Ottawa, ON, May 23, 2018 — Today, Calian Group Ltd. (TSX: CGY) announced that its Systems Engineering Division (SED), a global supplier of communication systems solutions and products, has recently received a multi-million contract for the provision and installation of satellite RF ground systems. The signing includes several RF ground systems some of which incorporate advanced technologies. This project is expected to begin immediately and runs into fiscal 2021.
“This contract is expected to generate approximately 10% to 15% of current levels of consolidated revenues in each of fiscal 2019 and fiscal 2020, which represents a material contract for Calian”, stated Jacqueline Gauthier, Chief Financial Officer. “Based on the significance of the non-labour portion of this contract we expect the net contribution to be lower than the traditional SED business. Regardless, this signing secures a significant portion of SED’s revenue stream over the next few years”, continued Gauthier.
“This is an excellent signing for SED”, said Patrick Thera President of SED, “We have been investing in new technologies to support advanced satellite ground systems in anticipation of the emergence of ground systems opportunities in need of these technologies. We are very pleased to see that we are now in a position to capitalize on these investments.” Commercial advanced technologies are just starting to emerge in the industry, which enable satellite operators to add increased bandwidth and throughput to their network offerings. Thera continues, “This new work helps to establish us as a front-runner in ground system offerings”.