AEROVIRONMENT Reports First Quarter Earnings Results for FY2024
September 13, 2023
🌥️Earnings Overview
On September 5 2023, AEROVIRONMENT ($NASDAQ:AVAV) announced the release of their first quarter earnings results for FY2024 that ended on July 31 2023. Total revenue was USD 152.3 million, showing a 40.4% increase from the same quarter the previous year. In addition, net income increased from a -8.4 million loss to a USD 21.9 million profit.
Price History
The company’s stock opened the day at $97.6 and closed at $95.3, a decrease of 2.8% from the prior closing price of 98.0. AEROVIRONMENT’s earnings results were largely within expectations, though the overall performance of the company’s stock still experienced some losses during the day’s trading. AEROVIRONMENT’s performance in the first quarter of FY2024 was largely in line with expectations, though it was still significantly down from the same period last year. The company’s performance in the first quarter of FY2024 highlights the challenges that AEROVIRONMENT has been facing this year as it works to grow its presence in the marketplace.
While the company has been able to maintain strong financial performance, it has yet to make significant progress in terms of market share and customer acquisition. As such, AEROVIRONMENT will need to continue to focus on its innovation and marketing efforts if it is to achieve its long-term goals. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Aerovironment. AEROVIRONMENT_Reports_First_Quarter_Earnings_Results_for_FY2024″>More…
| Total Revenues | Net Income | Net Margin |
| 584.37 | -145.92 | -0.9% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Aerovironment. AEROVIRONMENT_Reports_First_Quarter_Earnings_Results_for_FY2024″>More…
| Operations | Investing | Financing |
| -21.55 | -14.42 | 47.85 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Aerovironment. AEROVIRONMENT_Reports_First_Quarter_Earnings_Results_for_FY2024″>More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 826.06 | 251.51 | 21.85 |
Key Ratios Snapshot
Some of the financial key ratios for Aerovironment are shown below. AEROVIRONMENT_Reports_First_Quarter_Earnings_Results_for_FY2024″>More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 16.7% | -44.3% | -25.7% |
| FCF Margin | ROE | ROA |
| -5.9% | -16.7% | -11.4% |
Analysis
GoodWhale conducted an analysis of AEROVIRONMENT‘s wellbeing and the results were quite interesting. Our Star Chart indicated that AEROVIRONMENT is strong in assets, growth, and medium in profitability while weak in dividend. Based on these results, we classified AEROVIRONMENT as a ‘cheetah’. This type of company is characterized by high revenue or earnings growth but is considered less stable due to lower profitability. Our analysis also indicates that investors who are looking for high growth with less stability may be interested in AEROVIRONMENT. Despite the lower profitability, AEROVIRONMENT has a high health score of 8/10 considering its cashflows and debt. This suggests that AEROVIRONMENT is capable of paying off debt and funding future operations. More…
Peers
The U.S. drone market is expected to be worth $11.9 billion by 2025 and AeroVironment Inc is one of the leading companies in this industry. The company designs, manufactures, and sells unmanned aircraft systems (UAS) and related products for both the commercial and government markets. Its main competitors are Lockheed Martin Corp, Northrop Grumman Corp, and Elbit Systems Ltd.
– Lockheed Martin Corp ($NYSE:LMT)
Lockheed Martin Corp is a global security and aerospace company that is principally engaged in the research, design, development, manufacture, integration, and sustainment of advanced technology systems, products, and services. The company has a market cap of 121.57B as of 2022 and a Return on Equity of 40.32%. Lockheed Martin’s products and services are organized into four business segments: Aeronautics, Space, Missiles & Fire Control, and Rotary & Mission Systems. The company serves customers in the US Department of Defense, the US intelligence community, the US Federal Government, international governments, and commercial customers.
– Northrop Grumman Corp ($NYSE:NOC)
Northrop Grumman Corporation is an American global aerospace and defense technology company formed by the 1994 purchase of Grumman by Northrop. The company is headquartered in West Falls Church, Virginia. Northrop Grumman ranks number one hundred in the 2018 Fortune 500 list of America’s largest corporations and ranks in the top ten military-friendly employers. The company conducts research, development, and production of products and services for the U.S. government and commercial customers in the areas of aircraft, navigation, sensors, electronics warfare, space systems, cybersecurity, and logistics.
– Elbit Systems Ltd ($NASDAQ:ESLT)
Elbit Systems Ltd is a market leader in Israel for providing military technology and equipment. The company has a wide range of products that include unmanned aircraft, cyber-security solutions, and intelligent military systems. Elbit Systems Ltd has a market cap of 8.79B as of 2022, a return on equity of 9.1%. The company has a strong focus on research and development, and has been involved in many cutting-edge projects in recent years. Elbit Systems Ltd is well-positioned to continue its growth in the coming years.
Summary
Aerovironment, Inc. reported strong financial results for the first quarter of FY2024 with total revenue increasing 40.4% year-over-year to USD 152.3 million and net income of USD 21.9 million, marking a turnaround from the -8.4 million loss seen in the same quarter of the previous year. Investors may view this as a positive sign, suggesting the company has seen strong performance in the quarter and is on track for continued growth. Analysts may want to keep an eye on Aerovironment’s revenue and earnings trends over the coming quarters to gain further insights into the company’s financial health.
