BRITISH COLUMBIA

MDA reports $41.2-million profit in third quarter, revenue down from year ago

11/05/2012 04:38 EST | Updated 01/05/2013 05:12 EST
RICHMOND, B.C. - MacDonald, Dettwiler and Associates Ltd. (TSX:MDA) said Monday it earned $41.2 million in its latest quarter as revenue slipped nearly six per cent.

The technology company said the profit amounted to $1.30 per diluted share for the quarter ended Sept. 30 compared with a profit of $39.3 million or 95 cents per diluted share for the third quarter of last year when the company had more shares outstanding.

Revenue totalled $171.4 million, down from $181.5 million.

"The decrease reflected the variability in quarterly revenues inherent in large dollar construction contracts and lower levels of space robotics activity, partially offset by higher revenues from geospatial services," the company said.

The average analyst estimate compiled by Thomson Reuters had been for a profit of $1.17 per share for the quarter.

The company's funded order backlog at Sept. 30 stood at $752 million, up from $656 million at June 30.

Last week, MDA closed its US$875-million takeover of California-based Space Systems/Loral Inc., a builder of commercial communications satellites.

The deal helps give MDA needed size to compete in the commercial satellite manufacturing business and improves its chances to win U.S. defence and intelligence contracts.

MDA, best-known for the robotic arms used on the International Space Station and U.S. space shuttles, also provides satellite data and surveillance information and technology.

Shares in the company, which reported its results after the close of markets, were down 19 cents at $56.05 on the Toronto Stock Exchange.