Increased spending on IT services by the Department of Defense helped boost third-quarter sales and profits at Computer Sciences Corp., the company reported Tuesday. <P> CSC, the nation's third-largest outsourcer, said revenue for the period ending Dec. 30 rose 2.5% to $3.58 billion, while net income jumped 29% to $203.5 million. Earnings per share increased 32% to $1.08. Sales to the Defense Department, one of CSC primary customers, climbed 12% to $820.1 million during the quarter. <P> CSC's entrenched position providing IT services to the Defense Department and related federal agencies has made it the subject of takeover speculation. Recent press reports have mentioned Lockheed Martin, Hewlett-Packard, and a number of private equity firms as possible buyers. To date, however, all talks aimed at a buyout of the company have fizzled. <P> Looking ahead, CSC said it expects full-year revenue of $14.6 billion for fiscal 2006, with per-share earnings falling between $3.27 and $3.21. CSC revealed $3.1 billion in new contracts in the third quarter. In a statement, chairman and CEO Van Honeycutt said the company is benefiting from "strengthening demand in the U.S. for shorter-term project work."
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Public Display: Hot Scenes From XChange Public Sector Hundreds of VARs, integrators, vendors and analysts descended on the Sawgrass Marriott in Jacksonville, Fla., last week for XChange Public Sector. Here's a look at what you missed if you weren't there, from heated health-care and government discussion to just plain heat. |
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CRN 2010 Public Sector Awards: Meet The Big Winners CRN saluted four vendors and five VARs and integrators at XChange Public Sector in Jacksonville. Have a look at who took home the hardware this year, including Public Sector Integrator of the Year. |
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10 Burning Questions For The Public Sector Channel As XChange Public Sector kicks off in Jacksonville June 12, here's a look at some of the most pressing issues for public sector VARs and integrators, from cybersecurity and firm-fixed-price contracts to green technology and small business priorities. |
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Slide Shows |
- Ed Moltzen's 'The Chart' Blog: Biggest IT Customer Is Ready To Spend
- Flurry Of New Deals Could Make CSC A More Attractive Takeover Target
- VARs Ponder Potential HP-CSC Deal
- XChange Public Sector: Budget Woes Still Inform CIO Priorities
- DOJ Joins Lawsuit Charging Oracle With Overcharging U.S. Government
