Satellites, space robotics and geointelligence / Operating · factory ramp and two pending acquisitions / Canadian Defense
MDA Space
TSXMDANYSEMDA
MDA Space builds satellites, space robotics and Earth-observation services from Canada. Its principal executive offices are at 7500 Financial Drive in Brampton, Ontario, and it reports in Canadian dollars [14]. The company describes itself as "a trusted mission partner to the global defence and space industry" with more than 4,000 employees, and it reports three business areas: Satellite Systems, Robotics & Space Operations and Geointelligence [4][1]. In the quarter ended June 30, 2026, revenue was C$498.6 million, up 33.6% from a year earlier, of which Satellite Systems contributed C$336.1 million, Robotics & Space Operations C$99.5 million and Geointelligence C$63.0 million [1].
A U.S. reader can now buy the shares on the New York Stock Exchange. On March 10, 2026 MDA announced a US$300 million treasury offering in the United States and said trading would begin on the NYSE under the symbol MDA while continuing on the TSX under the same symbol; the first-quarter release reports net proceeds of C$441.5 million from that offering [3][2]. The company's releases since then carry the line "(TSX: MDA) (NYSE: MDA)" [1].
The business is being reshaped by capital raised and committed in 2026. On June 19 MDA agreed to buy Blue Canyon Technologies, a Denver spacecraft and satellite-component maker that is part of RTX's Raytheon business, for US$620 million (about C$874 million) in cash, financed through senior secured debt and expected to close by the end of 2026 [7]. On July 8 it made a firm offer for about 70% of Collecte Localisation Satellites (CLS) of Toulouse, France, for approximately €567 million (C$920 million) in cash, with the French space agency CNES keeping 30%; CLS is expected to generate about €286 million (C$465 million) of revenue in 2026 and the deal is expected to complete by the end of 2026 or early 2027 [4]. The same day MDA launched a bought deal of 20,000,000 common shares at US$35.60; it closed on July 14 at 23,000,000 shares for gross proceeds of about US$819 million, to fund part of the CLS purchase price [5][6]. On August 5 it closed C$600 million of 6.50% senior unsecured notes due 2033 to fund part of the Blue Canyon purchase [8].
The order book moved both ways in the quarter. Backlog was C$4,003.0 million at June 30, 2026, up C$310 million from March 31 after order bookings of C$808.9 million, but down C$564.9 million from a year earlier; at March 31 it had been C$3,692.7 million, down from C$4,012.9 million at December 31, 2025, after first-quarter bookings of only C$143.9 million [1][2]. On August 4 the Government of Canada's Defence Investment Agency awarded Telesat LEO ULC an initial contract of approximately C$2.3 billion, with two option periods of approximately C$214 million and C$218 million, for the Enhanced Satellite Communications Project – Polar; the satellites are to be built by MDA in Montréal, and MDA is prime contractor for a separate UHF and X-band constellation in medium Earth orbit under the same project [10]. MDA's own release the same day put its follow-on order from Telesat at C$474 million for 27 more satellites, taking its Telesat Lightspeed build to 225 [9]. Two days later the Canadian Space Agency said it would repurpose Canadarm3 investments toward lunar exploration; MDA's response gave no figures for the effect on its contracts [11].
The accounts show a company spending ahead of revenue. Operating cash flow was an outflow of C$93.4 million in the June quarter and free cash flow (non-IFRS) an outflow of C$150.2 million, which the company attributes mainly to program working capital; capital expenditures were C$52.1 million. Adjusted EBITDA (non-IFRS) was C$96.3 million, a 19.3% margin, net income C$27.9 million, or C$0.20 a diluted share, and adjusted diluted EPS C$0.36. Cash was C$397.8 million, net cash C$152.8 million and long-term debt C$245.0 million at June 30, before the notes and the two acquisitions. Management narrowed 2026 guidance to revenue of C$1.8 to C$1.9 billion and adjusted EBITDA of C$330 to C$370 million, kept capital expenditures at C$225 to C$275 million and said free cash flow would be "neutral to negative" [1]. On September 21 the TSX accepted a normal course issuer bid for up to 8,106,539 shares, about 5% of the 162,130,797 outstanding at September 11, 2026 [13].
Primary assets & business
- Satellite Systems: revenue C$336.1M in the quarter ended June 30, 2026 (+44.5%), driven by the Telesat Lightspeed program; new high-volume satellite manufacturing facility in Montreal inaugurated in the quarter [1]
- Telesat Lightspeed LEO constellation: MDA AURORA satellites; follow-on order of C$474M for 27 satellites announced August 4, 2026 takes the build to 225 [9]; the Government of Canada's ESCP-P award to Telesat of about C$2.3B funds 69 of them, to be built by MDA in Montréal [10]
- ESCP-P UHF and X-band constellation in medium Earth orbit, with MDA Space as prime contractor [10]
- Robotics & Space Operations: revenue C$99.5M in the quarter (+13.1%); Canadarm3 program, which the Canadian Space Agency said on August 6, 2026 it would repurpose toward lunar exploration [1][11]
- Geointelligence: revenue C$63.0M in the quarter (+19.5%); MDA CHORUS constellation, with nine early customer contracts announced per the second-quarter release [1]
- Globalstar replenishment: 17 satellites under contract; the first eight launched on a SpaceX Falcon 9 from Cape Canaveral on August 15, 2026 [12]
- Pending: Blue Canyon Technologies (Denver; more than 400 employees; US$620M cash; expected close by end-2026) [7] and about 70% of CLS (Toulouse; about 1,200 employees; about €567M / C$920M cash; expected close end-2026 or early 2027) [4]
Financial position
| Revenue (latest quarter) | C$498.6MUp 33.6% from C$373.3M. Satellite Systems C$336.1M (C$232.6M); Robotics & Space Operations C$99.5M (C$88.0M); Geointelligence C$63.0M (C$52.7M). First half C$962.7M (C$724.3M). | Quarter ended Jun 30, 2026 [1] |
|---|---|---|
| Adjusted EBITDA (latest quarter) | C$96.3MNon-IFRS; up 26.2% from C$76.3M; margin 19.3% (20.4%). Gross profit C$125.9M, 25.3% margin. | Quarter ended Jun 30, 2026 [1] |
| Net income (latest quarter) | C$27.9MUp 2.6% from C$27.2M; diluted EPS C$0.20 (C$0.21). Adjusted net income (non-IFRS) C$51.8M; adjusted diluted EPS C$0.36 (C$0.36). Diluted weighted average shares 142,521,230 (128,062,208). | Quarter ended Jun 30, 2026 [1] |
| Operating cash flow (latest quarter) | −C$93.4MC$52.8M a year earlier; attributed primarily to normal program working capital. Free cash flow (non-IFRS) −C$150.2M (C$16.2M). Capital expenditures C$52.1M. | Quarter ended Jun 30, 2026 [1] |
| Backlog | C$4,003.0MUp C$310M from March 31, 2026; down C$564.9M from June 30, 2025. Order bookings C$808.9M in the quarter (C$102.8M). C$3,692.7M at March 31, 2026 and C$4,012.9M at December 31, 2025 [2]. | Jun 30, 2026 [1] |
| Cash | C$397.8MC$152.0M at December 31, 2025. Net cash (non-IFRS) C$152.8M against net debt of C$120.0M at December 31, 2025; total liquidity C$1.1B. Before the C$600M notes closed August 5 and the July equity offering is reflected in later statements [8][6]. | Jun 30, 2026 [1] |
| Long-term debt | C$245.0MC$272.0M at December 31, 2025. C$600M of 6.50% senior unsecured notes due 2033 closed August 5, 2026 [8]. | Jun 30, 2026 [1] |
| 2026 guidance | Revenue C$1.8–1.9B; adjusted EBITDA C$330–370MNarrowed from C$1.7–1.9B and C$320–370M on May 7, 2026 [2]; about 13% and 8% growth at the midpoints; adjusted EBITDA margin 18%–20%; capital expenditures C$225–275M; free cash flow 'neutral to negative'. Management's figures. | Aug 7, 2026 [1] |
| Revenue (first quarter 2026) | C$464.1MUp 32.2% from C$351.0M. Adjusted EBITDA C$90.6M (19.5%); net income C$29.6M; diluted EPS C$0.22; adjusted diluted EPS C$0.38; operating cash flow C$60.9M; free cash flow −C$27.6M; order bookings C$143.9M. | Quarter ended Mar 31, 2026 [2] |
| Market capitalization | Not yet verifiedNot verified against a dated close. |
All figures are in Canadian dollars, MDA Space's reporting currency, unless marked US$ or €. Quarterly figures are for the three months ended June 30, 2026 from the August 7, 2026 release, and for the three months ended March 31, 2026 from the May 7, 2026 release. Adjusted EBITDA, adjusted net income, adjusted EPS, free cash flow and net cash are management's non-IFRS measures as the company defines them. Blank means not yet verified, never zero.
Ownership & capital structure
| Common shares outstanding | 162,130,797After the July 2026 bought deal of 23,000,000 shares [6]. Diluted weighted average 142,521,230 in the June quarter [1]. | Sep 11, 2026 [13] |
|---|---|---|
| U.S. initial public offering | US$300M (net C$441.5M)Treasury offering announced March 10, 2026; NYSE listing under MDA; net proceeds of C$441.5M per the first-quarter release [2]. Underwriters led by J.P. Morgan and RBC Capital Markets. | Mar 2026 [3] |
| July 2026 bought deal | 23,000,000 shares at US$35.60Gross proceeds about US$819M; launched July 8 at 20,000,000 shares (US$712M) and upsized; proceeds to fund part of the CLS purchase price and possibly repay CLS debt [5]. Short form base shelf prospectus in Canada and Form F-10 in the U.S. | Jul 14, 2026 [6] |
| Normal course issuer bid | Up to 8,106,539 shares (about 5%)TSX approval announced September 21, 2026; average daily TSX volume 1,253,034 shares for the six months ended August 31, 2026; purchases through the TSX or alternative trading systems. | Sep 23, 2026 – Sep 22, 2027 [13] |
| Significant shareholders | Not yet verifiedNot verified; see the management information circular on SEDAR+. |
What has to happen next
- Closing of the Blue Canyon Technologies acquisition (US$620M; expected by the end of 2026) and of the CLS acquisition (about €567M / C$920M for about 70%; expected end-2026 or early 2027, subject to regulatory approvals and French employee consultation) [7][4].
- Third-quarter 2026 results against narrowed guidance of C$1.8–1.9B revenue, C$330–370M adjusted EBITDA and 'neutral to negative' free cash flow; whether operating cash flow turns positive after the June quarter's C$93.4M outflow [1].
- Definitive contract flow from the ESCP-P award of August 4, 2026 (about C$2.3B initial to Telesat, with MDA building the satellites and acting as prime for the MEO constellation) into MDA's reported backlog [10][9].
- The Canadian Space Agency's repurposing of Canadarm3 toward lunar exploration, announced August 6, 2026, and what it means for Robotics & Space Operations revenue, which the company has not quantified [11].
- Launch of the remaining nine Globalstar satellites after the first eight on August 15, 2026 [12].
- Share repurchases under the NCIB that began September 23, 2026, set against the 23,000,000 shares issued in July [13][6].
Research checkpoints, not a dated event calendar or a promise of outcomes.
Valuation context
No valuation conclusion is published here. MDA is now listed on the NYSE, so a U.S. holder buys in U.S. dollars while the company reports in Canadian dollars; any multiple must convert at a dated rate and use the same adjusted-EBITDA definition as the comparison [3][1]. Three things complicate the arithmetic in 2026. The share count rose by 23,000,000 in July on top of the March U.S. offering, so per-share figures from the first half understate the denominator [6][2]. The enterprise value will absorb US$620 million for Blue Canyon and about C$920 million for 70% of CLS, plus any CLS debt MDA retires, when the deals close [7][4]. And free cash flow is guided 'neutral to negative' for 2026 while the backlog is being converted, so an EBITDA multiple overstates what reaches shareholders this year [1]. The backlog of C$4,003.0 million is about twice the midpoint of 2026 revenue guidance on our arithmetic, which is shorter cover than a shipbuilder's and longer than a contract manufacturer's [1].
Mandatory reading
Key risks
- Backlog fell C$564.9 million year over year to C$4,003.0 million at June 30, 2026 even after a C$808.9 million bookings quarter, and the first quarter booked only C$143.9 million; revenue growth of 33.6% is consuming the order book faster than new awards are refilling it unless the ESCP-P and Telesat orders arrive in full [1][2][10].
- Satellite Systems, 67% of second-quarter revenue on our arithmetic, is driven primarily by one program, Telesat Lightspeed; a delay in Telesat's constellation schedule would show up in MDA's revenue within a quarter [1].
- Operating cash flow was an outflow of C$93.4 million and free cash flow an outflow of C$150.2 million in the June quarter, attributed to program working capital; the company guides 2026 free cash flow 'neutral to negative' while spending C$225 to C$275 million of capital [1].
- Two acquisitions totaling US$620 million and about C$920 million are to be financed with C$600 million of 6.50% notes, senior secured debt and the July equity raise; the combined leverage after closing is not yet visible in any balance sheet [7][4][8][6].
- The Canadian Space Agency said on August 6, 2026 it would repurpose Canadarm3 investments; MDA's response gave no figures, so the effect on Robotics & Space Operations backlog is unquantified [11].
- The share count rose by 23,000,000 in July at US$35.60, and the September NCIB covers at most 8,106,539 shares; dilution has run well ahead of any buyback [6][13].
Source documents
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1
MDA Space reports second quarter 2026 results
Toronto, Aug. 7, 2026; (TSX: MDA) (NYSE: MDA). Quarter ended June 30, 2026: revenue C$498.6M (+33.6% from C$373.3M); Satellite Systems C$336.1M (C$232.6M), Robotics & Space Operations C$99.5M (C$88.0M), Geointelligence C$63.0M (C$52.7M); H1 C$962.7M (C$724.3M); gross profit C$125.9M, 25.3%; adjusted EBITDA C$96.3M (+26.2%), 19.3%; net income C$27.9M (+2.6%); diluted EPS C$0.20 (C$0.21); adjusted net income C$51.8M; adjusted diluted EPS C$0.36; operating cash flow −C$93.4M (C$52.8M), 'primarily due to normal program working capital'; free cash flow −C$150.2M (C$16.2M); capex C$52.1M; backlog C$4,003.0M, +C$310M from Q1 2026, −C$564.9M from June 30, 2025; order bookings C$808.9M (C$102.8M); cash C$397.8M (C$152.0M at Dec 31, 2025); net cash C$152.8M (net debt C$120.0M); total liquidity C$1.1B; long-term debt C$245.0M (C$272.0M); diluted weighted average shares 142,521,230; 2026 outlook narrowed to revenue C$1.8–1.9B (from C$1.7–1.9B), adjusted EBITDA C$330–370M (from C$320–370M), margin 18%–20%, capex C$225–275M, free cash flow neutral to negative; nine early CHORUS customer contracts; Montreal facility inaugurated; River-class Destroyer scope reduction.
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2
MDA Space reports first quarter 2026 results
Toronto, May 7, 2026. Quarter ended March 31, 2026: revenue C$464.1M (+32.2% from C$351.0M); Satellite Systems C$313.1M; Robotics & Space Operations C$91.6M; Geointelligence C$59.4M; gross margin 24.8%; adjusted EBITDA C$90.6M (19.5%); net income C$29.6M; diluted EPS C$0.22; adjusted diluted EPS C$0.38; operating cash flow C$60.9M; free cash flow −C$27.6M; net cash C$299.3M; total liquidity C$1.2B; backlog C$3,692.7M (C$4,012.9M at Dec 31, 2025; C$4,838.4M at Mar 31, 2025); order bookings C$143.9M; 2026 outlook revenue C$1.7–1.9B, adjusted EBITDA C$320–370M, margin 18%–20%, capex C$225–275M, free cash flow neutral to negative; diluted weighted average shares 132,699,391; net proceeds of C$441.5M from the U.S. IPO completed in Q1 2026.
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3
MDA Space announces initial public offering in the United States
Toronto, March 10, 2026; US$300M treasury offering with a 15% over-allotment option; NYSE listing under 'MDA'; shares continue on the TSX under 'MDA'; J.P. Morgan and RBC Capital Markets joint lead active bookrunners.
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4
MDA Space enters into firm offer to acquire Collecte Localisation Satellites (CLS)
Toronto, July 8, 2026; about 70% of CLS for approximately €567M (C$920M) in cash, subject to adjustments; sellers CNES and CNP; CNES keeps 30%; CLS founded 1986, Toulouse, 40 sites, about 1,200 employees, expected 2026 revenue about €286M (C$465M); committed financing from BMO Capital Markets, RBC Capital Markets and Scotiabank; may fund about €198M to retire CLS debt; expected completion by end-2026 or early 2027 subject to regulatory approvals and French employee consultation; boilerplate '(TSX:MDA) (NYSE:MDA)', more than 4,000 employees.
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5
MDA Space announces bought deal offering of common shares
20,000,000 common shares at US$35.60 for gross proceeds of US$712M; 15% over-allotment option; BMO Capital Markets and RBC Capital Markets joint lead bookrunners; proceeds to fund a portion of the CLS purchase price and possibly CLS debt repayment; closing on or about July 14, 2026; short form base shelf prospectus in Canada and Form F-10 under MJDS in the U.S.
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6
MDA Space announces closing of its upsized bought deal offering of common shares
Toronto, July 14, 2026; 23,000,000 common shares at US$35.60; gross proceeds approximately US$819M; use of proceeds as announced July 8.
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7
MDA Space announces definitive agreement to acquire US-based Blue Canyon Technologies LLC
Toronto, June 19, 2026; US$620M (about C$874M) all-cash purchase price and enterprise value; seller RTX's Raytheon business; Denver, Colorado; more than 85 spacecraft launched and 3,500+ products on orbit since 2008; over 400 employees and two manufacturing facilities; adds US$3.5B (about C$4.9B) to the opportunity pipeline; expected close by end-2026; 'fully committed and financed at signing through senior secured debt'.
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8
MDA Space announces closing of C$600 million offering of senior unsecured notes due 2033
Toronto, Aug. 5, 2026; C$600M of 6.50% senior unsecured notes due 2033; proceeds to fund a portion of the Blue Canyon purchase price and related fees; offered to accredited investors in Canada, to qualified institutional buyers in the U.S. under Rule 144A and offshore under Regulation S; led by RBC Capital Markets, BMO Capital Markets and Scotiabank.
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9
MDA Space awarded $474 million to expand the Telesat Lightspeed LEO constellation
Toronto, Aug. 4, 2026; C$474M increase to the previously announced contract; 27 additional MDA AURORA satellites, from 198 to 225; CEO quote on Arctic military communications; delivery timeline not stated.
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10
The Government of Canada awards a military communications contract to support Arctic sovereignty and national security
Ottawa, August 4, 2026; initial contract of approximately $2.3 billion to Telesat LEO ULC with two option periods of approximately $214 million and $218 million; Enhanced Satellite Communications Project – Polar (ESCP-P); military Ka-band component on Telesat Lightspeed; Telesat to 'expand its LEO constellation by 69 satellites, bringing the total number of satellites from 156 already in production to 225'; satellites 'built by MDA Space at its ... high-volume satellite manufacturing facility in Montréal'; secure UHF and X-band constellation in MEO with MDA Space as prime contractor; Industrial and Technological Benefits Policy; could 'create or maintain 2,600 jobs annually' and 'contribute $335 million annually' to GDP over about seven years; December 9, 2025 strategic partnership and a $2.92-million engineering contract; Strategic Partner model; BUILD component of the Defence Industrial Strategy; quotes from government officials.
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11
MDA Space responds to Canadian Space Agency announcement on Canadarm3
Toronto, Aug. 6, 2026; the CSA announced its intention to repurpose Canadarm3 investments to support lunar exploration under Artemis; MDA states support and gives no contract, revenue or backlog figures; quote from the chief executive.
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12
MDA Space satellites for Globalstar successfully launched
Toronto, Aug. 16, 2026; eight satellites launched August 15, 2026 at 9:12 p.m. ET on a SpaceX Falcon 9 from Space Launch Complex 40, Cape Canaveral; 17 satellites in total under the Globalstar replenishment contract; constellation supports direct-to-device services on select mobile phones and IoT; contract value not stated; CEO quote on the new high-volume facility.
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13
MDA Space announces TSX approval of normal course issuer bid
Toronto, Sept. 21, 2026; up to 8,106,539 shares, about 5% of the 162,130,797 outstanding at September 11, 2026; September 23, 2026 to September 22, 2027; average daily TSX volume 1,253,034 shares for the six months ended August 31, 2026; purchases through the TSX or alternative trading systems.
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14
Form 6-K cover page, August 5, 2026
Registrant MDA Space Ltd.; principal executive offices 7500 Financial Drive, Brampton, Ontario, Canada L6Y 6K7; exhibit 99.1 press release dated August 5, 2026.
