Company: SIDU
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001742
Chunk: 135

Company: Sidus Space Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 135
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 amount of revenue recognized,
                                            including contracts that include an enforceable right to payment for performance or other
                                            contractual restrictions.

Given
these factors, the related audit effort in evaluating management’s judgments in determining revenue recognition for these customer agreements
required a high degree of auditor judgment.

How
the Critical Audit Matter Was Addressed in the Audit

Our
principal audit procedures related to the Company’s revenue recognition for these customer agreements included the following, among others: 

●We
                                            evaluated management’s significant accounting policies related to these customer agreements
                                            for reasonableness.

●We
                                            selected a sample of customer agreements and performed the following procedures:

-Obtained
                                            and read contract source documents for each selection, including master agreements, and other
                                            documents that were part of the agreement.

-Tested
                                            management’s identification and treatment of contract terms and provisions.

-Assessed
                                            the terms in the customer agreement and evaluated the appropriateness of management’s application
                                            of their accounting policies, along with their use of estimates, in the determination of
                                            revenue recognition conclusions.

●We
                                            tested the mathematical accuracy of management’s calculations of revenue and the associated
                                            timing of revenue recognized in the financial statements.

Fruci
& Associates II, PLLC – PCAOB ID #05525

We have served as the Company’s auditor since 2024.  

Spokane, Washington

March
31, 2025  

 F-1 

-SIDUS SPACE, INC.

CONSOLIDATED BALANCE SHEETS

    December 31,  
    December 31, 

    2024  
    2023 
  
    Assets 

    Current assets 

    Cash 
    $15,703,579  
    $1,216,107 
  
    Accounts receivable 
     827,886  
     1,175,077 
  
    Accounts receivable - related parties 
     641,376  
     67,447 
  
    Accounts receivable 
     641,376  
     67,447 

    Inventory 
     255,716  
     858,642 
  
    Contract asset 
     1,347,386  
     436,411 
  
    Contract asset - related party 
     46,953  
     43,173 
  
    Contract asset 
     46,953  
     43,173