MDA Space Revenue Surges 34% and Backlog Hits $4.4 Billion

Earnings
โดย GuruFocus·CA·Read original
Summary · why it matters

MDA Space reported second-quarter revenue growth of 34% year-over-year, with adjusted EBITDA of $96 million and a 19.3% margin, prompting the company to raise its full-year guidance. The company achieved a book-to-bill ratio of 1.6 times in the quarter, and its pro forma backlog reached $4.4 billion following the Telesat expansion. Strategic acquisitions of Blue Canyon Technologies and CLS are expected to add $5 billion to the pipeline and double recurring revenue. New contracts from Telesat, the Canadian Space Agency, Mitsubishi Electric, BAE Systems, and OHB demonstrate diversified growth across defense, lunar, and commercial programs. Free cash flow turned negative at negative $178 million in the first half of 2026 due to working capital fluctuations and higher capital expenditures, while adjusted earnings per share remained flat at $0.36 as higher net income was offset by an increased share count from equity issuance.

Impact on stocks 5

Defense & Geopolitical Fragmentation▲ · 2 stocks
BAE Systems plc
BA
▲ PositiveDemandrelevance

New contracts from BAE Systems highlight diversified demand for MDA's defense programs.

Industrials▲ · 2 stocks
OHB SE
OHB
▲ PositiveDemandrelevance

OHB contract underscores demand for MDA's commercial programs.

Space Economy▲ · 1 stocks
Telesat Corp
TSAT
▲ PositiveDemandrelevance

Telesat expansion contributed to MDA's backlog growth, indicating increased demand for Telesat's services.

Theme Impact 2

Off-coverage companies 1

Collecte Localisation SatellitesPrivate▲ Positive
Demandrelevance

Acquisition of CLS expected to add to pipeline and recurring revenue, indicating growth.

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