VANCOUVER, BC, May 2, 2017 /CNW/ - MacDonald, Dettwiler and Associates Ltd. ("MDA" or the "Company") ( TSX: MDA), a global communications and information company, today reported financial results for the first quarter ended March 31, 2017.
For the first quarter of 2017, consolidated revenues were $494.3 million compared to $562.4 million for the same period of last year. The Communications segment contributed revenues of $332.0 million compared to $403.2 million for the same period of last year, reflecting lower geostationary communications satellite bookings over the past two years. The Surveillance and Intelligence segment contributed revenues of $162.4 million, consistent with $159.2 million for the first quarter of 2016.
Operating EBITDA1 was $89.2 million for the first quarter of 2017 compared to $97.2 million for the same period of last year. The Communications segment contributed operating EBITDA of $50.5 million (Q1 2016 - $59.5 million) and the Surveillance and Intelligence segment contributed operating EBITDA of $38.6 million (Q1 2016 - $37.7 million).
Operating earnings1 were $44.9 million, or $1.23 per share1, compared to $55.9 million, or $1.53 per share, for the first quarter of 2016. The decrease reflected lower operating EBITDA, as well as higher corporate expense, additional non-cash interest expense following the securitization of orbital receivables and a higher effective income tax rate on operating earnings.
Net earnings under IFRS for the first quarter of 2017 were $5.9 million, down from $40.7 million for the same period of last year. Net earnings were impacted by the inclusion and variability of certain large, non-operational items, particularly restructuring costs and incremental legal and other professional fees related to the acquisition of DigitalGlobe, Inc.
The Company had total funded order backlog of $2.0 billion as at March 31, 2017.
The Company has declared a quarterly dividend of $0.37 per common share payable on June 30, 2017 to shareholders of record at the close of business on June 15, 2017.
The Company continued to make substantive progress on its strategic plans to increase access to the U.S. government market. The Company received facility security clearance for the offices of SSL MDA Holdings, Inc. on February 23, 2017.
Financial Highlights
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Three months ended March 31, 2017 |
Three months ended March 31, 2016 |
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($ millions, except per common share amounts) |
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Consolidated revenues |
494.3 |
562.4 |
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Operating EBITDA1 |
89.2 |
97.2 |
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Operating earnings1 |
44.9 |
55.9 |
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Operating earnings per share1 |
1.23 |
1.53 |
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Net earnings |
5.9 |
40.7 |
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Net earnings per share, basic |
0.16 |
1.12 |
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Net earnings per share, diluted |
0.15 |
1.10 |
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Weighted average number of common shares outstanding: |
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(millions) |
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|
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Basic |
36.5 |
36.3 |
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Diluted |
36.5 |
36.5 |
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1 |
See section "Non-IFRS Financial Measures" in this earnings release. |
MDA's condensed consolidated financial statements and management's discussion and analysis (MD&A) for the three months ended March 31, 2017 are available at:
http://mdacorporation.com/corporate/investor/financial-reports
About MDA
MDA is a global communications and information company providing operational solutions to commercial and government organizations worldwide.
MDA's business is focused on markets and customers with strong repeat business potential, primarily in the Communications sector and the Surveillance and Intelligence sector. In addition, the Company conducts a significant amount of advanced technology development.
MDA's established global customer base is served by more than 4,800 employees operating from 15 locations in the United States, Canada, and internationally.
The Company's common shares trade on the Toronto Stock Exchange under the symbol MDA.
