AeroVironment reports record $642M Q4 revenue but $265M FY26 loss on goodwill impairment

AeroVironment disclosed fourth quarter fiscal 2026 financial results for the period ended April 30, 2026, furnished via an investor presentation. The 8-K references Item 2.02 (which typically covers earnings announcements) and makes the presentation available on the company's investor relations website.

AeroVironment reported record Q4 revenue of $641.6 million (up 133% YoY) and full-year revenue of $1.98 billion (up 141% YoY). The BlueHalo and Empirical Systems acquisitions contributed $282.3 million to Q4 revenue. Despite strong top-line growth, the company posted a net loss of $641.6 million for fiscal 2026, primarily due to a $240.7 million goodwill impairment charge.

The company recorded a $240.7 million goodwill impairment charge in fiscal 2026, compared to an $18.4 million UGV goodwill impairment in the prior year. This charge drove the company to an operating loss of $311.0 million for the full year and a net loss of $265.1 million, despite strong revenue growth from acquisitions.

AeroVironment reported $2.7 billion in bookings for fiscal 2026 with a book-to-bill ratio of 1.4, indicating orders exceeded revenue. Funded backlog stood at $1.2 billion as of April 30, 2026, up from $726.6 million a year earlier, providing visibility into future revenue.

Management guided fiscal 2027 revenue to $2.125–$2.225 billion, representing modest growth from fiscal 2026's $1.98 billion. GAAP EPS is expected at $0.16–$0.48, while non-GAAP EPS (excluding intangible amortization and purchase accounting) is forecast at $3.02–$3.34. Non-GAAP adjusted EBITDA is projected at $305–$325 million.

In Q4, the Autonomous Systems segment generated $492.4 million in revenue, while the newly formed Space, Cyber and Directed Energy segment (from the BlueHalo acquisition) contributed $149.2 million. AxS segment adjusted EBITDA was $138.7 million versus $1.4 million for SCDE, reflecting the maturity difference between the segments.

AeroVironment reported record Q4 FY26 revenue of $642 million (up 30% year-over-year on a pro forma basis) and full-year revenue of $1.98 billion (up 17% pro forma). Organic revenue growth was 31% for Q4 and 26% for the full year. Q4 adjusted EBITDA margin reached 22%, driven by strong sales in the Autonomous Systems segment. GAAP net income for Q4 was $63.2 million ($1.25 per diluted share), while non-GAAP adjusted EPS was $1.84. For the full fiscal year, GAAP net loss was $265.1 million ($5.40 per share loss), while non-GAAP adjusted EPS was $3.31.

The company issued FY27 guidance projecting revenue of $2.125-2.225 billion (10% year-over-year growth at midpoint), adjusted EBITDA of $305-325 million (14% margin at midpoint), and adjusted diluted EPS of $3.02-3.34. The guidance assumes first-half revenue at 45% and second-half at 55% of the full year. Capital expenditures are expected to increase to 12-14% of revenue (from 5% in FY26) to support manufacturing capacity expansion and facility growth. GAAP net income is forecast at $8-24 million, translating to GAAP EPS of $0.16-0.48 per diluted share.

AeroVironment reported record full-year bookings of $2.7 billion with a book-to-bill ratio of 1.4, indicating strong demand. Funded backlog reached a record $1.2 billion. Unfunded backlog was $1.5 billion, excluding $1.5 billion previously reported due to the SCAR program termination during Q4 FY26. The company has 69% revenue visibility for FY27 based on existing backlog and anticipated bookings.

The Autonomous Systems (AxS) segment drove Q4 performance with revenue of $492.4 million, up 49% year-over-year on a pro forma basis. Within AxS, Precision Strike & Defensive Systems revenue surged 80% to $333 million, while Uncrewed Aircraft Systems grew 17% to $121 million. The Space, Cyber & Directed Energy (SCDE) segment reported Q4 revenue of $150 million, down 8% year-over-year, with Cyber & Mission Solutions declining 26% to $76 million while Space & Directed Energy grew 23% to $74 million.