MDA Space Posts $464.1 Million Revenue, Mda Stock Slips on Profit

Mda stock faced a split result on May 7, 2026: MDA Space reported first-quarter revenue of $464.1 million, up 32.2% from a year earlier, while net income fell 10.0% to $29.6 million. The quarter showed faster sales growth than profit growth, a mix that leaves the company with more revenue coming in but less bottom-line gain than the market may have expected.

MDA Space's $464.1 million quarter

$464.1 million in first-quarter revenue came with $90.6 million of adjusted EBITDA and a 19.5% margin. MDA Space said adjusted EBITDA rose 32.1% year-over-year, while adjusted net income increased 32.0% to $50.7 million and diluted earnings per share reached $0.22. Those figures show the company is still scaling, but the gap between adjusted profit and net income remains visible in the quarter.

$29.6 million in net income is the complication inside the headline revenue gain. The company also posted $60.9 million in operating cash flow and $ million in free cash flow, a combination that shows cash generation was uneven even as the top line expanded. For shareholders, that means the business is growing quickly, but the path from revenue to retained earnings was thinner in the quarter.

Backlog falls to $3.7 billion

$3.7 billion in quarter-end backlog gives MDA Space a large base of future work and revenue visibility into 2026 and beyond. That backlog was down from $4.8 billion a year earlier, and the company said the reduction was driven by strong conversion of backlog into revenue. The order book is still substantial, but the year-over-year decline shows more of it is being turned into sales rather than sitting idle.

$1.2 billion in total liquidity and a $299 million net cash position leave the company with room to keep funding operations while it works through that backlog. MDA Space also said the backlog sits alongside a $40 billion pipeline of commercial and government customer opportunities. If that pipeline keeps feeding wins into the order book, the revenue base can stay elevated even after the current backlog converts.

MDA Space keeps 2026 outlook

2026 guidance stayed in place, and the company said its 19.5% adjusted EBITDA margin remains consistent with full-year margin guidance of 18% to 20%. That keeps the focus on whether revenue growth can continue without further pressure on net income. For investors tracking MDA stock, the quarter now sets a clear test: convert the $3.7 billion backlog efficiently enough to preserve margin while the business scales.