Sidus Space — Second Quarter 2026 Earnings Summary

Financial Performance

• Revenue for the quarter ended June 30, 2026, was $583,000, a 54% decrease from $1.3 million in Q2 2025, driven by the timing of fixed-price milestone contracts.
• Cost of revenue was $1.2 million, a 47% decrease from $2.3 million in Q2 2025, reflecting lower contract activity and reduced satellite and software depreciation.
• Gross loss was $630,000, a 39% improvement from a gross loss of $1.0 million in Q2 2025.
• Selling, general and administrative (SG&A) expenses were $5.1 million, a 19% increase from $4.3 million in Q2 2025.
• Adjusted EBITDA (Non-GAAP) was a loss of $5.1 million, compared to a $3.9 million loss in Q2 2025.
• Net loss was $4.8 million, an improvement of $844,000 (15%) compared to Q2 2025.
• Cash position was $166.5 million as of June 30, 2026, with no outstanding term debt.
• Total assets increased to $194.8 million as of June 30, 2026, from $66.1 million as of December 31, 2025.
• Total liabilities decreased to $6.0 million as of June 30, 2026, from $15.5 million as of December 31, 2025.
• Stockholders' equity increased to $188.8 million as of June 30, 2026, from $50.6 million as of December 31, 2025.
• Net cash used in operating activities for the six months ended June 30, 2026, was $9.1 million, compared to $7.8 million in the same period in 2025.
• Net cash provided by financing activities for the six months ended June 30, 2026, was $139.8 million, compared to $0.1 million in the same period in 2025.

Business Segments and Product Lines

• Successfully completed vibration testing on the next LizzieSat spacecraft at Element U.S. Space & Defense's Orlando, Florida facility.
• Integrated the proprietary Fortis VPX digital mission computing platform onto the next LizzieSat spacecraft.
• Fortis VPX – Maxima features a quad-core ARM processor, reconfigurable FPGA, integrated NVIDIA edge AI/ML engine, and an assured positioning, navigation, and timing (A-PNT) suite to enable on-board AI inference and autonomous decision-making.
• The company is advancing its transition from technology development to commercialization across defense, intelligence, and commercial markets.

Other Key Points

• Closed a best-efforts registered direct offering on May 29, 2026, of 19,685,039 shares of Class A common stock (or pre-funded warrants) at $5.08 per share, generating approximately $100 million in gross proceeds before fees.
• Announced expected inclusion in the Russell 2000, Russell 3000, and Russell Microcap Indexes effective after market close on June 26, 2026.
• Issued a Letter to Shareholders on July 21, 2026, detailing the company's transition strategy and capital position.
• Appointed Alan Khalili as Chief Financial Officer effective July 27, 2026.
• Repaid the asset-based loan in January 2026.
• Incurred lower depreciation expense following a satellite impairment write-off in Q4 2025.
• Stock-based compensation for the quarter reflected a net reversal due to forfeitures of previously granted stock options.
• Costs directly attributable to the April 2026 and May 2026 registered direct offerings were recorded as a reduction of additional paid-in capital rather than as an expense.