Company: SIDU
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001742
Chunk: 1249

Company: Sidus Space Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 1249
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 if our launch partners’ vehicles were to be involved in a public incident, accident or catastrophe, we could
be exposed to significant reputational harm or potential legal liability. Any reputational harm to our business could cause customers
with existing contracts with us to cancel their contracts and could significantly impact our ability to make future sales. The insurance
we carry may be inapplicable or inadequate to cover any such incident, accident or catastrophe. In the event that our insurance is inapplicable
or not adequate, we may be forced to bear substantial losses from an incident or accident.

If
we are unable to maintain relationships with our existing launch partners or enter into relationships with new launch partners, we may
be unable to reach our targeted annual launch rate, which could have an adverse effect on our ability to grow our business.

We
do not own or operate our own launch vehicles. We rely on third party launch partners to launch our and our customers’ satellites.
We may in the future experience delays in our efforts to secure additional launch partners. Challenges as a result of regulatory processes
or in the ability of our partners to secure the necessary permissions to establish launch sites could delay our ability to achieve our
target cadence and could adversely affect our business.

We
are dependent on third-party launch vehicles to deliver our systems, products, and technologies into space. If the number of companies
offering launch services or the number of launches does not grow in the future or there is a consolidation among companies who offer
these services, this could result in a shortage of space on these launch vehicles, which may cause delays in our ability to meet our
customers’ needs. Additionally, a shortage of space available on launch vehicles may cause prices to increase or cause delays in
our ability to meet our customers’ needs. Either of these situations could have a material adverse effect on our results of operations
and financial condition.

Further,
if a launch is delayed, our timing for recognition of revenue may be impacted depending on the length of the delay and the nature of
the contract with the customers with technologies on such delayed flight. Such a delay in recognizing revenue could materially impact
our financial statements or result in negative impacts to our earnings during a specified time period, which could have a material effect
on our results of operations and financial condition.

We
rely on a limited number of suppliers for certain raw materials and supplied components. We may not be able to obtain sufficient raw
materials or supplied components to meet our manufacturing and operating needs, or obtain such materials on