Aerovironment Stock Earnings Reports

AeroVironment reported a strong start to fiscal 2026 following the May 1 close of the Blue Halo acquisition. Q1 revenue was a record $454.7 million (pro forma up ~18% year-over-year), driven by growth across Autonomous Systems (AXS: $285M) and Space, Cyber & Directed Energy (SCDE: $169M). Bookings for the quarter were nearly $400M, funded backlog grew to $1.1B and unfunded backlog to $3.1B. Management highlighted major program wins and milestones including a ~ $240M award for long-haul space laser communications, a $95M award for the FE1 long-range interceptor program, deliveries of LOCUST directed-energy systems under the Army AMP-HEL program, and progress on the P550 for the Army LRR program. The company launched the AeroVironment HALO software platform and emphasized open integration with third-party hardware and APIs. Financially, adjusted Q1 EBITDA was $56.6M (12.4% of revenue); GAAP gross margin declined due to higher services mix and acquisition-related noncash amortization, while adjusted gross margins are expected to improve to the mid-30s by Q4. Management completed a substantial financing (about $1.7B) to pay down acquisition debt and ended Q1 with roughly $722M cash and investments. Full-year fiscal 2026 guidance was maintained: revenue $1.9B–$2.0B, adjusted EBITDA target range provided, and non-GAAP EPS updated to $3.60–$3.70. Management emphasized strong positioning in multiple multibillion-dollar markets (counter-UAS, directed energy, space laser communications, RF/ELINT, and ISR) and confidence in execution despite some timing uncertainty around government funding and contract timing.