MDA: “In talks over $7bn of LEO business”
February 29, 2024
By Chris Forrester
Canadian satellite and space tech company MDA says it is busy working on three satellite constellations for clients, and has active discussions with potential new customers for satellite-based broadband and IoT applications worth several billions of dollars.
The company, famous for its Canadarm robotic device, reported a Q4 profit of C$13.5 million (€9.1m), up from C$8.8 million a year earlier, as its revenue rose 10 per cent.
Revenue for the three-month period totalled C$205 million, up from C$186.1 million a year earlier.
Mike Greenley, CEO of MDA, said: “We secured a number of strategic contracts including the Telesat Lightspeed LEO constellation award, valued at $2.1 billion and a $180 million authorisation to proceed contract to initiate work on a new Non-Geostationary Orbit satellite constellation, with the full contract expected to be awarded this year. With these awards MDA has now secured three constellation contracts in the past two years, highlighting the strong momentum we are seeing in our Satellite Systems business driven by customer demand for communication satellite constellations.”
In its 2024 outlook, the company expects full year revenue to total between C$950 million and C$1.05 billion, an estimate that would mean growth of about 25 per cent based on the midpoint of the guidance compared with its result for 2023. For the first quarter of 2024, MDA said it expects revenue between C$205 million and C$215 million.
Its current backlog of work in hand and contracted is C$3.1 billion, up 125 per cent since the same period last year.