AeroVironment Stock Takes Off On Q1 Results: What's Fueling The Move?

AeroVironment Inc AVAV shares are trading higher in Tuesday's after-hours session after the company reported better-than-expected financial results. 

• Q1 Revenue: $152.3 million beat estimates of $137.24 million
• Q1 EPS: $1.00 beat estimates of 40 cents

Revenues were up 40% on a year-over-year basis driven by higher shipments across all business segments. Net income jumped 361% to $21.9 million. The company ended the quarter with a backlog of $539.7 million, up 27% sequentially. 

"We took steps to further strengthen and expand our product portfolio through our previously announced acquisition of Tomahawk Robotics. This transaction – which is expected to close in the second quarter – will add common control solutions with advanced open standard communications technologies – namely the Kinesis Ecosystem – to our current AI enabled software suite," said Wahid Nawabi, chairman, president and CEO of AeroVironment. 

"We expect that this acquisition enhances AeroVironment's existing control and communications solutions, opens up adjacent market opportunities, enables multi-domain integration across all unmanned platforms, and brings additional top notch software engineering talent to our growing team."

From Last Month: AeroVironment Bolsters Unmanned Systems Segment Via Tomahawk Robotics Deal

Outlook: AeroVironment raised its full-year 2024 guidance. The company now expects full-year revenue to be between $645 million and $675 million versus estimates of $655.88 million. Full-year adjusted earnings are now expected to be between $2.30 and $2.60 per share versus estimates of $2.60 per share. 

Management will hold a conference call to discuss the quarter at 4:30 p.m. ET.

AVAV Price Action: Aerovironment shares were up 12.3% after hours at $106.96 at the time of publication, according to Benzinga Pro.

Photo: courtesy of AeroVironment.