MDA posts higher profit despite stronger dollar

TORONTO (Reuters) - Data-processing and space technology firm MacDonald, Dettwiler and Associates Ltd (MDA.TO: Quote) reported a higher first-quarter profit on Monday, even as a stronger Canadian dollar ate into the company's results.

The company, which recently saw the planned sale of its space robotics and satellite technology business blocked by the Canadian government, said it earned C$26.1 million ($26.1 million), or 64 Canadian cents per share, in the three months ended March. 31.

That was better than the profit of C$21.3 million, or 49 Canadian cents a share, in the same period a year earlier.

MDA said revenue fell to C$290.4 million from C$306.2 million.

However, it said if average foreign exchange rates had stayed unchanged from a year earlier, revenue would have been C$316 million and earnings per share would have been 70 Canadian cents.

Last week, the Canadian government confirmed it would block the proposed $1.33 billion sale of MDA's satellite technology business to U.S. rocket-maker Alliant Techsystems Inc (ATK.N: Quote).

Canada had first halted the deal a month ago -- in part because it feared it might lose control over top-secret satellite images -- but gave Alliant a month to appeal.

It was the first time Ottawa has prevented the sale of a domestic company to a foreign buyer.

Critics of the deal feared Canada would undermine its ability to protect itself by handing over the high-tech Radarsat 2 satellite to a foreign firm.