Astra Space, Inc. (NASDAQ:ASTR) Q4 2022 Earnings Call Transcript

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And we have a lot of visibility into that market because we see the satellites that folks are building with Astra spacecraft engines. We want to be able to service those customers not only from our space products business, but from our launch services business in the future. And what all those customers tell us is that price is really important and we need to — we need to get the price per launch down, and we need to get the price per kilogram down as much as possible given the low price per launch. And that is why we have made the investments that we’ve made in the new Rocket 4 production line and I hope you’re all able to come out and see us at Spacetech Day on April 25, because you’ll see that, you’ll see this — you’ll see the Rocket 4 production line, and you’ll see the investments we’ve made to scale production of the launch vehicle.

And, 600 kilograms when you look at it is — if you look at even a rocket launch every single day would be about and we’re seeing Space increase the number of ride share emissions year-over-year because of the increasing demand for access to lower earth orbit. And we’ve always believed in lower earth orbit and we’ve always believed in a vibrant space economy that has a large both US and international set of capabilities being deployed and that continues year-over-year to prove itself out. The market just continues to get bigger. So we’re working really hard because we have customers to deliver for it and a large market to serve.

Edison Yu: Okay. Last one for me. I’m curious if you entertained any thoughts or thought about, monetizing or separating out the, the propulsion, the space engine business. Obviously, is a much different profile. You just mentioned, there are almost 50% gross margin even at these low volumes. Do we have any appetite to try to separate that out monetize it in the future, curious if any color there?

Martin Attiq: We think it’s a great business and we continue to leverage the investments we’ve made at Astra to deliver parts from the machine shop that we built to make rocket parts. I think there’s a lot of — there’s a lot of complimentary opportunities in the market. A lot of the customers that are buying spacecraft engines are interested in buying launches from us or have bought launches from us and we remain fully committed to that business.

Edison Yu: Thank you.

Operator: And there are no further questions at this time. I would like to turn the call back over to Chris Kemp, Founder, Chairman and CEO for closing remarks.

Chris Kemp: Yeah, I really want to thank everyone for joining today and again, I want to invite everyone who’s listening to this to tune in to Space Tech Day. We have a lot of hard work that our team is excited to share with you all on April 25. And if you’re interested in coming out in person, please reach out to us if we can accommodate you, we’ll do our best. Otherwise we’ll have a livestream at astra.com/livestream and we look forward to coming back and chatting with you again at the end of Q1. Thank you.

Operator: And that concludes today’s presentation. Thank you for your participation and you may now disconnect.

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