Leidos changed its backlog policy to include estimated future revenue on sole source IDIQ contracts, increasing the total backlog to $46.3 billion. This provides investors with enhanced visibility into the company's expected future revenue streams.

Net bookings decreased to $2.1 billion from $3.8 billion in the prior year. This decrease could signal a slowdown in new contract wins and may warrant further investigation into the underlying reasons.

Leidos entered into an agreement to acquire a cyber company for $300 million, expected to close in Q2 2025. This acquisition will enhance Leidos' capabilities in offensive and defensive cyber platforms and solutions.

The effective tax rate increased to 23.6% compared to 23.1% for the three months ended March 29, 2024. The increase to the effective tax rate was primarily due to a decrease in excess tax benefits related to employee stock-based payment transactions.

Leidos remains aligned with the administration's efforts to drive efficiency in government agencies and operations, while increasing the quality of mission outcomes. This alignment could lead to continued opportunities and partnerships with government agencies.

Management concluded that disclosure controls and procedures are effective, ensuring timely and accurate financial reporting. This provides confidence in the reliability of the company's financial information.

The 10-Q states that there were no material changes to the risk factors described in the annual report. This suggests a stable risk environment, although the existing risks remain relevant.

The company is routinely subject to investigations and reviews, and adverse findings could have a material effect on its business. This highlights the inherent risks associated with government contracting and regulatory compliance.

International business increases exposure to international markets and the associated international regulatory, foreign currency exchange rate and geopolitical risks. This highlights the challenges of operating in a global environment.

The National Security & Digital segment revenues increased 4.7% year over year. This indicates a strengthening competitive position in a key market segment.

The Health & Civil segment revenues increased 7.7% year over year. This indicates a strengthening competitive position in a key market segment.

The Defense Systems segment revenues increased 7.2% year over year. This indicates a strengthening competitive position in a key market segment.

Leidos issued $1 billion in senior notes, using the proceeds to retire $500 million in existing notes and repurchase $500 million in shares. This demonstrates a strategic approach to managing capital structure and returning value to shareholders.

Leidos entered into an ASR agreement to repurchase shares, paying $500 million and receiving an initial delivery of 3 million shares. This signals management's confidence in the company's future prospects and commitment to shareholder returns.

Net cash used in investing activities increased due to higher capital expenditures. This suggests continued investment in infrastructure and technology to support future growth.