Thu, Sep 5, 10:02 AM (131 days ago)
AeroVironment, Inc. reported significant growth in its financial performance for the quarter ended July 27, 2024, with revenues increasing 24% to $189.5 million compared to $152.3 million in the same period last year. This growth was primarily driven by a $40 million rise in product sales, particularly from the Switchblade and uncrewed systems, despite a decrease in contract services revenue. Gross margin remained stable at 43%, while selling, general, and administrative expenses rose due to increased sales and marketing efforts. Net income slightly decreased to $21.2 million from $21.9 million, reflecting higher operating expenses and interest costs. Cash flow from operations improved significantly, generating $28.4 million compared to a net outflow of $17.1 million in the prior year, attributed to favorable changes in working capital. The company’s funded backlog decreased to approximately $372.9 million, with $141.1 million classified as unfunded. Future operations may be impacted by ongoing government contract negotiations and potential delays in budget approvals. The firm continues to face uncertainties related to market conditions and competition, but expects robust demand for its products due to geopolitical factors.