Maxar Technologies reports third quarter 2017 results, declares quarterly dividend

 

The Company's MD&A for the three and nine months ended September 30, 2017 provides additional information regarding these financial metrics and the specified items affecting the comparability of net earnings.

Forward-Looking Statements
This earnings release and the associated conference call and webcast, which includes a business update, discussion of financial results for the third quarter of 2017, and question and answer session (the "Earnings Release"), may contain certain "forward-looking statements" or "forward-looking information" under applicable securities laws. Forward-looking terms such as "may," "will," "could," "should," "would," "plan," "potential," "intend," "anticipate," "project," "target," "believe," "estimate" or "expect" and other words, terms and phrases of similar nature are often intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and represent management's best judgment based on facts and assumptions that management considers reasonable.

Any such forward-looking statements are subject to a number of risks and uncertainties that could cause actual results and expectations to differ materially from the anticipated results or expectations expressed in this Earnings Release. The Company cautions readers that should certain risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary significantly from those expected. The risks that could cause actual results to differ materially from current expectations include, but are not limited to: the Company's ability to generate a sustainable order rate for its satellite manufacturing operations in a market where the number of satellite construction contracts awarded varies annually; changes in government policies, priorities, regulations or government agency mandates, or funding levels through agency budget reductions, the imposition of budgetary constraints, failure to exercise renewal options, or a decline in government support or deferment of funding for programs in which the Company or its customers participate; the Company's ability to effectively execute its U.S. government access plan and realize anticipated benefits of contract awards from the U.S. government and failure by the Company to comply with U.S. regulations could result in penalties or suspension; the risk that security clearances or accreditations will not be granted to or maintained by certain U.S. subsidiaries of the Company subject to the requirements of the National Industrial Security Program Operating Manual or other security requirements, which is a prerequisite for their ability to obtain and perform on classified contracts for the U.S. government; the loss or damage to any of the Company's satellites; delays in the construction and launch of any of the Company's satellites; the Company's ability to achieve and maintain full operational capacity of all of its satellites; interruption or failure of the Company's ground systems and other infrastructure; quality issues, failure of systems to meet performance requirements, potential for product liability, or the occurrence of defects in products or systems could result in lost revenue and harm to the Company's reputation; failure to anticipate changes in technology, technical standards and offerings or comply with the requisite standards, or failure to maintain technological advances and offer new products to retain customers and market position; significant competition with competitors that are larger or have greater resources, and where foreign currency fluctuations may increase competition from the Company's non-United States competitors; changes in regulations, telecommunication standards and laws in the countries in which the Company conducts business; export restrictions or the inability to obtain export approvals; failure to obtain necessary regulatory approvals and licenses, including those required by the United States government; a competitive advantage for competitors not subject to the same level of export control or economic sanctions laws and regulations faced by the Company; exposure to fines and/or legal penalties under Canadian securities regulations; exposure to fines and/or legal sanctions under anti-corruption laws; the Company's ability to attract and retain qualified personnel; reliance on information technology systems and threats of disruption from security breaches and cyber-attacks; the Company's ability to receive satellite imagery, including from third parties for resale and performance issues on the Company's on-orbit satellite; potential infringement of the intellectual property rights of others and inadequate protection of the Company's intellectual property rights; failure to identify, acquire, obtain the required regulatory approvals, or profitably manage additional businesses or successfully integrate any acquired businesses, products or technologies into the Company without substantial expenses, delays or other operational, regulatory, or financial problems; the Company's ability to obtain certain satellite construction contracts depends, in part, on its ability to provide the customer with partial financing of working capital and any financing provided by the Company may not be repaid or the Company may be called upon to make payments; uncertainty in financing arrangements and failure to obtain required financing on acceptable terms, or credit agreements may contain restrictive covenants which may be limiting; risks inherent with performance on fixed price contracts, particularly the ability to contain cost overruns and schedule delays; certain customers are highly leveraged and may not fulfil their contractual payment obligations, including vendor financing; the risk that the Company will not be able to access export credit financing to facilitate the sale of the Company's communication satellites and other products to non-Canadian and non-United States customers; exposure to foreign currency fluctuations, interest rates, energy and commodity prices, trade laws and the effects of governmental initiatives to manage economic conditions; natural disasters or other disruptions affecting the Company's operations; failure to comply with environmental regulations; insufficient insurance against material claims or losses; and general business and economic conditions in Canada, the U.S. and other countries in which the Company conducts business.

There may be additional risks and uncertainties applicable to the Company related to its acquisition of DigitalGlobe, including that: the Company may not realize all of the expected benefits of the merger or the benefits may not occur within the time periods anticipated; the Company incurred substantial transaction fees and costs in connection with the acquisition; significant demands will be placed on the managerial, operational and financial personnel and systems of the Company to support the expansion of operations as a result of the acquisition; the Company may not have discovered undisclosed liabilities in the course of the due diligence review of DigitalGlobe and the Company as a successor owner may be responsible for such undisclosed liabilities; and the Company is a target of securities class action and derivative lawsuits and appraisal proceedings which could result in substantial costs.

You are referred to the risk factors described in Maxar's most recent annual Management's Discussion and Analysis, Annual Information Form and other documents on file with the Canadian securities regulatory authorities, which are available online under the Company's SEDAR profile at www.sedar.com, under the Company's EDGAR profile at www.sec.gov or on the Company's website at www.mdacorporation.com. The forward-looking statements and information contained in this earnings release and the associated conference call and webcast represent Maxar's views only as of today's date. Maxar disclaims any intention or obligation to update or revise any forward-looking statements, whether because of new information, future events or otherwise, other than as required by law, rule or regulation. You should not place undue reliance on forward-looking statements.

CONTACT:

Marissa Poratto | Maxar Investor Relations | 1-604-331-2044 | Email Contact

Nancy Coleman | Maxar Media Contact | 1-303-684-1674 | Email Contact

 

Table 1
Pro Forma Financial Information

         
 

Maxar

DigitalGlobe

Pro Forma

Pro Forma

 

IFRS

US GAAP

US GAAP

IFRS

Adjustments

Combined

For the three months ended September 30, 2017

C$

US$

C$

C$

C$

C$

($ millions)

     

(note 1)

(note 2)

 

Revenues

421.3

222.9

279.2

23.9

(12.3)

712.1

Direct costs, selling, general and

           
 

administration                                         

340.4

115.8

145.1

-

(6.5)

479.0

Foreign exchange gain

(4.6)

-

-

-

-

(4.6)

Share-based compensation expense

6.6

5.9

7.4

-

-

14.0

Equity in earnings from joint ventures

-

(0.1)

(0.1)

-

-

(0.1)

Other expense

13.0

2.8

3.5

-

(14.9)

1.6

EBITDA

65.9

98.5

123.3

23.9

9.1

222.2

Corporate expense

4.9

3.4

4.2

-

-

9.1

Share-based compensation expense

6.6

5.9

7.4

-

-

14.0

Acquisition related expense

12.0

2.3

2.9

-

(14.9)

-

Restructuring costs

1.0

0.5

0.6

-

-

1.6

Equity in earnings from joint ventures

-

(0.1)

(0.1)

-

-

(0.1)

Foreign exchange differences

(0.5)

-

-

-

-

(0.5)

Operating EBITDA

89.9

110.5

138.3

23.9

(5.8)

246.3

Corporate expense

(4.9)

(3.4)

(4.2)

-

-

(9.1)

Adjusted EBITDA (note 3)

85.0

107.1

134.1

23.9

(5.8)

237.2


« Previous Page 1 | 2 | 3 | 4 | 5 | 6 | 7  Next Page »
Featured Video
Latest Blog Posts
Vijay ChobisaSiemens EDA
by Vijay Chobisa
The Rise of Custom Acceleration
Bob Smith, Executive DirectorBridging the Frontier
by Bob Smith, Executive Director
Nomination Deadline for Phil Kaufman Award and Hall of Fame: June 30
Jobs
Hardware Engineer for PTEC Solutions at Fremont, California
Senior Post Silicon Hardware Engineer for Nvidia at Santa Clara, California
Design Verification Engineer for Blockwork IT at Milpitas, California
Senior DPU System Application Engineer for Nvidia at Santa Clara, California
Senior Hardware Engineer IV – CA for Ampex Data Systems Corporation at Hayward, California
Upcoming Events
SemiconWest - 2024 at Moscone Center San Francisco CA - Jul 9 - 11, 2024
Flash Memory 2024 Conference & Expo FMS2024 at Santa Clara Convention Center Santa Clara CA - Aug 6 - 8, 2024
SEMICON Taiwan 2024 at Taipei Nangang Exhibition Center Taipei Taiwan - Sep 4 - 6, 2024



© 2024 Internet Business Systems, Inc.
670 Aberdeen Way, Milpitas, CA 95035
+1 (408) 882-6554 — Contact Us, or visit our other sites:
AECCafe - Architectural Design and Engineering TechJobsCafe - Technical Jobs and Resumes GISCafe - Geographical Information Services  MCADCafe - Mechanical Design and Engineering ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy PolicyAdvertise