AeroVironment Inc. (AVAV) reports earnings

The report was filed on December 5, 2024

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AeroVironment Inc. (AVAV+1.68%) has submitted its 10-Q filing for the quarterly period ended October 26, 2024.

The filing includes financial statements for the quarter, showing an increase in revenue to $188.5 million from $180.8 million in the same quarter the previous year. The increase is attributed to higher demand for loitering munitions systems.

Cost of sales for the quarter was $114.8 million, representing 61% of sales, compared to 58% in the same quarter of the previous year. This increase in cost ratio is due to a mix shift towards lower margin products.

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The company reported a gross margin of $73.6 million for the quarter, compared to $75.4 million in the previous year, with the decline attributed to increased costs.

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Selling, general, and administrative expenses increased to $37.9 million from $28.1 million, primarily due to higher employee-related expenses and acquisition-related costs.

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Research and development expenses rose to $28.7 million from $22.0 million, reflecting increased investment in product development.

Net income for the quarter was $7.5 million, down from $17.8 million in the previous year. The decrease is attributed to increased costs and expenses.

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Cash provided by operating activities was $24.7 million, while cash used in investing and financing activities was $11.6 million and $17.5 million, respectively.

AeroVironment had a funded backlog of $467.1 million as of October 26, 2024. The company expects to recognize a significant portion of this backlog as revenue in the coming fiscal year.

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The filing also details the company's recent acquisition of Tomahawk Robotics, Inc., which was completed on September 15, 2023, for a purchase price of $134.4 million.

AeroVironment is engaged in ongoing legal proceedings related to labor claims in California, which could impact future financial results.

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The company continues to focus on expanding its product offerings and enhancing its market position in the defense industry.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the AeroVironment Inc. quarterly 10-Q report dated December 5, 2024. To report an error, please email earnings@qz.com.