Maxar posts loss in Q1, a period with a major satellite malfunction

WESTMINSTER — Maxar Technologies Inc. (NYSE: MAXR) reported a $59 million loss for the first quarter of fiscal year 2019 after posting a $15 million profit during the same period last year.

That loss was $0.99 per share compared to earnings per share of $0.26 in the first quarter of 2018.

Revenues for the most recent quarter were $504 million, down from $557 million during the same quarter of last fiscal year.

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“We remain focused on our near-term priorities to position Maxar for sustained top and bottom-line growth,” Maxar CEO Dan Jablonsky said in a prepared statement. “We are working on reducing debt and leverage levels, re-engineering the satellite business based out of Palo Alto, positioning our imagery, services, and MDA businesses for long-term growth, and creating a leaner, more agile organization with a reduced cost structure.”

In January Maxar’s WorldView-4 satellite malfunctioned, resulting in millions of dollars in lost revenue.

“After the quarter end, our insurance carriers accepted the company’s $183 million claim for loss arising from the WorldView-4 satellite on-orbit failure, and we have collected $154 million in proceeds,” according to Maxar chief financial officer Biggs Porter. “We expect a full recovery of the remaining balance by the end of the second quarter.”

Maxar, which includes DigitalGlobe, has operations in Longmont.