It depends on the SAS function you have used in the calculated item expression and the database where the data resides. If the function used can be passed to the database by SAS then the computation/aggregation will happen on the database side.
If the function used can not be passed to database by SAS then SAS will download all the data from the table required for the function and calculation will happen on the SAS compute server which is tedious and overhead to the compute server.
Always make sure that the function you are using in SAS can be passed to your database. You can refer to SAS documentation to find out which SAS functions can be passed to your database.