Welcome to the Sidus Space Second Quarter 2022 Results. All participants will be in listen-only mode. Please note this event is being recorded. I would now like to turn the conference over to Carol Craig, Chief Executive Officer of Sidus Space. Please go ahead.

Good morning and thank you for joining us. My name is Carol Craig and I am the Chief Executive Officer of Sidus Space. With me today is Teresa Burchfield, our Chief Financial Officer. On this call I will provide highlights on the quarter and give a strategic update on the business. Teresa will review the company's second quarter financial results for 2022. But before we begin, let me refer you to Slide 2 of the presentation, which contains our Safe Harbor disclaimer. During today's call, we may make certain forward-looking statements. These statements are based on current expectations and assumptions and as a result are subject to risks and uncertainties. Many factors could cause actual results to differ materially from the forward-looking statements made on this call. These factors include our ability to estimate operational expenses and liquidity needs, customer demand, supply chain delays, including launch providers and extended sales cycles. For more information about these risks and uncertainties, please refer to the risk factors in the company's filings with the Securities and Exchange Commission, each of which can be found on our website, www.sidusspace.com. Listeners are cautioned not to put any undue reliance on forward-looking statements and the company specifically disclaims any obligation to update the forward-looking statements that may be discussed during this call. So thank you all for joining us and welcome to our inaugural earnings call to discuss Sidus' overall strategy and roadmap along with Q2 and year-to-date key business accomplishments and results. I know many of you may be new to our story, so I think it was important that I provide some background on who we are and what our goals are as we rapidly scale up our business. Sidus Space has been in business for over 10 years, supporting both government and commercial…

Thanks, Carol. We continue to be pleased with the trajectory of our business and the progress towards launching our satellites, which we expect to result in increased revenues and margins over time, despite the challenging supply chain and cost backdrop of today’s landscape. Looking at our results, as of the end of June, on Slide 12, you can see our second quarter sales at approximately $1,850,000 were in line with Q1 and up almost 700% versus second quarter 2021. Sales continue to be primarily driven through the space hardware manufacturing side of the business, along with the slightly lower amount of satellite-related revenue this quarter versus in the first quarter., Gross margin for the quarter at 19% is up 43 percentage points versus last year’s second quarter. Our margins will continue to evolve as revenue continues to grow. Our gross margins will remain choppy when looking at them quarter-to-quarter, depending on the mix of revenue, but will smooth out when looked at over a longer period of time. Our operating expense for the quarter was $2.3 million higher than last year. This increase is primarily to support the growth of our business through the expansion of our staff and facilities, as well as increased insurance, investor relations, legal accounting fees that are all associated with being a publicly traded company. For additional details, please reference our second quarter 10-Q, which was filed with the SEC this morning. We ended the quarter with a net loss of $2.5 million as compared to a loss of approximately $500,000 in Q2 2021. This was expected due to the increased operating expenses associated with being a public company and our expanded sales and engineering operations. Looking at year-to-date numbers, on Slide 13, revenue at $3.6 million is up almost 850% versus last year. And…

Thank you, Teresa, and thank you everyone for joining us on this call and for being an important partner in our mission of bringing space down to earth. We are excited about what lies ahead for Sidus and the space ecosystem as we continue to expand our hardware manufacturing relationships and take key steps towards serving more customers through our vertically integrated satellite production as we prepare to launch Lizzie Sat. We are confident we are taking the necessary steps on our path toward profitability and look forward to keeping you updated as we make additional progress. Thank you very much.

The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.