The 47.77% decrease in institutional shares (long) of Sidus Space, Inc. (SIDU) in the most recent quarter, which corresponds to the quarter ending June 30, 2025 (Q2 2025) based on typical 13F filing schedules, appears to be primarily driven by a significant deterioration in the company's financial performance.1
Key factors contributing to this decline include:
- Increased Net Losses: Sidus Space reported a net loss of $(5,625,070) for the second quarter of 2025, representing a 36% increase from the net loss in the same period of 2024. This trend of increasing losses continued into Q3 2025, with a 55% increase in net loss year-over-year.2
- Declining Revenue and Worsening Gross Profit: For the six months ended June 30, 2025, total revenue decreased by 24% compared to the prior year. Furthermore, the gross profit (loss) for this period worsened significantly, showing a 251% increase in loss.2
- Substantial Cash Burn: The company experienced a considerable reduction in its cash balance, falling from $15.7 million at December 31, 2024, to $3.6 million by June 30, 2025. This rapid depletion of cash reserves can be a significant concern for institutional investors regarding liquidity and future funding needs.3
- Rising Operating Expenses: Increased depreciation expenses were noted in 2025, attributed to the launch and deployment of satellite fixed assets and related software, contributing to higher overall operating costs.4
These financial results, reported around August 2025 for Q2 2025, likely prompted institutional investors to reduce their exposure to SIDU, as evidenced by the overall decrease in institutional long positions. Fintel's institutional ownership data for SIDU shows that several institutions either significantly reduced or completely exited their positions during the Q1 and Q2 2025 reporting periods.1
