8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 17, 2010

Astrotech Corporation

(Exact name of registrant as specified in its charter)

Washington	001-34426	91-1273737
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

401 Congress Ave. Suite 1650 Austin, Texas	78701
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: (512) 485-9530

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

On May 17, 2010, Astrotech Corporation issued a press release announcing its results of operations for its third quarter ended March 31, 2010. A copy of the press release is attached hereto as Exhibit 99.1.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

99.1      Press release, dated May 17, 2010, issued by Astrotech Corporation.

2

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

ASTROTECH CORPORATION
By:	/s/ Thomas B. Pickens, III
	Name:	Thomas B. Pickens, III
	Title:	Chairman of the Board and Chief Executive Officer

Date: May 17, 2010

EXHIBIT INDEX

		Paper (P) or
Exhibit No.	Description	Electronic (E)
99.1	Press release, dated May 17, 2010, issued by Astrotech Corporation.	E

EX-99.1

Exhibit 99.1

Astrotech Corporation
401 Congress, Suite 1650
Austin, Texas 78701
512.485.9530
fax: 512.485.9531
www.astrotechcorp.com

FOR IMMEDIATE RELEASE

ASTROTECH CORPORATION REPORTS THIRD QUARTER 2010 FINANCIAL RESULTS

• Astrotech Space Operations (“ASO”), the Company’s core business, supported the successful launch of NASA’s Solar Dynamic Observatory and GOES-P Earth Observation Satellite

• 1^st Detect, the Company’s majority-owned subsidiary which is developing a mini-mass spectrometer for commercial markets, received an investment commitment of $1.8 million from the Texas Emerging Technology Fund

• Trailing twelve month revenue of $32.9 million, up 19% over the previous twelve month period ended March 31, 2009

Austin, Texas, May 17, 2010 — Astrotech Corporation (NASDAQ: ASTC), a leading provider of commercial space services, today announced financial results for the third quarter ended March 31, 2010 of its fiscal year 2010.

Third Quarter Results

The Company posted a third quarter fiscal year 2010 net loss of $0.6 million, or $(0.04) per diluted share on revenue of $6.6 million, compared with a third quarter fiscal year 2009 net income of $3.6 million, or $0.21 per diluted share, on revenue of $11.8 million.

Nine Months Results

Astrotech’s net income for the first nine months of 2010 was $1.8 million, or $0.10 per diluted share, on revenue of $22.5 million. This compares to net income of $2.1 million, or $0.12 per diluted share, on revenue of $21.6 million for first nine months fiscal year 2009.

“Astrotech Corporation continues to perform extremely well for its shareholders as our cash flows and backlog remain strong. I’m particularly pleased with our ASO team for their outstanding support of the RSC-Energia’s Mini Research Module 1 (MRM1) that was processed in our facilities and sent to the International Space Station aboard the Space Shuttle Atlantis this past week”, said Thomas B. Pickens, III, Chairman and CEO.

Update of Ongoing Operations

The Company’s 18-month rolling backlog at March 31, 2010, which includes contractual backlog and scheduled but uncommitted missions, is $27.2 million. The majority of the backlog is for ASO pre-launch satellite processing services, which include hardware launch preparation; advance planning; use of unique satellite preparation facilities; and spacecraft checkout, encapsulation, fueling, transport, and remote control through launch.

ASO supported the successful launches of the Solar Dynamic Observatory and GOES-P Earth Observation Satellite during the quarter, while also providing support for missions which were in process at our facilities in Titusville, Florida and in California at Vandenberg Air Force Base. Additionally, the Company supported the processing of RSC-Energia’s MRM1 in its Cape Canaveral facility.

Astrogenetix, the Company’s biotechnology subsidiary which is developing medicines in space, participated in the eighth flight in its series of microgravity experiments aboard Space Shuttle Endeavor during STS-130. The research consisted of methicillin-resistant Staphylococcus aureus (“MRSA”) microbes targeted for a potential MRSA vaccine or therapeutic. This process led to the identification of target genes for MRSA virulence which is planned for verification and validation on STS-131 and STS-132.

1^st Detect was awarded an investment from the state of Texas’ Emerging Technology Fund of $1.8 million in the quarter ended March 31, 2010. The investment from the state will go toward further development and commercialization of 1^st Detect’s mini-mass spectrometer, which is intended to be used in the defense and medical markets to detect residues and vapors from a wide range of chemicals.

Financial Position and Liquidity

Working capital was $3.5 million as of March 31, 2010, which included $6.2 million in cash and $8.3 million of accounts receivable. Included in current liabilities are the Company’s $5.1 million of senior convertible notes and $3.4 million term loan, which have scheduled maturity in the next twelve months.

About Astrotech Corporation

Astrotech Corporation (Nasdaq: ASTC) is a commercial aerospace company that provides spacecraft payload processing and government services, designs and manufactures space hardware, and commercializes space technologies for use on Earth. The Company serves our government and commercial satellite and spacecraft customers with our pre-launch services from our Astrotech Space Operations (ASO) subsidiary and incubates space technology businesses now focusing on two companies: 1^st Detect Corporation, which is developing a mini-mass spectrometer first developed for the International Space Station; and Astrogenetix, Inc., which is developing biotech products in space and has recently developed a vaccine candidate for Salmonella.

The statements in this document may contain forward-looking statements that are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks, trends, and uncertainties that could cause actual results to be materially different from the forward-looking statement. These factors include, but are not limited to, continued government support and funding for key space programs, product performance and market acceptance of products and services, as well as other risks and business considerations described in the company’s Securities & Exchange Commission filings including those described in Item 1A of our 2009 annual report on Form 10-K (as amended) and our most recent quarterly report on Form 10-Q. Any forward-looking statements in this document should be evaluated in light of these important risk factors. The Company assumes no obligation to update these forward-looking statements.

FOR MORE INFORMATION:
Scott Haywood
Corporate Marketing and Communications
Astrotech Corporation
512-485-9520
shaywood@astrotechcorp.com

Tables follow

ASTROTECH CORPORATION AND SUBSIDIARIES
Unaudited Condensed Consolidated Statements of Operations
(In thousands, except per share data)

	Three Months						Nine Months
	Ended March 31,						Ended March 31,
	2010			2009			2010			2009
Revenue	$	6,647		$	11,849		$	22,489		$	21,608
Costs of revenue		3,360			4,825			8,962			11,593
Gross profit		3,287			7,024			13,527			10,015
Operating expenses:
Selling, general and administrative		3,170			2,671			9,515			6,520
Research and development		1,117			553			2,119			1,636
Total operating expenses		4,287			3,224			11,634			8,156
Income (loss) from operations		(1,000	)		3,800			1,893			1,859
Gain on notes repurchased		—			—			—			665
Interest and other expense, net		(26	)		(105	)		(366	)		(329	)
Income (loss) before income taxes		(1,026	)		3,695			1,527			2,195
Income tax expense		53			(93	)		(22	)		(93	)
Net income (loss)	$	(973	)	$	3,602		$	1,505		$	2,102
Less: Net loss attributable to noncontrolling interest*		(326	)		—			(326	)		—
Net income (loss) attributable to Astrotech Corp	$	(647	)		3,602		$	1,831			2,102
Net income (loss) per share, basic	$	(0.04	)	$	0.22		$	0.11		$	0.13
Weighted average common shares outstanding, basic		16,610			16,547			16,531			16,444
Net income (loss) per share, diluted	$	(0.04	)	$	0.21		$	0.10		$	0.12
Weighted average common shares outstanding, diluted		16,610			17,316			18,278			16,867

* Note: Noncontrolling interest resulted from a grant of restricted stock in 1^st Detect and Astrogenetix to certain employees, officers and directors. Please refer to the March 31, 2010 10-Q filed with the Securities and Exchange Commission for further detail.

See accompanying notes to unaudited condensed consolidated financial statements.

ASTROTECH CORPORATION AND SUBSIDIARIES
Unaudited Condensed Consolidated Balance Sheets
(In thousands)

	March 31,		June 30,
	2010		2009
Assets
Cash and cash equivalents	$	6,253	$	4,730
Accounts receivable, net		8,270		12,279
Short-term note receivable, net		675		—
Prepaid expenses and other current assets		955		591
Total current assets		16,153		17,600
Property, plant, and equipment, net		39,972		40,226
Other assets, net		34		1,093
Total assets	$	56,159	$	58,919
Liabilities and Stockholders’ Equity
Current liabilities	$	12,680	$	9,182
Long-term liabilities		598		9,189
Stockholders’ equity		42,881		40,548
Total liabilities and stockholders’ equity	$	56,159	$	58,919

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