AeroVironment Inc.’s earnings soared in its fiscal second quarter as the maker of military drones and electric car-charging technology saw strong growth in both business units.
After the markets closed on Tuesday, the Monrovia company reported net income of $6.6 million (30 cents a share) for the quarter ended Oct. 29, compared with $262,000 (1 cent) in the same period a year earlier, when the bottom line was hurt by higher development expenses for new products.
Revenue rose 26 percent to $80.4 million, with most of the growth coming from $13.3 million more sales in its unmanned aircraft systems segment, which sells primarily to the U.S. military, and $3.3 million from its efficient-energy systems unit.
Analysts surveyed by Thomson Reuters expected profit of 20 cents a share on revenue of 74.5 million.
At the end of the quarter, the company had an order backlog of more than $116 million, 60 percent higher than a year earlier. For the fiscal third quarter, the company expects revenue of $80 million to $90 million, and earnings of 35 cents to 45 cents a share. The Wall Street consensus is at the high end of that range, with profit of 45 cents on revenue of $88.8 million.
“Even with the funding uncertainty affecting U.S. government procurement today, I am excited about AeroVironment's value proposition and our long-term growth prospects,” said Chief Executive Tim Conver in a statement.
Shares earlier closed down 7 cents, or less than 1 percent, to $31.88 on the Nasdaq and rose 2 percent in after-hours trading.