Latest news with #Switchblade
Business Insider
13-05-2025
- Business Insider
Check out the Hellhound, a 375-mph 3D-printed turbojet-powered exploding drone competing for a spot in the US Army's arsenal
A couple feet long, rounded, relatively lightweight, and easy to make, this exploding drone can fly fast and attaches to a rucksack. That's the basics of Hellhound, a loitering munition made by Cummings Aerospace based in Huntsville, Alabama. This kind of weapon features characteristics of both missiles and drones, delivering surveillance and strike in a single package. The Hellhoud recently completed flight tests and a few demonstrations before being submitted to a top US Army drone competition. Earlier in the year, it was tested in the Army's Expeditionary Warrior Experiment 2025. Loitering munitions are becoming more prolific and playing a role in conflicts like the war in Ukraine. As a turbojet-powered drone, the Hellhound is unlike many other loitering munitions. The top speed is nearly three times faster than the popular Switchblade made by AeroVironment. Hellhound wrapped up flight tests earlier this year, and the S3 version of it, which Business Insider saw up close at SOF Week 2025 in Tampa, Florida, is in submission for the US Army's Low Altitude Stalking and Striking Ordnance, or LASSO, program. LASSO requires select companies to build 135 munitions and 35 prototypes immediately. It's a new-start program, the goal of which is to give infantry brigades better stand-off weapons capabilities. Cummings Aerospace's CEO Sheila Cummings told BI that much of how her company is thinking about the Hellhound has been with modularity, ease of manufacturing, and warfighter feedback in mind. She also said the system is affordable but wouldn't disclose a specific cost or price range. At first glance, the Hellhound loitering munition, sitting inside its case, looks a bit like a boogie board. Weighing less than 25 pounds, the weapon is fairly lightweight and easy to pick up and carry. There are straps on the bottom that can attach it to a soldier's rucksack, something Cummings said was a key suggestion from soldiers who wanted the system to be as man-portable as possible. The majority of a Hellhound is 3D printed. Cummings estimated that, depending on the number of printers, they could fully print a Hellhound in a few days at least and a week at most. Any part that isn't 3D-printed is commercial off-the-shelf, an increasingly important quality for the weapons and systems that the US military acquires as it speeds up the process. The US military has been pushing for more of its systems, especially the uncrewed weapon systems, to be suitable for production on a large scale, interchangeable capabilities and components, and supply chain flexibility. There's a growing realization that for future wars, inexpensive, easily made weapons will be needed in mass in a protracted, large-scale conflict against a major rival like China. A key development of the Ukraine war has been how Ukraine has created an arsenal of cheap drones for surveillance and precision strike. That's something militaries around the world are watching closely given how effective it's been. "We're really trying to minimize the exquisite, custom products," Cummings told BI, explaining that the Hellhound's payload, too, can be interchanged with different sensors or warheads depending on what the mission requirements are simply by twisting and unlocking the nose. A defining characteristic of the Hellhound is its turbojet engine. Cummings said it's a differentiator for the system and company as it not only reduces fuel usage but also increases speed. Cummings Aerospace advertises the Hellhound as being able to fly faster than 375 mph with a range of around 25 miles. The turbojet engine is also a commercially available product, Cummings said. She said the munition's shape, sleek and long, also aids with aerodynamics. Cummings Aerospace has imagined Hellhound swarms in the field providing a mix of intelligence, reconnaissance, and surveillance and strike. The focus on loitering munitions — which can, as the name suggests, loiter in an area before diving in to strike a target — comes amid efforts to give troops on the ground stand-off strike capabilities. These weapons have seen widespread use in the war in Ukraine, and Russian loitering munitions, like its Lancet drones and Iranian-made Shaheds, have been high-value targets for Kyiv's forces.
Yahoo
03-04-2025
- Business
- Yahoo
A Ukrainian drone operator says he texts and FaceTimes manufacturers about his drones. It makes better weapons.
A Ukrainian drone operator said he can text and FaceTime with manufacturers. Manufacturers want battlefield feedback and can send replacement parts in a day. He said it means Ukrainian drones are typically better fit for the fight than what is made by Western companies. A Ukrainian drone operator said that he can text and FaceTime with drone manufacturers about how to make and improve the tech, making the weapons better suited for battle. Dimko Zhluktenko, a drone operator with Ukraine's Unmanned Systems Forces who has operated both strike and reconnaissance drones, told Business Insider that working with Ukrainian drones "is much easier because of the communication with the manufacturers." In training, "we would send them videos, pictures, FaceTime or anything" if there were any issues, feedback, or parts that needed to be replaced, he said. Most of the drones that Ukraine's forces are using to fight back against Russia's invasion are being made in Ukraine, but drone operators are also using ones made in the West, like the US's Switchblade and Turkey's Bayraktar. Hundreds of Ukrainian companies, from bigger, government-backed operations to smaller ones working out of garages, are working on making a host of different types of drones. And there is a lot of communication with troops about what works and doesn't. It permits rapid iteration. Zhluktenko said that being able to talk so directly with the manufacturers in Ukraine means that he typically prefers working with Ukrainian drones over Western alternatives. "Normally having the Ukrainian thing is somewhat better just because you can get it to work faster much faster," he said. Ukrainian weapon systems are being built and refined for this specific conflict. He said that "it's not fair to say that all foreign stuff is crappy, but at the same time, I know that in most of the cases, if it's Ukrainian, that is somewhat battle-tested and better fit for our specific battlefield." The problem with working with big Western companies is that there is a "shitload of bureaucracy, and probably you won't get very fair results even after that." In Ukraine, there's a "short feedback loop," he said, where manufacturers start to design a new drone type, drone alteration, or new drone software, and then they work with the operators to quickly design and prototype the most suitable one. He said that drone operators get direct requests from the manufacturers asking them to fly new drone types. It provides feedback for rapid iterative development. He said that the drone makers will hand them the drone and the manual, tell them to fly at the range or in battle, and report back. They don't even care if it gets lost, they just want a detailed report on what could be improved so they can make a better product. It's "essentially market research," he said. Zhluktenko said that manufacturers "want to come to our places" near the battlefield "and see how we operate. They want to see what is that they can do to make our life easier." The close communication allows for speedy repairs and replacements too. That allows Ukraine's troops to keep training or fighting without introducing new delays. Zhluktenko said that sometimes when they have had issues with a drone, "we called the manufacturer and said, 'Guys, we had this kind of issue and something broke off, can we just quickly patch it somehow?'" "And then they'll say, "no problem at all." A replacement part can regularly arrive from the company the next day. "The communication here is tremendously good," Zhluktenko said, noting that they don't have to go through official bureaucratic channels. "It is very direct, and they are very open to help us. They don't need a shit load of documents or anything," he said, telling BI that he hasn't had similar experiences with Western drone manufacturers. Zhluktenko said that in Ukraine, "manufacturers are acting in their best interest" because if the soldiers think the product is good, the companies "can pitch it to the government, the government can buy it, they could scale the production, and Ukraine can win. I think that is the main motivation here." Different from Russia and many Western nations, the way Ukraine is making its drones comes with a host of advantages and disadvantages. It breeds innovation and creates a range of drones that Russia has to learn to defeat, but it also creates more work for operators. It is also a lot harder for any individual company to scale up production. Drones have been used more in Russia's invasion of Ukraine than in any other conflict in history. They have been used for reconnaissance, to track and hit Russian equipment and troops, damage Russian ships at sea, and hit oil refineries in Russia hundreds of miles past the border, among other missions. Volodymyr Zelenskyy said Ukraine produced 2.2 million drones in 2024 and planned to increase that further in 2025. But with a smaller military and a smaller population than Russia, Ukraine still needs all the help it can get, and operators are still using Western drones, including ones purchased directly by soldiers or their supporters from other countries. Ukraine has relied on drones as it dealt with shortages of other equipment, including turning to drones when supplies of ammunition from partners fell short. Ukraine has received billions of dollars in aid from partners, including the US and Europe, but at times that aid has been insufficient. Ukraine has increasingly made more of its own weapons as the war has continued in a bid to become more self-sufficient. Its president said 30% of the military equipment it used in 2024 was made domestically. That matters more as international partners like the US under President Donald Trump become less reliable. Its increased domestic production may not be enough though. Some experts assess Ukraine can only last a few months with no aid from the US. Europe is boosting defense spending and many allies intend to continue supporting Ukraine, but the US was the single largest individual contributor, and some of the most powerful weaponry it was giving Ukraine has no easy replacement. Read the original article on Business Insider
Axios
12-03-2025
- Business
- Axios
BlueHalo CEO: Don't discount the economic "subplot" of national security
The economic nuances of national security are too often neglected, according to Jonathan Moneymaker, the chief executive at defense contractor BlueHalo. "It's easy to focus on military and the traditional aspects of it, but I think there's a subplot of economic power that we don't pay quite enough attention to," he told Axios in an interview. Why he matters: BlueHalo works on everything from laser weapons to space communications. Its arms are used across the globe. And AeroVironment, maker of the Switchblade drone, is buying it for billions. Q: When you hear "future of defense," what comes to mind? A: The future of defense is going to be autonomous, and hopefully that means preservation of life. Q: When will wars be waged solely by robots? A: I don't think they'll ever be waged by robots; man will always wage war. I do think now they're being fought robotically, and I think that will continue. Q: What's the biggest challenge the defense industry faces at the moment? What can be done to alleviate it? A: I think it's budgetary. I think it's prioritization. There's a lot to be done. We've got to stop doing things that aren't working. Q: What region of the world should we be watching? Why? A: China. It's probably been said before. But I think when leaders make bold statements — like China has — you should listen. Q: What's your secret to a successful overnight flight? A: There are no time zones. You have to live in the moment. You land. It's 7am? It doesn't matter where you came from. Q: What's a piece of gear or tech you can't go without? A: I have this phenomenal charger that I got from Amazon. It was like $39, and it has all the cords built into it. It's amazing.
Yahoo
04-03-2025
- Business
- Yahoo
AeroVironment Announces Fiscal 2025 Third Quarter Results
ARLINGTON, Va., March 04, 2025--(BUSINESS WIRE)--AeroVironment, Inc. ("AeroVironment" or the "Company") reported today financial results for the fiscal third quarter ended January 25, 2025. Third Quarter Highlights: Record funded backlog of $763.5 million as of January 25, 2025 Third quarter revenue of $167.6 million down 10% year-over-year Third quarter net loss of $(1.8) million and non-GAAP adjusted EBITDA of $21.8 million "We faced a number of short-term challenges in the third quarter, including the unprecedented high winds and fires in Southern California, which impacted our ability to meet our goals," said Wahid Nawabi, AeroVironment chairman, president and chief executive officer. "Nevertheless, we made significant progress towards executing our long-term growth strategy and building resiliency for the future. "This quarter, we booked record Switchblade and Jump-20 orders, which helped expand our backlog to a record $764 million. We also announced our new Utah manufacturing facility, which will more than double our Switchblade capacity and provide resiliency against regional weather events. Finally, we made significant progress towards completing our BlueHalo acquisition, which we now expect to close in the second quarter of calendar year 2025. While this has been a transition year pivoting away from Ukraine demand, we still expect a strong fiscal year 2025 including record fourth quarter revenue." FISCAL 2025 THIRD QUARTER RESULTS Revenue for the third quarter of fiscal 2025 was $167.6 million, a decrease of 10% as compared to $186.6 million for the third quarter of fiscal 2024, reflecting lower product sales and service revenue of $16.2 million and $2.8 million, respectively. From a segment standpoint, the year-over-year decrease was due to a revenue decrease in UnCrewed Systems ("UxS") of 44%, partially offset by revenue increases in Loitering Munitions Systems ("LMS") of 46% and MacCready Works ("MW") of 28%. The January 2025 Southern California high winds, fires and resulting blackouts and shutdowns negatively impacted revenue for the three months ended January 25, 2025. Gross margin for the third quarter of fiscal 2025 was $63.2 million, a decrease of 6% as compared to $67.3 million for the third quarter of fiscal 2024, reflecting lower service gross margin of $6.4 million, partially offset by higher product margin of $2.3 million. As a percentage of revenue, gross margin increased to 38% from 36%, primarily due to increases in LMS product margins driven by favorable contract definitizations in Q2 and increased LMS sales volume, partially offset by lower service margins driven by lower volumes. Loss from operations for the third quarter of fiscal 2025 was $(3.1) million as compared to income from operations of $14.3 million for the third quarter of last fiscal year. The decrease year-over-year was primarily due to an increase in selling, general and administrative ("SG&A") expense of $16.0 million, which includes an increase of $10.1 million of acquisition related expenses resulting from our expected acquisition of BlueHalo, and a decrease in gross margin of $4.1 million, partially offset by a decrease in research and development ("R&D") expense of $2.6 million. Other income, net, for the third quarter of fiscal 2025 was $0.7 million, as compared to $0.9 million for the third quarter of last fiscal year. Benefit from income taxes for the third quarter of fiscal 2025 was $(0.6) million, as compared to provision for income taxes of $1.3 million for the third quarter of last fiscal year. Net loss for the third quarter of fiscal 2025 was $(1.8) million, or $(0.06) per diluted share, as compared to net income of $13.9 million, or $0.50 per diluted share, in the prior-year period, respectively. Non-GAAP adjusted EBITDA for the third quarter of fiscal 2025 was $21.8 million and non-GAAP earnings per diluted share were $0.30, as compared to $28.8 million and $0.63, respectively, for the third quarter of fiscal 2024. BACKLOG As of January 25, 2025, funded backlog (defined as remaining performance obligations under firm orders for which funding is currently appropriated to us under a customer contract) was $763.5 million, as compared to $400.2 million as of April 30, 2024. The Department of the Army issued a stop-work order on certain existing U.S. government contracts, previously awarded to the Company for foreign military sales funded by the U.S. government via foreign military financing. As of January 25, 2025, funded backlog included approximately $13 million impacted by the stop-work orders. FISCAL 2025 — OUTLOOK FOR THE FULL YEAR For fiscal year 2025, the Company now expects revenue of between $780 million and $795 million, non-GAAP adjusted EBITDA of between $135 million and $142 million, and non-GAAP earnings per diluted share of between $2.92 and $3.13. This guidance does not include the forecasted financial results associated with the anticipated acquisition of BlueHalo or certain acquisition related expenses which are contingent upon the consummation of the acquisition. The Company cannot provide a reconciliation to GAAP net income or earnings per diluted share without unreasonable efforts due to the inherent difficulty of forecasting the timing and/or amount of the acquisition related expenses that have not yet occurred (and have been excluded from the adjusted measures). Acquisition related expenses for the fiscal year ending April 30, 2025, which are expected to be significant, will be materially impacted by the timing of the close of the acquisition and, amongst other factors, shareholder approval, and required regulatory approvals, which are, in part, outside the control of the Company. As the Company cannot predict the amount or timing of acquisition related expenses with a reasonable degree of accuracy, the Company believes such reconciliation could imply a degree of precision that might be confusing or misleading to investors. The foregoing estimates are forward-looking and reflect management's view of current and future market conditions, subject to certain risks and uncertainties, including certain assumptions with respect to our ability to efficiently and on a timely basis integrate acquisitions, obtain and retain government contracts, changes in the timing and/or amount of government spending, react to changes in the demand for our products and services, activities of competitors, changes in the regulatory environment, and general economic and business conditions in the United States and elsewhere in the world. Investors are reminded that actual results may differ materially from these estimates and investors should review all risks related to achievement of the guidance reflected under "forward-looking statements" below and in the Company's filings with the Securities and Exchange Commission. CONFERENCE CALL AND PRESENTATION In conjunction with this release, AeroVironment, Inc. will host a conference call today, Tuesday, March 4, 2025, at 4:30 pm Eastern Time that will be webcast live. Wahid Nawabi, chairman, president and chief executive officer, Kevin P. McDonnell, senior vice president and chief financial officer and Jonah Teeter-Balin, vice president corporate development and investor relations, will host the call. Investors may access the call by registering via the following participant registration link up to ten minutes prior to the start time. Participant registration URL: Investors may also listen to the live audio webcast via the Investor Relations page of the AeroVironment, Inc. website, Please allow 15 minutes prior to the call to download and install any necessary audio software. A supplementary investor presentation for the third quarter fiscal year 2025 can be accessed at Audio Replay An audio replay of the event will be archived on the Investor Relations section of the Company's website at ABOUT AEROVIRONMENT, INC. AeroVironment (NASDAQ: AVAV) provides technology solutions at the intersection of robotics, sensors, software analytics and connectivity that deliver more actionable intelligence so you can Proceed with Certainty. Headquartered in Virginia, AeroVironment is a global leader in intelligent, multi-domain robotic systems, and serves defense, government and commercial customers. For more information, visit FORWARD-LOOKING STATEMENTS This press release contains "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 "will," "believe," "anticipate," "expect," "estimate," "intend," "project," "plan," or words or phrases with similar meaning. Forward-looking statements are based on current expectations, forecasts and assumptions that involve risks and uncertainties, including, but not limited to, economic, competitive, governmental and technological factors outside of our control, that may cause our business, strategy or actual results to differ materially from the forward-looking statements. Factors that could cause actual results to differ materially from the forward-looking statements include, but are not limited to, the impact of our ability to successfully close and integrate acquisitions into our operations and avoid disruptions from acquisition transactions that will harm our business; the recording of goodwill and other intangible assets as part of acquisitions that are subject to potential impairments in the future and any realization of such impairments; any actual or threatened disruptions to our relationships with our distributors, suppliers, customers and employees, including shortages in components for our products, including due to restrictions and sanctions imposed by foreign governments; the ability to timely and sufficiently integrate international operations into our ongoing business and compliance programs; reliance on sales to the U.S. government, including uncertainties in classification, pricing or potentially burdensome imposed terms for certain types of government contracts; availability of U.S. government funding for defense procurement and R&D programs; our ability to win U.S. and international government R&D and procurement programs, including foreign military financing aid; changes in the timing and/or amount of government spending, including due to continuing resolutions; adverse impacts of a U.S. government shutdown; our ability to consummate the acquisition of BlueHalo and realize the anticipated benefits of the transaction; our reliance on limited relationships to fund our development of HAPS UAS; our ability to execute contracts for anticipated sales, perform under such contracts and other existing contracts and obtain new contracts; risks related to our international business, including compliance with export control laws; the extensive and increasing regulatory requirements governing our contracts with the U.S. government and international customers; the consequences to our financial position, business and reputation that could result from failing to comply with such regulatory requirements; unexpected technical and marketing difficulties inherent in major research and product development efforts; the impact of potential security and cyber threats or the risk of unauthorized access to and resulting misuse of our, our customers' and/or our suppliers' information and systems; failure to remain a market innovator, to create new market opportunities or to expand into new markets; our ability to increase production capacity to support anticipated growth; unexpected changes in significant operating expenses, including components and raw materials; failure to develop new products or integrate new technology into current products; any increase in litigation activity or unfavorable results in legal proceedings, including pending class actions; or litigation that may arise from our pending acquisition of BlueHalo; our ability to execute a lease for our new Salt Lake City, Utah facility; our ability to respond and adapt to legal, regulatory and government budgetary changes; our ability to comply with the covenants in our loan documents; and our merger agreement with BlueHalo; our ability to attract and retain skilled employees, including retention of BlueHalo employees post-acquisition; the impact of inflation; and general economic and business conditions in the United States and elsewhere in the world; and the failure to establish and maintain effective internal control over financial reporting. For a further list and description of such risks and uncertainties, see the reports we file with the Securities and Exchange Commission. We do not intend, and undertake no obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise. ADDITIONAL INFORMATION AND WHERE TO FIND IT This press release references the proposed transaction between the Company and BlueHalo. In connection with the proposed transaction, the Company has filed with the SEC a registration statement on Form S-4, which includes a proxy statement and a prospectus, to register the shares of the Company stock that will be issued to BlueHalo's equityholders, which became effective February 12, 2025 and has been mailed to Company stockholders as of the applicable record date (the "Proxy and Registration Statement"), as well as other relevant documents regarding the proposed transaction. INVESTORS ARE URGED TO READ IN THEIR ENTIRETY THE PROXY AND REGISTRATION STATEMENT REGARDING THE TRANSACTION AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE THEY CONTAIN IMPORTANT INFORMATION. A free copy of the Proxy and Registration Statement, as well as other filings containing information about the Company, may be obtained at the SEC's website ( You will also be able to obtain these documents, free of charge, from the Company at or by emailing ir@ PARTICIPANTS IN THE SOLICITATION The Company and its respective directors and executive officers may be deemed to be participants in the solicitation of proxies from its respective stockholders in respect of the proposed transactions contemplated by the Proxy and Registration Statement. Information regarding the persons who are, under the rules of the SEC, participants in the solicitation of the stockholders of the Company in connection with the proposed transactions, including a description of their direct or indirect interests, by security holdings or otherwise, will be set forth in the Proxy and Registration Statement when it is filed with the SEC. Information regarding the Company's directors and executive officers is contained in its Annual Report on Form 10-K for the year ended April 30, 2024 and its Proxy Statement on Schedule 14A, dated August 12, 2024, which are filed with the SEC. NO OFFER OR SOLICITATION This press release is not intended to and does not constitute an offer to sell or the solicitation of an offer to subscribe for or buy or an invitation to purchase or subscribe for any securities or the solicitation of any vote in any jurisdiction pursuant to the proposed transactions or otherwise, nor shall there be any sale, issuance or transfer of securities in any jurisdiction in contravention of applicable law. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act. Subject to certain exceptions to be approved by the relevant regulators or certain facts to be ascertained, the public offer will not be made directly or indirectly, in or into any jurisdiction where to do so would constitute a violation of the laws of such jurisdiction, or by use of the mails or by any means or instrumentality (including without limitation, facsimile transmission, telephone and the internet) of interstate or foreign commerce, or any facility of a national securities exchange, of any such jurisdiction. NON-GAAP MEASURES In addition to the financial measures prepared in accordance with generally accepted accounting principles (GAAP), this earnings release also contains non-GAAP financial measures. See in the financial tables below the calculation of these measures, the reasons why we believe these measures provide useful information to investors, and a reconciliation of these measures to the most directly comparable GAAP measures. – Financial Tables Follow – AeroVironment, Inc. Consolidated Statements of Operations (In thousands except share and per share data) Three Months Ended Nine Months Ended January 25, January 27, January 25, January 27, 2025 2024 2025 2024 (Unaudited) (Unaudited) Revenue: Product sales $ 139,753 $ 155,923 $ 450,488 $ 421,173 Contract services 27,883 30,655 95,089 98,568 167,636 186,578 545,577 519,741 Cost of sales: Product sales 81,001 99,486 253,572 240,126 Contract services 23,436 19,805 73,701 71,318 104,437 119,291 327,273 311,444 Gross margin: Product sales 58,752 56,437 196,916 181,047 Contract services 4,447 10,850 21,388 27,250 63,199 67,287 218,304 208,297 Selling, general and administrative 43,788 27,826 115,499 79,800 Research and development 22,498 25,127 75,827 62,618 (Loss) income from operations (3,087 ) 14,334 26,978 65,879 Other income (loss): Interest expense, net (248 ) (114 ) (1,177 ) (4,072 ) Other income (expense), net 976 1,004 758 (2,983 ) (Loss) income before income taxes (2,359 ) 15,224 26,559 58,824 (Benefit from) provision for income taxes (605 ) 1,259 659 3,710 Equity method investment income (loss), net of tax — (80 ) 1,055 (1,494 ) Net (loss) income (1,754 ) 13,885 26,955 53,620 Net (loss) income per share Basic $ (0.06 ) $ 0.50 $ 0.96 $ 1.99 Diluted $ (0.06 ) $ 0.50 $ 0.96 $ 1.98 Weighted-average shares outstanding: Basic 28,031,901 27,907,568 28,001,089 26,957,061 Diluted 28,031,901 28,044,127 28,171,089 27,061,409 AeroVironment, Inc. Consolidated Balance Sheets (In thousands except share data) January 25, April 30, 2025 2024 (Unaudited) Assets Current assets: Cash and cash equivalents $ 47,000 $ 73,301 Accounts receivable, net of allowance for doubtful accounts of $94 at January 25, 2025 and $159 at April 30, 2024 81,231 70,305 Unbilled receivables and retentions 229,651 199,474 Inventories, net 147,973 150,168 Income taxes receivable 15,112 — Prepaid expenses and other current assets 22,919 22,333 Total current assets 543,886 515,581 Long-term investments 25,522 20,960 Property and equipment, net 49,587 46,602 Operating lease right-of-use assets 31,696 30,033 Deferred income taxes 41,303 41,303 Intangibles, net 57,780 72,224 Goodwill 275,289 275,652 Other assets 23,080 13,505 Total assets $ 1,048,143 $ 1,015,860 Liabilities and stockholders' equity Current liabilities: Accounts payable $ 48,766 $ 48,298 Wages and related accruals 36,550 44,312 Customer advances 12,064 11,192 Current portion of long-term debt — 10,000 Current operating lease liabilities 9,365 9,841 Income taxes payable 25 4,162 Other current liabilities 22,138 17,074 Total current liabilities 128,908 144,879 Long-term debt, net of current portion 25,000 17,092 Non-current operating lease liabilities 24,820 22,745 Other non-current liabilities 2,106 2,132 Liability for uncertain tax positions 5,603 5,603 Deferred income taxes 651 664 Commitments and contingencies Stockholders' equity: Preferred stock, $0.0001 par value: Authorized shares—10,000,000; none issued or outstanding at January 25, 2025 and April 30, 2024 — — Common stock, $0.0001 par value: Authorized shares—100,000,000 Issued and outstanding shares—28,219,440 shares at January 25, 2025 and 28,134,438 shares at April 30, 2024 4 4 Additional paid-in capital 609,606 597,646 Accumulated other comprehensive loss (6,197 ) (5,592 ) Retained earnings 257,642 230,687 Total stockholders' equity 861,055 822,745 Total liabilities and stockholders' equity $ 1,048,143 $ 1,015,860 AeroVironment, Inc. Consolidated Statements of Cash Flows (In thousands) Nine Months Ended January 25, January 27, 2025 2024 (Unaudited) Operating activities Net income $ 26,955 $ 53,620 Adjustments to reconcile net income to cash (used in) provided by operating activities: Depreciation and amortization 27,144 24,969 (Gain) loss from equity method investments (1,055 ) 1,494 Amortization of debt issuance costs 1,121 638 Provision for doubtful accounts (64 ) (67 ) Reserve for inventory excess and obsolescence 2,025 11,668 Other non-cash expense, net 1,810 783 Non-cash lease expense 7,379 6,923 (Gain) loss on foreign currency transactions (22 ) 54 Unrealized (gain) loss on available-for-sale equity securities, net (1,187 ) 2,712 Deferred income taxes — (1,604 ) Stock-based compensation 15,518 12,425 Loss on disposal of property and equipment 201 115 Changes in operating assets and liabilities, net of acquisitions: Accounts receivable (11,095 ) 36,387 Unbilled receivables and retentions (30,172 ) (41,950 ) Inventories (1,167 ) (31,901 ) Income taxes receivable (14,738 ) (8,081 ) Prepaid expenses and other assets (9,314 ) (15,896 ) Accounts payable (1,359 ) (10,003 ) Other liabilities (13,034 ) (15,321 ) Net cash (used in) provided by operating activities (1,054 ) 26,965 Investing activities Acquisition of property and equipment (14,292 ) (13,901 ) Contributions in equity method investments (2,309 ) (1,875 ) Acquisition of intangibles — (1,500 ) Business acquisitions, net of cash acquired — (24,156 ) Net cash used in investing activities (16,601 ) (41,432 ) Financing activities Principal payments of term loan (28,000 ) (95,000 ) Holdback and retention payments for business acquisition (390 ) (500 ) Payment of contingent consideration — (2,132 ) Proceeds from shares issued, net of issuance costs — 88,437 Proceeds from revolving credit facility 25,000 — Payment of debt issuance costs (1,056 ) (37 ) Payment of equity issuance costs (365 ) — Tax withholding payment related to net settlement of equity awards (4,064 ) (1,370 ) Exercise of stock options 506 — Other (19 ) (19 ) Net cash used in financing activities (8,388 ) (10,621 ) Effects of currency translation on cash and cash equivalents (258 ) (77 ) Net decrease in cash and cash equivalents (26,301 ) (25,165 ) Cash and cash equivalents at beginning of period 73,301 132,859 Cash and cash equivalents at end of period $ 47,000 $ 107,694 Supplemental disclosures of cash flow information Cash paid, net during the period for: Income taxes $ 19,342 $ 15,195 Interest $ 1,196 $ 5,850 Non-cash activities Issuance of common stock for business acquisition $ — $ 109,820 Change in foreign currency translation adjustments $ (605 ) $ (436 ) Acquisitions of property and equipment included in accounts payable $ 1,608 $ 2,519 AeroVironment, Inc. Reportable Segment Results (Unaudited) (In thousands) Three Months Ended January 25, 2025 UxS LMS MW Total Revenue: Product sales $ 57,848 $ 80,206 $ 1,699 $ 139,753 Contract services 5,902 3,735 18,246 27,883 $ 63,750 $ 83,941 $ 19,945 $ 167,636 Segment adjusted gross margin $ 29,418 $ 33,008 $ 4,476 Three Months Ended January 27, 2024 UxS LMS MW Total Revenue: Product sales $ 104,522 $ 51,338 $ 63 $ 155,923 Contract services 8,768 6,320 15,567 30,655 $ 113,290 $ 57,658 $ 15,630 $ 186,578 Segment adjusted gross margin $ 50,050 $ 17,980 $ 3,294 AeroVironment, Inc. Reconciliation of non-GAAP Earnings per Diluted Share (Unaudited) Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended January 25, 2025 January 27, 2024 January 25, 2025 January 27, 2024 (Loss) earnings per diluted share $ (0.06 ) $ 0.50 $ 0.96 $ 1.98 Acquisition-related expenses 0.28 — 0.39 0.05 Amortization of acquired intangible assets 0.13 0.16 0.40 0.38 Equity method and equity securities investments activity, net (0.05 ) (0.03 ) (0.08 ) 0.16 Earnings per diluted share as adjusted (non-GAAP) $ 0.30 $ 0.63 $ 1.67 $ 2.57 Reconciliation of non-GAAP adjusted EBITDA (Unaudited) Three Months Ended Three Months Ended Nine Months Ended Nine Months Ended (in millions) January 25, 2025 January 27, 2024 January 25, 2025 January 27, 2024 Net (loss) income $ (1.8 ) $ 13.9 $ 27.0 $ 53.6 Interest expense, net 0.2 0.1 1.2 4.1 (Benefit for) provision for income taxes (0.6 ) 1.3 0.7 3.7 Depreciation and amortization 9.4 9.6 27.1 25.0 EBITDA (non-GAAP) 7.2 24.9 56.0 86.4 Stock-based compensation 5.4 4.2 15.5 12.4 Equity method and equity securities investments activity, net (1.5 ) (0.7 ) (2.2 ) 4.2 Amortization of cloud computing arrangement implementation 0.7 0.5 1.9 0.9 Acquisition-related expenses 10.0 (0.1 ) 13.7 1.7 Adjusted EBITDA (non-GAAP) $ 21.8 $ 28.8 $ 84.9 $ 105.6 Statement Regarding Non-GAAP Measures The non-GAAP measures set forth above should be considered in addition to, and not as a replacement for or superior to, the comparable GAAP measures, and may not be comparable to similarly titled measures reported by other companies. Management believes that these measures provide useful information to investors by offering additional ways of viewing our results that, when reconciled to the corresponding GAAP measures, help our investors to understand the long-term profitability trends of our business and compare our profitability to prior and future periods and to our peers. In addition, management uses these non-GAAP measures to evaluate our operating and financial performance. Non-GAAP Earnings per Diluted Share We exclude acquisition-related expenses, amortization of acquisition-related intangible assets, equity securities investments gains or losses, goodwill impairment and one-time non-operating items because we believe this facilitates more consistent comparisons of operating results over time between our newly acquired and existing businesses, and with our peer companies. We believe, however, that it is important for investors to understand that such intangible assets contribute to revenue generation and that intangible asset amortization will recur in future periods until such intangible assets have been fully amortized. Adjusted EBITDA (Non-GAAP) Adjusted EBITDA is defined as net income before interest income, interest expense, income tax expense (benefit) and depreciation and amortization, adjusted for the impact of certain other non-cash items, including amortization of implementation of cloud computing arrangements, stock-based compensation, acquisition related expenses, equity method investment gains or losses, equity securities investments gains or losses, goodwill impairment and one-time non-operating gains or losses. We present Adjusted EBITDA, which is not a recognized financial measure under U.S. GAAP, because we believe it is frequently used by analysts, investors and other interested parties to evaluate companies in our industry. We believe this facilitates more consistent comparisons of operating results over time between our newly acquired and existing businesses, and with our peer companies. We believe, however, that it is important for investors to understand that such intangible assets contribute to revenue generation, intangible asset amortization will recur in future periods until such intangible assets have been fully amortized and that interest and income tax expenses will recur in future periods. In addition, Adjusted EBITDA may not be comparable to similarly titled measures used by other companies in our industry or across different industries. View source version on Contacts Jonah Teeter-Balin+1 (805) 520-8350 x4278https:// Sign in to access your portfolio
Yahoo
06-02-2025
- Business
- Yahoo
Why AeroVironment Stock Zoomed Nearly 8% Higher on Tuesday
Drone specialist AeroVironment (NASDAQ: AVAV) saw its stock gain notable altitude on Tuesday, thanks to an update from the company on a lucrative government contract. The company's share price soared almost 8% higher on the day, comparing very favorably to the S&P 500's (SNPINDEX: ^GSPC) relatively marginal (0.7%) rise. AeroVironment announced just after market close on Monday that it had been awarded a new delivery order for its Switchblade loitering munition systems. This is part of a broader contract worth as much as $990 million from the U.S. Army, totaling $288 million worth of the well-reputed drone system. It is also the third delivery order within the Army's directed requirement for lethal unmanned systems contract. In the press release divulging the news, AeroVironment quoted its general manager of loitering munition systems Brett Hush as saying that his company continues "to deliver for the U.S. Army with our superior supply chain and manufacturing capacity." The contract was awarded to AeroVironment in August 2024, and it was by far the largest in the company's history. The Pentagon was clearly eager to partner with AeroVironment, as the language of the contract all but specified a call for Switchblades. AeroVironment is a popular defense stock these days, and for good reason. Drones have become a near-indispensable weapon of war, as evidenced by their heavy use in the Ukraine-Russia war. The company is on the cutting edge of military technology, and especially with the Army contract, it should remain a high-profile and important supplier. Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $302,501!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $43,181!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $527,934!* Right now, we're issuing 'Double Down' alerts for three incredible companies, and there may not be another chance like this anytime soon.*Stock Advisor returns as of February 3, 2025 Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends AeroVironment. The Motley Fool has a disclosure policy. Why AeroVironment Stock Zoomed Nearly 8% Higher on Tuesday was originally published by The Motley Fool Sign in to access your portfolio
