By Kelly Cloonan
AeroVironment cut its guidance for the current fiscal year after logging a wider loss in its latest quarter, with the company pointing to a drag from revenue timing and adjustments in its space business.
The drone maker said Tuesday it now expects adjusted earnings per share of $2.75 to $3.10 for the fiscal year, compared with $3.40 a share to $3.55 a share previously.
The company now projects full-year revenue of $1.85 billion to $1.95 billion, compared to a prior forecast of $1.95 billion to $2 billion.
The updated guidance comes after AeroVironment posted a wider loss in its fiscal third quarter. Chief Executive Wahid Nawabi said the results were dented by revenue timing and adjustments in the company's space business, but demand for its products remains robust.
"Strong order flow and growth in funded backlog during the quarter are setting the stage for record fourth-quarter revenue and a solid start to fiscal year 2027," Nawabi said.
For the fiscal third quarter, AeroVironment posted a loss of $156.6 million, or $3.15 a share, compared with a loss of $1.8 million, or 6 cents a share, a year earlier. The recent quarter was hurt by goodwill impairment charges of $151.3 million, the company said.
Adjusted earnings per share were 64 cents, compared with estimates of 68 cents a share according to analysts polled by FactSet.
Revenue more than doubled to $408 million, compared with analyst estimates of $475.5 million. The increase was driven by higher product and service revenue, which was boosted by the company's acquisition of BlueHalo in May.
At the end of the quarter, the company's funded backlog was $1.1 billion, up from $726.6 million as of April 30, 2025.
Shares fell 8.5% to $202.84 in after-hours trading.
Write to Kelly Cloonan at kelly.cloonan@wsj.com
(END) Dow Jones Newswires
March 10, 2026 16:38 ET (20:38 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.