Third Quarter 2023 Financial Results Reported by Sidus Space
Third Quarter 2023 Financial Results Reported by Sidus Space
Gross Profits Down Ten Percent for the Quarter
Financial results for the third quarter of 2023 have been released by Sidus Space. The company also provided a business update for investors.
"We have developed a strong customer base who are ready to start receiving our AI-enhanced space data."
Carol Craig, Sidus Space
According to the report, Revenue totaled $986,000 for the quarter ended September 30, 2023, compared to $1.32 million for the same period in 2022. While total revenue declined period-over-period, primarily due to timing of fixed price milestone contracts, higher margin satellite revenue continued to increase. For the nine months ended September 30, 2023 sales of $4.6 million were down approximately $344,000 versus prior year however, satellite related revenue increased 135% year-over-year.
Gross profit was a negative $96,281 or negative 10%, for the quarter ended September 30, 2023, compared to negative $85,623 or negative 7% for the third quarter of 2022. For the nine months ended September 30, 2023 gross margin was 28% versus 25% for the same period last year with 5% higher gross profit on 7% lower sales. This reflects the impact of the increase in our higher margin satellite revenue.
Post quarter end, on October 11, 2023, the Company executed a registered direct offering of Series A convertible preferred stock and a concurrent private placement of warrants. Gross proceeds from the offering were approximately $2 million.
Carol Craig, Founder and CEO of Sidus, said the company is moving towards the launch of its flagship LizzieSat next year, hitting critical key milestones as well as signing key revenue-generating contracts with customers. "We have developed a strong customer base who are ready to start receiving our AI-enhanced space data, that we believe will be transformative for both Sidus and the industry more broadly," Craig said. "As we get closer to initiating these launches, we continue to develop our high-margin revenue streams that focus on the sale of both data and payloads on these missions. We believe this will drive both revenue and profit margin over time, as well as value for our shareholders.”
Operational Highlights for the Quarter Ending September 30, 2023
Secured position on SpaceX Bandwagon mission, expected to launch in 2024.
Announced contract with HEO for Non-Earth imaging payload and data-services.
Acquired Exo-Space, a cutting-edge firm specializing in Edge Artificial Intelligence software and hardware for space applications.
Announced hosting of SOLAR MEMS star tracker on fourth planned LizzieSat mission.
Awarded subcontract to produce hardware in support of Parsons Corporation’s Launch Manifest Systems Integration (LMSI) contract.
Appointed Leonardo Riera to Board Chair, promoted Jared Novick to Chief Operating Officer, and appointed Jessica Curry as Senior Vice President of Supply Chain.
Subsequent Events
Successfully completed environmental testing of AI-enhanced LizzieSat satellite.
Announced commercial agreement to sell the data collected from LizzieSat satellites.
Awarded five-year, $10 million ceiling (IDIQ) commercial contract to support commercial Lunar transportation.