Overall, MDA’s $28.2 million in earnings was down from 2011’s $30.3 million mark in the third quarter. Year-to-date revenues dropped $583 million for the nine months ending Sept. 30, 2011, to $507 million in 2012 primarily due to lower levels of pass-through items on certain communications satellite programs, according to MDA CEO Daniel Friedmann.

   “The decrease also reflected the variability in quarterly revenues inherent in large dollar construction contracts and lower levels of space robotics activity, partially offset by higher revenues from geospatial services,” Friedmann said in a statement.

   Friedmann added that the company’s profit amounted to $1.30 per diluted share for the quarter ended Sept. 30, compared with a profit of $39.3 million or 95 cents per diluted share for the third quarter of last year when the company had more shares outstanding. This number beat the average analyst estimate of a $1.17 per share profit for MDA during the quarter.

   That wasn’t the only good news for MDA. The company’s funded order backlog stood at $752 million at the end of September, which was up from the $656 million MDA reported at the end of June. MDA’s operating EBITDA of $46 million and $142 million for the three- and nine-month periods ending this past September, respectively, showed an increase in margins primarily due to a mix of revenues and stage of completion on major programs, said Friedmann.

   The MDA quarterly report generated a variety of reactions from stockholders and analysts. MDA had its price target lowered by analysts at BMO Capital Markets from $65.00 to $56.00, with an “outperform” rating on the stock. The company, however, was upgraded by analysts at RBC Capital from a “sector perform” rating to an “outperform” rating, as well as by analysts at Cormark from a “market perform” rating to a “buy” rating. CIBC and Scotia Capital also upgraded MDA from a “sector perform” rating to an “outperform” rating with $66.00 and $62.00 price targets, respectively, on the stock.

   The biggest recent news item for MDA has been the closure of its $875-million takeover of California-based commercial communications satellite manufacturer Space Systems/Loral (SS/L). MDA, which was previously known for the robotic arms it produced for the International Space Station and U.S. space shuttles and for satellite data and surveillance information, hopes the SS/L acquisition will boost its size and strength and allow it to compete in the commercial and military satellite manufacturing business.

   MDA signed the agreement to acquire SS/L from Loral Space & Communications this past June after completing the sale of all its property information business to a third party buyer in 2011. Friedmann said the acquisition of SS/L was financed by a combination of cash on hand, a three-year, $101 million promissory note payable to Loral Space & Communications bearing 1 percent interest, new 12-year senior secured notes from two major U.S. financial institutions payable of $250 million bearing interest at 4.31 percent, the existing term loan notes provided under the note purchase agreement, and approximately $613 million of variable rate term and revolving loans under a new four-year, $850 million senior secured syndicated credit facility.