Business Breaking News

The Canadian Press - ONLINE EDITION

Com Dev revenue up 11% in Q1; space hardware, services company profit also up

By: The Canadian Press

Monday, Mar. 11, 2013 at 10:01 AM | Comments: 0

CAMBRIDGE, Ont. - Com Dev International Ltd. (TSX:CDV) is reporting higher revenue and profits in its fiscal 2013 first quarter.

The Ontario-based supplier of space hardware and services said Monday that net income attributable to shareholders in the three months ended Jan. 31 was $4.6 million or six cents per share, up from $3.6 million or five cents in the same 2012 period.

The company said higher gross profit margins as well as lower interest, tax and other expenses were behind the improvement in the bottom line.

Revenue rose almost 11 per cent to $52.3 million from $47.2 million.

"We are very pleased with the growth in earnings and gross margins in the first quarter of fiscal 2013, which reflects the results of our focus on profitability and sustainability without any legacy issues," president and CEO Michael Pley said in the company's earnings release.

"As well, we have secured new contracts in all of our divisions which will contribute to continued growth."

The revenue split between the three market segments was 44 per cent commercial, 34 per cent civil and 22 per cent military, compared with a 58/26/16 split in 2012, Com Dev said.

"It is important to note that communication satellite programs are increasingly being seen in the civil segment as emerging country national governments use satellites as an efficient means to provide communications infrastructure," it added.

Com Dev received new orders totalling $61.8 million in the quarter, of which 58 per cent were commercial, 41 per cent were civil and one per cent were military.

Order backlog at Jan. 31 was $148 million, compared with $125.3 million at the end of the 2012 first quarter. Backlog was split 43 per cent commercial, 39 per cent civil and 18 per cent military.

With facilities in Canada, the United Kingdom and the United States, Com Dev manufactures advanced subsystems and microsatellites that are sold to major satellite prime contractors, government agencies and satellite operators, for use in communications, space science, remote sensing and defence applications.

Com Dev's majority-owned subsidiary, exactEarth Ltd., provides satellite data services.

Rate this
This article has not yet been rated.

We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high. If you thought it was well written, do the same. If it doesn’t meet your standards, mark it accordingly.

You can also register and/or login to the site and join the conversation by leaving a comment.

Rate it yourself by rolling over the stars and clicking when you reach your desired rating. We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high.

Sort by: Newest to Oldest | Oldest to Newest | Most Popular 0 Comments

You can comment on most stories on brandonsun.com. You can also agree or disagree with other comments. All you need to do is register and/or login and you can join the conversation and give your feedback.

There are no comments at the moment. Be the first to post a comment below.

Post Your Comment

The Brandon Sun does not necessarily endorse any of the views posted. Comments are moderated before publication. By submitting your comment, you agree to our Terms and Conditions. New to commenting? Check out our Frequently Asked Questions.