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CAPE CANAVERAL, Fla. - Sidus Space (NASDAQ:SIDU), a space technology company with a market capitalization of $35.6 million and trailing twelve-month revenue of $4.19 million, has been awarded a five-year Indefinite Delivery/Indefinite Quantity (IDIQ) contract under the Tobyhanna Army Depot (TYAD) Industrial Multiple Award Task Order Contract program, according to a press release statement issued by the company. InvestingPro analysis shows the company currently trades above its Fair Value.
The contract, which has a ceiling value of $21 million over five years, enables the space and defense technology company to provide fabrication and on-call services for critical components used in TYAD’s operations. These components include electrical harnesses, cable assemblies, mechanical components and assemblies, and welding services. According to InvestingPro data, the company operates with challenging financials, including a negative gross profit margin of -80.29% and a current ratio of 0.76, indicating potential operational challenges.
Individual task orders under the contract will be capped at $750,000 and will be issued competitively based on price, past performance, and delivery schedule. Awards will be made on a best value basis.
The TYAD contract is designed to help the Army depot manage workload fluctuations driven by funding timelines, staffing constraints, and supply chain challenges through surge contracting.
Under the terms of the agreement, Sidus Space will provide personnel, equipment, materials, and engineering expertise to fabricate components according to government specifications and drawing packages.
Carol Craig, Founder and CEO of Sidus Space, said the award "underscores Sidus Space’s ability to meet the rigorous demands of defense-grade manufacturing with precision, agility, and reliability."
Sidus Space operates a 35,000-square-foot manufacturing facility on Florida’s Space Coast, where it produces satellite technology and other space and defense hardware.
In other recent news, Sidus Space has successfully closed its public offering of 9.8 million shares of Class A common stock, generating approximately $9.8 million in gross proceeds. The shares were priced at $1.00 each, and the offering was conducted on a best-efforts basis with ThinkEquity serving as the sole placement agent. The company intends to use the net proceeds for working capital and general corporate purposes. Additionally, Sidus Space has announced the appointment of Lawrence Hollister as the new Chief Business Officer. Hollister, who comes from Anduril Industries, is tasked with expanding sales channels and accelerating revenue growth. These developments mark a period of strategic changes for Sidus Space as it looks to strengthen its market presence.
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