Aerovironment, Inc. · NASDAQ:AVAV
Aerovironment — Q3 2026 Earnings Presentation
19 slides from Aerovironment's earnings presentation, Mar 2, 2026
Slide 1: Third Quarter Fiscal Year 2026 Earnings Conference Call
THIRD QUARTER FISCAL YEAR 2026 Earnings Conference Call MARCH 10, 2026
Slide 2: Safe Harbor Statement
This presentation 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, an
Slide 3: Third Quarter Fiscal Year 2026 Key Messages
Third Quarter Fiscal Year 2026 Key Messages Third quarter revenue Third quarter funded AV continues to Slightly lowering FY26 of $408 million backlog of $1.1 billion execute on expanding guidance with expected driven by strong 38% and total awards of manufacturing capacity revenues between organic g
Slide 4: Third Quarter Fiscal Year 2026 Results
Third Quarter Fiscal Year 2026 Results Metric Q3 FY26 Notes o 38% YoY organic revenue growth Revenue $408.0 M o Adjusted SG&A = 15% of revenue3 o IRAD = 7% of revenue GAAP Gross Margin $98.8 M o Record third-quarter gross margin driven by strong AxS sales Non-GAAP o Lower sequential adjusted EBITDA
Slide 5: Revenue Mix, Adjusted Profitability and Non-GAAP EPS
Revenue Mix, Adjusted Profitability and Non-GAAP EPS Quarterly Revenue by Segment1 Adjusted Gross Margin2 Non-GAAP Diluted EPS3 $600.0 $1.00 $494.1 $500.0 $472.5 $454.7 40% 36% $0.80 $383.4 $408.0 33% $0.64 $400.0 32% 29% $0.60 27% 27% $300.0 20% 17% $0.40 $0.30 $200.0 14% 13% $0.20 $100.0 $- 0% $-
Slide 6: Year over Year Revenue Comparison by Operating Group
Year over Year Revenue Comparison by Operating Group [$M] Pro Forma1 Q3 FY25 Actual Q3 FY26 Variance vs. Prior Year [$] Variance vs. Prior Year [%] Uncrewed Aircraft Systems $ 60 $ 90 $ 30 50.3 % Precision Strike & Defensive $ 130 $ 158 $ 28 21.4 % Systems Other $ 33 $ 31 $ [2] -7.1 % AxS TOTAL $ 22
Slide 7: Revenue Comparison by Operating Group Through End of Third Quarter
Revenue Comparison by Operating Group Through End of Third Quarter [$M] Pro Forma1 Fiscal YTD Actual Fiscal YTD Q3 FY25 Q3 FY26 Variance vs. Prior Fiscal YTD[$] Variance vs. Prior Fiscal YTD[%] Uncrewed Aircraft Systems $ 249 $ 243 $ [6] -2.4 % Precision Strike & Defensive $ 342 $ 515 $ 173 50.6 % S
Slide 8: Updated Guidance: Fiscal 2026 Outlook
Updated Guidance: Fiscal 2026 Outlook As of 03/10/2026 FY26 Q3 Results FY26 Guidance Notes / Assumptions o Lower due to order timing and lower-than-anticipated Revenue $408.0 M $1.85 B to $1.95 B6 contributions from SCDE o IRAD 6% to 7% o Adj SG&A 12% to 14% (excludes intangible amortization Adjus
Slide 9: FY26 Revenue Visibility
FY26 Revenue Visibility $2,500 $2,000 70% visibility3 82% visibility3 93% visibility2 98% visibility1 36.8 186.8 53.3 GUIDANCE RANGE $1,500 175.4 43.8 $1.85 B - $1.95 B 434.9 245.4 115.5 675.7 $1,000 112.0 Company 855.7 visibility 1,335.2 supports 1,003.8 $500 927.2 revenue guidance 454.7 range $- Q
Slide 10: Major Third Quarter Contract Activity
Major Third Quarter Contract Activity _UNCREWED AIRCRAFT _CYBER & MISSION _PRECISION STRIKE & SYSTEMS SOLUTIONS DEFENSIVE SYSTEMS $13M $75M $23M Contract award to deliver Air Force task order to FFP modified award for P550s for US Army’s LRR develop next-generation additional deliveries of Program b
Slide 11: Financial Tables
AY FINANCIAL TABLES AS
Slide 12: Reconciliation of Non-GAAP Earnings per Diluted Share
APPENDIX A - FINANCIAL TABLES Reconciliation of Non-GAAP Earnings per Diluted Share (unaudited) Three months ended Three months ended January 25, 2025 January 31, 2026 Loss per diluted share $ (0.06) $ (3.15) Acquisition-related expenses $ 0.13 $ 0.11 Amortization of acquired intangible assets and o
Slide 13: GAAP to Non-GAAP Reconciliation of Adjusted Gross Margin
APPENDIX B - FINANCIAL TABLES GAAP to NON-GAAP Reconciliation of Adjusted Gross Margin [$Thousands] Products 1st Quarter FY26 2nd Quarter FY26 3rd Quarter FY26 Gross Margin $ 82,846 $ 83,640 $ 77,841 Intangible Amortization $ 31,245 $ 23,482 $ 11,022 Adjusted Gross Margin $ 114,901 $ 107,122 $ 88,86
Slide 14: Net Income to EBITDA and Non-GAAP Adjusted EBITDA Reconciliation
APPENDIX C - FINANCIAL TABLES Net Income to EBITDA and non-GAAP Adjusted EBITDA Reconciliation [$M] 1st Quarter 2nd Quarter 3rd Quarter FY26 FY26 FY26 Net loss from continued operations $ (67.4) $ (17.1) $ (156.6) Interest expense, net $ 17.4 $ (4.7) $ (3.7) Tax benefit $ (15.2) $ (2.3) $ (19.5) Dep
Slide 15: GAAP to Non-GAAP Reconciliation of Earnings per Diluted Share
APPENDIX D - FINANCIAL TABLES GAAP to Non-GAAP Reconciliation of Earnings per Diluted Share (Unaudited) Fiscal year ended Forecast fiscal year ended April 30, 2025 April 30, 2026 Earnings (loss) per diluted share $ 1.55 $ (4.44) - (4.10) Acquisition-related expenses $ 0.54 $ 0.81 Amortization of acq
Slide 16: Reconciliation of 2026 Forecast and Fiscal Year 2025 Non-GAAP Adjusted EBITDA
APPENDIX E - FINANCIAL TABLES Reconciliation of 2026 Forecast and Fiscal Year 2025 Non-GAAP adjusted EBITDA (Unaudited) Fiscal year Forecast fiscal year [$M] ended April 30, 2025 ended April 30, 2026 Net (loss) Income from continued operations $ 44 $ (218) – (201) Interest Expense, net $ 2 $ 7 Tax (
Slide 17: AVAV Contracting Related Definitions
APPENDIX F - FINANCIAL TABLES AVAV Contracting Related Definitions Term Definition Q3 FY26 Results The total potential value of a contract at time of announcement, including all base period value, priced options, expected follow-on periods, and any anticipated modifications if they are contractually
Slide 18: GAAP to Non-GAAP Reconciliation of Adjusted SG&A
APPENDIX G - FINANCIAL TABLES GAAP to non-GAAP Reconciliation of Adjusted SG&A (Unaudited) 3rd Quarter 3rd Quarter [$Thousands] FY25 FY26 FY25 FY26 Full Year Forecast SG&A Reconciliation Revenue $ 167,636 $ 408,045 $ 820,627 $ 1,850,000 - 1,950,0001 Total SG&A $ 43,788 $ 99,414 $ 158,753 $ 429,000 -
Slide 19: Q3 FY26 Total Unfunded Backlog Roll Forward
APPENDIX H - FINANCIAL TABLES Q3 FY26 Total Unfunded Backlog Roll Forward Total Unfunded Backlog [$M] Total Roll Forward Q2 FY26 Unfunded Backlog as of 11/1/2025 $ 3,034.1 Q3 FY26 Expired Unfunded Backlog $ (2.9) Q3 FY26 Orders Reducing Unfunded Backlog $ (85.0) Q3 FY26 New Unfunded Bookings $ 22.6