Sidus Space Reports Second Quarter 2022 Results and Business Update

Revenue Increased 695% in Second Quarter 2022 from Second Quarter 2021

CAPE CANAVERAL, Fla.–(Sidus Space PR)– Sidus Space, Inc. (NASDAQ:SIDU), a Space-as-a-Service satellite company focused on commercial satellite design, manufacture, launch, and data collection, today announced financial results for the second quarter ended June 30, 2022 and provided company business updates.

Q2 2022 Financial Highlights

  • 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 increase 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.
  • 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.

Capital Structure

  • 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.

Operational Highlights

The Company continues to take meaningful steps toward the inaugural launch of its LizzieSatTM Constellation:

  • The Company announced that it has selected AWS to provide cloud storage of mission critical operation and customer data.
  • In June, the Company conducted its Lizzie Sat Phase I Safety Review with NASA.
  • The Company has selected L3Harris Technologies InControl™ software for command and control and mission planning for LizzieSat™ Constellation.
  • Subsequent to the close of the quarter, the Company was informed by NASA that its launch date has been moved to Q1 2023. There is no expected impact to production or 2022 revenue as a result of this change.

The Company continues to build key relationships with customers in its mission-critical hardware manufacturing business:

  • The Company increased its scope of work with Teledyne Marine, whereby Sidus Space will now manufacture components for Teledyne Marine’s Massachusetts facility in addition to continuing to supply components to Teledyne Marine’s facilities in Texas and Florida, which should increase Sidus’ overall Teledyne revenue.
  • Sidus has completed the fabrication of the first set of hardware in support of NASA’s Artemis Program and their Space Launch System (SLS) Manned Vehicle. Sidus is responsible for the build, qualification, and testing of Umbilical Quick Disconnects for the Environmental Control System (ECS) on the Universal Stage Adapter (USA) for NASA’s Space Launch System (SLS).
  • Sidus is a partner on the team that won a $3.5 billion contract for the Exploration Extravehicular Activity Services, or xEVAS Program, which the team will, among other responsibilities, design, develop, and produce an integrated Extravehicular Activity (EVA) capability that includes a new Spacesuit and ancillary hardware.

Carol Craig, Founder and CEO of Sidus Space, said, “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. 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 LizzieSatTM, with the successful completion of a Phase I Safety Review and key partner selections. 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.”

About Sidus Space

Sidus Space, located in Cape Canaveral, Florida, operates from a 35,000-square-foot manufacturing, assembly, integration, and testing facility focused on commercial satellite design, manufacture, launch, and data collection. The company’s rich heritage includes the design and manufacture of many flight and ground component parts and systems for various space-related customers and programs. Sidus Space has a broad range of Space-As-a-Service offerings including space-rated hardware manufacturing, design engineering, satellite manufacturing and platform development, launch and support services, data analytics services and satellite constellation management.

Sidus Space has a mission of Bringing Space Down to Earth™ and a vision of enabling space flight heritage status for new technologies while delivering data and predictive analytics to domestic and global customers. Any corporation, industry, or vertical can start their journey off-planet with Sidus Space’s rapidly scalable, low-cost satellite services, space-based solutions, and testing alternatives. More than just a “Satellite-as-a-Service” provider, Sidus Space is a trusted Mission Partner–from concept to Low Earth Orbit and beyond. Sidus is ISO 9001:2015, AS9100 Rev. D certified, and ITAR registered.


   June 30, 2022 December 31, 2021
Current assets    
Accounts receivable 1,148,062 130,856
Accounts receivable – related parties 366,238 443,282
Inventory 284,385 127,502
Contract asset 60,932 
Prepaid and other current assets 2,293,248 1,595,099
Total current assets 10,921,183 16,007,584
Property and equipment, net 1,462,473 775,070
Operating lease right-of-use assets 378,917 504,811
Other 19,761 12,486
Total Assets $12,782,334 $17,299,951
Liabilities and Stockholders’ Equity    
Current Liabilities    
Accounts payable and other current liabilities$1,992,035$1,845,460
Accounts payable and accrued interest – related party 549,171 588,797
Contract liabilities 60,932 
Contract liabilities- related party  63,411
Notes payable – related party  1,000,000
Operating lease liability 259,813 261,674
Finance lease liability  50,927
Total Current Liabilities 2,861,951 3,810,269
Notes payable – non-current 1,079,021 1,120,051
Notes payable – related party – non-current  1,350,000
Operating lease liability – non-current 135,725 262,468
Finance lease liability – non-current  97,092
Total Liabilities 4,076,697 6,639,880
Commitments and contingencies  
Stockholders’ Equity    
Preferred Stock: 5,000,000 shares authorized; $0.0001 par value; no shares issued and outstanding  
Common stock: 110,000,000 authorized; $0.0001 par value    
Class A common stock: 100,000,000 shares authorized; 6,874,040 and 6,574,040 shares issued and outstanding, respectively 687 657
Class B common stock: 10,000,000 shares authorized; 10,000,000 shares issued and outstanding 1,000 1,000
Common stock value 1,000 1,000
Additional paid-in capital 28,908,017 26,074,292
Accumulated deficit (20,204,067) (15,415,878)
Total Stockholders’ Equity 8,705,637 10,660,071
Total Liabilities and Stockholders’ Equity$12,782,334$17,299,951


  Three Months Ended June 30, 2022  Three Months Ended June 30, 2021   Six Months Ended June 30, 2022   Six Months Ended June 30, 2021
Revenue $1,479,092 $177,794 $2,839,480 $289,641
Revenue – related parties  368,271  54,524  807,218  95,813
Total – revenue  1,847,363  232,318  3,646,698  385,454
Cost of revenue  1,500,599  288,464  2,321,597  576,140
Gross profit (loss)  346,764  (56,146)  1,325,101  (190,686)
Operating expenses            
Payroll expenses  1,391,451  222,490  2,142,649  442,862
Sales and marketing expenses  112,153  23,382  202,614  71,111
Lease expense  86,352  46,353  171,351  84,008
Depreciation expense  47,505  8,014  68,596  15,598
Professional fees  131,922  19,902  1,454,214  30,493
General and administrative expense  976,796  97,981  1,949,538  159,224
Total operating expenses  2,746,179  418,122  5,988,962  803,296
Net loss from operations  (2,399,415)  (474,268)  (4,663,861)  (993,982)
Other income (expense)            
Other expense    (74)    (504)
Interest expense  (58,420)  (23,048)  (124,328)  (26,693)
Gain on forgiveness of PPP loan        324,460
Total other income (expense)  (58,420)  (23,122)  (124,328)  297,263
Loss before income taxes  (2,457,835)  (497,390)  (4,788,189)  (696,719)
Provision for income taxes        
Net loss $(2,457,835) $(497,390) $(4,788,189) $(696,719)
Basic and diluted loss per Common Share $(0.15) $(0.05) $(0.29) $(0.07)
Basic and diluted weighted average number of common shares outstanding  16,874,040  10,000,000  16,738,128  10,000,000


   Six Months Ended June 30, 2022   Six Months Ended June 30, 2021
Cash Flows From Operating Activities:      
Net loss $(4,788,189) $$(696,719)
Adjustments to reconcile net loss to net cash used in operating activities:      
Stock based compensation  1,209,000  
Depreciation and amortization  171,117  195,700
Lease liability amortization  (2,710)  10,718
Gain on forgiveness of PPP loan    (324,460)
Changes in operating assets and liabilities:      
Accounts receivable  (1,017,206)  (31,762)
Accounts receivable – related party  77,044  175,769
Inventory  (156,883)  124,101
Contract asset  (60,933)  
Prepaid expenses and other assets  (705,423)  8,261
Accounts payable and accrued liabilities  239,545  (17,279)
Accounts payable and accrued liabilities – related party  32,634  224,905
Contract liabilities  (2,479)  
Net Cash used in Operating Activities  (5,004,483)  (330,766)
Cash Flows From Investing Activities:      
Purchase of property and equipment  (858,520)  (30,266)
Net Cash used in Investing Activities  (858,520)  (30,266)
Cash Flows From Financing Activities:      
Bank overdraft    56,071
Due to shareholder    89,872
Proceeds from notes payable    307,610
Repayment of notes payable  (134,000)  (16,266)
Payment of lease liabilities  (148,019)  (49,952)
Repayment of notes payable – related party  (797,505)  
Net Cash provided by (used in) Financing Activities  (1,079,524)  387,335
Net change in cash  (6,942,527)  26,303
Cash, beginning of period  13,710,845  20,162
Cash, end of period $6,768,318 $46,465
Supplemental cash flow information      
Cash paid for interest $1,949 $4,754
Cash paid for taxes $ $
Non-cash Investing and Financing transactions:      
Debt forgiveness $1,624,755 $

Forward-Looking Statements

Statements in this press release about future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute ‘forward-looking statements’ within the meaning of The Private Securities Litigation Reform Act of 1995. The words ‘anticipate,’ ‘believe,’ ‘continue,’ ‘could,’ ‘estimate,’ ‘expect,’ ‘intend,’ ‘may,’ ‘plan,’ ‘potential,’ ‘predict,’ ‘project,’ ‘should,’ ‘target,’ ‘will,’ ‘would’ and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: the uncertainties related to market conditions and other factors discussed in Sidus Space’s Annual Report on Form 10-K for the year ended December 31, 2021, and other periodic reports filed with the Securities and Exchange Commission. Any forward-looking statements contained in this press release speak only as of the date hereof, and Sidus Space, Inc. specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.