AeroVironment Climbs 19% After Strong Earnings Beat, Backlog Surges to $1.2 B

Aerovironment’s shares surged 19% after hours on Monday, as the aerospace‑drone maker reported fourth‑quarter results that beat both earnings and revenue expectations.

The company posted earnings of $1.84 per share, comfortably outpacing the $1.46 consensus estimate, while revenue climbed to $642 million versus the $559 million forecast.

CEO Wahid Nawabi said in a statement that Aerovironment is well positioned to benefit from the growing global demand for drones, counter‑drones, and space‑related technologies.

The firm’s funded backlog reached $1.2 billion, an increase of 65% from a year earlier, and autonomous‑systems revenue hit $492 million—well ahead of the $402 million StreetAccount expectation.

Nawabi discussed the company’s Simi Valley, California, facility with CNBC’s Morgan Brennan, noting that recent conflicts in Ukraine and Iran have fundamentally changed warfare dynamics.

“We knew that this inflection point was going to happen sooner or later,” Nawabi said. “These recent conflicts have pushed this issue to the forefront.”

Aerovironment recorded net income of $63.17 million in Q4 2026, or $1.25 per share—up from $16.66 million ($0.59 per share) a year earlier.

For fiscal year 2027, the company projects revenue of $2.13 billion to $2.23 billion, compared with a consensus estimate of $2.17 billion. Adjusted EPS guidance ranges from $3.02 to $3.34, versus the $3.94 per share estimate.

Shares have fallen more than 40% this year, yet with the U.S. Defense Department’s drone budget potentially exceeding $75 billion next year, Aerovironment identifies a significant opportunity ahead.

“Not only is the U.S. Department of War, but all of our allies, lagging in adoption and deployment,” Nawabi said. “Our military is playing catch‑up at a fast pace.”

AeroVironment stock chart.

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