PROCEED WITH CERTAINTY SECOND QUARTER Fiscal Year 2025 EARNINGS PRESENTATION December 4, 2024 SECOND QUARTER FISCAL YEAR 2025 Safe Harbor Statement Certain words in this presentation may contain "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain words such as "believe," "anti ...

Financial Performance - Record second quarter revenue of $188.5 million, up 4% year-over-year from $180.8 million[3] - Net income for the second quarter was $7.5 million, or $0.27 per diluted share, compared to $17.8 million, or $0.66 per diluted share in the prior-year period[9] - Non-GAAP adjusted EBITDA for the second quarter was $25.9 million, down from $39.5 million in the same period last year[10] - Income from operations for the second quarter was $7.0 million, down from $25.2 million in the prior-year period[6] - Net income for the three months ended October 26, 2024, was $7.543 million, a decrease of 57.7% compared to $17.840 million for the same period last year[32] - Basic net income per share for the three months ended October 26, 2024, was $0.27, down from $0.66 in the same period last year, representing a decline of 59.1%[32] - Net income for the six months ended October 26, 2024, was $28.7 million, a decrease of 27.8% from $39.7 million for the same period in 2023[37] Revenue Segments - Revenue growth in Loitering Munitions Systems segment was 157%, while UnCrewed Systems segment saw a decrease of 35% year-over-year[4] - Product sales for the three months ended October 26, 2024, were $151.231 million, a 3.2% increase from $145.779 million for the same period last year[32] - Contract services revenue for the six months ended October 26, 2024, was $188.458 million, compared to $180.816 million for the same period last year, reflecting a 3.6% increase[32] - Total revenue for the three months ended October 26, 2024, was $188.5 million, compared to $180.8 million for the same period in 2023, representing a growth of 4.6%[40] Margins and Expenses - Gross margin for the second quarter decreased to 39% from 42%, reflecting a decrease in product gross margin[5] - Gross margin for product sales was $64.179 million for the three months ended October 26, 2024, down from $66.747 million in the same period last year, indicating a decrease of 3.9%[32] - Research and development expenses for the three months ended October 26, 2024, were $28.716 million, up from $22.025 million in the same period last year, reflecting a 30.3% increase[32] - Selling, general and administrative expenses for the three months ended October 26, 2024, were $37.916 million, compared to $28.147 million for the same period last year, indicating a 34.5% increase[32] - Adjusted EBITDA for the six months ended October 26, 2024, was $63.1 million, down from $76.8 million for the same period in 2023, reflecting a decrease of 17.9%[44] Assets and Liabilities - Total assets as of October 26, 2024, were $1,019.085 million, slightly up from $1,015.860 million as of April 30, 2024[35] - Total current liabilities decreased to $111.611 million as of October 26, 2024, from $144.879 million as of April 30, 2024[35] - Stockholders' equity increased to $858.397 million as of October 26, 2024, compared to $822.745 million as of April 30, 2024[35] Cash Flow and Investments - Cash and cash equivalents at the end of the period were $68.96 million, down from $100.91 million at the end of the same period in 2023, indicating a decrease of 31.6%[37] - The company reported a net cash provided by operating activities of $24.7 million for the six months ended October 26, 2024, compared to a net cash used of $25.6 million for the same period in 2023[37] - The company reported a net cash used in investing activities of $11.6 million for the six months ended October 26, 2024, compared to $37.6 million for the same period in 2023, indicating a decrease of 69.1%[37] Acquisition Activity - AeroVironment announced an agreement to acquire BlueHalo in an all-stock transaction valued at approximately $4.1 billion[3] - The company anticipates significant acquisition-related expenses contingent upon the closing of the BlueHalo acquisition[13] - The company incurred acquisition-related expenses of $3.7 million for the three months ended October 26, 2024, compared to $1.1 million for the same period in 2023[44] Other Financial Metrics - The segment adjusted gross margin for UxS was $41.4 million for the three months ended October 26, 2024, compared to $30.2 million for the same period in 2023, showing an increase of 37.0%[40] - The company experienced a loss on disposal of property and equipment amounting to $201,000 for the six months ended October 26, 2024[37]

Wall Street analysts expect AeroVironment (AVAV) to post quarterly earnings of $0.66 per share in its upcoming report, which indicates a year-over-year decline of 32%. Revenues are expected to be $178.96 million, down 1% from the year-ago quarter.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.Before a company reveals its earnings, it is vital ...

AeroVironment (AVAV 1.37%) stock slid nearly 2% Tuesday after the company announced plans to make a $4.1 billion acquisition in the defense industry. The stock is recovering a bit from those losses Wednesday, though, as investors rethink their initial skepticism about the deal.As of 12:55 p.m. ET, the stock is up 3%.AeroVironment's big dealAeroVironment stock outperformed the S&P 500 over the past year, rising 49% in price. The stock currently boasts a $5.5 billion market capitalization -- which sounds like ...

In the latest trading session, AeroVironment (AVAV) closed at $194.89, marking a -1.11% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.4%. On the other hand, the Dow registered a loss of 0.28%, and the technology-centric Nasdaq increased by 1.04%.The maker of unmanned aircrafts's shares have seen a decrease of 10.63% over the last month, not keeping up with the Aerospace sector's loss of 4.35% and the S&P 500's gain of 0.62%.The investment community will be pay ...

This defense tech leader will look to keep its momentum going in 2025.It's been a banner year for defense contractor AeroVironment (AVAV -1.79%), which posted record sales and profitability. At the time of this writing, the stock is up 57% in 2024 with the market cheering the strong demand for the company's lineup of high-tech warfare systems.On the other hand, a backdrop of high expectations against a lofty valuation has added a layer of uncertainty for investors to think about. Despite the big rally this ...

Defense stocks shouldn't cost this much.AeroVironment (AVAV -8.57%) stock fell 5.1% through 10:10 a.m. ET Tuesday after investment bank Jefferies lowered its rating on the manufacturer of military drone aircraft.Reports indicate that Jefferies analyst Greg Konrad downgraded AeroVironment stock from buy to hold primarily on valuation concerns, citing the stock's 87% increase in share price so far this year. The effect of the "post-Trump bump"Konrad sees "improving fundamentals" driving AeroVironment's gains ...

Investors in AeroVironment, Inc. (AVAV) need to pay close attention to the stock based on moves in the options market lately. That is because the Dec. 20, 2024 $300 Put had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could als ...

The latest trading session saw AeroVironment (AVAV) ending at $220.80, denoting a -0.05% adjustment from its last day's close. The stock's change was less than the S&P 500's daily gain of 0.27%. Meanwhile, the Dow experienced a rise of 0.65%, and the technology-dominated Nasdaq saw an increase of 0.26%. The maker of unmanned aircrafts's shares have seen an increase of 10.88% over the last month, surpassing the Aerospace sector's loss of 4.51% and the S&P 500's gain of 2%. Market participants will be closely ...

The company will continue production during a contract protest.The U.S. Army has instructed AeroVironment (AVAV 11.95%) to continue working to fulfill a $990 million order, despite an ongoing protest of the award. Investor are cheering the move, sending AeroVironment shares up 11% as of 2:30 p.m. ET.U.S. Army gives the green lightAeroVironment is a supplier of small-to-midsized unmanned aerial vehicles (UAV) to the U.S. military and other customers. Its Switchblade loitering munition has been a mainstay in ...