an increase of 15% year-over-year; 10% organic constant currency growth Reported Net Income of $57 million, Adjusted Net Income of $204 million Adjusted EBITDA of $334 million; Adjusted EBITDA Margin of 24.5% Reported EPS of $0.11, Adjusted EPS of $0.40 Net leverage ratio of 3.5x Adjusted EBITDA Full Year 2026 Guidance: Raising innovation revenue target to $1.2 billion Raising revenue guidance to $5,010 million to $5,085 million, or 5% to 7% organic constant currency growth Raising Adjusted EBITDA to $975 million to $1,005 million, a year-over-year increase of 10% at midpoint Raising Adjusted EPS of $1.03 to $1.09, a year-over-year increase of 13% at midpoint Improving year-end net leverage ratio target to 3.0x to 3.2x Adjusted EBITDA , /PRNewswire/ -- Elanco Animal Health Incorporated (NYSE: ELAN) today reported financial results for the first quarter of 2026, provided guidance for the second quarter of 2026, and updated guidance for the full year 2026.

"Elanco's strong first quarter results demonstrate the significant momentum of our innovation-led strategy," said Jeff Simmons, President and CEO of Elanco. "Organic constant currency revenue growth of 10% reflects outperformance across our diverse portfolio, including Zenrelia reaching trailing 4-quarter blockbuster status, and Credelio Quattro achieving accelerating market share gains. All major species grew, driven by our basket of innovation and growth in our base business. We are improving our full year guidance across all key metrics, as our consistent execution is creating more ways for Elanco to win in this durable, attractive animal health industry."

Select Business Highlights Since the Last Earnings Call

Credelio Quattro™ accelerated dollar share gains of broad-spectrum sales out of U.S. vet clinics in Q1, up 3 points versus Q4**; penetrated over 40% of the U.S. clinic base; 53% share in U.S. clinics that carry Quattro, up 13 points in Q1 versus Q4**; launched in Australia and approved in Canada, both in April Zenrelia™ achieved trailing 4-quarter blockbuster status; over 2 million dogs have been treated; efficacy driving use in over 50% of U.S. clinics with U.S. JAK market share up 5 points versus Q4**; over 50% share of JAK market in Brazil, over 35% share in Japan, and high-teens to 30%+ JAK market share in key European markets*** Befrena™ phased launch approach on track, with product already shipped to early experience influencers and in use, and commercialization in the U.S. expected in Q2 Added Costco and Dollar General as new retail customers for parasiticides in the U.S. Advantage® Collar for Dogs launched in April, providing four-month protection against fleas and ticks, available at pet specialty, dollar, grocery, and mass retailers Closed the previously announced acquisition of AHV International on April 30th **Per Kynetec data
***Internal estimates based on multiple data sources

Financial Results

First Quarter Results

(dollars in millions, except per share amounts)

2026

2025

Change (%)

Organic CC
Growth (1) (%)

Pet Health

$710

$635

12 %

7 %

Farm Animal

$642

$546

18 %

13 %

Cattle

$316

$272

16 %

13 %

Poultry

$230

$189

22 %

16 %

Swine

$96

$85

13 %

9 %

Contract Manufacturing and Other (2)

$19

$12

58 %

Total Revenue

$1,371

$1,193

15 %

10 %

Gross Profit

$785

$684

15 %

Reported Net Income

$57

$67

(15) %

Adjusted EBITDA

$334

$276

21 %

Reported EPS

$0.11

$0.13

(15) %

Adjusted EPS

$0.40

$0.37

8 %

(1) Organic CC Growth = Represents revenue growth excluding royalty revenue that was sold to a third party and the impact of foreign exchange rates.

(2) Primarily represents revenue from arrangements in which we manufacture products on behalf of a third party and royalty revenue. Royalty revenue sold to a third party, to which we are no longer entitled but is still required to be recognized as revenue under GAAP, totaled $9 million for the three months ended March 31, 2026.

In the first quarter of 2026, revenue was $1,371 million, an increase of 15% on a reported basis, or 10% on an organic constant currency basis, compared to the first quarter of 2025.

Pet Health revenue was $710 million, an increase of 12% on a reported basis, or 7% on an organic constant currency basis. The year over year volume increase of 5% in the first quarter was primarily driven by new products, and the addition of two new retail customers benefitting parasiticides. The 2% increase from price was in line with the company's expectation. The Advantage® Family of products and Seresto® contributed revenue of $163 million and $159 million     , respectively.

Farm Animal revenue was $642 million, an increase of 18% on a reported basis, or 13% on an organic constant currency basis. First quarter volumes were up 11%, driven by strong demand across all species, led by poultry and ruminants. Farm animal organic constant currency revenue growth included a 2% increase from price, compared to the first quarter of 2025.

Gross profit was $785 million in the first quarter of 2026, and gross margin percentage was 57.3% in the first quarter of 2026 and 2025. On an adjusted basis, gross profit was $776 million and gross margin percentage was 57.0% in the first quarter of 2026, a 40 basis point decrease compared to the first quarter of 2025 as expected. The decrease in gross margin percentage on an adjusted basis was primarily driven by product mix with strong Farm Animal growth, the timing of inflation, and a flow through of higher inventory costs, partially offset by price and sales volume benefits.

Total operating expenses were $478 million for the first quarter of 2026, an increase of 10% compared to the first quarter of 2025. Marketing, selling and administrative expenses increased 12% to $381 million, driven by higher compensation expense, foreign currency exchange rate movements and strategic investments in the global launches of new products, partially offset by decreased expenses in certain general and administrative expenses. Research and development expenses increased 3% to $97 million driven primarily by foreign exchange rates.

Asset impairment, restructuring and other special charges were $16 million in the first quarter of 2026, compared to $9 million in the first quarter of 2025. Charges recorded in the first quarter of 2026 primarily related to $15 million of non-cash shut-down costs for the animal studies portion of our R&D facilities in Monheim, Germany. Charges recorded in the first quarter of 2025 primarily consisted of upfront payments made in relation to new licensing arrangements.

Reported net interest expense was $57 million in the first quarter of 2026, an increase of $17 million compared to the first quarter of 2025. The increase was principally due to imputed interest on our liability for sale of future revenue of $14 million, as well as interest expense related to our corporate headquarters finance lease, partially offset by lower average debt balances. Adjusted net interest expense, which excludes this imputed interest, was $43 million in the first quarter of 2026, an increase of $3 million compared to the first quarter of 2025.

The reported effective tax rate was 34.6% in the first quarter of 2026 compared to (12.2)% in the first quarter of 2025. The adjusted effective tax rate was 21.2% in the first quarter of 2026 compared to 9.2% in the first quarter of 2025.

Net income for the first quarter of 2026 was $57 million, or $0.11 per diluted share on a reported basis, compared with net income of $67 million, or $0.13 per diluted share, for the same period in 2025. On an adjusted basis, net income for the first quarter of 2026 was $204 million, or $0.40 per diluted share, an 8% increase compared with the same period in 2025.  

Adjusted EBITDA was $334 million in the first quarter of 2026, a 21% increase compared to the first quarter of 2025. Adjusted EBITDA margin was 24.5% compared with 23.1% for the first quarter of 2025.

Working Capital and Balance Sheet

Cash provided by operations was $13 million in the first quarter of 2026, compared to cash used in operations of $4 million in the first quarter of 2025.

As of March 31, 2026, Elanco's net leverage ratio was 3.5x adjusted EBITDA, a decrease of 0.1x compared to December 31, 2025.

Financial Guidance

Elanco is updating financial guidance for the full year 2026, summarized in the following table.

2026 Full Year

(dollars in millions, except per share amounts)

February

Guidance

May

Guidance

Revenue (1)

$4,950

to

$5,020

$5,010

to

$5,085

Adjusted EBITDA

$955

to

$985

$975

to

$1,005

Adjusted Earnings per Share

$1.00

to

$1.06

$1.03

to

$1.09

(1) Revenue guidance excludes royalty revenue that was sold to a third party.

"Our strong first quarter results underscore the powerful momentum we are carrying into 2026," said Bob VanHimbergen, Executive Vice President and CFO of Elanco Animal Health. "This outperformance, driven by both volume and price, gives us the confidence to raise our full-year guidance for revenue, adjusted EBITDA, and adjusted EPS, while continuing to take a prudent, balanced approach in a dynamic macro environment. We remain disciplined in our execution of Elanco Ascend, which is already delivering meaningful efficiencies and positions us for significant, sustainable margin expansion starting this year. With accelerating free cash flow and an improved net leverage target, Elanco is operating from a position of financial strength to drive long-term shareholder value."

The company anticipates a tailwind to revenue of approximately $60 million from the favorable impact of foreign exchange rates compared to prior year. Excluding the impact of foreign exchange rates and royalty revenue sold to a third party, the company now expects revenue growth of 5% to 7% versus 4% to 6% previously. The company continues to expect an accelerating contribution from price versus 2025.

Elanco continues to expect adjusted gross margin of 55.1% to 55.5%, an increase of 40 basis points versus 2025. Adjusted EBITDA guidance reflects savings from the Elanco Ascend initiative as well as incremental strategic investments in the global launches of the company's innovation portfolio and the advancement of the R&D pipeline.

Additionally, the company is providing guidance for the second quarter of 2026, as summarized in the following table:

 2026 Second Quarter

(dollars in millions, except per share amounts)

Guidance

Revenue (1)

$1,300

to

$1,325

Adjusted EBITDA

$240

to

$260

Adjusted Earnings per Share

$0.25

to

$0.28

(1) Revenue guidance excludes royalty revenue that was sold to a third party.

In the second quarter, the company anticipates a tailwind to revenue of approximately $10 million from the favorable impact of foreign exchange rates compared to prior year. Excluding the impacts of foreign exchange rates and royalty revenue sold to a third party, the company expects 4% to 6% organic constant currency revenue growth. The company expects operating expenses up approximately 8% year over year in constant currency with incremental support for innovation products.

The 2026 full year and second quarter financial guidance reflects foreign exchange rates as of the end of April. Further details on guidance, including GAAP reported to non-GAAP adjusted reconciliations, are included in the financial tables of this press release and will be discussed on the company's conference call this morning.

WEBCAST & CONFERENCE CALL DETAILS

Elanco will host a webcast and conference call at 8:00 a.m. Eastern Time today, during which company executives will review first quarter financial and operational results, discuss second quarter and full year 2026 financial guidance, and respond to questions from analysts. Investors, analysts, members of the media and the public may access the live webcast and accompanying slides by visiting the Elanco website at https://investor.elanco.com and selecting Events and Presentations. A replay of the webcast will be archived and made available a few hours after the event on the company's website, at https://investor.elanco.com/events-and-presentations/default.aspx#module-event-upcoming.

ABOUT ELANCO

Elanco Animal Health Incorporated (NYSE: ELAN) is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders and society as a whole. With more than 70 years of animal health heritage, we are committed to breaking boundaries and going beyond to help our customers improve the health of animals in their care, while also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and Companionship Enriching Life and our purpose – to Go Beyond for Animals, Customers, Society and Our People. Learn more at www.elanco.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws, including, without limitation, statements concerning product launches and revenue from such products, our 2026 full year and second quarter guidance and long-term expectations, our expectations regarding debt levels, and expectations regarding our industry and our operations, performance and financial condition, and including, in particular, statements relating to our business, growth strategies, distribution strategies, product development efforts and future expenses.

Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, by their nature, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, our actual results may differ materially from those contemplated by the forward-looking statements. Important risk factors that could cause actual results to differ materially from those in the forward-looking statements include regional, national or global political, economic, business, competitive, market and regulatory conditions, including but not limited to the following:

operating in a highly competitive industry; the success of our research and development (R&D), regulatory approval and licensing efforts; the impact of disruptive innovations and advances in veterinary medical practices, animal health technologies and alternatives to animal-derived protein; competition from generic products that may be viewed as more cost-effective; changes in regulatory restrictions on the use of antibiotics in farm animals; an outbreak of infectious disease carried by farm animals; risks related to the evaluation of animals; consolidation of our customers and distributors; an increased use of alternative distribution channels or changes within existing distribution channels; our dependence on the success of our top products; our ability to complete acquisitions and divestitures and to successfully integrate the businesses we acquire; our ability to implement our business strategies or achieve targeted cost efficiencies and gross margin improvements; manufacturing problems and capacity imbalances, including at our contract manufacturers; fluctuations in inventory levels in our distribution channels; risks related to the use of artificial intelligence in our business; our dependence on sophisticated information technology systems and infrastructure, including the use of third-party, cloud-based technologies, and the impact of outages or breaches of the information technology systems and infrastructure we rely on; the impact of weather conditions, including those related to climate change, and the availability of natural resources; demand, supply and operational challenges associated with the effects of a human disease outbreak, epidemic, pandemic or other widespread public health concern; the loss of key personnel or highly skilled employees; adverse effects of labor disputes, strikes and/or work stoppages; the effect of our substantial indebtedness on our business, including restrictions in our debt agreements that limit our operating flexibility and changes in our credit ratings that lead to higher borrowing expenses and restrict access to credit; changes in interest rates that adversely affect our earnings and cash flows; risks related to the write-down of goodwill or identifiable intangible assets; the lack of availability or significant increases in the cost of raw materials; risks related to foreign and domestic economic, political, legal and business environments; risks related to foreign currency exchange rate fluctuations; risks related to underfunded pension plan liabilities; our current plan not to pay dividends and restrictions on our ability to pay dividends; the potential impact that actions by activist shareholders could have on the pursuit of our business strategies; risks related to tax expense or exposures; actions by regulatory bodies, including as a result of their interpretation of studies on product safety; the possible slowing or cessation of acceptance and/or adoption of our farm animal sustainability initiatives; the impact of increased regulation or decreased governmental financial support related to the raising, processing or consumption of farm animals; risks related to tariffs, trade protection measures or other modifications of foreign trade policy; the impact of litigation, regulatory investigations and other legal matters, including the risk to our reputation and the risk that our insurance policies may be insufficient to protect us from the impact of such matters; challenges to our intellectual property rights or our alleged violation of rights of others; misuse, off-label or counterfeiting use of our products; unanticipated safety, quality or efficacy concerns and the impact of identified concerns associated with our products; insufficient insurance coverage against hazards and claims; compliance with privacy laws and security of information; risks related to environmental, health and safety laws and regulations; and inability to achieve our aspirations or meet the expectations of stakeholders with respect to environmental, social and governance matters. For additional information about the factors that could cause actual results to differ materially from forward-looking statements, please see the company's latest Form 10-K and Form 10-Qs filed with the Securities and Exchange Commission. Although we have attempted to identify important risk factors, there may be other risk factors not presently known to us or that we presently believe are not material that could cause actual results and developments to differ materially from those made in or suggested by the forward-looking statements contained in this press release. If any of these risks materialize, or if any of the above assumptions underlying forward-looking statements prove incorrect, actual results and developments may differ materially from those made in or suggested by the forward-looking statements contained in this press release. We caution you against relying on any forward-looking statements, which should also be read in conjunction with the other cautionary statements that are included elsewhere in this press release. Any forward-looking statement made by us in this press release speaks only as of the date thereof. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update or to revise any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, unless specifically expressed as such, and should be viewed as historical data.

Use of Non-GAAP Financial Measures:

We use non-GAAP financial measures, such as revenue growth excluding the impact of divestitures, foreign exchange rate effects, royalty revenue sold to third party, EBITDA, adjusted EBITDA, adjusted EBITDA margin, adjusted net income, adjusted EPS, adjusted gross profit, adjusted gross margin, net debt and net debt leverage to assess and analyze our operational results and trends as explained in more detail in the reconciliation tables later in this release.

We believe these non-GAAP financial measures are useful to investors because they provide greater transparency regarding our operating performance. Reconciliation of non-GAAP financial measures and reported U.S. generally accepted accounting principles (GAAP) financial measures are included in the tables accompanying this press release and are posted on our website at www.elanco.com. The primary material limitations associated with the use of such non-GAAP measures as compared to GAAP results include the following: (i) they may not be comparable to similarly titled measures used by other companies, including those in our industry, (ii) they exclude financial information and events, such as the effects of an acquisition or divestiture or amortization of intangible assets, that some may consider important in evaluating our performance, value or prospects for the future, (iii) they exclude items or types of items that may continue to occur from period to period in the future and (iv) they may not exclude all unusual or non-recurring items, which could increase or decrease these measures, which investors may consider to be unrelated to our long-term operations. These non-GAAP measures are not, and should not, be viewed as substitutes for GAAP reported measures. We encourage investors to review our unaudited consolidated financial statements in their entirety and caution investors to use GAAP measures as the primary means of evaluating our performance, value and prospects for the future, and non-GAAP measures as supplemental measures.

Availability of Certain Information

We use our website to disclose important company information to investors, customers, employees and others interested in Elanco. We encourage investors to consult our website regularly for important information about Elanco, including an Investor Overview presentation containing a general overview of the business, which can be found in the Events and Presentations page of our website.

Additional Information
We define innovation revenue as revenue from new products, lifecycle management and certain geographic expansions and business development transactions that is incremental in reference to product revenue in 2020 and does not include the expected impact of cannibalization on the base portfolio.

We define organic constant currency revenue growth as revenue growth excluding royalty revenue that was sold to a third party and the impact of foreign exchange rates.

Elanco Animal Health Incorporated

Unaudited Condensed Consolidated Statements of Operations

(Dollars and shares in millions, except per share data)

Three Months Ended March 31,

2026

2025

Revenue

$         1,371

$         1,193

Cost of sales

586

509

Gross profit

785

684

Research and development

97

94

Marketing, selling and administrative

381

341

Amortization of intangible assets

138

128

Asset impairment, restructuring and other special charges

16

9

Interest expense, net of capitalized interest

57

40

Other expense, net

9

12

Income before income taxes

87

60

Income tax expense (benefit)

30

(7)

Net income

$             57

$             67

Earnings per share:

Basic

$           0.11

$           0.14

Diluted

$           0.11

$           0.13

Weighted-average shares outstanding:

Basic

497.7

495.1

Diluted

506.0

499.1

Elanco Animal Health Incorporated
Reconciliation of GAAP Reported to Selected Non-GAAP Adjusted Information
(Unaudited)
(Dollars and shares in millions, except per share data)

We use non-GAAP financial measures, such as organic constant currency revenue growth, adjusted gross profit, adjusted gross margin percentage, adjusted net income, adjusted EPS, EBITDA, adjusted EBITDA and adjusted EBITDA margin and net debt and net debt leverage, that differ from financial measures reported in conformity with GAAP. The company believes these non-GAAP measures provide useful information to investors. Among other things, they may help investors assess and analyze our operational results and trends of our ongoing operations. Management also uses these non-GAAP measures internally to evaluate the performance of the business and in making resource allocation decisions. Investors should consider these non-GAAP measures in addition to, not as a substitute for or superior to, measures of financial performance prepared in accordance with GAAP. Reconciliation of non-GAAP financial measures and reported GAAP financial measures are included in the tables below.

Adjusted Gross Profit and Gross Margin Percentage

We define gross profit as total revenue less cost of sales. We define adjusted gross profit as gross profit less royalty revenue sold to a third party, less cost of sales adjustments. We define adjusted gross margin percentage as adjusted gross profit divided by total revenue, less royalty revenue sold to a third party. The following is a reconciliation of GAAP reported gross profit for the for the three months March 31, 2026 and 2025, to adjusted gross profit and adjusted gross margin percentage:

Three Months Ended March 31,

2026

2025

GAAP reported gross profit

$         785

$         684

Sold royalty revenue

(9)

—

Cost of sales adjustments

—

1

Adjusted gross profit

$         776

$         685

Adjusted gross margin percentage

57.0 %

57.4 %

Adjusted Net Income and Earnings Per Share

We define adjusted net income as net income (loss) excluding amortization of intangible assets, purchase accounting adjustments to inventory, acquisition and divestiture-related charges, including integration and separation costs, severance, goodwill and other asset impairments, gains on sales of assets and related costs, facility exit costs, the impacts from sales of future revenues, gains and losses on mark-to-market adjustments on equity securities, tax valuation allowances, certain litigation-related settlements that we consider to be unusual or infrequent and significant, and other specified significant items, such as unusual or non-recurring items that are unrelated to our long-term operations adjusted for income tax expense associated with the excluded financial items. We define adjusted earnings per share as adjusted net income divided by the number of weighted-average diluted shares outstanding for the applicable period. The following is a reconciliation of GAAP reported net income and EPS for the three months ended March 31, 2026 and 2025, to adjusted net income and EPS:

Three Months Ended March 31,
2026

Three Months Ended March 31,
2025

Net income (a)

EPS

Net income (a)

EPS

GAAP reported net income and EPS

$             57

$           0.11

$             67

$           0.13

Cost of sales

—

—

1

0.00

Amortization of intangible assets

138

0.27

128

0.26

Asset impairment, restructuring and other
special charges (1)

16

0.03

9

0.02

Sold royalty revenue

(9)

(0.02)

—

—

Interest expense, net of capitalized interest (2)

14

0.03

—

—

Other expense, net (3)

13

0.03

5

0.01

Income tax expense (benefit) (4)

(25)

(0.05)

(26)

(0.05)

Adjusted net income and EPS

$            204

$           0.40

$            184

$           0.37

(a)

Adjustments to GAAP reported net income to arrive at adjusted net income for the three months ended March 31, 2026 and 2025, included the following:

(1)

Adjustments of $16 million for the three months ended March 31, 2026, primarily related to $15 million of non-cash shut-down costs for the animal studies portion of our R&D facilities in Monheim, Germany associated with our 2025 Restructuring Plan. Adjustments of $9 million for the three months ended March 31, 2025, included $7 million of upfront payments made in relation to new licensing arrangements.

(2)

Adjustments of $14 million for the three months ended March 31, 2026, related to imputed interest expense on our liability for sale of future revenue.

(3)

Adjustments of $13 million for the three months ended March 31, 2026, primarily related to currency translation losses reclassified from accumulated other comprehensive loss in conjunction with the substantial liquidation of a dormant legal entity, a litigation settlement, and mark-to-market adjustments on equity investments. Adjustments of $5 million for the three months ended March 31, 2025, related to mark-to-market adjustments on equity investments and the impact of hyperinflationary accounting in Turkey.

(4)

Adjustments of $25 million for the three months ended March 31, 2026 primarily represented the income tax expense associated with the adjusted items discussed above. Adjustments of $26 million for the three months ended March 31, 2025, primarily represented the income tax expense associated with the adjusted items discussed above. The adjustments for the three months ended March 31, 2025, also reflect a $35 million benefit related to a discrete tax item recognized during the quarter.

Adjusted EBITDA and Adjusted EBITDA Margin

We define adjusted EBITDA as net income (loss) adjusted for interest expense (income), which includes debt financing charges and imputed interest on our liability for sale of future revenue, income tax expense (benefit) and depreciation and amortization, further adjusted to exclude purchase accounting adjustments to inventory, acquisition and divestiture-related charges, including integration and separation costs, severance, goodwill and other asset impairments, gains on sales of assets and related costs, facility exit costs, revenue sold to a third party, gains and losses on mark-to-market adjustments on equity securities, certain litigation-related settlements which we consider to be unusual or infrequent and significant, and other specified significant items, such as unusual or non-recurring items that are unrelated to our long-term operations.

For the periods presented, we have not made adjustments for all items that may be considered unrelated to our long-term operations. We believe adjusted EBITDA, when used in conjunction with our results presented in accordance with GAAP and its reconciliation to net income (loss), enhances investors' understanding of our performance, valuation and prospects for the future. We also believe adjusted EBITDA is a measure used in the animal health industry by analysts as a valuable performance metric for investors. The following is a reconciliation of GAAP reported net income for the three months ended March 31, 2026 and 2025, to EBITDA, adjusted EBITDA and adjusted EBITDA margin, which we define as adjusted EBITDA divided by total revenue, less royalty revenue sold to a third party, for the respective periods:

Three Months Ended March 31,

2026

2025

GAAP reported net income

$           57

$           67

Net interest expense

57

40

Income tax expense (benefit)

30

(7)

Depreciation and amortization

170

161

EBITDA

$         314

$         261

Non-GAAP adjustments:

Cost of sales adjustments

$           —

$            1

Asset impairment, restructuring and other special charges

16

9

Sold royalty revenue

(9)

—

Other expense, net

13

5

Adjusted EBITDA

$         334

$         276

   Adjusted EBITDA margin

24.5 %

23.1 %

Numbers may not add due to rounding.

Gross and Net Debt and Net Leverage Ratio

We define gross debt as the sum of the current portion of long-term debt and long-term debt excluding unamortized debt issuance costs. We define net debt as gross debt less cash and cash equivalents and finance lease liabilities on the balance sheet. We define our net leverage ratio as net debt divided by our trailing twelve month adjusted EBITDA. We believe our net debt and net leverage ratio are important measures to monitor our financial flexibility, liquidity and capital structure and may enhance investors' understanding of our ability to meet future financial obligations. In addition, a net leverage ratio is a financial measure that is frequently used by investors and creditors. The below calculations do not include covenant-related adjustments that reduce our net leverage ratio. The following is a reconciliation of gross debt to net debt as of March 31, 2026:

Long-term debt

$          3,918

Current portion of long-term debt

73

Less: Unamortized debt issuance costs

(27)

Total gross debt

4,018

Less: Cash and cash equivalents

428

Less: Finance lease liabilities

255

Net debt

$          3,335

The following table presents a calculation of our net leverage ratio as of March 31, 2026:

Net debt

$          3,335

Trailing twelve month adjusted EBITDA

$            958

     Net leverage ratio

3.5

Investor Contact: Tiffany Kanaga (765) 740-0314 or [email protected]

Media Contact: Colleen Parr Dekker (317) 989-7011 or [email protected]

SOURCE Elanco Animal Health

The animal health company also released better-than-expected first-quarter earnings.

Elanco Stock Rises On Emergency Use Authorization ApprovalsThe recent approval of Elanco’s Negasunt Powder (Coumaphos, Propoxur, Sulfanilamide Topical Powder) and Tanidil (Coumaphos, Propoxur) covers use against new world screwworm in livestock.

Elanco Animal Health reported first-quarter adjusted earnings of 40 cents, beating the consensus of 35 cents, and within management guidance of 33-36 cents.

Sales increased 15% (+10% organic constant currency growth) to $1.37 billion, beating the consensus of $1.29 billion and management guidance of $1.28 billion-$1.31 billion.

Pet Health Segment Shows Steady GrowthPet Health revenue was $710 million, up 12% (+7% on an organic constant currency basis).

Volume increased 5%, primarily driven by new products, and the addition of two new retail customers benefited parasiticides.

The 2% increase in price was in line with the company’s expectations. The Advantage Family of products and Seresto contributed revenue of $163 million and $159 million, respectively.

U.S. Pet Health achieved 6% growth despite winter storms impacting January and February at the vet clinic, then saw a sharp recovery in March to 8% growth, with April even better.

March was Zenrelia’s largest month yet, with U.S. vet clinic sell-in 30% larger than any other month to date. The company said it is at over 16,000 U.S. vet clinics or over 50% of the total, and the reorder rate is over 80%.

Farm Animal revenue was $642 million, an increase of 18% (+13%).

First quarter volumes were up 11%, driven by strong demand across all species, led by poultry and ruminants. Farm animal organic constant currency revenue growth included a 2% increase from price, compared to the first quarter of 2025.

Adjusted EBITDA was $334 million in the first quarter of 2026, a 21% increase compared to the first quarter of 2025. Adjusted EBITDA margin was 24.5% compared with 23.1% a year ago.

Guidance Raised Amid Strong Start To YearIn the earnings conference call, the company said, “With our solid start to the year and accelerating trends into March and April, we are well positioned to raise our top and bottom line outlook for the full year.”

Elanco Animal Health increased its adjusted earnings guidance from $1.00-$1.06 per share to $1.03-$1.09 per share, compared to the consensus of $1.03.

The company also raised its sales guidance from $4.95 billion-$5.02 billion to $5.01 billion-$5.085 billion compared to the consensus of $5 billion.

Elanco Animal Health sees second-quarter adjusted earnings of 25-28 cents versus the consensus of 29 cents, with sales between $1.3-$1.325 billion compared to the Wall Street estimate of $1.32 billion.

ELAN Stock Price Activity: Elanco Animal Health shares were up 9.33% at $25.13 at the time of publication on Wednesday, according to Benzinga Pro data.

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Elanco Animal Health Incorporated (ELAN) Q1 2026 Earnings Call Transcript

, /PRNewswire/ -- Elanco Animal Health Incorporated (NYSE: ELAN) today announced that management will participate in upcoming investor conferences.

On Wednesday, May 27, Jeff Simmons, president and CEO, and Bob VanHimbergen, executive vice president and CFO, will participate in a fireside chat at the Stifel 2026 Jaws & Paws Conference at 8:00 a.m. ET.

On Tuesday, June 2, Jeff Simmons, president and CEO will present at the William Blair 46th Annual Growth Stock Conference at 3:20 p.m. CT.

Live audio webcasts will be available in the "Events and Presentations" section of Elanco's investor website. Replays will be available for a limited time at the conclusion of the event.

ABOUT ELANCO
Elanco Animal Health Incorporated (NYSE: ELAN) is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders and society as a whole. With more than 70 years of animal health heritage, we are committed to breaking boundaries and going beyond to help our customers improve the health of animals in their care, while also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and Companionship Enriching Life and our purpose – all to Go Beyond for Animals, Customers, Society and Our People. Learn more at www.elanco.com.

Investor Contact: Tiffany Kanaga (765) 740-0314 [email protected]
Media Contact: Season Solorio (765) 316-0233 [email protected]
Media Contact: Colleen Parr Dekker (317) 989-7011 [email protected]

SOURCE Elanco Animal Health

Phased launch of new anti-IL-31 monoclonal antibody is now underway, with product being used by select Early Experience Program veterinarians in clinics today

Befrena is effective for the treatment of dogs against allergic dermatitis and canine atopic dermatitis with no age or weight restrictions, and lasts 6 to 8 weeks, compared to the 4 to 8 weeks of the current market incumbent, lokivetmab Starts controlling itch within 24 hours and is given as an in-clinic injection Select Early Experience Program veterinarians are already using Befrena in clinical practice and seeing positive outcomes Meet Beaux, Penelope and Zephyr, the first early experience patients to receive Befrena and follow their journeys to itch relief Befrena is Elanco's second monoclonal antibody to launch in the U.S. pet health market, joining Trutect™, the first and only approved therapeutic solution to treat canine parvovirus and has been shown to be effective for passive immunity , /PRNewswire/ -- Elanco Animal Health Incorporated (NYSE: ELAN) today announced the phased launch of Befrena™ (tirnovetmab), a new anti-IL-31 monoclonal antibody (mAb) injection for treatment of canine allergic and atopic dermatitis. The launch comes at a key time, with a longer and more intense allergy season anticipated across the country this year.i With nearly 2 in 3 itchy dogs experiencing worse itch during allergy seasonii, Befrena expands Elanco's dermatology portfolio by offering a new treatment option that starts controlling allergic itch within 24 hours. By neutralizing IL-31, a key cytokine involved in sending itch signals to the brain, Befrena offers a differentiated 6 to 8 weeks dosing interval, providing veterinarians and pet owners with a new level of convenience and efficacy.

Beaux, a 6-year-old Yorkie from Austin, TX before receiving his first Befrena injection on March 31st, 2026

Beaux, a 6-year-old Yorkie from Austin, TX on April 21st, 2026, just 3 weeks after receiving his first Befrena injection Benefits of Befrena:  

Offers at least 6 to 8 weeks of itch relief, in contrast to the 4 to 8 weeks of the current market incumbent, lokivetmab Starts controlling itch within 24 hours Given as an in-clinic injection administered by, or under the supervision of, a licensed veterinarian Elanco received approval of Befrena from the U.S. Department of Agriculture (USDA) in December 2025, making it the company's second dermatology product, alongside Zenrelia™ (ilunocitinib tablets), to be approved and launched in the past two years.

Elanco is also now the only pet health company with two USDA approved mAb products – Befrena and Trutect. Trutect is the first and only approved therapeutic solution to treat canine parvovirus.

"The commercial launch of Befrena into the $1.3 billion U.S. canine dermatology marketiii is another exciting milestone in our innovation journey," said Bobby Modi, Executive Vice President, U.S. Pet Health and Global Digital Transformation. "We are seeing positive results from our Early Experience Program veterinarians who have started using Befrena in their clinics and will continue to increase supply of this new monoclonal antibody, as we scale our bioreactors with the anticipated manufacturing ramp-up."

Make Best Friends Better – Meet the First Dogs Treated with Befrena

Nearly 9 in 10 dogs in the U.S. are "itchy dogs" according to their pet owners, having experienced symptoms of itch at any point throughout the yearii. Data in Elanco's America's Itchy Dogs Report also found that veterinarians say that itchy dog owners wait too long before bringing in their dog, resulting in raw and infected skin and an irritated dog owner who wants their dog to experience relief quickly.ii

As a part of the Befrena Early Experience Program, select veterinarians and veterinary dermatologists have already started using Befrena in their clinics and seen initial improvements in itchy dogs.

Beaux from Austin, TX was the first dog treated with Befrena after experiencing significant hair loss due to his constant itch.

According to Dr. Matt Lane at Liberty Animal Hospital at Beaux's 3-week checkup appointment, "Beaux is doing amazing, and his owner is excited to see his hair growing back. He stopped itching within 24 hours of receiving the injection and his owner and I are extremely pleased with the results."

Penelope and Zephyr were also treated with Befrena at Gigi's Animal Shelter in Columbus, OH. Both dogs experience seasonal allergies that impact their behavior and quality of life and after discussing with their veterinarian both owners chose Befrena to control their dogs' itch.

"We want to get these dogs relief and make sure they have the most comfortable experience as possible, and I think Befrena shows some real promise for that," said Dr. Meghan Herron, Senior Director of Behavior, Research, and Education at Gigi's.

Zephyr's owner is also a licensed veterinary technician at Gigi's and helped administer Zephyr's injection. You can follow along their journey below.

https://elanco.wistia.com/medias/5nbmg3s2hk

"I have been involved with two clinical trials and the Early Experience Program which has shown Befrena to be a highly safe and effective product," said Dr. Tom Lewis, veterinary dermatologist and founder of Dermatology for Animals, a group of veterinary dermatology clinics committed to caring for pets with allergies. "This will become a very important treatment option for many allergic dogs and I am excited to use Befrena in my clinic."*

"I've used Befrena in a few patients so far and while it's still relatively early, I'm very optimistic and excited about what's going to happen with these cases," said Dr. Jason Pieper, veterinary dermatologist and tenured associate professor of dermatology at Iowa State University College of Veterinary Medicine. "I've had several patients respond very well including one unique case that has failed multiple other treatments for atopic dermatitis. And so far, two weeks after receiving Befrena, this dog's doing quite well, it's wonderful."*

Learn more about Befrena and sign up for future news and webinars at www.befrenaforvets.com.

*Drs. Pieper and Lewis are consultants for Elanco.

ABOUT ELANCO
Elanco Animal Health Incorporated (NYSE: ELAN) is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders and society as a whole. With 70 years of animal health heritage, we are committed to breaking boundaries and going beyond to help our customers improve the health of animals in their care, while also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and Companionship Enriching Life and our purpose – all to Go Beyond for Animals, Customers, Society and Our People. Learn more at www.elanco.com.

INDICATIONS
Zenrelia is a prescription medication used to control itching and inflammation associated with skin allergies for dogs over 12 months of age.

IMPORTANT SAFETY INFORMATION
Read the package insert, including the Boxed Warning, before using this drug. For full prescribing information speak with your veterinarian, call 1 888 545 5973 or visit www.elancolabels.com/us/zenrelia.

WARNING: INADEQUATE IMMUNE RESPONSE TO VACCINES. Based on results of the vaccine response study, dogs receiving Zenrelia are at risk of an inadequate immune response to vaccines. Discontinue Zenrelia for at least 28 days to 3 months prior to vaccination and withhold Zenrelia for at least 28 days after vaccination. Dogs should be up to date on vaccinations prior to starting Zenrelia. Do not use in dogs less than 12 months old or dogs with a serious infection. Dogs should be monitored for infections because Zenrelia may increase the chances of developing an infection. Neoplastic conditions (benign and malignant) were observed during clinical studies. The most common side effects were vomiting, diarrhea and tiredness. Zenrelia has not been tested in dogs used for breeding, pregnant, or lactating dogs and has not been evaluated in combination with glucocorticoids, cyclosporine, or other immune suppressive drugs.

Befrena, Zenrelia, Trutect, Elanco and the diagonal bar logo are trademarks of Elanco or its affiliates. © 2026 Elanco or its affiliates

PM-US-26-0849

i Asthma and Allergy Foundation of America, (2026). 2026 Allergy Capitals. Retrieved from allergycapitals.org.
ii Elanco Animal Health. Data on File. REF-28442
iii Elanco Animal Health. Data on File. REF-29772

Investor Contact: Tiffany Kanaga (765) 740-0314 [email protected]
Media Contact: Season Solorio (765) 316-0233 [email protected]  

SOURCE Elanco Animal Health

Elanco Animal Health Incorporated (ELAN) Presents at Stifel Jaws & Paws Conference 2026 Transcript

, /PRNewswire/ -- Elanco Animal Health Incorporated (NYSE: ELAN), a global leader in animal health, today released new consumer research showing pet owners continue to prioritize spending on their pets, underscoring the robust and resilient nature of the industry.

According to Elanco's latest survey of 1,409 U.S. pet owners conducted May 29-31, even with rising costs across spending categories including higher gas prices, pet health and wellness remain an absolute priority for pet owners as a protected budget item.

Pet owner data 2026. Stable Expectations for Pet Owner Spend: 91% of pet owners have at least maintained their spending on pet health and wellness products in recent years, with 38% of pet owners increasing spend. This remains stable with February research prior to rising fuel prices. Increasing Pet Care Spend Despite Rising Costs of Living: 31% of pet owners say they've increased spending on their pets' health and wellness in the past three months, despite increasing economic challenges. Further, 90% of pet owners expect their spending to stay the same or increase (37%) in the year ahead.   Pet Health & Wellness as a Top Priority and Core Expenditure: 95% of pet owners see pet health and wellness care as a priority that they will not reduce due to economic pressure. Even when consumers face personal financial challenges, they are willing to cut spending on themselves – dining out, travel – before their pets. In fact, pet health and wellness was the last item in the surveyed categories that consumers would cut if required to reduce expenses.  Elanco's latest research reveals a powerful and enduring shift in consumer behavior shaped by a new kind of pet owner – one who is more engaged, more informed and more empowered than ever before. Pets are no longer just companions – they're family. With fewer kids and more pets, pet owners are demonstrating an increased expectation of care and desire for longer, healthier lives for their pets. This profound commitment translates directly into a strong and durable willingness to invest in their wellbeing, with 88% of pet parents saying their pet's happiness and wellbeing is as important as their own.

"Our research consistently shows that pet care is not a discretionary expense; it's a deeply emotional and highly prioritized investment for pet parents," said Bobby Modi, Executive Vice President, U.S. Pet Health and Digital Transformation. "Pet owners are demonstrating an unwavering commitment to their animals' health, driving demand for innovative, high-quality solutions. This fundamental consumer trend underpins the resilience and growth potential of the companion animal industry, and Elanco is strategically positioned to capitalize on it."

These findings reinforce the broader industry data showing the animal health industry is one of the most compelling and resilient sectors, with a 20-year track record of continual growth, averaging about 5% annually. Elanco estimates the industry expanded by 7% in 2025. Deep consumer commitment to pets and a surging demand for animal protein are driving sustained growth. With a long runway ahead, the animal health industry is projected to grow from $42 billion in 2025 to $60 billion in the next decade.

Key pet health trends further amplify this opportunity:

Omnichannel Access & Convenience: Modern pet owners seek convenience and diverse access points for care. While vet visit volumes may fluctuate, spending on vet services continues to grow, indicating a strong willingness to spend on innovation. Further, approximately 40% of pet care sales are subscription-based. Additionally, many consumers spend outside the vet clinic. The 2024 APPA National Pet Owners Survey indicated approximately one-third of all dog and cat owners didn't take their pet to a veterinarian in the previous year. Elanco is well-positioned with an omnichannel approach to meet pet owners where, when, and how they choose to engage. Comprehensive Portfolios & Innovation: Pet owners are willing to spend on innovation, which creates the value that drives industry pricing. Elanco is well-positioned with its market-leading growth in U.S. Pet Health through a basket of innovation, #1 standing in OTC1 and status as just one of two industry providers with a complete portfolio. Expanding Diagnostic Opportunities: Currently, only one in five pet visits includes diagnostics, meaning the true spectrum of disease is often unknown. As diagnostics expand what can be detected, and AI accelerates what can be learned, the opportunity to improve pet health and drive value is substantial. Elanco remains committed to providing pet owners with a wide range of innovative solutions at a variety of price points where they want to shop, that deliver on pet owners' desire to help their pets live longer, healthier, more active lives.

ABOUT ELANCO
Elanco Animal Health Incorporated (NYSE: ELAN) is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders and society as a whole. With 70 years of animal health heritage, we are committed to breaking boundaries and going beyond to help our customers improve the health of animals in their care, while also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and Companionship Enriching Life and our purpose – all to Go Beyond for Animals, Customers, Society and Our People. Learn more at www.elanco.com.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements within the meaning of the federal securities laws, including, without limitation, statements concerning expected consumer trends, market dynamics and industry growth.  Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, by their nature, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, our actual results may differ materially from those contemplated by the forward-looking statements. Important risk factors that could cause actual results to differ materially from those in the forward-looking statements include regional, national or global political, economic, business, competitive, market and regulatory conditions, and additional factors that could cause actual results to differ materially from forward-looking statements described in the company's latest Form 10-K and Form 10-Qs filed with the Securities and Exchange Commission. We caution you against relying on any forward-looking statements, which should also be read in conjunction with the other cautionary statements that are included elsewhere in this press release. Any forward-looking statement made by us in this press release speaks only as of the date thereof. We undertake no obligation to publicly update or to revise any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

________________________________

1 Internal estimates based on multiple data sources, as provided with our financial results reported on May 6, 2026

Investor Contact: Tiffany Kanaga (765) 740-0314 [email protected]
Media Contact: Colleen Dekker (317) 989-7011 [email protected]

SOURCE Elanco Animal Health

Company offers portfolio of treatment options and expert guidance following first confirmed case in the United States 

New World screwworm has officially reached the United States, with the first confirmed case in U.S. livestock in Texasi  New World screwworm can infest any warm-blooded animals – including livestock and pets – posing a significant threat to animal health, welfare, and producer livelihood  Elanco offers a portfolio of options for both livestock and pets that can treat infestations caused by New World screwworm larvae  , /PRNewswire/ -- Elanco Animal Health Incorporated (NYSE: ELAN) today reaffirms its commitment to providing veterinarians, livestock producers, and pet owners with resources and treatment options for their animals against the escalating threat posed by New World screwworm (NWS). The fly recently reached the United States, with the first case confirmed in U.S. livestock in Texas.i 

The emergence of New World screwworm in the U.S. creates a threat for veterinarians, livestock producers and pet owners that has not been seen north of the Florida Keys since the fly was eradicated from the United States more than 50 years ago.ii New World screwworm (Cochliomyia hominivorax) larvae feed on living tissue and can affect a wide range of warm-blooded animals, including livestock, companion animals, wildlife, and even humans.ii 

"New World screwworm could have a devastating impact on animal health, welfare, and producer livelihoods," said Jeff Simmons, President and CEO, Elanco Animal Health. "We want to thank the FDA, EPA and USDA, for all their work to prepare for this threat. We're committed to supporting our customers during this challenging time by delivering innovation, scientific expertise, and available resources to help treat New World screwworm and support the health and well-being of animals." 

With more than 70 years of animal health experience, including helping mitigate, prevent and treat New World screwworm in other parts of the world, Elanco is working alongside the U.S. animal health industry to help them fight against this parasite, offering a portfolio of options for pets and livestock that can help treat New World screwworm larvae infestations. 

Available Elanco Treatment and/or Prevention Options  

Product Name 

Indication  

Species 

Regulatory Status 

Credelio Quattro™- CA1 
(lotilaner, moxidectin, praziquantel, and pyrantel chewable tablets) 

Treats New World screwworm larvae infestations 

Dogs 

FDA Conditional Approval 

Credelio™ (lotilaner) 

Treats New World screwworm larvae infestations

Dogs 

FDA Emergency Use Authorization (EUA) 

Credelio™ CAT (lotilaner) 

Treats New World screwworm larvae infestations

Cats 

FDA Emergency Use Authorization (EUA) 

Negasunt™ Powder (coumaphos, propoxur, and sulfanilamide topical powder) 

Treats and Prevents New World screwworm larvae infestations

Variety of Livestock and other Species

FDA Emergency Use Authorization (EUA) 

Tanidil™ (Coumaphos, Propoxur) 

Prevents and Controls New World screwworm larvae infestations 

Variety of Livestock and other Species 

EPA Section 18 Emergency Exemption 

Catron® IV (Permethrin) 

Kills and controls screwworm fly and maggots 

Livestock 

EPA Approved 

Negasunt Powder and Tanidil will be available only through the U.S. Animal Plant Health and Inspection Service (APHIS) and its National Veterinary Stockpile. They will be distributed in coordination with state animal health officials and federally recognized tribal agencies. In the near future, APHIS will share additional information about the requirements for use, including tracking and reporting requirements and required safety and personal protective equipment. 

As New World screwworm enters the United States, Elanco is committed to working alongside producers as they continuously evolve management practices and to help them implement prevention and treatment protocols to use the right product at the right time. 

To learn more about Elanco's ongoing efforts and historical perspective on New World screwworm, please visit our previous coverage: 

Elanco's Negasunt™ Powder (Coumaphos, Propoxur, Sulfanilamide Topical Powder) and Tanidil™ (Coumaphos, Propoxur) Receive Emergency Authorization for Use Against New World Screwworm in Livestock  Elanco's Credelio Quattro™-CA1 (lotilaner, moxidectin, praziquantel, and pyrantel chewable tablets) Receives First FDA Conditional Approval for Treatment of New World Screwworm in Dogs  Elanco's Credelio™ CAT (lotilaner) Receives First FDA Emergency Use Authorization (EUA) for Treatment of New World Screwworm (NWS) in Cats  Elanco's Credelio™ (lotilaner) Receives First Ever FDA Emergency Use Authorization (EUA) against New World Screwworm (NWS) in Dogs  To learn more about New World screwworm (NWS) using the following resources: 

USDA NWS Alert and Fact Sheet  NCBA NWS Resources  FDA Information for Veterinarians on NWS  About Elanco Animal Health 

Elanco Animal Health Incorporated is a global leader in animal health dedicated to innovating and delivering products and services to prevent and treat disease in farm animals and pets, creating value for farmers, pet owners, veterinarians, stakeholders and society as a whole. With 70 years of animal health heritage, we are committed to breaking boundaries and going beyond to help our customers improve the health of animals in their care, while also making a meaningful impact on our local and global communities. At Elanco, we are driven by our vision of Food and Companionship Enriching Life and our purpose – all to Go Beyond for Animals, Customers, Society and Our People. Learn more at www.elanco.com. 

Indications for Credelio Quattro/Credelio Quattro-CA1 

Credelio Quattro is indicated for the prevention of heartworm disease and the treatment and control of roundworm, hookworm, and tapeworm infections. Credelio Quattro kills adult fleas and is indicated for the treatment and prevention of flea infestations and the treatment and control of tick infestations for 1 month in dogs and puppies 8 weeks of age and older and weighing 3.3 pounds or greater. Credelio Quattro is indicated for the prevention of Lyme disease infections as a direct result of killing black-legged ticks. 

Credelio Quattro-CA1 is conditionally approved for the treatment of infestations caused by New World screwworm (NWS) larvae in dogs and puppies 8 weeks of age and older and weighing 3.3 pounds or greater. 

Important Safety Information for Credelio Quattro/Credelio Quattro-CA1 

Lotilaner, an ingredient in Credelio Quattro/Credelio Quattro-CA1, belongs to the isoxazoline class and has been associated with neurologic adverse reactions like tremors, incoordination, and seizures even in dogs without a history of seizures. Use with caution in dogs with a history of seizures or neurologic disorders. Dogs should be tested for existing heartworm infections before Credelio Quattro/Credelio Quattro-CA1 administration as it is not effective against adult heartworms. The safe use in breeding, pregnant, or lactating dogs has not been evaluated. The most frequently reported adverse reactions in clinical trials were vomiting and diarrhea. 

Credelio Quattro-CA1 is conditionally approved by the FDA pending a full demonstration of effectiveness under application number 141-619. If you suspect that your dog is infested with NWS larvae, seek veterinary care immediately for treatment to include removal of larvae and appropriate wound care. 

For complete safety information, please see the Credelio Quattro/Credelio Quattro-CA1 product label or ask your veterinarian. 

Emergency Use Authorization of Credelio (lotilaner) Chewable Tablets for New World Screwworm (NWS) 

The U.S. Food and Drug Administration (FDA) has issued an Emergency Use Authorization (EUA) for the emergency use of the approved product Credelio (lotilaner) chewable tablets for the treatment of infestations caused by NWS (Cochliomyia hominivorax) larvae (myiasis) in dogs and puppies. Credelio is not approved for this use. 

Credelio (lotilaner) is approved for other uses in dogs and puppies. 

For additional information on the EUA, please refer to the Credelio NWS Fact Sheet. 

Limitations of Authorized Use 

Credelio (lotilaner) chewable tablets is authorized for this use only for the duration of the declaration that circumstances exist justifying the authorization of the emergency use of Credelio (lotilaner) chewable tablets under section 564(b)(1) of the Federal Food, Drug, and Cosmetic Act (FD&C Act), 21 U.S.C. § 360bbb-3(b)(1), unless the authorization is terminated or revoked sooner. 

Indications for Credelio 

Credelio kills adult fleas and is indicated for the treatment and prevention of flea infestations and treatment and control of tick infestations (lone star tick, American dog tick, black-legged tick, brown dog tick, and longhorned tick) for one month in dogs and puppies 8 weeks and older and 4.4 pounds or greater. Credelio is indicated for the prevention of Lyme disease infections as a direct result of killing black-legged ticks. 

Important Safety Information for Credelio 

Lotilaner is a member of the isoxazoline class of drugs. This class has been associated with neurologic adverse reactions including tremors, incoordination, and seizures. Seizures have been reported in dogs receiving this class of drugs, even in dogs without a history of seizures. Use with caution in dogs with a history of seizures or neurologic disorders. The safe use of Credelio in breeding, pregnant or lactating dogs has not been evaluated. The most frequently reported adverse reactions are weight loss, elevated blood urea nitrogen, increased urination, and diarrhea. For complete safety information, please see Credelio product label or ask your veterinarian. 

Emergency Use Authorization for Credelio CAT (lotilaner) for New World Screwworm (NWS) 

The U.S. Food and Drug Administration (FDA) has issued an Emergency Use Authorization (EUA) for the emergency use of the approved product Credelio CAT (lotilaner) for the treatment of infestations caused by NWS (Cochliomyia hominivorax) larvae (myiasis) in cats and kittens. Credelio CAT is not approved for this use. 

Credelio CAT is approved for other uses. 

For additional information on the EUA, please refer to the Credelio Cat NWS Fact Sheet. 

Limitations of Authorized Use 

Credelio CAT (lotilaner) is authorized for this use only for the duration of the declaration that circumstances exist justifying the authorization of the emergency use of Credelio CAT (lotilaner) under section 564(b)(1) of the Federal Food, Drug, and Cosmetic Act (FD&C Act), 21 U.S.C. § 360bbb-3(b)(1), unless the authorization is terminated or revoked sooner. 

Indications for Credelio CAT 

Credelio CAT kills adult fleas and is indicated for the treatment and prevention of flea infestations for one month in cats and kittens 8 weeks of age and older and weighing 2 pounds or greater. 

Credelio CAT is also indicated for treatment and control of black-legged tick infestations for one month in cats and kittens 6 months of age and older and weighing 2 pounds or greater. 

Important Safety Information for Credelio CAT 

Lotilaner is a member of the isoxazoline class of drugs. This class has been associated with neurologic adverse reactions including tremors, incoordination and seizures. Neurologic adverse reactions have been reported in cats receiving isoxazoline class drugs, even in cats without a history of neurologic disorders. Use with caution in cats with a history of neurologic disorders. The safety of Credelio CAT has not been established in breeding, pregnant and lactating cats. The effectiveness of Credelio CAT against black-legged ticks in kittens less than 6 months of age has not been evaluated. The most frequently reported adverse reactions are weight loss, rapid breathing and vomiting. For complete safety information, please see Credelio CAT product label or ask your veterinarian. 

Emergency Use Authorization of Negasunt Powder (coumaphos, propoxur, and sulfanilamide topical powder) for New World Screwworm (NWS) 

WARNING: Neurotoxicity. Read full Fact Sheet for complete information. 

Coumaphos and propoxur can cause neurotoxicity. May be fatal if swallowed. May be fatal if inhaled. Harmful if absorbed through skin. Causes moderate eye irritation. Do not breathe dust. Avoid contact with eyes, skin, or clothing.  Use only with appropriate personal protective equipment (PPE): coveralls worn over long-sleeve shirt and long pants, shoes, socks, and protective eyewear; chemical-resistant gloves made of  barrier laminate, butyl rubber (≥ 14 mils), nitrile rubber (≥14 mils), neoprene rubber (>14 mils), natural rubber (≥14 mils), polyethylene, polyvinyl chloride (PVC) ≥14 mils, or Viton (>14 mils); and a minimum of a NIOSH-approved elastomeric half mask respirator consisting of protection factor (PF) 10 fitted with organic vapor (OV) cartridges and combination  R or P filters; or a NIOSH-approved gas mask with OV canisters; or a NIOSH-approved powered air purifying respirator with OV cartridges and combination HE filters.  This product is toxic to mammals, birds, fish, and aquatic invertebrates.  The U.S. Food and Drug Administration (FDA) has issued an Emergency Use Authorization (EUA) for the emergency use of the unapproved product Negasunt Powder for the prevention and treatment of infestations caused by New World screwworm (Cochliomyia homnivorax) larvae (myiasis) in cattle, swine, goats, sheep, horses, donkeys, domestic hybrid equids, and captive wild, exotic, and zoo mammals. Negasunt Powder is not approved for this use. 

For use by employees of federal, state, local, and federally recognized tribal agencies, and persons working under their authority and at their direction. Also for use by or on the order of a licensed veterinarian in NWS infested zones and adjacent surveillance zones as defined by the U.S. Department of Agriculture (USDA). 

For additional information on the EUA and for complete safety information, please refer to the Negasunt Powder NWS Fact Sheet. 

Limitations of Authorized Use 

It is a violation of federal law to use this drug product other than as directed in the authorized Fact Sheet. 

Treated animals must not be slaughtered for human consumption within 28 days of the last treatment. 

A milk discard time has not been established for this product; do not use in animals producing milk for human consumption. 

A withdrawal period has not been established for this product in pre-ruminating calves; treated calves and calves born to treated cows must not be processed for veal. 

Do not use in horses intended for human consumption. Do not use in domestic indoor pets (e.g., dogs, cats, rodents, rabbits) nor in residences. Do not use in birds. Do not use in free-ranging wildlife. 

To avoid overexposure, each individual person cannot treat more than 3 large wounds (>2 inches diameter) a day or more than 30 small superficial wounds (≤2 inches diameter) a day (or an equivalent thereof) with Negasunt Powder or any other coumaphos-containing products. 

Negasunt Powder is authorized for this use only for the duration of the declaration that circumstances exist justifying the authorization of the emergency use of Negasunt Powder under section 564(b)(1) of the Federal Food, Drug, and Cosmetic Act (FD&C Act), 21 U.S.C. § 360bbb-3(b)(1), unless the declaration is terminated or the authorization is revoked sooner. 

Federal law prohibits the extra-label use of this drug. 

Additional Important Safety Information 
Not for use in humans. Keep out of reach of children. Only handlers wearing required PPE may be in the area during application. Do not apply in a confined, non-ventilated area; provide thorough ventilation. Call a poison control center or doctor immediately for treatment advice if Negusant Powder is swallowed, inhaled, on skin or clothing, or in eyes. Sulfonamides are contraindicated in animals that are hypersensitive to them and in animals with severe renal or hepatic impairment. For external use only on animals. Do not contaminate water, feed, troughs, feed handling equipment, or milk or meat handling equipment. Use with caution in very young, weak, or debilitated animals. In the case of overdose, treat with atropine sulfate or pralidoxine chloride (2-PAM) as soon as possible. The most common adverse reactions associated with organophosphate and carbamate toxicity in animals include frequent urination and defecation, muscle twitching, and watering eyes. 

Important Information about Tanidil 
Tanidil™ is an unregistered product for distribution and use only under a Section 18 emergency exemption. The Section 18 labeling must be in the possession of the user at the time of pesticide application. This product may only be used to prevent or control New World screwworm in and on animal wounds on labeled animal host species. 

For use only by federal, state, local, and federally recognized tribal agencies, and persons working under their supervision; personnel at quarantine stations and areas; veterinarians; veterinarians or certified applicators at livestock and game facilities, zoos, wildlife facilities, animal rehabilitation centers; and wildlife professionals. 

Read the entire label. This product must be used strictly in accordance with this label's precautionary statements and use directions, as well as with all applicable state and federal laws and regulations. Please visit the Tanidil fact sheet for more information. 

Use Period: This exemption is effective on April 27, 2026 and expires on April 27, 2029. No applications of Tanidil may be made under the emergency exemption before its effective date or after its expiration date. 

Credelio, Credelio Quattro, Negasunt, Tanidil, Catron, Elanco and the diagonal bar logo are trademarks of Elanco or its affiliates. © 2026 Elanco or its affiliates 

Investor Contact: Tiffany Kanaga (765) 740-0314 [email protected]
Media Contact: Colleen Parr Dekker (317) 989-7011 [email protected]
Media Contact: Mika Takahashi (765) 335-4070 [email protected]
Media Contact: Season Solorio (765) 316-0233 [email protected]

SOURCE Elanco Animal Health

By Reuters

April 24, 20263:05 AM UTCUpdated April 24, 2026

Item 1 of 2 An Audi E5 Sportback is displayed during a media day for the Auto Shanghai show in Shanghai, China April 23, 2025. REUTERS/Go Nakamura/File Photo

[1/2]An Audi E5 Sportback is displayed during a media day for the Auto Shanghai show in Shanghai, China April 23, 2025. REUTERS/Go Nakamura/File Photo Purchase Licensing Rights, opens new tab

CompaniesBEIJING, April 24 (Reuters) - China ​and Germany will contribute ⁠their strongest ​capabilities to the ​Audi brand, an SAIC VW executive said on ​Friday, with ​the establishment of a ‌new ⁠SAIC-Audi research centre representing the start of the ​3.0 ​era ⁠of joint venture partnership.

(This story has been refiled to correct reporting credits to say reporting by Zoey Zhang and David Dolan in Beijing)

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Reporting ​by Zoey Zhang ​and ⁠David Dolan in Beijing; Writing ⁠by ​Farah ​Master in Hong Kong; Editing ​by Muralikumar Anantharaman

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National Capitol Classic golf fundraiser at the historic Army Navy Country Club, co-hosted with SAIC and Amazon Web Services, raised funds to support these veterans and their families and expand Building Homes for Heroes' impact nationwide

, /PRNewswire/ -- Building Homes for Heroes, joined by corporate partners Science Applications International Corp. (NASDAQ: SAIC) and Amazon Web Services, announced yesterday it will gift mortgage-free homes to U.S. Air Force Staff Sergeant, Gregory Walker and Army Specialist, Ryan Heard, two injured veterans whose service and sacrifice exemplify the very best of our armed forces. The home gifts will provide long-term stability for both veterans and their families as they continue their road to recovery.

Members of Building Homes for Heroes, SAIC and AWS gather at the second annual National Capitol Classic golf outing at Army Navy Country Club in Washington, D.C., where Building Homes for Heroes announced mortgage-free home gifts for two injured veterans. (PRNewsfoto/Building Homes For Heroes) These gifts are made possible through the steadfast support of Building Homes for Heroes' valued partners, SAIC and AWS, and were the highlight of the second annual National Capitol Classic golf outing hosted by the three organizations at the historic Army Navy Country Club. The event brought together corporate partners, community supporters, and veterans to raise awareness and support for Building Homes for Heroes' mission of building better and brighter lives for our nation's heroes.

The announcement was the culmination of a day of celebration of our nation's heroes, as patriotic corporations, hundreds of supporters, and dozens of veterans gathered for the golf outing in support of Building Homes for Heroes' mission. As the organization marks its 20th anniversary in 2026, it continues to build on its commitment with their 50+500+5,000 campaign: constructing, gifting and modifying a record 50 homes this year, reaching its milestone 500th home before the end of 2026, and supporting more than 5,000 veterans, first responders, and their family members through all its programs since 2006.

The Veterans Receiving Mortgage-Free Homes

Walker enlisted in the Air Force in 2008 and served for more than 12 years, including three deployments to Afghanistan. During his service and in the years following, Walker was diagnosed with Synovial Sarcoma, a rare cancer that ultimately resulted in the amputation of his left leg below the knee. Despite these challenges, he has remained deeply committed to his fellow veterans and the adaptive sports community, competing in the Invictus Games and training to become a Paralympic athlete.

"Presenting Staff Sergeant Walker and Specialist Heard with mortgage-free homes is a powerful reminder of our responsibility to the men and women who have served our country," said Andy Pujol, founder and CEO of Building Homes for Heroes. "Between Staff Sergeant Walker's determination in the face of a life-changing diagnosis, and Specialist Heard's courage under fire in Afghanistan and his ongoing recovery from a traumatic brain injury, these are the stories that drive our mission every day. Homes like these are made possible through our valued partnerships with organizations like SAIC and AWS, whose unwavering support allows us to create life-changing moments for deserving heroes and their families."

Inspired by his father's 23 years of service in the Florida National Guard and driven by the events of September 11, 2001, Heard enlisted in the Army in February 2007 out of Jacksonville, Florida. During his more than six years of service, Heard completed two deployments to Iraq and one to Afghanistan. On July 7, 2013, while conducting a counter-IED mission in Afghanistan's Logar Province, he and three fellow soldiers triggered a pressure-plate IED. The explosion left him with a severe traumatic brain injury, and despite his injuries, he helped treat wounded comrades and coordinate medical evacuation before losing consciousness. Today, Heard lives with a TBI, PTSD, chronic migraines, and numerous other service-connected conditions, and has found healing through nature-based therapy, including fishing, kayaking, and equine therapy programs for veterans. He is a Purple Heart recipient, and together with his partner, is raising two young children, driven by his dreams of providing a stable home for his family in Tampa, Florida.

"Helping warriors like Staff Sergeant Walker and Specialist Heard with mortgage-free homes is a great way to take purposeful action during Military Appreciation Month," said SAIC CEO Jim Reagan. "SAIC is proud to collaborate with Amazon Web Services and the many other corporate partners who attended today's golf fundraiser for Building Homes for Heroes, an extraordinary organization that is making a huge difference for veterans, their families, and Gold Star families."

About Building Homes for Heroes
Building Homes for Heroes builds and gifts mortgage-free homes, and completes home modifications, for veterans, emergency first responders and their families, and provides further services along their road to recovery to help them live a promising and fulfilling life ahead. The organization reached a 96% program rating in 2025, the 13th straight year earning a program rating of at least 93%. It also received a perfect 4-star rating from Charity Navigator for seven straight years, including a 100% in transparency and accountability.

Media Contact
David Weingrad, Building Homes for Heroes, Director of Communications, (516) 643-0325

SOURCE Building Homes For Heroes

On May 22, 2026, Science Applications International Corp SAIC shares rose 4.1% to a current price of $100.01. This movement comes amidst a 52-week trading range of $81.08 to $123.16, indicating notable volatility in its recent price history.

GF Value™ verdict: Current price of $100.01 is 19.1% below the GF Value™ estimate of $123.66, indicating the stock is undervalued.GF Score™: The company holds a score of 77/100, which classifies it as above average in terms of overall quality and performance metrics.Most notable signal: Insider activity shows that there has been no selling with insiders buying $0.0M in the last three months, indicating confidence in the company’s future prospects. Is SAIC Overvalued or Undervalued? The current price of Science Applications International Corp SAIC at $100.01 is significantly below the GF Value™ estimate of $123.66, which suggests that the stock is undervalued by approximately 19.1%. This creates a margin of safety for potential investors, as the difference between the current market price and the intrinsic value indicates room for price appreciation. The GF Valuation label describes SAIC as "Modestly Undervalued," hinting at a potential opportunity for long-term growth if market conditions align favorably.

While being undervalued presents a potential investment opportunity, caveats remain. Market conditions can be unpredictable, influencing stock prices independent of intrinsic value calculations. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. Therefore, while the current valuation may suggest a favorable entry point, investors should consider broader economic factors and company fundamentals before making any decisions.

How Does SAIC's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 13.0x 17.0x Forward P/E 10.5x N/A Currently, SAIC’s P/E ratio of 13.0x is well below its 5-year median P/E of 17.0x, indicating that the stock is trading at a discount compared to its historical valuation. The forward P/E of 10.5x further supports the notion that the stock is attractively priced relative to its past performance. This P/E analysis aligns with the GF Value™ verdict of being undervalued, reinforcing the idea that the stock may present an appealing opportunity for long-term growth.

What Does SAIC's GF Score™ Tell Us? Metric Rating GF Score™ 77/100 Financial Strength 5/10 Profitability 9/10 Growth 6/10 Valuation 8/10 Momentum 2/10 The GF Score™ of 77/100 suggests that SAIC is positioned above average in terms of its overall quality and performance. The strongest aspect of SAIC's profile is its profitability, scoring 9/10, indicating robust earnings capabilities. However, the momentum rank of 2/10 highlights a potential concern, suggesting that the stock may not be experiencing favorable price trends at this time. Overall, the combination of a high profitability rank and moderate scores in other categories suggests that while SAIC has strong foundational elements, it could benefit from improved momentum in the market.

What Are Insiders Doing with SAIC Stock? Recent insider activity for Science Applications International Corp shows that there have been no significant transactions, with insiders having not sold any shares and reported buying $0.0M in the last three months. This lack of selling activity can indicate that insiders are confident in the company's future performance and outlook, which can be a positive signal for potential investors.

What This Means for Investors Based on the GF Value™ assessment, Science Applications International Corp SAIC appears to be undervalued at its current price of $100.01, compared to the intrinsic value of $123.66. This suggests a potential opportunity for investment, provided that investors consider the broader market context and company fundamentals.

For the complete analysis, visit the Science Applications International Corp SAIC stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is SAIC's GF Score™?

SAIC has a GF Score™ of 77/100, indicating that it is above average in terms of quality and performance based on multiple key metrics.

Is SAIC overvalued or undervalued?

SAIC is currently undervalued, with a GF Value™ of $123.66, suggesting there is potential for price appreciation from its current level of $100.01.

What is SAIC's P/E ratio?

SAIC's P/E ratio is 13.0x, which is significantly lower than its 5-year median P/E of 17.0x, indicating that the stock is trading at a discount compared to its historical valuation.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

May 29, 2026 08:10 ET  | Source: SAIC, Inc.

RESTON, Va., May 29, 2026 (GLOBE NEWSWIRE) -- Science Applications International Corp. (NASDAQ: SAIC) announced today that the company’s board of directors declared a cash dividend of $0.37 per share of the company’s common stock payable on July 24, 2026 to stockholders of record on July 10, 2026.

SAIC intends to continue paying dividends on a quarterly basis, although the declaration of any future dividends will be determined by the board of directors each quarter and will depend on earnings, financial condition, capital requirements and other factors.

About SAIC
SAIC® is a premier mission integrator focused on advancing the power of technology and innovation to serve and protect our world. Our robust portfolio of offerings across the defense, space, intelligence, and civilian markets includes secure high-end solutions in mission IT, enterprise IT, engineering services, and professional services. We integrate emerging technology, rapidly and securely, into mission critical operations that modernize and enable critical national imperatives.

We are approximately 23,000 strong; driven by mission, united by purpose, and inspired by opportunities. Headquartered in Reston, Virginia, SAIC has annual revenues of approximately $7.3 billion. For more information, visit saic.com. For ongoing news, please visit our newsroom.

Forward-Looking Statements
Certain statements in this release contain or are based on “forward-looking” information within the meaning of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by words such as “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “guidance,” and similar words or phrases. Forward-looking statements in this release may include, among others, estimates of future revenues, operating income, earnings, earnings per share, charges, total contract value, backlog, outstanding shares and cash flows, as well as statements about future dividends, share repurchases and other capital deployment plans. Such statements are not guarantees of future performance and involve risk, uncertainties and assumptions, and actual results may differ materially from the guidance and other forward-looking statements made in this release as a result of various factors. Risks, uncertainties and assumptions that could cause or contribute to these material differences include those discussed in the “Risk Factors,” “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Legal Proceedings” sections of our Annual Report on Form 10-K, as updated in any subsequent Quarterly Reports on Form 10-Q and other filings with the SEC, which may be viewed or obtained through the Investor Relations section of our website at saic.com or on the SEC’s website at sec.gov. Due to such risks, uncertainties and assumptions you are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. SAIC expressly disclaims any duty to update any forward-looking statement provided in this release to reflect subsequent events, actual results or changes in SAIC’s expectations. SAIC also disclaims any duty to comment upon or correct information that may be contained in reports published by investment analysts or others.

Media Contact:
Darryn James
[email protected]

Investor Relations Contact:
Jon Raviv
[email protected]

Revenues of $1.91 billion, approximately 2% growth; 0.5% organic growth(1) adjusted for SilverEdge acquisitionNet bookings of $2.1 billion; quarterly book-to-bill ratio of 1.1; trailing twelve months book-to-bill ratio of 1.0Net income of $115 million; Adjusted EBITDA(1) of $222 million or 11.6% of revenuesDiluted earnings per share of $2.61; Adjusted diluted earnings per share(1) of $3.23Cash flows provided by operating activities of $127 million; Free cash flow(1) of $118 millionCompany increases fiscal year 2027 guidance for adjusted EBITDA(1), adjusted EBITDA margin %(1) and adjusted diluted EPS(1); reiterates revenue and free cash flow(1) guidance RESTON, Va., June 01, 2026 (GLOBE NEWSWIRE) -- Science Applications International Corporation (NASDAQ: SAIC), a premier mission integrator driving our nation's digital transformation across the defense, space, intelligence, and civilian markets, today announced results for the first quarter ended May 1, 2026.

"I am proud of our team’s performance this quarter, delivering record margin and modest organic growth," said Jim Reagan, SAIC Chief Executive Officer. "These results reflect our focus on execution and our commitment to our financial targets. We are raising our guidance to reflect this strong start, while continuing to invest for the future. We are also advancing our enterprise transformation and strategy efforts to drive long-term growth and margin expansion, and to support our customers’ most critical missions."

First Quarter of Fiscal Year 2027: Summary Operating Results

 Three Months Ended May 1,
2026 Percent
change May 2,
2025 (dollars in millions, except per share amounts)Revenues$1,906  2% $1,877 Operating income 179  48%  121 Operating income as a percentage of revenues 9.4% 300bps  6.4%Adjusted operating income(1) 221  40%  158 Adjusted operating income as a percentage of revenues 11.6% 320bps  8.4%Net income 115  69%  68 EBITDA(1) 220  41%  156 EBITDA as a percentage of revenues 11.5% 320bps  8.3%Adjusted EBITDA(1) 222  41%  157 Adjusted EBITDA as a percentage of revenues 11.6% 320bps  8.4%Diluted earnings per share$2.61  84% $1.42 Adjusted diluted earnings per share(1)$3.23  68% $1.92 Net cash provided by operating activities$127  27% $100 Free cash flow(1)$118  368% $(44) (1)Non-GAAP measure, see Schedule 6 for information about this measure.

First Quarter Summary Results

Revenues for the quarter increased $29 million or approximately 2% compared to the same period in the prior year primarily due to revenues from the acquisition of SilverEdge Government Solutions ("SilverEdge") of $19 million and ramp up in volume on existing and new contracts, partially offset by contract completions. Adjusting for the acquisition of SilverEdge, revenues grew by approximately 0.5%.

Operating income as a percentage of revenues for the quarter increased compared to the same period in the prior year primarily due to improved profitability across our contract portfolio and a $12 million gain from the sale of an investment in the current year.

Adjusted EBITDA(1) as a percentage of revenues for the quarter increased to 11.6% from 8.4% for the same period in the prior year due to improved profitability across our contract portfolio, a $12 million gain from the sale of an investment in the current year, and lower selling, general and administrative expenses.

Diluted earnings per share for the quarter was $2.61 compared to $1.42 in the prior year quarter. Adjusted diluted earnings per share(1) for the quarter was $3.23 compared to $1.92 in the prior year quarter. The weighted-average diluted shares outstanding during the quarter decreased to 44.0 million from 47.8 million during the prior year quarter.

(1)Non-GAAP measure, see Schedule 6 for information about this measure.

Cash Generation and Capital Deployment

Cash flows provided by operating activities for the first quarter increased $27 million compared to the prior year quarter primarily due to timing of vendor payments, lower cash incentive-based compensation payments, and other changes in working capital, partially offset by lower cash inflows from the usage of the MARPA Facility and higher interest paid in the current year.

During the quarter, SAIC deployed $192 million of capital, consisting of $175 million of plan share repurchases and $17 million in cash dividends.

Quarterly Dividend Declared

Subsequent to quarter end, on May 28, 2026, the Company's Board of Directors declared a cash dividend of $0.37 per share of the Company's common stock payable on July 24, 2026 to stockholders of record on July 10, 2026. SAIC intends to continue paying dividends on a quarterly basis, although the declaration of any future dividends will be determined by the Board of Directors each quarter and will depend on earnings, financial condition, capital requirements and other factors.

Backlog and Contract Awards

Net bookings for the quarter were approximately $2.1 billion which reflects a book-to-bill ratio of 1.1 and a trailing twelve months book-to-bill ratio of 1.0. SAIC’s estimated backlog at the end of the quarter was approximately $22.9 billion. Of the total backlog amount, approximately $3.7 billion was funded.

Notable New and Recompete Awards:

U.S. Space and Intelligence Community: During the quarter, SAIC was awarded several awards within the U.S. Space and Intelligence Community, including:

A seven-year recompete contract of approximately $330 million with a Space and Intelligence Community customer. Under this contract, SAIC will provide systems engineering and technical assistance to its customer.A seven-year recompete of approximately $540 million with a Space and Intelligence Community customer. Under this contract, SAIC will provide systems engineering and technical assistance in the form of subject matter expertise.A seven-year recompete of approximately $100 million with a Space and Intelligence Community customer. Under this contract, SAIC will provide organizational support, mission analysis and engineering, program support, and additional technical services.
U.S. Department of Homeland Security: During the quarter, SAIC was awarded a five-year (one-year base, plus four, one-year option periods) recompete contract of approximately $200 million with the U.S. Department of Homeland Security, in its Civilian business group. Under this contract, SAIC will provide technology enhancement, modernization, and refresh of customer systems.

U.S. Air Force: During the quarter, SAIC was awarded a five-year (three-year base, plus two, one-year option periods) contract of approximately $192 million with the Air Force Lifecycle Management Center. Under this contract, SAIC will provide digital infrastructure support via design, development, testing and deployment.

U.S. Navy: During the quarter, SAIC was awarded a six-year (one-year base, plus five, one-year option periods) contract of approximately $123 million with the Naval Information Warfare Systems Command. SAIC will provide systems engineering and support services toward the upgrade and refurbishment of the Royal Saudi Naval Forces (RSNF) C4ISR Systems.

Notable Awards Subsequent to Period End (not included in current quarter bookings):

Federal Aviation Administration ("FAA"): Subsequent to the end of the quarter, SAIC was awarded several task orders totaling $100 million. Under these task orders, SAIC will support systems engineering, software development and other services in support of the FAA's air traffic organization, which manages all of U.S. civilian airspace and airports.

Fiscal Year 2027 Guidance

The table below summarizes fiscal year 2027 guidance and represents the Company's views as of June 1, 2026.        

 CURRENTPRIOR Fiscal YearFiscal Year 2027 Guidance2027 GuidanceRevenue$7.0B - $7.2B$7.0B - $7.2BOrganic Growth(1)(4%) - (2%)(4%) - (2%)Adjusted EBITDA(1)$720M - $730M$705M - $715MAdjusted EBITDA Margin %(1)10.1% - 10.3%9.9% - 10.1%Adjusted Diluted EPS(1)$9.90 - $10.10$9.50 - $9.70Free Cash Flow(1)>$600M>$600M (1)Non-GAAP measure, see Schedule 6 for information about this measure.

Webcast Information

SAIC management will discuss operations and financial results in an earnings conference call beginning at 10:00 a.m. Eastern time on June 1, 2026. The conference call will be webcast simultaneously to the public through a link on the Investor Relations section of the SAIC website (https://investors.saic.com/). We will be providing webcast access only – “dial-in” access is no longer available. Additionally, a supplemental presentation will be available to the public through links to the Investor Relations section of the SAIC website. After the call concludes, an on-demand audio replay of the webcast can be accessed on the Investor Relations website.

About SAIC

SAIC® is a premier mission integrator focused on advancing the power of technology and innovation to serve and protect our world. Our robust portfolio of offerings across the defense, space, intelligence, and civilian markets includes secure high-end solutions in mission IT, enterprise IT, engineering services and professional services. We integrate emerging technology, rapidly and securely, into mission critical operations that modernize and enable critical national imperatives.

We are approximately 23,000 strong; driven by mission, united by purpose, and inspired by opportunities. Headquartered in Reston, Virginia, SAIC has annual revenues of approximately $7.3 billion. For more information, visit saic.com. For ongoing news, please visit our newsroom.

Media Contact

Darryn James
Director, Media and Brand Reputation
[email protected]

Investor Relations Contact

Jon Raviv
Vice President, Investor Relations
[email protected]

GAAP to Non-GAAP Guidance Reconciliation

The Company does not provide a reconciliation of forward-looking adjusted diluted EPS to GAAP diluted EPS, adjusted EBITDA margin to GAAP net income or free cash flow to GAAP net cash flows from operating activities due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation. Because certain deductions for non-GAAP exclusions used to calculate net income and cash flows from operating activities may vary significantly based on actual events, the Company is not able to forecast GAAP diluted EPS, GAAP net income or GAAP net cash flows from operating activities with reasonable certainty. The variability of the above charges may have an unpredictable and potentially significant impact on our future GAAP financial results.

Forward-Looking Statements

Certain statements in this release contain or are based on “forward-looking” information within the meaning of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by words such as “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “guidance,” and similar words or phrases. Forward-looking statements in this release may include, among others, estimates of future revenues, operating income, earnings, earnings per share, charges, total contract value, backlog, outstanding shares and cash flows, as well as statements about future dividends, share repurchases and other capital deployment plans. Such statements are not guarantees of future performance and involve risk, uncertainties and assumptions, and actual results may differ materially from the guidance and other forward-looking statements made in this release as a result of various factors. Risks, uncertainties and assumptions that could cause or contribute to these material differences include those discussed in the “Risk Factors,” “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Legal Proceedings” sections of our Annual Report on Form 10-K, as updated in any subsequent Quarterly Reports on Form 10-Q and other filings with the SEC, which may be viewed or obtained through the Investor Relations section of our website at www.saic.com or on the SEC’s website at www.sec.gov. Due to such risks, uncertainties and assumptions you are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. SAIC expressly disclaims any duty to update any forward-looking statement provided in this release to reflect subsequent events, actual results or changes in SAIC’s expectations. SAIC also disclaims any duty to comment upon or correct information that may be contained in reports published by investment analysts or others.

Schedule 1:

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)   Three Months Ended May 1,
2026 May 2,
2025 (in millions, except per share amounts)Revenues$1,906  $1,877 Cost of revenues 1,657   1,668 Selling, general and administrative expenses 83   89 Other operating (income) expense (13)  (1)Operating income 179   121 Interest expense, net 33   30 Other (income) expense, net 1   5 Income before income taxes 145   86 Income tax (expense) benefit (30)  (18)Net income$115  $68     Weighted-average number of shares outstanding:   Basic 43.7   47.6 Diluted 44.0   47.8 Earnings per share:   Basic$2.63  $1.43 Diluted$2.61  $1.42 
Schedule 2:

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)     May 1,
2026 January 30,
2026 (in millions)ASSETS   Current assets:   Cash and cash equivalents$109 $182Receivables, net 962  853Prepaid expenses 102  122Other current assets 26  22Total current assets 1,199  1,179Goodwill 2,944  2,944Intangible assets, net 729  761Property, plant, and equipment, net 111  110Operating lease right of use assets 184  193Other assets 171  167Total assets$5,338 $5,354LIABILITIES AND EQUITY   Current liabilities:   Accounts payable$634 $500Accrued payroll and employee benefits 278  316Other accrued liabilities 99  147Debt, current portion 26  19Total current liabilities 1,037  982Debt, net of current portion 2,460  2,468Operating lease liabilities 189  198Deferred income taxes 125  104Other long-term liabilities 104  102Equity:   Total stockholders' equity 1,423  1,500Total liabilities and stockholders' equity$5,338 $5,354
Schedule 3:

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)   Three Months Ended May 1,
2026 May 2,
2025 (in millions)Cash flows from operating activities:   Net income$115  $68 Adjustments to reconcile net income to net cash provided by operating activities:   Depreciation and amortization 40   36 Stock-based compensation expense 13   15 Deferred income taxes 21   (1)Gain on sales of investments (12)  — Other (2)  1 Increase (decrease) resulting from changes in operating assets and liabilities:   Receivables (109)  (9)Prepaid expenses and other current assets 15   6 Accounts payable and other accrued liabilities 85   33 Accrued payroll and employee benefits (38)  (51)Operating lease assets and liabilities, net (1)  (2)Other assets and other long-term liabilities, net —   4 Net cash provided by operating activities 127   100 Cash flows from investing activities:   Proceeds from sales of investments 15   — Sales of marketable securities 5   3 Purchases of marketable securities (4)  (4)Expenditures for property, plant, and equipment (9)  (8)Contributions to investments (6)  (6)Net cash provided by (used in) investing activities 1   (15)Cash flows from financing activities:   Stock repurchased and retired or withheld for taxes on equity awards (188)  (142)Dividend payments to stockholders (17)  (19)Principal payments on borrowings (1)  (689)Proceeds from borrowings —   750 Issuances of stock 5   6 Net cash used in financing activities (201)  (94)Net decrease in cash, cash equivalents and restricted cash (73)  (9)Cash, cash equivalents and restricted cash at beginning of period 190   64 Cash, cash equivalents and restricted cash at end of period$117  $55 
Schedule 4:

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
SEGMENT OPERATING RESULTS
(Unaudited)   Three Months Ended May 1,
2026 May 2,
2025 (dollars in millions)Revenues   Defense and Intelligence$1,466  $1,433 Civilian 440   444 Total revenues$1,906  $1,877     Adjusted operating income (loss)   Defense and Intelligence$146  $115 Civilian 68   52 Corporate 7   (9)Total adjusted operating income$221  $158     Adjusted operating margin   Defense and Intelligence 10.0%  8.0%Civilian 15.5%  11.7%Total adjusted operating margin 11.6%  8.4%
First Quarter Defense and Intelligence Results

Revenues for the quarter increased $33 million or 2% compared to the same period in the prior year primarily due to revenues from the acquisition of SilverEdge of $19 million and ramp up in volume on existing and new contracts, partially offset by contract completions.

Adjusted operating income as a percentage of revenues increased compared to the same period in the prior year primarily due to improved profitability and timing and volume mix in our contract portfolio, partially offset by contract completions.

First Quarter Civilian Results

Revenues for the quarter decreased $4 million or 1% compared to the same period in the prior year primarily due to contract completions, partially offset by new contracts.

Adjusted operating income as a percentage of revenues increased from the comparable prior year period primarily due to improved profitability across our contract portfolio.

First Quarter Corporate Results

Adjusted operating income was $7 million for the current quarter compared to an adjusted operating loss of $9 million during the same period in the prior year primarily due to a gain on an investment sale of $12 million in the current year and lower selling, general and administrative expenses.

Schedule 5:

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
BACKLOG
(Unaudited)

The estimated value of our total backlog as of the dates presented was:

 May 1, 2026 January 30, 2026 Defense and IntelligenceCivilianTotal SAIC Defense and IntelligenceCivilianTotal SAIC (in millions)Funded backlog$2,675$1,061$3,736 $2,511$1,061$3,572Negotiated unfunded backlog 15,946 3,178 19,124  15,869 3,181 19,050Total backlog$18,621$4,239$22,860 $18,380$4,242$22,622 Backlog represents the estimated amount of future revenues to be recognized under negotiated contracts and task orders as work is performed and excludes contract awards which have been protested by competitors until the protest is resolved in our favor. SAIC segregates backlog into two categories, funded backlog and negotiated unfunded backlog. Funded backlog for contracts with government agencies primarily represents contracts for which funding is appropriated less revenues previously recognized on these contracts, and does not include the unfunded portion of contracts where funding is incrementally appropriated or authorized by the U.S. government and other customers even though the contract may call for performance over a number of years. Funded backlog for contracts with non-government agencies represents the estimated value of contracts which may cover multiple future years under which SAIC is obligated to perform, less revenues previously recognized on these contracts. Negotiated unfunded backlog represents the estimated future revenues to be earned from negotiated contracts for which funding has not been appropriated or authorized, and unexercised priced contract options. Negotiated unfunded backlog does not include any estimate of future potential task orders expected to be awarded under indefinite delivery, indefinite quantity (IDIQ), U.S. General Services Administration (GSA) schedules or other master agreement contract vehicles, with the exception of certain IDIQ contracts where task orders are not competitively awarded and separately priced but instead are used as a funding mechanism, and where there is a basis for estimating future revenues and funding on future anticipated task orders.

Schedule 6:

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
NON-GAAP FINANCIAL MEASURES
(Unaudited)

This schedule describes the consolidated non-GAAP financial measures included in this earnings release. While we believe that these non-GAAP financial measures may be useful in evaluating our financial information, they should be considered as supplemental in nature and not as a substitute for financial information prepared in accordance with GAAP. Reconciliations, definitions, and how we believe these measures are useful to management and investors are provided below. Other companies may define similar measures differently. Organic growth is a performance measure that excludes the impact of acquisitions and divestitures. Organic growth is calculated by taking consolidated revenues and excluding revenues from acquisitions and divestitures during the periods presented, when applicable. See schedules below for the definitions of other non-GAAP measures.

Adjusted Operating Income

 Three Months Ended May 1,
2026 May 2,
2025 (dollars in millions)Revenues$1,906  $1,877 Operating income$179  $121 Operating income as a percentage of revenues 9.4%  6.4%Depreciation of property, plant and equipment 8   7 Amortization of intangible assets 32   29 Acquisition, integration, restructuring and impairment costs 2   3 Recovery of acquisition, integration, restructuring and impairment costs (1)  (2)Costs related to the settlement of federal tax audits 1   — Adjusted operating income(1)$221  $158 Adjusted operating income as a percentage of revenues 11.6%  8.4% Adjusted operating income is a performance measure that primarily excludes the impact of non-recurring transactions and activities that we do not consider to be indicative of our ongoing operating performance. Adjusted operating income is calculated by taking operating income and excluding depreciation and amortization, acquisition, integration, restructuring, and impairment costs, and any other material non-recurring costs. Depreciation of property, plant, and equipment relates to property, plant, and equipment specifically identifiable for each segment. Adjusted operating income excludes amortization of intangible assets because we do not have a history of significant acquisition activity, we do not acquire businesses on a predictable cycle, and the amount of an acquisition's purchase price allocated to intangible assets and the related amortization term are unique to each acquisition. Acquisition, integration, restructuring and impairment costs represent costs incurred related to acquisitions, the reorganization, facilities optimization efforts, and impairments of long-lived assets, along with associated depreciation. Recovery of acquisition, integration, restructuring and impairment costs represents costs recovered through our indirect rates in accordance with Cost Accounting Standards. Costs related to the settlement of federal tax audits represent costs related to the IRS audit settlement for fiscal years 2016 through 2019. We believe that this performance measure provides management and investors with useful information in assessing trends in our ongoing operating performance and may provide greater visibility in understanding our long-term financial performance.

(1)Non-GAAP measure, see above for definition.

Schedule 6 (continued):

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
NON-GAAP FINANCIAL MEASURES
(Unaudited)  EBITDA and Adjusted EBITDA  Three Months Ended May 1,
2026 May 2,
2025 (dollars in millions)Revenues$1,906  $1,877 Net income$115  $68 Interest expense, net and loss on sale of receivables 35   34 Income tax expense (benefit) 30   18 Depreciation and amortization 40   36 EBITDA(1) 220   156 EBITDA as a percentage of revenues 11.5%  8.3%Acquisition, integration, restructuring and impairment costs 2   3 Recovery of acquisition, integration, restructuring and impairment costs (1)  (2)Costs related to the settlement of federal tax audits 1   — Adjusted EBITDA(1)$222  $157 Adjusted EBITDA as a percentage of revenues 11.6%  8.4% EBITDA is a performance measure that is calculated by taking net income and excluding interest and loss on sale of receivables, provision for income taxes, and depreciation and amortization. Adjusted EBITDA is a performance measure that excludes the impact of non-recurring transactions and activities that we do not consider to be indicative of our ongoing operating performance. Adjusted EBITDA is calculated by taking EBITDA and excluding acquisition, integration, restructuring and impairment costs, and any other material non-recurring costs. Acquisition, integration, restructuring and impairment costs represent costs incurred related to acquisitions, the reorganization, facilities optimization efforts, and impairments of long-lived assets, along with associated depreciation. Recovery of acquisition, integration, restructuring and impairment costs represents costs recovered through our indirect rates in accordance with Cost Accounting Standards. Costs related to the settlement of federal tax audits represent costs related to the IRS audit settlement for fiscal years 2016 through 2019. We believe that these performance measures provide management and investors with useful information in assessing trends in our ongoing operating performance and may provide greater visibility in understanding the long-term financial performance of the Company.

(1)Non-GAAP measure, see above for definition.

Schedule 6 (continued):

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
NON-GAAP FINANCIAL MEASURES
(Unaudited)  Adjusted Diluted Earnings Per Share
 Three Months Ended May 1, 2026 (in millions, except per share amounts) As Reported Amortization of intangible assets Acquisition, integration, restructuring and impairment costsRecovery of acquisition, integration, restructuring and impairment costs Costs related to the settlement of federal tax audits Non-GAAP results(1)Income before income taxes$145  $32  $2$(1) $1 $179 Income tax (expense) benefit (30)  (7)  — —   —  (37)Net income$115  $25  $2$(1) $1 $142            Diluted EPS$2.61  $0.57  $0.05$(0.02) $0.02 $3.23   Three Months Ended May 2, 2025 (in millions, except per share amounts) As Reported Amortization of intangible assets Acquisition, integration, restructuring and impairment costs Recovery of acquisition, integration, restructuring and impairment costs Non-GAAP results(1)Income before income taxes$86  $29  $3 $(2) $116 Income tax (expense) benefit (18)  (6)  —  —   (24)Net income$68  $23  $3 $(2) $92           Diluted EPS$1.42  $0.48  $0.06 $(0.04) $1.92  Adjusted diluted earnings per share is a performance measure that excludes the impact of non-recurring transactions and activities that we do not consider to be indicative of our ongoing operating performance. Adjusted diluted earnings per share excludes amortization of intangible assets because we do not have a history of significant acquisition activity, we do not acquire businesses on a predictable cycle, and the amount of an acquisition's purchase price allocated to intangible assets and the related amortization term are unique to each acquisition. Acquisition, integration, restructuring and impairment costs represent costs incurred related to acquisitions, the reorganization, facilities optimization efforts, and impairments of long-lived assets, along with associated depreciation. Recovery of acquisition, integration, restructuring and impairment costs represents costs recovered through our indirect rates in accordance with Cost Accounting Standards. Costs related to the settlement of federal tax audits represent costs related to the IRS audit settlement for fiscal years 2016 through 2019. We believe that this performance measure provides management and investors with useful information in assessing trends in our ongoing operating performance and may provide greater visibility in understanding the long-term financial performance of the Company.

(1)Non-GAAP measure, see above for definition.

Schedule 6 (continued):

SCIENCE APPLICATIONS INTERNATIONAL CORPORATION
NON-GAAP FINANCIAL MEASURES
(Unaudited)  Free Cash Flow  Three Months Ended May 1,
2026 May 2,
2025 (in millions)Net cash provided by operating activities$127  $100 Expenditures for property, plant, and equipment (9)  (8)Cash used from (provided by) MARPA Facility —   (136)Free cash flow(1)$118  $(44)  FY27 Guidance (in millions)Net cash provided by operating activities>$635MExpenditures for property, plant, and equipmentApproximately $35MFree cash flow(1)>$600M Free cash flow is calculated by taking cash flows provided by operating activities less expenditures for property, plant, and equipment and less cash flows from our Master Accounts Receivable Purchasing Agreement (MARPA Facility) for the sale of certain designated eligible U.S. government receivables. Under the MARPA Facility, the Company can sell eligible receivables up to a maximum amount of $300 million. We believe that free cash flow provides management and investors with useful information in assessing trends in our cash flows and in comparing them to other peer companies, many of whom present similar non-GAAP liquidity measures. This measure should not be considered as a measure of residual cash flow available for discretionary purposes.

(1)Non-GAAP measure, see above for definition.

Key Takeaways SAIC Q1 earnings and revenues topped estimates, with EPS rising 68.2% year over year.SAIC reported $2.1 billion in net bookings and ended the quarter with a $22.9 billion backlog.SAIC raised fiscal 2027 EBITDA and EPS guidance following stronger profitability and margin expansion. Science Applications International (SAIC - Free Report) reported better-than-expected results for the first quarter of fiscal 2027, wherein both top and bottom lines surpassed the Zacks Consensus Estimate.

SAIC’s non-GAAP earnings of $3.23 per share beat the Zacks Consensus Estimate of $2.26 by 42.9%. The bottom line increased 68.2% from the year-ago quarter’s earnings of $1.92.

Science Applications' fiscal first-quarter revenues increased 1.5% year over year to $1.91 billion and surpassed the Zacks Consensus Estimate of $1.78 billion by 6.9%.

SAIC’s Q1 in DetailSegment-wise, revenues from Defense and Intelligence, which accounted for 76.9% of revenues, totaled $1.47 billion and increased 2.3% year over year. Civilian revenues, which constitute 23.1% of revenues, totaled $440 million and decreased 0.9% year over year.

Net bookings were approximately $2.1 billion in the first quarter, which reflected a book-to-bill ratio of 1.1. The company’s trailing 12-month book-to-bill ratio was 1.0 at the end of the fiscal first quarter. SAIC’s estimated backlog at the end of the quarter was approximately $22.9 billion. Of the total backlog amount, approximately $3.7 billion was funded.

Selling, general and administrative (SG&A) expenses decreased 6.7% to $83 million. SG&A expenses, as a percentage of revenues, declined to 4.4% from 4.7% in the year-ago quarter.

Non-GAAP operating income increased year over year to $221 million from the year-ago quarter’s operating income of $158 million. The non-GAAP operating margin expanded 320 basis points (bps) year over year to 11.6%.

Adjusted EBITDA rose 41% to $222 million. Adjusted EBITDA margin for the quarter was 11.6% compared with 8.4% in the prior-year quarter.

Balance Sheet & Cash Flow Details of SAICScience Applications ended the fiscal first quarter with cash and cash equivalents of $109 million, significantly down from the previous quarter’s $182 million.

As of May 1, 2026, Science Applications’ long-term debt (net of the current portion) was $2.46 billion compared with $2.47 billion as of Jan. 30, 2026.

The company generated operating and free cash flows of $127 million and $118 million, respectively, in the fiscal first quarter.

During the fiscal first quarter, Science Applications repurchased shares worth $175 million and paid $17 million in dividends.

SAIC Provides Fiscal 2027 GuidanceScience Applications expects fiscal 2027 revenues between $7 billion and $7.2 billion. The Zacks Consensus Estimate for fiscal 2026 revenues is pegged at $7.11 billion, indicating a year-over-year decline of 2.1%.

Adjusted EBITDA is anticipated to be in the range of $720-$730 million, up from the earlier guidance of $705-$715 million. Adjusted EBITDA margin is expected to be in the band of 10.1-10.3%, up from the previous guided range of 9.9-10.1% band.

The company forecasts adjusted EPS in the range of $9.90-$10.10, up from the earlier guidance of $9.50-$9.70. The Zacks Consensus Estimate for the bottom line is pegged at $9.61 per share, indicating a year-over-year decline of 10.6%.

Science Applications estimates free cash flow for fiscal 2027 to exceed $600 million.

SAIC’s Zacks Rank & Stocks to ConsiderCurrently, Science Applications carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader Zacks Computer and Technology sector are Applied Materials (AMAT - Free Report) , Celestica (CLS - Free Report) and Amphenol (APH - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Shares of Applied Materials have rallied 75.1% year to date. The Zacks Consensus Estimate for Applied Materials’ fiscal 2026 earnings is pegged at $12.02 per share, up by 8.3% over the past 30 days, indicating a year-over-year surge of 27.6%.

Shares of Celestica have gained 30.4% year to date. The Zacks Consensus Estimate for Celestica’s 2026 earnings is pegged at $10.16 per share, up 15.1% over the past 30 days, implying a year-over-year jump of 67.9%.

Amphenol shares have jumped 10.1% year to date. The Zacks Consensus Estimate for APH’s 2026 earnings is pegged at $4.76 per share, up 11.4% over the past 30 days, indicating a year-over-year increase of 42.5%.

Science Applications SAIC has seen a significant rise in its stock price following the release of its Q1 results for April. The government technology and mission-integration contractor reported a notable earnings per share (EPS) beat, with revenue climbing 1.5% year-over-year to $1.91 billion, surpassing expectations and marking a return to growth after three consecutive quarters of decline. Furthermore, SAIC has increased its fiscal year 2027 adjusted EBITDA and EPS guidance, with the EPS forecast now exceeding expectations, while maintaining its revenue guidance of $7.0 to $7.2 billion.

Revenue growth was partly driven by the recent acquisition of SilverEdge Government Solutions, which contributed $19 million during the quarter. Excluding SilverEdge, revenue increased by 0.5%, supported by higher volumes from existing and new contracts, although this was partially offset by contract completions. The core Defense and Intelligence segment was the main driver of growth, with revenue rising 2.3% year-over-year to $1.46 billion, while Civilian revenue saw a slight decline of 1.0% year-over-year to $440 million. SAIC reported several significant customer wins, particularly in the Space and Intelligence Community, including three recompete awards totaling approximately $970 million. Other key contracts included a $200 million recompete with the Department of Homeland Security, a $192 million Air Force contract, and a $123 million Navy contract. The company recorded net bookings of $2.1 billion for the quarter, resulting in a book-to-bill ratio of 1.1. The backlog grew by 1.0% year-over-year to $22.86 billion, comprising $18.62 billion in Defense and Intelligence and $4.24 billion in Civilian. Adjusted operating margin saw a significant increase, rising 320 basis points year-over-year to 11.6%, reflecting enhanced profitability across its contract portfolio. Adjusted EBITDA surged by 41% year-over-year to $222 million, with the adjusted EBITDA margin expanding to 11.6% from 8.4%. SAIC now anticipates adjusted EBITDA of $720 to $730 million, up from a previous estimate of $705 to $715 million, and expects EPS in the range of $9.90 to $10.10, an increase from $9.50 to $9.70. The reaffirmed revenue guidance of $7.0 to $7.2 billion still indicates an organic contraction of 4% to 2%. This update from SAIC is a positive shift following concerns raised in its Q4 report regarding FY27 organic revenue contraction, recompete losses, procurement delays, and constrained bookings. The company has consistently delivered strong EPS results as margins improve, and the Q1 report indicates some stabilization in revenue. With organic growth of 0.5% and an improved book-to-bill ratio of 1.1, the report does not signal a major revenue turnaround, as SAIC's FY27 revenue guidance suggests an organic contraction. However, the improved contract profitability, execution, and bookings have led to increased adjusted EBITDA and EPS guidance, boosting investor confidence in SAIC's efforts to reposition its portfolio and achieve sustainable organic growth.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Science Applications International Corporation (SAIC) Q1 2027 Earnings Call Transcript

Modernizes technology and infrastructure of existing and new torpedo defense systems – including “Nixie” – to mitigate threats, enhance vessel survivability, and ensure mission success June 03, 2026 08:30 ET  | Source: SAIC, Inc.

RESTON, Va., June 03, 2026 (GLOBE NEWSWIRE) -- Science Applications International Corp. (NASDAQ: SAIC) has been awarded a follow-on $50.6 million task order from the U.S. Navy’s leader in Torpedo Defense (TD) – Naval Undersea Warfare Center (NUWC) in Newport, RI – to continue the company’s work of providing critical torpedo defense system design, modernization, and sustainment services. This contract builds on SAIC’s two decades long legacy of proven collaboration with the Navy and success in advancing technology capabilities of the most sophisticated torpedo defense systems.

SAIC will leverage its advanced digital engineering capabilities to revolutionize the Navy’s TD systems by streamlining the design conceptualization, prototyping, and fabrication processes of hardware and software. This approach will integrate cutting-edge modeling simulation (SIM) and stimulation (STIM) – enabling more robust system analyses, data-driven insights, and seamless cybersecurity implementation. These advancements will ensure that upgraded TD systems achieve new levels of operational effectiveness to enhance vessel survivability and empower the Navy to maintain superior mission success in evolving maritime threat environments.

The company will support critical NUWC TD systems such as AN/SLQ-25 Torpedo Countermeasures Transmitting Set (commonly known as “Nixie”), Acoustic Device Countermeasures (ADCs), MK 58 Compact Rapid Attack Weapon (CRAW), EX 2 Torpedo Warning System, Submarine Launched Unmanned Aerial System (SLUAS), as well as emergent technologies and intelligence projects for Navy and Foreign Military Sales (FMS) that guide upgrades to the TD systems.

“SAIC’s long-standing partnership with the Navy and NUWC is built on trust, technical excellence, and an unwavering commitment to the mission;” said Barbara Supplee, SAIC Executive Vice President of the Army Navy Business Group. “This award reflects the Navy’s confidence in our team’s continued ability to deliver the modern torpedo defense systems needed to protect our fleet and outpace emerging threats. We are proud to continue supporting NUWC Code 85 with the engineering rigor, innovation, and agility required to ensure our warfighters remain safe, informed, and ready.”

The follow-on task order supports key NUWC Code 85 program offices such as Undersea Warfare Systems Program Office (PEO-UWS PMS415), International Fleet Support Program Office (PMS326), Office of Naval Research (ONR), and Office of Naval Intelligence (ONI), among others.

About SAIC 
SAIC® is a premier mission integrator focused on advancing the power of technology and innovation to serve and protect our world. Our robust portfolio of offerings across the defense, space, intelligence, and civilian markets includes secure high-end solutions in mission IT, enterprise IT, engineering services, and professional services. We integrate emerging technology, rapidly and securely, into mission critical operations that modernize and enable critical national imperatives.

We are approximately 23,000 strong; driven by mission, united by purpose, and inspired by opportunities. Headquartered in Reston, Virginia, SAIC has annual revenues of approximately $7.3 billion. For more information, visit saic.com. For ongoing news, please visit our newsroom.

Media Contact: 
Darryn James
[email protected]

Forward-Looking Statements 
Forward-Looking Statements Certain statements in this release contain or are based on “forward-looking” information within the meaning of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by words such as “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “guidance,” and similar words or phrases. Forward-looking statements in this release may include, among others, estimates of future revenues, operating income, earnings, earnings per share, charges, total contract value, backlog, outstanding shares and cash flows, as well as statements about future dividends, share repurchases and other capital deployment plans. Such statements are not guarantees of future performance and involve risk, uncertainties and assumptions, and actual results may differ materially from the guidance and other forward-looking statements made in this release as a result of various factors. Risks, uncertainties and assumptions that could cause or contribute to these material differences include those discussed in the “Risk Factors,” “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Legal Proceedings” sections of our Annual Report on Form 10-K, as updated in any subsequent Quarterly Reports on Form 10-Q and other filings with the SEC, which may be viewed or obtained through the Investor Relations section of our website at saic.com or on the SEC’s website at sec.gov. Due to such risks, uncertainties and assumptions you are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. SAIC expressly disclaims any duty to update any forward-looking statement provided in this release to reflect subsequent events, actual results or changes in SAIC’s expectations. SAIC also disclaims any duty to comment upon or correct information that may be contained in reports published by investment analysts or others. 

Company will build a modernized digital backbone that arms warfighters with real-time data to help them fight and win June 09, 2026 08:30 ET  | Source: SAIC, Inc.

RESTON, Va., June 09, 2026 (GLOBE NEWSWIRE) -- Digital transformation leader Science Applications International Corp. (NASDAQ: SAIC) has been awarded a leading position on the U.S. Department of the Air Force (DAF) Advanced Battle Management System (ABMS) Digital Infrastructure Network Developer program, a multiple-award contract with an estimated value of $192 million.

This work advances the vital DAF Battle Network program while accelerating the delivery of the Department of War’s Combined Joint All Domain Command and Control (CJADC2) infrastructure.

Digital infrastructure is foundational to modern warfighting as it provides real-time data that accelerates decision-making. Under this new contract, SAIC will lead the design, development, and deployment of significant elements of the DAF Battle Network. It will strengthen seamless C3 at all echelons – tactical, operational, strategic – within warfighting domains across air, land, space, maritime, and cyber, at all levels of security, and through full phases of force employment from competition to combat.

“We’re honored to help the Air Force build a modernized digital backbone that arms warfighters with real-time data to help them fight and win now and into the future,” said Vinnie DiFronzo, SAIC Executive Vice President of Air Force, Space, and Intelligence Business Group. “Delivering the right data to the right warfighter at the right time is vital work that enables integrated full domain and partner nation operations securely and at mission speed. We will integrate data across all classification levels and domains to give warfighters a clear decision advantage when it matters most.”

With proven ability to modernize complex Air Force and military systems with open architecture solutions, SAIC was awarded this contract for its expertise in networking, C3, AI, cloud, and digital engineering. SAIC will deliver connected and mission-aligned capabilities across fixed, mobile, and edge environments. The technical scope includes scalable and resilient optical transport networks (OTN), software-defined wide area networking, cross-domain solutions, data distribution, and cloud-enabled infrastructure integration.

A trusted strategic partner, SAIC will also team with leading network and original equipment manufacturer companies to integrate best-in-breed commercial and emerging technologies, while accelerating AI deployment to the frontline. By rapidly fielding intelligent tools, military forces can compress targeting cycles, enhance operational speed, and provide faster decisions that ultimately increase combat effectiveness and secure a vital edge over adversaries.

About SAIC 
SAIC® is a premier mission integrator focused on advancing the power of technology and innovation to serve and protect our world. Our robust portfolio of offerings across the defense, space, intelligence, and civilian markets includes secure high-end solutions in mission IT, enterprise IT, engineering services, and professional services. We integrate emerging technology, rapidly and securely, into mission critical operations that modernize and enable critical national imperatives.

We are approximately 23,000 strong; driven by mission, united by purpose, and inspired by opportunities. Headquartered in Reston, Virginia, SAIC has annual revenues of approximately $7.3 billion. For more information, visit saic.com. For ongoing news, please visit our newsroom.

Media Contact: 
Darryn James
[email protected]

Forward-Looking Statements 
Forward-Looking Statements Certain statements in this release contain or are based on “forward-looking” information within the meaning of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by words such as “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “guidance,” and similar words or phrases. Forward-looking statements in this release may include, among others, estimates of future revenues, operating income, earnings, earnings per share, charges, total contract value, backlog, outstanding shares and cash flows, as well as statements about future dividends, share repurchases and other capital deployment plans. Such statements are not guarantees of future performance and involve risk, uncertainties and assumptions, and actual results may differ materially from the guidance and other forward-looking statements made in this release as a result of various factors. Risks, uncertainties and assumptions that could cause or contribute to these material differences include those discussed in the “Risk Factors,” “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Legal Proceedings” sections of our Annual Report on Form 10-K, as updated in any subsequent Quarterly Reports on Form 10-Q and other filings with the SEC, which may be viewed or obtained through the Investor Relations section of our website at saic.com or on the SEC’s website at sec.gov. Due to such risks, uncertainties and assumptions you are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. SAIC expressly disclaims any duty to update any forward-looking statement provided in this release to reflect subsequent events, actual results or changes in SAIC’s expectations. SAIC also disclaims any duty to comment upon or correct information that may be contained in reports published by investment analysts or others. 

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the "long context," investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.

While many investors like to look for momentum in stocks, this can be very tough to define. There is a lot of debate surrounding which metrics are the best to focus on and which are poor quality indicators of future performance. The Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.

Below, we take a look at Cathay General (CATY - Free Report) , a company that currently holds a Momentum Style Score of B. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.

It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Cathay General currently has a Zacks Rank of #2 (Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.

You can see the current list of Zacks #1 Rank Stocks here >>>

Set to Beat the Market?Let's discuss some of the components of the Momentum Style Score for CATY that show why this holding company for Cathay Bank shows promise as a solid momentum pick.

A good momentum benchmark for a stock is to look at its short-term price activity, as this can reflect both current interest and if buyers or sellers currently have the upper hand. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.

For CATY, shares are up 3.58% over the past week while the Zacks Banks - West industry is up 2.8% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 7.59% compares favorably with the industry's 2.83% performance as well.

Considering longer term price metrics, like performance over the last three months or year, can be advantageous as well. Shares of Cathay General have increased 3.57% over the past quarter, and have gained 35.68% in the last year. On the other hand, the S&P 500 has only moved -4.5% and 31.98%, respectively.

Investors should also take note of CATY's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now CATY is averaging 642,534 shares for the last 20 days..

Earnings OutlookThe Zacks Momentum Style Score also takes into account trends in estimate revisions, in addition to price changes. Please note that estimate revision trends remain at the core of Zacks Rank as well. A nice path here can help show promise, and we have recently been seeing that with CATY.

Over the past two months, 1 earnings estimate moved higher compared to none lower for the full year. This revision helped boost CATY's consensus estimate, increasing from $5.11 to $5.14 in the past 60 days. Looking at the next fiscal year, 1 estimate has moved upwards while there have been no downward revisions in the same time period.

Bottom LineGiven these factors, it shouldn't be surprising that CATY is a #2 (Buy) stock and boasts a Momentum Score of B. If you're looking for a fresh pick that's set to soar in the near-term, make sure to keep Cathay General on your short list.

LOS ANGELES--(BUSINESS WIRE)--Cathay General Bancorp (Nasdaq: CATY), the holding company for Cathay Bank, is scheduled to announce its first quarter 2026 financial results after the markets close on Wednesday, April 22, 2026. Cathay General Bancorp has scheduled a conference call as set forth below. Analysts and investors may participate in the question-and-answer session. Conference Call and Webcast Information: Date: Wednesday, April 22, 2026 Time: 2:00 p.m. Pacific Time (5:00 p.m. Eastern Ti.

Cathay General Bancorp remains a soft "Buy" after outperforming the S&P 500, driven by strong financials and asset quality. CATY's deposits and loans both expanded, with net interest income and non-interest income rising, supporting robust profit growth. Valuation is slightly above preferred thresholds, but superior return on assets (1.49%) and equity (12.27%) justify the premium.

LOS ANGELES--(BUSINESS WIRE)--Cathay General Bancorp (the “Company”, “we”, “us”, or “our”) (Nasdaq: CATY), the holding company for Cathay Bank, today announced its unaudited financial results for the quarter ended March 31, 2026. The Company reported net income of $86.9 million, or $1.29 per diluted share, for the first quarter of 2026 compared to $90.5 million, or $1.33 per diluted share for the fourth quarter of 2025. “Our ability to expand net interest margin while keeping deposit costs cont.

Cathay General Bancorp (CATY) Q1 2026 Earnings Call Transcript