Company: SIDU
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024043
Chunk: 89

Company: Sidus Space Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 2
Chunk 89
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    ●
    A decrease of $118,000
    in insurance expense primarily related to a decrease in our D&O insurance rates.

40

Total
other income (expenses)

Other
income and (expenses) showed an increase of other expenses of $189,216 to $676,366 compared to $487,150 in 2024 primarily due to an increase
in interest expense related to our asset-based loan, partially offset by a decrease in interest expense related to the Note Payable,
which was paid off in January 2025.

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 U.S. GAAP) adjusted for interest expense, depreciation and amortization expense, acquisition deal costs,
severance costs, capital market and advisory fees, equity-based compensation and warrant costs. These non-GAAP measures may be different
from non-GAAP measures made by other companies since not all companies will use the same measures. Therefore, these non-GAAP measures
should not be considered in isolation or as a substitute for relevant U.S. GAAP measures and should be read in conjunction with information
presented on a U.S. GAAP basis.

The
following table reconciles adjusted EBITDA to net loss (the most comparable GAAP measure) for the three months ended June 30, 2025 and
2024:

    Three Months Ended  

    June 30,  

    2025  
    2024  
    Change  
    % 
  
    Net Income / (Loss) 
    $(5,625,070) 
    $(4,136,084) 
    $(1,488,986) 
     36%
  
    Interest Expense (i) 
     334,658  
     249,174  
     85,484  
     34%
  
    Depreciation and Amortization (ii) 
     1,132,294  
     605,003  
     527,291  
     87%
  
    Severance Costs 
     27,320