Company: SIDU
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001742
Chunk: 667

Company: Sidus Space Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 5
Chunk 667
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 of its fixed
price or time and materials contracts as performance obligations satisfied over times, due to the Company’s enforceable right to
collect based on services provided through any applicable date of termination. Amounts recognized as revenue over time due to this, but
in which the Company does not yet have the right to invoice for due to contractual arrangements are reflected as contract assets until
such time as they are invoiced, and the Company has the right to receive payment.

Cost of revenue

Costs are recognized when incurred. Cost of revenue
consists of direct labor, subcontract, materials, depreciation on machinery and equipment, and other direct costs.

Net Income (Loss) Per Share of Common Stock

The Company has adopted ASC Topic 260, “Earnings
per Share” which requires presentation of basic earnings per share on the face of the statements of operations for all
entities with complex capital structures and requires a reconciliation of the numerator and denominator of the basic earnings per share
computation. In the accompanying financial statements, basic loss per share is computed by dividing net loss by the weighted average
number of shares of common stock outstanding during the year. Diluted earnings per share is computed by dividing net income by the weighted
average number of shares of common stock and potentially dilutive outstanding shares of common stock during the period to reflect the
potential dilution that could occur from common stock issuable through contingent share arrangements, stock options and warrants unless
the result would be antidilutive.

For the years ended December 31, 2024 and 2023, the
following common stock equivalents were excluded from the computation of diluted net loss per share as the result of the computation
was anti-dilutive.

 Schedule
of Diluted Net Loss Per Share

    December 31,  
    December 31, 

    2024  
    2023 

    (Shares)  
    (Shares) 
  
    Warrants excluding pre-funded warrant 
     5,402,306  
     233,818 
  
    Series A convertible preferred stock 
     -  
     283,512 
  
    Total
    common stock equivalents 
     5,402,306  
     517,330 

     F-11 

Leases

We determine if an arrangement is a lease at inception.
Operating leases are included in operating lease right-of-use (“ROU”) assets, operating lease liabilities - current, and
operating lease