11:34 AM EDT, 05/15/2025 (MT Newswires) -- RBC Capital hosted MDA Space ( MDALF ) at the RBC Canadian Industrials Conference. Chief Executive Mike Greenley and CFO Guillaume Lavoie presented.

The company addressed the potential risk associated with current NASA plans to cancel several prominent programs as part of its FY26 budget request, including the Lunar Gateway program. If the program is cancelled, MDA remains confident that it has good visibility on revenues through 2026 under its current Canadarm3 contract with the Canadian Space Agency.

The Canadarm3 program currently represents under $900 million of the total company ~ $4.8 billion backlog, and RBC estimates ~$850 million in total revenue from the program across 2025-2027. The Canadarm3 contract is a percent complete for revenue recognition, and MDA is also looking at ways to accelerate some of the contract work to limit the contract risk.

"While we see risk to the Lunar Gateway contract as it is currently structured, we believe the funding outlook for space logistics and infrastructure remains elevated, and MDA remains a leader in the space robotics market. Moreover, we believe the CSA has an incentive to complete the Canadar3 program, as other potential applications eventually emerge."

MDA is rated Outperform, with a $35 target.

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