Revenue Growth Reported in Sidus Space Q2 2022 Results
Sidus Space announced financial results for the second quarter ended June 30, 2022 showing revenue growth over the same period last year.
"There is a significant opportunity ahead of us and our comprehensive vertically-integrated offerings position us well to capture a significant portion of the overall total addressable market of the Space ecosystem."
Carol Craig, Founder and CEO of Sidus Space.
According to the report, revenue increased to $1.85 million for the three months ended June 30, 2022 from $232,000 in the comparable period of 2021, an increase of 695%. This revenue growth is primarily attributed to increased customer confidence as a result of previous deliveries and increased contract flow driven by sales efforts from an expanded sales team.
Other highlights of the report include:
Gross Profit increased to $347,000 for the three months ended June 30, 2022 from a loss of $56,000 in the comparable period of 2021, attributable to an increase in revenue, a decrease in labor intensive contracts and an increase in our higher margin Satellite-as-a-Service business line.
Operating Expenses increased to $2.7 million for the three months ended June 30, 2022 compared to $418,000 for the three months ended June 30, 2021, resulting from expansion of our staff and facilities, as well as increased insurance, investor relations, legal and accounting fees that are associated with being a publicly traded company.
During the quarter, the Company’s principal shareholder forgave approximately $1.624 million of debt, consisting of the entire unpaid principal amount and accrued interest owed by the Company to the shareholder.
As of June 30, 2022, the Company had $6.8 million in cash. On August 10, 2022, to supplement the Company’s cash position and enable the Company’s growth, the Company entered into a Common Stock Purchase Agreement that will enable the Company to raise up to $30 million of additional equity as funding needs arise.
The company also reported that it continues to take meaningful steps toward the inaugural launch of its LizzieSat Constellation, and continues to build key relationships with customers in its mission-critical hardware manufacturing business.
“In the second quarter, we continued to win contracts, customers and purchase orders while expanding existing partnerships, marking significant progress implementing our Space-as-a-Service strategy. Our manufacturing division continues to expand relationships throughout the industry, with Teledyne being just one example of how we have become an integral supplier to many space hardware manufacturers," said Carol Craig, Founder and CEO of Sidus Space. "We continue to secure new design and production opportunities, with recent successes including a role on one of the teams that won NASA’s Exploration Extravehicular Activity (xEVAS) services contract, which includes the design, development, production, and hardware processing for a new spacesuit and ancillary hardware tools.
"At the same time, we are making progress in preparing for the launch of LizzieSat, with the successful completion of a Phase I Safety Review and key partner selections,’ Craig said. "There is a significant opportunity ahead of us and our comprehensive vertically-integrated offerings position us well to capture a significant portion of the overall total addressable market of the Space ecosystem. We are excited about what lies ahead for Sidus and I am proud of our team’s ability to meet the rapidly evolving needs for commercial space capabilities. We are confident we are taking the necessary steps on our path toward profitability and creating value for our shareholders.”
(Source: Sidus Space news release)