MDA Space raised the lower end of its full-year targets after surging demand for satellite infrastructure and defense tech drove a jump in second-quarter revenue.

The Canadian space technology and defense company posted on Friday increased the bottom end of its revenue guidance for the year for a new range of 1.8 billion Canadian dollars to 1.9 billion Canadian dollars ($1.28 billion to $1.36 billion), up from a previous range of C$1.7 billion to C$1.9 billion.

Adjusted earnings before interest, taxes, depreciation and amortization also had its lower end of guidance increased to C$330 million from C$320 million, with the top end of C$370 million remaining unchanged.

Adjusted Ebitda margin of 18% to 20%, and capital expenditures of C$225 million to C$275 million were also left unchanged.

For the second quarter, MDA Space logged a rise in net income to C$27.9 million, compared with C$27.2 million, in the comparable quarter a year ago.

On a per-share basis, earnings fell to C$0.20 a share from C$0.21, largely due to it's second listing in the U.S.

In March, MDA expanded its access to capital markets by going public in the U.S., adding a second listing on the New York Stock Exchange, but also increasing the amount of shares in circulation.

On an adjusted basis, which strips out exceptional items and one-off costs, earnings were C$0.36 a share, ahead of analyst forecasts of C$0.35 a share, according to FactSet.

Revenues rose nearly 34% to C$498.6 million, well ahead of analyst forecasts calling for C$448.1 million. The company credits a broad-based increase in all its units, with the largest contribution from its satellite systems, which generated revenue of C$336.1 million, compared with C$232.6 million last year.

Backlog fell from the prior year to C$4 billion from C$4.6 billion a year ago, which the company said provides visibility for 2026 and beyond.

The company has been capitalizing on surging global demand for space infrastructure across both commercial markets--such as work on the Telesat Lightspeed satellite constellation program--and defense sectors, providing sovereign earth-observation and surveillance capabilities to allied militaries.