AeroVironment Surges 21% After $642 Million Quarter as Pentagon Seeks $75 Billion for Drones
Updated
Updated · CNBC · Jun 30
AeroVironment Surges 21% After $642 Million Quarter as Pentagon Seeks $75 Billion for Drones
2 articles · Updated · CNBC · Jun 30
Summary
AeroVironment shares jumped 21% after the dronemaker more than doubled fiscal fourth-quarter revenue to $642 million and topped Wall Street estimates.
Funded backlog rose 65% to $1.2 billion, while autonomous systems revenue reached $492 million, beating the $402 million StreetAccount forecast and signaling strong demand.
CEO Wahid Nawabi said the company is scaling manufacturing to meet unprecedented orders, with BlueHalo and Empirical Systems Aerospace acquisitions contributing $282.3 million in quarterly revenue.
$75 billion in requested 2027 Pentagon drone spending and a proposed $1.5 trillion U.S. defense budget have strengthened expectations that AeroVironment will benefit from military modernization and space-security programs.
That outlook lifted peers as well: Kratos Defense gained 7%, Red Cat rose 5%, and Unusual Machines added 9%.