AST SpaceMobile, Inc. ASTS shares are moving higher on Wednesday after the company was awarded a $43 million contract in support of the U.S. Space Development Agency through its prime contractor.

What To Know: This comes after successful testing on the company’s BlueWalker-3 satellite in orbit under a previous contract announced in February 2024. Under this new contract, AST will utilize its Block 2 BlueBird satellites.

The new contract supports the Space Development Agency, which is a part of the U.S. Space Force and aims to accelerate the deployment of space-based technology to enhance military operations on the ground.

“This second contract supporting the SDA underscores the confidence in AST SpaceMobile’s innovative technology and its potential to support critical government missions,” said Chris Ivory, Chief Commercial Officer and Head of Government Business of AST SpaceMobile. “We are deploying groundbreaking technology to create robust and resilient communications solutions and to enable new use cases for the U.S. government.”

What Else: AST is anticipated to release its 2024 fiscal-year fourth-quarter earnings report on Monday after the market closes. Analysts estimate a loss of 17 cents per share and revenue of $19.20 million, per data from Benzinga Pro.

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ASTS Price Action: At the time of writing, AST stock is trading 7.83% higher at $28.21, according to data from Benzinga Pro.

Image: via AST SpaceMobile, Inc.