One thing that I tested while playing is whether or not damage is carried over, both for the station and for the capital ships. Neither carry over, I took out the hanger bays and shield generators on all 3 and let my forces get crushed (since for some reason, the retreat option was disabled in this battle) and then came back. I guess it makes sense if the space station can produce ships in less than a galactic day, but I wonder if the same thing would happen if there was not a space station. I plan on testing this out after work today. Anyway, if you are having trouble with the space battle, be sure to destroy one completely before working on another if it is apparent that you wont be able to finish off both.