AeroVironment Posts Profit on Strong Drone Sales
December 08 2015 - 5:50PM
Dow Jones News
Drone maker AeroVironment Inc. reported Tuesday that it swung to
a profit in its latest quarter as revenue jumped 23% driven by
strong sales of its unmanned aircraft systems.
AeroVironment said that during its fiscal second-quarter, sales
in its unmanned-aircraft-systems segment—which accounts for some
87% of revenue—climbed 31.4%, offsetting a 15% fall in its
efficient-energy-systems branch.
The company also reported a climb of 15 percentage points in
gross margin as a percentage of revenue to 49%.
AeroVironment makes drones and rechargeable-battery technology
for electric vehicles. The company, founded in 1981, traces its
roots to the Gossamer Condor, the first human-powered airplane
developed by company founder Paul MacCready.
Overall, the company posted a profit of $4.4 million, or 19
cents a share, up from a loss of $2.9 million, or 13 cents a share,
a year earlier.
Revenue climbed 23% to $64.7 million.
Analysts surveyed by Thomson Reuters forecast per-share losses
of 9 cents a share on revenue of $58 million.
The use of drones has been at the center of debate over air
safety, privacy and regulation of U.S. skies. In February, the
Federal Aviation Administration released provisions on small
unmanned aircrafts weighing less than 55 pounds.
The provisions by the FAA require commercial drone operators to
pass an approval process. Once approved, the safety requirements by
the FAA limits commercial drone flights to below 500 feet, during
daylight hours and within an operator's line of sight.
Write to Ezequiel Minaya at ezequiel.minaya@wsj.com
(END) Dow Jones Newswires
December 08, 2015 17:35 ET (22:35 GMT)
Copyright (c) 2015 Dow Jones & Company, Inc.
AeroVironment (NASDAQ:AVAV)
Historical Stock Chart
From Mar 2024 to Apr 2024
AeroVironment (NASDAQ:AVAV)
Historical Stock Chart
From Apr 2023 to Apr 2024