Q1 2025 Sidus Space Inc Earnings Call
Greetings and welcome to the slightest space first quarter 2025 results conference call. At this time all participants are in a listen only mode. If anyone should require operator assistance. Please press star zero on your telephone keypad as a reminder, this conference is being recorded.
Unknown Executive: Greetings and welcome to the Sidus Space first quarter 2025 results conference call. At this time, all participants are in a listen-only mode. If anyone should require operator assistance, please press star zero on your telephone keypad.
Unknown Executive: As a reminder, this conference is being recorded.
Unknown Executive: It is now my pleasure to introduce Adarsh Parekh, Chief Financial Officer.
It is not my pleasure to introduce a dress correct Chief Financial Officer. Please go ahead.
Adarsh Parekh: Please go ahead. Good evening everyone and thank you for joining us for Sidus Space's 2025 First Quarter Earnings Conference Call.
Speaker Change: Good evening, everyone and thank you for joining us for cider spaces 2025 first quarter earnings conference call.
Adarsh Parekh: Joining us today from the company is Carol Craig, Chairman and Chief Executive Officer, and myself, Adarsh Parekh, Chief Financial Officer. 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 Cycle.
Pereq: Joining us today from the company as Carol Craig Chairman, and Chief Executive Officer, and myself, others, Pereq Chief Financial Officer.
Pereq: 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.
Pereq: Many factors could cause actual results to differ materially from the forward looking statements made on this call.
Pereq: These factors include our ability to estimate operational experience expenses and liquidity needs.
Pereq: Customer demand supply chain delays, including launch providers and extended sales cycles.
Pereq: 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 dot situs space Dot com.
Adarsh Parekh: 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.
Pereq: 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.
Carol Craig: At this time I would like to turn the call over to Carol. Carol, please go ahead. Thank you, Adarsh, and welcome everyone to the first quarter 2025 earnings call. On today's call, I'll outline our key accomplishments during Q1, and Adarsh will present the financial highlights. I'll then share our outlook for Q2 and beyond.
Speaker Change: At this time I would like to turn the call over to Carol Carol. Please go ahead.
Carol Carol: Thank you, Josh and welcome everyone to the first quarter 2025 earnings call.
Carol Carol: On today's call I'll outline our key accomplishments during Q1 and others will present, the financial highlights I'll, then share our outlook for Q2 and beyond.
Carol Craig: The first quarter of 2025 marked another major step forward in Sidus Space's evolution toward becoming a vertically integrated, diverse, multi-domain solutions provider. While our current operations remain space focused, we're preparing to scale our capabilities across air, sea, and terrestrial environments. powered by a new generation of rugged, dual-use technologies that will redefine how missions are executed in challenging domains. Our mission has always been to deliver reliable, scalable and intelligent solutions from initial design through full deployment. And our smart, vertically integrated model, along with our innovative culture, continues to be our strategic advantage. It allows us to innovate faster, control quality across the product lifecycle, and bring advanced technologies to market more efficiently than traditional aerospace providers.
Carol Carol: The first quarter of 2025, Mark another major step forward in Cytostasis evolution toward becoming a vertically integrated diverse multi domain solutions provider.
Carol Carol: While our current operations remain space focus, we're preparing to scale our capabilities across air Sea and terrestrial environments. However by a new generation of a rugged dual use technologies that will redefine how missions are executed and challenging domains.
Carol Carol: Our mission has always been to deliver reliable scalable and intelligent solutions from initial design to full deployment and our smart vertically integrated model along with our innovative culture continues to be a strategic advantage. It allows us to innovate faster control quality across the product lifecycle and bring advanced.
Carol Carol: Acknowledges to market more efficiently than traditional aerospace providers.
Carol Craig: In Q1, we celebrated a major achievement with the successful launch of LISISAT-3 on March 14. This marks our third satellite and another step in building a fully operational data-generating microconstellation. We're currently completing satellite commissioning for LS3 and successfully demonstrated operation of our advanced onboard edge computer, Feather Edge Gen 2. Additionally, we've successfully established communications to the first of our customer payloads. Once fully online, LS3 will expand our ability to deliver near real-time Earth observation data and onboard AI processes. Unlocking a New Revenue Channel via Data-as-a-Service Offerings to Commercial and Government Use. This transition from development to commercialization is foundational to our 2025 growth strategy.
Carol Carol: In Q1, we celebrated a major achievement with the successful launch of lazy fat three on March 14th.
Carol Carol: This marks our third satellite and another step in building a fully operational data generating micro constellation.
Carol Carol: We're currently completing satellite commissioning for L. S. Three and successfully demonstrated operation of our advanced onboard edge computer Featheredge Gen. Two.
Carol Carol: Additionally, we successfully established communications to the first of our customer payloads.
Carol Carol: Once fully online L. S. Three will expand our ability to deliver near real time Earth observation data and onboard AI processing.
Carol Carol: Our new revenue channels via data as a service offerings to commercial and government users.
This transition from development to commercialization is foundational to our 2025 growth strategy.
Carol Carol: One of our most exciting developments is he cited for late AI ecosystem, a modular pairing of our further edge hardware and our software.
Carol Craig: One of our most exciting developments is the Sidus or Lathe AI ecosystem, a modular pairing of our Feather Edge hardware and our Cielo software. Orlais is built for near real-time, autonomous decision-making and can be configured for various mission types, from Maritime Situational Awareness to Orbital Asset Monitoring. Its AI-ML algorithms support in-orbit reconfiguration, enhanced anomaly detection, and near real-time data processing, creating efficiencies and resilience in even the most extreme environments.
Carol Carol: We're laser is built for near real time autonomous decision, making and can be configured for various mission types from maritime situational awareness to oral asset monitoring.
Carol Carol: It's AI ml algorithms support in orbit reconfiguration enhanced anomaly detection.
Carol Carol: In near real time data processing, creating efficiencies and resilience and even the most extreme environments.
This quarter marked the start of a strategic soft launch of several scientists developed technology designed for dual use applications.
Carol Craig: This quarter marked the start of a strategic soft launch of several Sidus-developed technologies designed for dual-use applications. Systems engineered not only for space, but ruggedized for air, land, and maritime environments. Our goal is to bring true multi-domain interoperability to market beginning in 2025, enabling customers to deploy integrated systems across platforms without the need for redesign or reengineering.
Carol Carol: It was engineered not only for space, but ruggedized for air land and maritime environments.
Carol Carol: Our goal is to bring true multi domain interoperability to market beginning in 2025.
Carol Carol: And customers to deploy integrated system across platforms without the need for redesign or reengineering.
Carol Craig: A cornerstone of this rollout is the Sidus Single Board Computer, which is a SoSo-lined OpenVPX-based computer. Built for mission-critical environments, SSBC supports applications ranging from on-orbit to terrestrial command and control, including sensor fusion.
Carol Carol: A cornerstone of this rollout is decided a single board computer which is the social aligned open VPN based computer.
Carol Carol: Built for mission critical environments S. S. P. C supports applications ranging from on orbit to terrestrial command and control including sensor fusion.
Carol Carol: In Q1, we focused on the launch and commissioning of Looney sat tree, while laying the groundwork for this product rollout, which we expect to expand into the defense and military markets in Q2.
Carol Craig: In Q1, we focused on the launch and commissioning of LISISAT-3 while laying the groundwork for this product rollout, which we expect to expand into defensive military markets in Q2. Early customer engagements have been positive with strong interest and encouraging feedback. Our pipeline continues to gain momentum, underscoring the strategic relevance of these offers. This rollout supports our broader objective to diversify both our technology portfolio and addressable markets.
Carol Carol: Early customer engagements have been positive with strong interest in encouraging feedback.
Carol Carol: Our pipeline continues to gain momentum underscoring the strategic relevance of these offerings.
Carol Carol: This rollout supports our broader objective to diversify both our technology portfolio and addressable markets.
Carol Carol: As we scale production and enhanced capabilities, we expect our command and control product line to be a key growth driver in the coming quarters.
Carol Craig: As we scale production and enhance capabilities, we expect our command and control product line to be a key growth driver in the coming quarter. Positioning Sidus as a leader in delivering integrated, real-world, multi-domain solutions.
Carol Carol: <unk> cited as a leader in delivering integrated real world multi domain solutions.
Carol Carol: The next phase in our multi domain technology roadmap reflects our commitment to developing breakthrough innovations that not only meet existing requirements, but also open the door to entirely new market opportunities.
Carol Craig: The next phase in our multi-domain technology roadmap reflects our commitment to developing breakthrough innovations that not only meet existing requirements, but also open the door to entirely new market opportunities. Importantly, these advanced capabilities are being deployed not only on our proprietary LISISAT platforms, but also on customer satellites, including those being developed for Lone Star Holdings. These efforts reinforce our three core pillars, technology, AI, and space, by expanding our AI-driven solutions and mission-critical space services that address today's operational needs while anticipating tomorrow's challenges.
Speaker Change: Importantly, these advanced capabilities are being deployed not only on our proprietary Looney sat platforms, but also on customer satellites, including those being developed for Lonestar holdings.
Carol Carol: Yeah.
Carol Carol: These efforts reinforce our three core pillars technology, AI and space by expanding our AI driven solutions and mission critical services that address today's operational needs, while anticipating tomorrows challenges.
Carol Craig: We're actively bringing our VPX SoSo line space hardware into full production and commercial deployment and enabling scalable satellite and data architectures that meet the demands of both government and commercial customers. And further supporting this evolution is the advancement of our LM-FLATSAT, the Adaptable LISISAT Engineering Model, which is a lab-based integration and testbed platform designed for next-generation technology demonstration. LM provides a flexible environment to validate new systems, accelerate development cycles and de-risk future mission configurations, which is vital for a long term scale up strategy.
Carol Carol: We're actively bringing our V P X socialized space hardware into full production and commercial deployment.
Carol Carol: And enabling scalable satellite and data architectures that meet the demands of both government and commercial customers.
Carol Carol: And further supporting this evolution is the advancement of our 11 lots at adaptable Lizzie sat engineering model, which is a lab based integration and test bed platform designed for next generation technology demonstrations.
Carol Carol: It provides a flexible environment to validate new systems.
Carol Carol: Alright development cycles, and Derisk future mission configurations, which is vital for long term scale up strategy.
Carol Carol: These innovations represent a key part of our 2025, roadmaps and reflect our commitment to designing once deploying anywhere.
Carol Craig: These innovations represent a key part of our 2025 roadmap and reflect our commitment to designing once, deploying anywhere. Accelerating Mission Readiness While Reducing Cost and Complexity.
Carol Carol: Celebrating mission readiness, while reducing cost and complexity.
Carol Carol: Our work with Lone Star Holdings continued this quarter, we amended and extended our agreement, bringing the total potential contract value to $120 million.
Carol Craig: Our work with Lone Star Holdings continued this quarter. We amended and extended our agreement, bringing the total potential contract value to $120 million. And while revenue recognition has not yet begun, this agreement provides strong visibility and underpins confidence in our commercial roadmap. Additionally, our platforms and products are being used on both Sidus-owned and customer spacecraft, extending our reach and opening doors to licensing and service revenue models.
Carol Carol: Revenue recognition has not yet begun disagreement provides strong visibility and underpins our confidence in our commercial roadmap.
Carol Carol: Additionally, our platforms and products are being used on both side its own end customer spacecraft, extending our reach and opening doors to licensing and service revenue models.
Carol Carol: From a business development standpoint, we made meaningful strides.
Carol Craig: From a business development standpoint, we made meaningful strides. We deployed Orlais in Asia, strengthening global AI and analytics reach. We deepened our partnership with Little Place Labs to enable near real-time maritime domain awareness via LISISAT. And we signed an MOU with international partner, Reflex Aerospace, to explore joint constellation service.
Carol Carol: We deployed Orly and Asia, strengthening global AI and analytics reach.
Carol Carol: We deepened our partnership with little place labs to enable near real time maritime domain awareness via lazy fat.
Carol Carol: And we signed an Mou with international partner reflects aerospace explore joint constellation services.
Carol Carol: Recently, we received a notice of allowance for a modular satellite testing platform.
Carol Craig: Recently, we received a notice of allowance for our modular satellite testing platform, a patent that safeguards the intellectual property behind our adaptable and scalable satellite architecture. This milestone reinforces our vertically integrated model and preserves the flexibility needed to meet evolving mission demand. Our patent portfolio represents more than just innovation. It's a strategic asset that unlocks future licensing, protects differentiation, and enhances customer confidence. In highly regulated markets, this IP framework is critical to accelerating commercial and defense adoption of our technology. We believe that a well-established patent portfolio provides us significant barriers to entry, ensuring we can protect our proprietary solutions while enabling strategic partnerships, licensing opportunities, and future product development.
Carol Carol: Patent that safeguard the intellectual property behind our adaptable and scalable satellite architecture.
Carol Carol: This milestone reinforces our vertically integrated model and preserves the flexibility needed to meet evolving mission demands.
Carol Carol: Our patent portfolio represents more than just innovation, it's a strategic asset that unlocks teacher licensing.
Carol Carol: Texts differentiation and enhances customer confidence in.
Carol Carol: In highly regulated markets. This IP framework is critical to accelerating commercial and defense adoption of our technologies.
Carol Carol: We believe that a well established patent portfolio provides us significant barriers to entry ensuring we can protect our proprietary solutions, well, enabling strategic partnership licensing opportunities and future product development.
Carol Craig: It also reinforces customer competence, particularly in highly regulated or mission-critical industries where reliability, security, and innovation are essential.
Carol Carol: It also reinforces customer confidence, particularly in highly regulated or mission critical industries, where reliability security and innovation are essential.
Carol Carol: Looking ahead, our focus remains on completing illustrate commissioning it.
Carol Craig: Looking ahead, our focus remains on completing LS3 commissioning, expanding commercialization of LISISAT-enabled services, and securing our first product orders across our VPX SOSA line system. These efforts reflect the shift from technology development to revenue generation. We believe the groundwork laid in Q1 positions Sidus to begin realizing material revenue growth in the second half of the year.
Carol Carol: Expanding commercialization of Lizzie sat enabled services and securing our first product orders across our V. P F social line systems.
Carol Carol: These efforts reflect a shift from technology development to revenue generation.
Carol Carol: We believe the groundwork laid in Q1 physician scientists to begin realizing material revenue growth in the second half of the year.
Carol Carol: We're also closely monitoring opportunities related to U S manufacturing incentives and increase our <unk>.
Carol Craig: We're also closely monitoring opportunities related to U.S. manufacturing incentives and increased allied defense spending, particularly in Europe. These trends align well with our dual-use strategy and ability to scale rugged multi-domain technologies from our U.S.-based facility.
Carol Carol: Particularly in Europe, these trends align well with our dual use strategy and ability to scale rugged multi domain technologies from our U S based facility.
Carol Carol: In summary, situs is entering the next phase of our journey. Our infrastructure is built our products are in the market and our partnerships are advancing.
Carol Craig: In summary, Sidus is entering the next phase of our journey. Our infrastructure is built, our products are in the market, and our partnerships are advanced. We're not just enabling missions, we're reshaping how they're designed, deployed, and executed across every domain.
Carol Carol: We're not just enabling missions reshaping, how they're designed deployed and executed across every domain.
Josh: And now I'll turn it over to Josh for final highlights.
Adarsh Parekh: And now I'll turn it over to Adarsh for final highlights. Thank you, Carol. At Sidus, we continue to build a scalable, vertically integrated company across space, technology, and artificial intelligence. Our focus remains on operational excellence, rapid innovation, and delivering cost-effective, high-impact solutions for our customers. Our investments to date have centered around expanding our satellite constellation, advancing innovation, and implementing a robust ERP system to support scale and profitability.
Josh: Thank you Carol.
Josh: At site as we continue to build a scalable vertically integrated company across space technology and artificial intelligence.
Josh: Our focus remains on operational excellence rapid innovation and delivering cost effective high impact solutions for our customers.
Josh: Our investments to date have centered around expanding our satellite constellation advancing innovation and implementing a robust ERP system to support scale and profitability.
Carol Carol: As Carol as noted 2024 was a foundational year for site is one in which we validated our core technologies grew our customer base and secured critical strategic partnerships.
Adarsh Parekh: As Carol has noted, 2024 was a foundational year for Sidus, one in which we validated our core technologies, grew our customer base, and secured critical strategic partnerships. That momentum has carried into the first quarter of 2025, which reflects both our transition to commercialization and the near-term financial impacts of scaling a deep-tech, space-based enterprise.
Carol Carol: That momentum has carried into the first quarter of 2025, which reflects both our transition to commercialization and the near term financial impacts of scaling a deep tech space based enterprise.
Carol Carol: Let's review, our first quarter results.
Adarsh Parekh: Let's review our first quarter results. Total revenue for the three months ended March 31st, 2025 was approximately $238,000, a decrease of $812,000 or 77% compared to Q1 2024 revenue of $1.05 million. These this decrease was expected and primarily driven by the timing of fixed price milestone contracts. and our intentional shift away from legacy contract work to focus on commercial space-based and AI-driven solutions. Cost of revenue for Q1 2025 increased 93% to approximately $1.9 million, compared to $966,000 in Q1 2024. Key drivers included satellite and software-related depreciation increase of $611,000. A mix of contract types with higher material and labor input.
Carol Carol: Total revenue for the three months ended March 31, 2025 was approximately $238000.
Carol Carol: A decrease of $812000 or 77% compared to Q1, 'twenty 'twenty four revenue of $1.5 million.
Carol Carol: This decrease was expected and primarily driven by the timing of fixed price milestone contracts.
Carol Carol: And our intentional shift away from legacy contract work to focus on commercial space based and AI driven solutions.
Carol Carol: Cost of revenue for Q1, 2025 increased 93% to approximately $1.9 billion compared to $966000 in Q1 2024.
Carol Carol: Key drivers included satellite and software related depreciation increase of $611000.
Carol Carol: A mix of contract types with higher material and labor inputs.
Adarsh Parekh: and continued pressure from global supply chain costs in our manufacturing operations. Depreciation will continue to impact cost of revenue until we generate satellite and data-related revenues, which have higher margins to offset the related depreciation Gross profit for Q1 2025 was a loss of $1.6 million compared to a profit of $84,000 in Q1 2025. This reflects increased appreciation. a shift in contract mix. and reduced contribution from legacy high margin services as we transition to higher value recurring revenue lines.
Carol Carol: And continued pressure from global supply chain costs in our manufacturing operations.
Carol Carol: Yeah.
Carol Carol: Depreciation will continue to impact cost of revenue until we generate satellite and data related revenues, which have higher margins to offset offset the related depreciation expense.
Carol Carol: Gross profit for Q1, 2025 was a loss of $1.6 million compared to a profit of $84000 in Q1 2024.
Carol Carol: This reflects increased depreciation a.
Carol Carol: A shift in contract mix and.
Carol Carol: And reduced contribution from legacy high margin services, as we transition to higher value recurring revenue lines.
Carol Carol: Yeah.
Adarsh Parekh: In selling, general and administrative expenses totaled approximately $4.4 million, up from $3.6 million in the same period last year. This $800,000 increase was driven by increased headcount and associated benefits to support growth. Equity-based compensation and employee bonus accruals. Severance and Rebooking Fees Related to Launch Schedule Adjustments debt payoff related expenses. and 24-7 mission operations expenses related to supporting multiple satellites on orbit.
Carol Carol: Selling general and administrative expenses totaled approximately $4.4 million up from $3 $6 billion in the same period last year.
Carol Carol: This 800000 dollar increase was driven by increased head count and associated benefits to support growth.
Carol Carol: Equity based compensation and employee bonus accruals.
Carol Carol: Severance and rebooking fees related to launch schedule adjustments.
Carol Carol: Pay off related expenses.
Carol Carol: And 24, seven mission operations expenses related to supporting multiple satellites on orbit.
Carol Carol: To provide investors with additional information in connection with our results as determined in accordance with GAAP. We also include in our 20th twenty-five Form 10-Q, non-GAAP measures to determine our adjusted EBITDA.
Adarsh Parekh: To provide investors with additional information in connection with our results as determined in accordance with GAAP, we also include in our 2025 Form 10-Q non-GAAP measures to determine our adjusted EBITDA. We use Adjusted EBITDA to evaluate our operating performance and make strategic decisions about the company's future direction. Adjusted EBITDA loss, a non-gap measure for the three months ended March 31st, 2025, totals $4.7 million, as compared to an adjusted EBITDA loss of $2.7 million for the same period the prior year, which represents a 75% increase in the loss. Total non-GAAP adjustments for interest expense, depreciation and amortization, fundraising expenses, severance costs, and equity-based compensation are provided in the reconciliation table listed in our first quarter 2025 earnings press release released earlier today.
Carol Carol: We use adjusted EBITDA to evaluate our operating performance and make strategic decisions about the company's future direction.
Carol Carol: Adjusted EBITDA loss, a non-GAAP measure for the three months ended March 31, 2025 totaled $4 $7 million as compared to an adjusted EBITDA loss of $2.7 million for the same period, the prior year, which represents a 75% increase in the loss.
Carol Carol: Total non-GAAP adjustments for interest expense depreciation and amortization fundraising expenses severance costs and equity based compensation are provided in the reconciliation table listed our first quarter 2025 earnings press release released earlier today.
Carol Carol: Yeah.
Adarsh Parekh: Net loss for the three months ended March 31st with 2025 was $6.4 million compared to a net loss of $3.8 million in the same quarter of 2024. As discussed, the increase is attributable to depreciation, scaling costs, and our shift to long-term, higher-margin business models.
Carol Carol: Net loss for the three months ended March 31st 2025 was six points of $4 million compared to a net loss of $3 $8 million in the same quarter of 2024.
Carol Carol: As discussed the increase is attributable to depreciation scaling costs and our shift to long term higher margin business models.
Carol Carol: Turning to the balance sheet as of March 31, 2025, we had $11.7 million in cash compared to $6 $2 million as of March 31 2024.
Adarsh Parekh: Turning to the balance sheet, as of March 31st, 2025, we had $11.7 million in cash compared to $6.2 million as of March 31st, 2025. In Q1, we also fully paid off our loan with Decathlon Alpha 4 LP. a key milestone in strengthening our balance sheet and improving financial flexibility. As we move forward, we are managing cash conservatively while making strategic investments in our next generation satellite builds and high growth product lines. We are also actively pursuing further cost optimizations and operating efficiencies to support long-term profitability.
Carol Carol: In Q1, we also fully paid off our loan with decathlon Alpha four L. P. A.
Carol Carol: A key milestone in strengthening our balance sheet and improving financial flexibility.
Carol Carol: As we move forward, we are managing cash conservatively, while making strategic investments in our next generation satellite builds and high growth product lines.
Carol Carol: We're also actively pursuing further cost optimizations and operating efficiencies to support long term profitability.
Carol Craig: With that, I'll hand the call back to Carol for closing remarks. Thank you, Adarsh. As you heard today, Sidus is in the midst of a pivotal shift from R&D and infrastructure buildout to commercialization and revenue generation. We've successfully launched and have begun commissioning our third satellite, laid the foundation for a scalable micro constellation and introduced a new generation of rugged dual use technology. While Q1 reflects the near-term financial impact of that transformation, we are confident in our long-term trajectory. We've strengthened our balance sheet, launched high-potential new platforms like Orlais, and are poised to generate revenue from diversified initiatives in the second half of the year.
Carol Carol: With that I'll hand, the call back to Carol for closing remarks.
Carol Carol: Yeah.
Carol Carol: Thank you Alice.
Speaker Change: As you heard today <unk> is in the midst of a pivotal shift from R&D and infrastructure build out to commercialization and revenue generation.
Speaker Change: Successfully launched and have begun commissioning our third satellite.
Speaker Change: Laying the foundation for scalable micro constellation and introduced a new generation of rugged dual use technologies.
Speaker Change: Well Q1 reflects the near term financial impact of that transformation, we are confident in our long term trajectory.
Speaker Change: Our balance sheet.
Speaker Change: Launched high potential new platforms like our life.
Speaker Change: And are poised to generate revenues from diversified initiatives in the second half of the year.
Speaker Change: The path, we've chosen is ambitious but it's the right one for unlocking meaningful sustainable growth.
Carol Craig: The path we've chosen is ambitious, but it's the right one for unlocking meaningful, sustainable growth.
Speaker Change: Most importantly, I want to thank our employees our partners and our shareholders for your continued trust and support.
Carol Craig: Most importantly, I want to thank our employees, our partners, and our shareholders for your continued trust and support. We look forward to delivering strong progress in the months ahead. Thank you.
Speaker Change: We look forward to delivering strong progress in the months ahead.
Thank you. This does conclude today's teleconference. We thank you for your participation you may now disconnect your lines.
Unknown Executive: This does conclude today's teleconference. We thank you for your participation. You may now disconnect your line.
Speaker Change: [music].
Speaker Change: Okay.