Science Applications International Corp
For the period ended Jun 3, 2026. Filed Apr 22, 2026.
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Jun 3, 2026 · Filed Apr 22, 2026
Contents
Program Design Overview
For fiscal 2026, we maintained the short-term performance metrics used over the past several fiscal years. The short-term
incentive plan combines revenue, adjusted EBITDA dollars, and adjusted operating cash flow performance with an individual
leadership score multiplier. For the long-term PSU metrics for fiscal 2026, we replaced cumulative adjusted operating cash flow
with cumulative free cash flow to better align with our long-term business strategy and shareholder focus. The PSUs granted in
fiscal 2026 continued to include cumulative adjusted EBITDA and relative total shareholder return as the other two performance
metrics. The PSUs are performance-based RSUs that vest and are settled at the end of a three-year performance period. The
combination of PSUs and time-based RSUs (vesting over 3 years) provide an appropriate balance of medium-term and long-
term incentives. See the Appendix to this Proxy Statement for a reconciliation as to how each non-GAAP performance measure
is calculated as compared to the most closely comparable GAAP measure.
By aligning significant portions of NEOs’ compensation with profitable growth and cash flow, a substantial portion of total
compensation for our NEOs is directly linked to key metrics that we believe drive long-term sustained stockholder returns.
Based on Company performance in fiscal 2026, the calculated payout of the short-term cash portion of annual incentives was
66.7% of target, as discussed in greater detail beginning on page 52. The Committee applied an individual leadership score
multiplier up to 1.2x to the calculated annual incentive awards for each NEO, based upon an assessment of each executive's
relative performance during the year. PSUs granted for the fiscal 2024 through 2026 performance period were earned at 113.1%
of target, as discussed in greater detail onpage 55.
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COMPENSATION DISCUSSION AND ANALYSIS
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