Companies /Industrials

AeroVironment Inc

NASDAQ: AVAV Aerospace & Defense
$156.71
▼ $0.28 (−0.18%) today
Markets open · 12:33pm ET

Q1 2027 Earnings

Reported Sep 9, 2026, 4:04pm ET · SEC source
$0.59
Beat +138.00%
EPS · est. $0.25 Adjusted
$480.5M
Beat +5.35%
Revenue · est. $456.1M
2 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−4%0+4%Sep 9Sep 10report 4:04pm ETearnings−0.6%−0.2%
−4%0+4%Sep 9Sep 10earnings−0.6%−0.2%
AVAV −0.2%S&P 500 −0.6%
−4%0+4%Sep 9Sep 10report 4:04pm ETearnings−1.3%−0.2%
−4%0+4%Sep 9Sep 10earnings−1.3%−0.2%
AVAV −0.2%NASDAQ −1.3%
−4%0+4%+8%Sep 8Sep 16report 4:04pm ETearnings−0.3%+8.5%
−4%0+4%+8%Sep 8Sep 16earnings−0.3%+8.5%
AVAV +8.5%S&P 500 −0.3%
−4%0+4%+8%Sep 8Sep 16report 4:04pm ETearnings−0.8%+8.5%
−4%0+4%+8%Sep 8Sep 16earnings−0.8%+8.5%
AVAV +8.5%NASDAQ −0.8%
+4.45%
Day of report
−0.24%
Next session

Did AVAV Beat Earnings? Q1 2027 Results

AeroVironment delivered a standout fiscal first quarter, posting adjusted EPS of $0.59 against a consensus estimate of $0.25, a beat of 138.00%, while revenue of $480.49 million topped expectations by 5.35% and grew 5.7% year-over-year. Shares had slipped 4.7% heading into the print, with investors anxious about whether momentum could hold, but the results offered a clear answer. The primary engine was the Autonomous Systems segment, which surged 21% to $346.00 million, offsetting a 21% decline in the Space, Cyber and Directed Energy segment to $134.52 million. Gross margin widened to 26% from 21% a year ago, reflecting lower non-cash purchase accounting charges tied to the BlueHalo acquisition and stronger product mix. Bookings of $700.00 million drove a 1.4x book-to-bill ratio, and funded backlog reached a record $1.50 billion, up 37% year-over-year. AeroVironment reaffirmed <a href="https://247wallst.com/investing/2026/09/09/live-can-aerovironments-q1-earnings-tonight-reverse-todays-4-7-slide/">full-year fiscal 2027 guidance</a> of $2.13 billion to $2.23 billion in revenue and non-GAAP EPS of $3.02 to $3.34, with roughly 70% of earnings weighted toward the second half.

Key Takeaways
  • Autonomous Systems segment revenue grew 21% YoY driven by Uncrewed Aircraft Systems (up 71%) and Precision Strike & Defensive Systems (up 8%)
  • Gross margin improvement to 26% from 21% due to reduced intangible amortization and purchase accounting expenses
  • SG&A decreased $19.8 million YoY including $22.5 million reduction in acquisition-related expenses
  • Record funded backlog of $1.5 billion, up 37% YoY and 23% sequentially
  • Strong bookings of $683 million with 1.4x book-to-bill ratio

“AV's fiscal year 2027 is off to a strong start, with record first-quarter revenue and funded backlog and landmark strategic wins. Our team is united in our mission to execute with discipline and capture demand for the key franchise programs that matter most to our customers, and that is exactly what we did in the first quarter.”

AeroVironment CEO, on the earnings call

Forward Guidance & Outlook

For fiscal year 2027, AeroVironment reaffirmed unchanged guidance: revenue of $2.125 billion to $2.225 billion (10% YoY growth at midpoint), non-GAAP adjusted EBITDA of $305 million to $325 million (14% margin at midpoint), GAAP EPS of $0.21 to $0.53, and non-GAAP EPS of $3.02 to $3.34. The company expects seasonality with first half representing approximately 45% of revenue and 30% of non-GAAP EPS, and second half representing 55% and 70% respectively. Similarly, adjusted EBITDA is expected to be weighted one-third in the first half and two-thirds in the second half. Capital expenditures are guided at 12-14% of revenue, elevated year-over-year to support manufacturing capabilities and facility expansion. IRAD guidance remains 7-9% of revenue, and adjusted SG&A is guided at 14-16% of revenue. Stock-based compensation is expected to be approximately $40 million for the full year. The company has 86% revenue visibility based on funded backlog plus year-to-date bookings relative to the guidance midpoint.

AVAV YoY Financials

Q1 2027 vs Q1 2026 · SEC filings Q1 2026 Q1 2027
$0$200.0M$400.0M$454.7M$480.5MRevenue$95.1M$124.6MGross Profit$-5,898,215$-10,871,000Operating Income$-2,631,962$-5,066,000Net Income
$0$200.0M$400.0MRevenueGross ProfitOperating IncomeNet Income

AVAV Revenue by Segment

Autonomous Systems (AxS)$346.0M+21.0%
Precision Strike & Defensive Systems$197.0M+8.0%
Space, Cyber and Directed Energy (SCDE)$134.5M−21.0%
Loitering Munition Systems (LMS)
Uncrewed Aircraft Systems$120.0M+71.0%
Uncrewed Systems (UxS)
Loitering Munitions Systems (LMS)
Cyber & Mission Systems$83.0M−16.0%

Figures from SEC filings and company reports. Not investment advice.