Kleos Space S.A. (ASX: KSS, Frankfurt: KS1)(Kleos or Company), a space-powered defence & intelligence technology company, is pleased to confirm that the Vigilance Mission (KSF1) satellites have now been entered into operations following achievement of reliably delivering data products against a monthly service level to Government and Commercial customers.
Bringing Vigilance mission into its operational phase is the key catalyst for commencing deferred revenue recognition this quarter, revenue growth and cash receipts.1
Commenting on this milestone, Alan Khalili, CEO said:
“Reaching this critical milestone moves the Company into production mode, confirming the Vigilance mission satellites are now in commercial operation, delivering consistent & reliable data from a specific area of interest which is being processed through our proprietary signal processing platform and being sold to our early adopter customers as intelligence products.
“We now look forward to expanding our product offering through bringing additional already launched satellites online, including the Patrol Mission (KSF2) expected to commence data delivery in the coming months.”
1The statements relating to the constellation status, delivery of the data product and revenue timings involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual performance, and achievements to differ materially from any performance or achievements, expressed or implied by these statements including the ability of any individual satellite to generate useful collected data. Relevant factors may include, but are not limited to, technological resourcing, technical and launch delays, satellite health status, the ability for the satellite manufacturer to resolve any known or unknown issues in a timely manner, accounting treatment of assets to comply with IFRS rules, foreign exchange fluctuations and general economic conditions, increased costs, the risk and uncertainties associated with space technology, Geopolitical and social risks, supplier delivery issues, changes to the regulatory framework within which the Company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues, covid 19 or other pandemic impacts, and litigation. The Company monitors these factors in order to make periodic assessments, which could result in the impairment of the intellectual property and satellite assets which are not able to contribute to free cash flow as intended. There is a risk that the long-term revenues associated with the cluster may be negatively impacted and/or that short-term revenues may be delayed until the next cluster becomes commercially operational. For further information as to the risks which may impact the Company’s results and performance, please see the risk factors included in the Prospectus lodged with ASX in August 2018.