SIDUS SPACE REPORTS FIRST QUARTER 2026 FINANCIAL RESULTS WITH Q1 YEAR OVER YEAR IMPROVEMENT IN REVENUE AND GROSS MARGIN
Rhea-AI Summary
Sidus Space (NASDAQ: SIDU) reported Q1 2026 results showing higher revenue and improved margins alongside multiple on-orbit milestones.
Revenue was $359,000, up 51% year over year; cost of revenue fell 25% to $1.4 million, reducing gross loss to $1.1 million, a 36% improvement. Net loss was $5.2 million, improving 19%, and adjusted EBITDA loss was $4.6 million. SG&A held flat at $4.4 million. Cash totaled $27.3 million with no term debt. Operationally, the company delivered LizzieSat-3 imagery, advanced payload commissioning, expanded its Lonestar Data Holdings agreement, hit an integration milestone with Maris-Tech (NASDAQ: MTEK), signed an AI hyperspectral MOU with Simera Sense, and finalized its Fortis VPX platform. Post-quarter, Sidus completed a $58.5 million direct offering and announced a CFO transition effective June 1, 2026.
AI-generated analysis. Not financial advice.
Positive
- Q1 2026 revenue rose 51% year over year to $359,000
- Cost of revenue declined 25% to $1.4 million, improving gross margin
- Gross loss narrowed 36% to $1.1 million versus Q1 2025
- Net loss improved 19% to $5.2 million, a $1.2 million reduction
- Adjusted EBITDA loss improved slightly to $4.6 million from $4.7 million
- Cash balance of $27.3 million with no outstanding term debt at March 31, 2026
- $58.5 million best-efforts registered direct offering completed in April 2026
- Integration milestone achieved with Maris-Tech AI edge payload for LizzieSat-4
- Expanded Lonestar Data Holdings agreement for an additional StarVault payload
- Fortis VPX Command and Data Handling platform finalized for LizzieSat-4 and -5
Negative
- Company still generated a gross loss of $1.1 million in Q1 2026
- Q1 2026 net loss remained sizable at $5.2 million
- Adjusted EBITDA stayed negative at a $4.6 million loss
- Selling, general and administrative expenses held at $4.4 million with no reduction
- Upcoming CFO departure effective June 1, 2026 may pose transition risk
News Market Reaction – SIDU
On the day this news was published, SIDU gained 9.56%, reflecting a notable positive market reaction. Argus tracked a peak move of +23.3% during that session. Argus tracked a trough of -2.5% from its starting point during tracking. Our momentum scanner triggered 75 alerts that day, indicating high trading interest and price volatility. This price movement added approximately $30M to the company's valuation, bringing the market cap to $339.62M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
SIDU was down 1.81% with modestly elevated volume while key peers were mixed: CVU, PRZO, and SIF declined, XTIA rose, and KITT was flat. Momentum scanner only flagged PRZO moving up, underscoring stock-specific dynamics for SIDU.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Apr 01 | Full-year 2025 results | Negative | -9.5% | Reported 2025 revenue decline, higher costs, wider net loss despite contract wins. |
| Nov 14 | Q3 2025 earnings | Negative | -17.1% | Q3 2025 showed lower revenue, higher costs, ongoing EBITDA and net losses. |
| Aug 14 | Q2 2025 earnings | Neutral | -3.5% | Q2 2025 delivered revenue growth but a wider net loss from investment spending. |
| May 15 | Q1 2025 earnings | Negative | -10.5% | Q1 2025 featured revenue decline and larger net loss alongside LS-3 launch. |
| Mar 31 | Full-year 2024 results | Negative | -4.0% | 2024 results showed falling revenue, larger losses amid strategic transition. |
Earnings and results updates have consistently been followed by negative price reactions, even when they include operational progress or balance sheet strengthening.
Across the last five earnings-tagged events from Mar 31, 2025 through Apr 1, 2026, Sidus repeatedly reported revenue pressure, rising costs, and widening net losses, alongside launches of LizzieSat satellites, AI initiatives, and expanded Lonestar contracts. Each of these updates, including full-year 2024 and 2025 results and Q1–Q3 2025 quarters, saw shares trade lower within 24 hours. Today’s Q1 2026 report adds year-over-year revenue and margin improvement to that trajectory.
Historical Comparison
In the past year, SIDU released five earnings-related updates, each followed by negative moves averaging -8.93%. The Q1 2026 report continues a pattern where operational milestones coexist with persistent losses.
Earnings releases have traced Sidus’ shift from 2024 to 2025 with revenue contraction, rising costs, and widening losses, offset by LizzieSat launches, AI data initiatives, and growing Lonestar and government contracts.
Regulatory & Risk Context
An effective Form S-3 mixed shelf filed on Jan 20, 2026 permits up to $500,000,000 of securities plus resale shares. It has already supported multiple offerings, including the April 2026 best-efforts deal and an at-the-market program, indicating capacity for additional capital raises.
Market Pulse Summary
The stock moved +9.6% in the session following this news. A strong positive reaction aligns with improving Q1 trends such as a 51% revenue increase and a narrower $5.2M net loss, while cost of revenue fell to $1.4M. Historically, earnings releases saw average moves of -8.93%, so a large upside move would mark a break from past selling. However, the company still reports gross and EBITDA losses and has an effective $500,000,000 shelf that has supported recent equity issuance.
Key Terms
registered direct offering financial
memorandum of understanding (mou) regulatory
AI-generated analysis. Not financial advice.
Demonstrates On-Orbit Execution, Improves Financial Performance, and Advances Flight Ready Technology Portfolio
The Company will host a conference call and webcast today, Thursday, May 14, at 5:00 p.m. Eastern Time.
"During the first quarter, we continued to execute our technical roadmap while maintaining disciplined cost control," said Carol Craig, Founder and Chief Executive Officer of Sidus Space. "We delivered high-resolution imagery from LizzieSat-3, advanced customer payload commissioning, and finalized flight ready configurations for next generation systems planned for LizzieSat-4 and LizzieSat-5. These milestones strengthen our on-orbit heritage and position Sidus to support future missions while remaining focused on responsible capital allocation and operational execution."
Operational Highlights for the Quarter Ending March 31, 2026:
- Delivered initial imagery from HEO
USA's non-Earth imaging camera aboard LizzieSat-3, including sub 5-meter resolution imagery, as part of ongoing payload commissioning and an important step along the path toward initiating subscription-based data service delivery following completion of commissioning - Expanded agreement with Lonestar Data Holdings to build an additional StarVault orbital data storage payload
- Achieved integration milestone with Maris-Tech Ltd. (NASDAQ: MTEK) on its AI-based edge computing payload, scheduled to launch aboard LizzieSat -4
- Signed a Memorandum of Understanding (MOU) with Simera Sense to advance AI-enabled hyperspectral imaging capabilities
- Finalized the Fortis VPX Command and Data Handling platform for integration on to LizzieSat-4 and LizzieSat-5, establishing on-orbit heritage for the Company's next generation spacecraft computing architecture
- Appointed Kelle Wendling, a senior aerospace and defense executive, to the Board of Directors
Subsequent Operational Highlights:
- Completed best-efforts registered direct offering on April 21, 2026, generating gross proceeds of
$58.5 million - Announced planned Chief Financial Officer (CFO) transition subsequent to quarter end: current CFO expected to depart effective June 1, 2026, with John Burke appointed Interim Chief Financial Officer effective the same date while the Company conducts a comprehensive search for a permanent CFO.
Financial Highlights for the First Quarter Ending March 31, 2026:
- Revenue:
$359,000 51% compared to$238,000 - Cost of Revenue:
$1.4 million 25% decrease compared to$1.9 million - Gross Profit (Loss): Gross loss of
$1.1 million 36% improvement from a gross loss of$1.6 million - Selling, General and Administrative Expenses (SG&A) Expenses:
$4.4 million $4.4 million - Adjusted EBITDA (Non-GAAP): Loss of
$4.6 million $4.7million - Net Loss:
$5.2 million $1.2 million 19% , as compared to Q1 2025 Cash Position:$27.3 million
Conference Call and Webcast
Event: Sidus Space First Quarter Financial Results Conference Call
Date: Thursday, May 14, 2026
Time: 5:00 p.m. Eastern Time
Live Call: + 1-866-652-5200 (
Webcast: https://app.webinar.net/3lBO1a4r6ZQ
For interested individuals unable to join the conference call, a dial-in replay of the call will be available until Thursday, May 21, 2026, at 11:59 P.M. ET and can be accessed by dialing +1-855-669-9658 (
About Sidus Space
Sidus Space, Inc. (NASDAQ: SIDU) is an innovative space and defense technology company offering flexible, cost-effective solutions, including satellite manufacturing and technology integration, AI-driven space-based data solutions, mission planning and management operations, AI/ML products and services, and space and defense hardware manufacturing. With its mission of Space Access Reimagined®, Sidus Space is committed to rapid innovation, adaptable and cost-effective solutions, and the optimization of space system and data collection performance. With demonstrated space heritage, including manufacturing and operating its own satellite and sensor system, LizzieSat®, Sidus Space serves government, defense, intelligence, and commercial companies around the globe. Strategically headquartered on
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. These statements include, but are not limited to, statements relating to the expected trading commencement and closing dates. 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 described more fully in the section entitled 'Risk Factors' in Sidus Space's Annual Report on Form 10-K for the year ended December 31, 2025, 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.
Non-GAAP Measures
To provide investors with additional information in connection with our results as determined in accordance with GAAP, we use non-GAAP measures of adjusted EBITDA. We use adjusted EBITDA in order to evaluate our operating performance and make strategic decisions regarding future direction of the company since it provides a meaningful comparison to our peers using similar measures. We define adjusted EBITDA as net income (as determined by
The following table reconciles adjusted EBITDA to net loss (the most comparable GAAP measure) for the three months ended March 31, 2026 and 2025:
Three Months Ended | ||||||||||||||||
March 31, | ||||||||||||||||
2026 | 2025 | Change | % | |||||||||||||
Net Income / (Loss) | $ | (5,211,607) | $ | (6,414,627) | $ | 1,203,020 | (19) | % | ||||||||
Interest Income/Expense (i) | (258,102) | 341,707 | (599,809) | (176) | % | |||||||||||
Depreciation & Amortization(ii) | 611,606 | 934,674 | (323,068) | (35) | % | |||||||||||
Capital Raise expense (iii) | - | 5,480 | (5,480) | (100) | % | |||||||||||
Severance Costs | 16,042 | 206,100 | (190,058) | (92) | % | |||||||||||
Equity based compensation (iv) | 215,127 | 252,243 | (37,116) | (15) | % | |||||||||||
Total Non-GAAP Adjustments | 584,673 | 1,740,204 | (1,155,531) | (66) | % | |||||||||||
Adjusted EBITDA | (4,626,934) | (4,674,423) | 47,488 | (1) | % | |||||||||||
(i) | Sidus Space incurred lower net interest expense following the repayment of the asset-based loan in January 2026 and increased interest income from cash holdings. |
(ii) | Sidus Space incurred lower depreciation expense following the satellite impairment write-off in Q4 2025. |
(iii) | Sidus Space did not incur internal fundraising expense related to capital raises. |
(iv) | Sidus Space issued stock-based compensation for employee and Board services rendered. |
SIDUS SPACE, INC. CONSOLIDATED BALANCE SHEETS (UNAUDITED)
| |||||
March 31, | December 31, | ||||
2026 | 2025 | ||||
Assets | |||||
Current assets | |||||
Cash | $ | 27,349,756 | $ | 43,175,996 | |
Accounts receivable | 215,916 | 272,831 | |||
Accounts receivable - related parties | 1,254,447 | 1,727,939 | |||
Contract asset | 81,241 | 322,773 | |||
Contract asset - related party | 119,306 | 209,673 | |||
Prepaid and other current assets | 4,137,358 | 4,979,378 | |||
Total current assets | 33,158,024 | 50,688,590 | |||
Property and equipment, net | 17,260,377 | 14,184,379 | |||
Operating lease right-of-use assets | 635,143 | 702,856 | |||
Intangible asset | 398,135 | 398,135 | |||
Other assets | 141,366 | 116,751 | |||
Total Assets | $ | 51,593,045 | $ | 66,090,711 | |
Liabilities and Stockholders' Equity | |||||
Current liabilities | |||||
Accounts payable and other current liabilities | $ | 3,352,995 | $ | 5,472,464 | |
Accounts payable and accrued interest - related party | 50,240 | 876,007 | |||
Contract liability | 161,299 | 186,537 | |||
Contract liability - related party | 28,292 | - | |||
Asset-based loan liability | - | 8,212,186 | |||
Operating lease liability | 280,324 | 273,545 | |||
Total current liabilities | 3,873,150 | 15,020,739 | |||
Operating lease liability - non-current | 362,510 | 434,695 | |||
Total Liabilities | 4,235,660 | 15,455,434 | |||
Commitments and contingencies | - | - | |||
Stockholders' Equity | |||||
Preferred Stock: 5,000,000 shares authorized; | |||||
Series A convertible preferred stock: 2,000 shares authorized; 0 shares issued and outstanding | - | - | |||
Common stock: 210,000,000 authorized; | |||||
Class A common stock: 200,000,000 shares authorized; 66,419,851 and 65,324,055 shares issued and outstanding, respectively | 6,642 | 6,532 | |||
Class B common stock: 10,000,000 shares authorized; 100,000 shares issued and outstanding | 10 | 10 | |||
Additional paid-in capital | 142,389,868 | 140,456,263 | |||
Accumulated deficit | (95,039,135) | (89,827,528) | |||
Total Stockholders' Equity | 47,357,385 | 50,635,277 | |||
Total Liabilities and Stockholders' Equity | $ | 51,593,045 | $ | 66,090,711 | |
SIDUS SPACE, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
| |||||
Three Months Ended | |||||
March 31, | |||||
2026 | 2025 | ||||
Revenue | $ | 250,155 | $ | 160,704 | |
Revenue - related parties | 109,217 | 77,790 | |||
Total - revenue | 359,372 | 238,494 | |||
Cost of revenue | 1,409,445 | 1,866,972 | |||
Gross loss | (1,050,073) | (1,628,478) | |||
Operating expenses | |||||
Selling, general and administrative | 4,419,637 | 4,444,442 | |||
Total operating expenses | 4,419,637 | 4,444,442 | |||
Net loss from operations | (5,469,710) | (6,072,920) | |||
Other income (expense) | |||||
Other income | 81,846 | 100,000 | |||
Interest expense | (879) | (75,407) | |||
Interest income | 195,613 | 66,345 | |||
Asset-based loan expense | (18,477) | (432,645) | |||
Total other income (expense) | 258,103 | (341,707) | |||
Loss before income taxes | (5,211,607) | (6,414,627) | |||
Provision for income taxes | - | - | |||
Net loss | (5,211,607) | (6,414,627) | |||
Dividend on Series A preferred Stock | - | - | |||
Net loss attributed to stockholders | $ | (5,211,607) | $ | (6,414,627) | |
Basic and diluted loss per common share | $ | (0.08) | $ | (0.35) | |
Basic and diluted weighted average number of common shares outstanding | 66,583,190 | 18,228,267 | |||
SIDUS SPACE, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
| ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2026 | 2025 | |||||||
Cash Flows From Operating Activities: | ||||||||
Net loss | $ | (5,211,607) | $ | (6,414,627) | ||||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Stock based compensation | 215,127 | 252,244 | ||||||
Depreciation and amortization | 611,606 | 934,673 | ||||||
Non-cash fees on asset-based loan | - | 20,243 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable | 56,915 | 366,047 | ||||||
Accounts receivable - related party | 473,492 | (6,566) | ||||||
Inventory | - | 112,744 | ||||||
Contract asset | 241,532 | 9,332 | ||||||
Contract asset - related party | 90,367 | - | ||||||
Prepaid expenses and other assets | 817,405 | 1,258,675 | ||||||
Accounts payable and accrued liabilities | (2,119,469) | 255,041 | ||||||
Accounts payable and accrued liabilities - related party | (825,767) | 21,172 | ||||||
Contract liability | (25,238) | (16,192) | ||||||
Contract liability - related party | 28,292 | - | ||||||
Changes in operating lease assets and liabilities | 2,307 | 1 | ||||||
Net Cash used in Operating Activities | (5,645,038) | (3,207,213) | ||||||
Cash Flows From Investing Activities: | ||||||||
Purchase of property and equipment | (3,687,604) | (2,978,308) | ||||||
Net Cash used in Investing Activities | (3,687,604) | (2,978,308) | ||||||
Cash Flows From Financing Activities: | ||||||||
Proceeds from issuance of common stock units | - | 2,381,247 | ||||||
Proceeds from exercise of warrants | 1,718,588 | - | ||||||
Proceeds from asset-based loan agreement | - | 3,289,744 | ||||||
Repayment of asset-based loan agreement | (8,212,186) | (417,981) | ||||||
Repayment of notes payable | - | (3,059,767) | ||||||
Net Cash provided by (used in) Financing Activities | (6,493,598) | 2,193,243 | ||||||
Net change in cash | (15,826,240) | (3,992,278) | ||||||
Cash, beginning of period | 43,175,996 | 15,703,579 | ||||||
Cash, end of period | $ | 27,349,756 | $ | 11,711,301 | ||||
Supplemental cash flow information | ||||||||
Cash paid for interest | $ | 28,626 | $ | 5,462 | ||||
Cash paid for taxes | $ | - | $ | - | ||||
Contacts:
Investor Relations
investor-relations@sidusspace.com
Media Inquiries
press@sidusspace.com
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SOURCE Sidus Space, Inc.