By Adriano Marchese

MDA Space strengthened its cash position following its U.S. initial public offering, giving the company added capacity to accelerate investment in next-generation space and defence programs.

MDA Space--which develops satellites, robotics and geointelligence systems for commercial and government space programs--completed a high-profile $300 million U.S. initial public offering in March, bringing its net cash position of 299.3 million Canadian dollars ($219.5 million) at quarter's end.

The company has been drawing increased attention as rising global defence spending has been fueling demand for space-based surveillance and communications, bolstering its satellite and space-infrastructure business.

The move broadened its investor base, strengthened its balance sheet with total liquidity reaching C$1.2 billion, and positions the company to speed up investment in next-generation space and defence programs, it said.

MDA's backlog reached C$3.69 billion at quarter's-end, which provides revenue visibility for 2026 and beyond, and Chief Executive Mike Greenley said it has a C$40 billion pipeline of potential business to tap into going forward, including both commercial and government customer opportunities.

For the year, the company still backs its revenue guidance of C$1.7 billion and C$1.9 billion, with adjusted earnings before interest, taxes, depreciation and amortization of C$320 million to C$370 million.

In the quarter, net income fell to C$29.6 million, or C$0.22 a share, down from C$32.9 million, or C$0.26 a share, a year ago, largely due to higher accounting expenses related to buying SatixFy Communications late last year. Adjusted earnings came to C$0.38 a share, a C$0.06-cent beat to forecast.

Revenues rose 32% to C$464.1 million, ahead of projections of C$413.8 million.

The increase was driven by higher volumes across its three segments, satellite systems, robotics and space operations and geointelligence.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

May 07, 2026 09:02 ET (13:02 GMT)

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