Home>Specials>Business>Kleos Space achieves first revenues – targeting US$18m ARR

Kleos Space achieves first revenues – targeting US$18m ARR

Kleos Space


  • Monthly revenues in March 2022: A$167k
  • On track to achieve 2022 targets:
    • Monthly EBITDA positive status during mid-2022
    • End 2022 ARR of US$18M[i] – over 12 times March 2022 revenue
  • Introduced new Mission-as-a-Service offering (MaaS), providing customers with the option for a dedicated and taskable RF reconnaissance mission
    • Complements the Data-as-a-Service (DaaS) offering, and fulfils the growing demand for dedicated data collection capacity to meet individual intelligence, surveillance, and reconnaissance mission requirements
    • MaaS model offers the opportunity to increase monthly revenues with long term and low risk contracts without market adoption lag
  • Successful launch of third cluster of four satellites, Patrol Mission
  • Fourth satellite cluster, Observer Mission preparing for upcoming launch
  • 16 Satellites in orbit by July 2022
  • Pipeline includes a EUR 900k (A1.4m) contract anticipated to be signed imminently with revenues expected to be recognised in the majority in Q2 2022
  • Continuing to build world class industry partnerships including with NASDAQ-listed Satellogic (NASDAQ: SATL)

Kleos Space (ASX: KSS, Frankfurt: KS1), a space-powered Radio Frequency Reconnaissance data-as-a-service company (DaaS), provides the following update for the quarter ending 31 March 2022 (Q1 2022), along with its Appendix 4C cash flow report.

Commenting on the company’s Q1 2022 quarter progress, Kleos Space CEO Andy Bowyer said:

“Kleos hit an important commercialisation milestone in Q1, booking first significant revenues and growing the revenue generation and data collection capacity by expanding satellite constellation. We remain confident of achieving our target during FY22.

“Over the coming year, we will continue to focus on transitioning the business to significant growth and achieving our profitability and revenue targets. We are leveraging industry partnerships and engagement to build market recognition with key target customers in the US, UK, EU, South & Latin America and Asia Pacific. In parallel, constellation planning is underway to prepare the business for sustainable growth to match the market demand across the DaaS & new MaaS offerings.

“Our exceptional team continues to develop world class intellectual property, ensuring our product offering remains at the forefront of the industry and caters to the evolving needs of our governmental and commercial customers. The defence sector is an early adopter of emerging technologies and ongoing innovation will deliver long-term value for our shareholders”

Monthly revenue in March was A$167k. The company remains on track to achieve its targeted monthly EBITDA positive status during mid-2022 and to achieve a ARR of US$18 million by the end of the year.

Kleos currently has a global pipeline of more than 260 government and commercial deals, spanning defence departments, national security agencies, coast guards, sanctions agencies and data aggregators.

The pipeline includes a EUR 900k (A$1.4m) contract anticipated to be signed imminently with revenues expected to be recognised in the majority in Q2 2022.

Introduced Mission-as-a-Service offering

During the quarter, Kleos diversified its business model to include a Mission-as-a-Service (MaaS) offering, providing customers with exclusive access to Kleos’ dedicated, in-orbit radio frequency reconnaissance satellite clusters for fixed periods of time & capacity.

Each Mission-as-a-Service contract will be tailored to suit the customer requirements with the associated revenue based on the percent of satellite capacity needed, level of taskability required (i.e. how bespoke the mission is) and associated data rights (i.e. exclusivity). Pricing is set to achieve the company’s goals for profitability and returns.

Kleos’ additional product offer caters to growing market demand and complements its existing DaaS business model, which delivers geolocated RF activity over areas of interest to multiple government and commercial subscribers.

Kleos Space CEO Andy Bowyer said “Our discussions with government departments, national security agencies and commercial entities have highlighted a growing need for dedicated mission capability, including unrestricted access and utilisation of sensor outputs. Our new Mission-as-a-Service offering delivers that capability to customers at a revenue level that achieves our targets without the ramp up period.

“Unlike our DaaS business model, which will continue to build, where multiple customers access the same commercial dataset, MaaS is tailored to meet the need of specific ISR requirements of an individual customer mission. As our constellation grows, we will offer a combination of DaaS data sets enabling the opportunity to monetise the high volume, low value contract market and MaaS offering to deliver dedicated, high value contract opportunities. This blend of offering reflects the balance of needs between the commercial and non-commercial customer we have witnessed developing over the last few years.”


Kleos remains focused on continuing to enhance the quality and frequency of its satellite capacity and data delivery and converting introductory subscriber contracts to repeat recurring revenue, targeting monthly EBITDA positive status during mid-2022. In addition, Kleos will continue to build its constellation to increase the value and volume of its radio frequency geolocation data, growing revenues.

Kleos’ FY22 priorities are:

  • Onboard new data subscribers, increasing revenue as higher-value data sets become available
  • Data delivery from the Vigilance Mission (KSF1) satellites
  • Launch the Patrol Mission (KSF2) satellites in April 2022
  • Build and launch the Observer Mission (KSF3) satellites in mid-2022
  • Enable customers to access additional data sets from the Patrol and Observer Missions.
Journal Online
A collection of noteworthy information on various topics from the Philippines and the rest of the world.