MDA SPACE REPORTS SECOND QUARTER 2026 RESULTS

Q2 2026 HIGHLIGHTS

• Backlog of $4.0 billion at quarter-end provides revenue visibility for 2026 and beyond and compares to $4.6 billion as of Q2 2025. This is an increase of $310 million compared to Q1 2026 driven by strong bookings in the quarter that exceeded conversion of backlog into revenue.
• Revenues of $498.6 million in Q2 2026 were up 33.6% year-over-year driven by higher volumes across all business areas in the quarter.
• Adjusted EBITDA of $96.3 million in Q2 2026 increased 26.2% year-over-year driven by higher volumes of work. Adjusted EBITDA margin of 19.3% in Q2 2026 is consistent with the Company’s full year margin guidance of 18%-20%.
• Net income of $27.9 million in Q2 2026 was up 2.6% year-over-year. Diluted earnings per share was $0.20 in Q2 2026, a decrease of 9.5% year-over-year driven primarily by the increase in the average number of common shares outstanding following the Company’s initial public offering on the New York Stock Exchange in March 2026.
• Adjusted net income in Q2 2026 was $51.8 million increasing 12.9% year-over-year driven by the higher gross profit, partially offset by investments in SG&A and R&D. Adjusted diluted earnings per share of $0.36 in Q2 2026 decreased 1.5% year-over-year as the higher adjusted net income was offset by higher average shares outstanding largely due to the abovementioned IPO in the US.
• Operating cash flow of $(93.4) million in Q2 2026 compared with $52.8 million in Q2 2025. The year- over-year decrease in operating cash flow was primarily due to normal program working capital fluctuations on major contracts.
• Free cash flow of $(150.2) million in Q2 2026 compared to $16.2 million in Q2 2025. The year-over- year decrease was driven by reduced operating cash flow as a result of the aforementioned lower working capital contributions as well as higher capital expenditures.
• Net cash position of $152.8 million at the end of Q2 2026 compares to a net debt position of $120.0 million as of December 31, 2025. The improved net cash position was largely driven by net proceeds received through the initial public offering in the United States, which was completed in March 2026.

2026 FINANCIAL OUTLOOK

As a trusted mission partner and leading global space technology provider, we are leveraging our capabilities and expertise to execute on targeted growth strategies across our end markets and business areas. Our strategic initiatives, which span across our three businesses, include investing in next generation space technology and services, expanding our presence in attractive markets and geographies, scaling and expanding operations, skills, and talent to meet current and future market demand, leveraging strategic mergers, acquisitions and partnerships to complement organic growth, and continuing to position ourselves as Canada’s national defence and space champion and a trusted supplier to partners and allies globally. We continue to make good progress against our long-term strategic plan.

MDA Space is well positioned to capitalize on strong customer demand and robust market activity given our diverse and proven technology offerings. Our growth pipeline is significant and underpinned by existing and new programs and our book of business is healthy.

Our fiscal 2026 outlook has been updated and now consists of the following:

• Narrowing Revenue to $1.8 – $1.9 billion, compared to $1.7 – $1.9 billion previously, representing year-over-year growth of approximately 13% at the mid-point of guidance and reflecting a solid H1 for MDA Space
• Narrowing Adjusted EBITDA to $330 – $370 million, compared to $320 – $370 million previously, representing year-over-year growth of approximately 8% at the mid-point of guidance
• Adjusted EBITDA margin is reaffirmed at 18% – 20%
• Capital expenditures are reaffirmed at $225 – $275 million to support another year of investments related to the production expansion at our Montreal facility and investments in chip development
• Free cash flow is reaffirmed to be neutral to negative driven by normal program working capital fluctuations