AeroVironment revenue exceeds expectations in the third quarter
AeroVironment, headquartered in Virginia but still maintains operations in Simi Valley and Moorpark, saw a huge bump in revenue when the company released its earnings results for the third quarter after the markets closed March 6.
A maker of drones, AeroVironment reported revenue worth $134.4 million for the quarter ended Dec. 31, an increase of 49% year-over-year. According to the company’s press release, the reason for this rise was due to an increase of product sales by $48.6 million, only partially offset by a decrease in service revenue of $4.3 million.
The overall increase in revenue was primarily due to an increase in revenue in the Small UAS segment of $45.0 million and the Tactical Missile Systems segment of $5.4 million, AeroVironment said.
The company did suffer a net loss of $676,000 for the quarter, but when adjusted for one-time losses, AeroVironment generated $23 million, or 33 cents per share for the quarter.
That wasn’t enough to beat analysts’ expectations, however.
Zacks Consensus Estimate projected Non-GAAP earnings per share to be at 41 cents for the quarter, but AeroVironment did beat revenue expectations by about $10 million.
And, as of Jan. 28, the company has a funded backlog worth $413.9 million, as compared to $210.8 million as of April 30, 2022.
A funded backlog is defined as remaining performance obligations under firm orders for which funding is currently appropriated to the Company under a customer contract, according to AeroVironment.
Shares of the company closed at $87.57 on March 6, but traded about 2% higher in the after-hours market. Shares are up about 4.5% since the start of the year.
AeroVironment ended the quarter with cash and cash equivalents worth $78.1 million.