AVAV AeroVironment (AVAV) Q3 FY26 earnings call
AeroVironment reported Q3 FY26 results below expectations, primarily due to government funding delays and the termination of the SCAR program contract, which also triggered a significant goodwill impairment. Despite these headwinds, the company highlighted unprecedented demand for its autonomous systems and counter-UAS solutions, leading to a record funded backlog and strong order flow. Management expressed confidence in achieving record Q4 and full-year results, driven by scaling manufacturing, commercializing key products, and leveraging its diversified portfolio to capitalize on a generatio
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AVAV operating KPIs by quarter
| KPI | This call Jan 2026 Q3 FY26 | Apr 2026 Q4 FY26 | Jul 2026 Q1 FY27 | Change vs prior quarter |
|---|---|---|---|---|
| Backlog Funded | $1.1BWe ended the quarter with $1.1 billion of funded backlog and approximately $3 billion of unfunded backlog.Source: earnings call transcript | $1.2BFunded backlog closed at $1.2 billion, unfunded backlog at $1.5 billion, which now excludes SCAR contract values following the contract termination for convenience announced in March.Source: earnings call transcript | $1.5BFunding backlog totaled $1.5 billion at quarter end, which is 37% higher than the first quarter of fiscal year '26.Source: earnings call transcript | +25% |
| Backlog Unfunded | ~$3BWe ended the quarter with $1.1 billion of funded backlog and approximately $3 billion of unfunded backlog.Source: earnings call transcript | $1.5BFunded backlog closed at $1.2 billion, unfunded backlog at $1.5 billion, which now excludes SCAR contract values following the contract termination for convenience announced in March.Source: earnings call transcript | $1.4BUnfunded backlog at the end of the first quarter was $1.4 billion, was $1.2 billion or 89% attributable to the SCDE segment and $157 million or 11% to the AFS segment.Source: earnings call transcript | -6.7% |
| Funded backlog Autonomous Systems | — | $869MFunded backlog totaled $1.2 billion at quarter end with $869 million or 73% attributable to the AxS segment and $314 million or 27% to the SCDE segment.Source: earnings call transcript | $1.1BFunding backlog composition by segment is $1.1 billion or 75% attributable to the AXS segment and $358 million or 25% to the [ FEEE ] segment.Source: earnings call transcript | +26.6% |
| Unfunded backlog Space, Cyber and Directed Energy | — | $1.25BUnfunded backlog finished the year at $1.5 billion, which now excludes $1.5 billion related to the SCAR program with $1.25 billion or 86% attributable to SCDE and $209 million or 14% to AxS.Source: earnings call transcript | $1.2BUnfunded backlog at the end of the first quarter was $1.4 billion, was $1.2 billion or 89% attributable to the SCDE segment and $157 million or 11% to the AFS segment.Source: earnings call transcript | -4% |
| Unfunded backlog Autonomous Systems | — | $209MUnfunded backlog finished the year at $1.5 billion, which now excludes $1.5 billion related to the SCAR program with $1.25 billion or 86% attributable to SCDE and $209 million or 14% to AxS.Source: earnings call transcript | $157MUnfunded backlog at the end of the first quarter was $1.4 billion, was $1.2 billion or 89% attributable to the SCDE segment and $157 million or 11% to the AFS segment.Source: earnings call transcript | -24.9% |
| Backlog | — | $2.7BAs we enter fiscal '27, we believe we have strong momentum across our product lines and a robust $2.7 billion of total backlog.Source: earnings call transcript | $2.8B+Total funded and unfunded backlog at the end of the first quarter was just over $2.8 billion.Source: earnings call transcript | — |
| Orders | — | $572MWe secured bookings totaling $572 million in new authorized contract value.Source: earnings call transcript | $683MWe secured bookings totaling $683 million in new authorized contract value.Source: earnings call transcript | +19.4% |
| Book-to-bill ratio | — | 0.9 ratioOur book-to-bill ratio for the quarter 4 was 0.9x, reflecting the exceptional quarter 4 revenue performance, partially offset by some timing delays of anticipated large program awards, while our trailing 12-month book-to-bill ratio stands at 1.4x.Source: earnings call transcript | 1.4 ratioOur book-to-bill ratio for quarter 1 was 1.4x and reflecting strong demand from large program awards.Source: earnings call transcript | +55.6% |
Operating figures the company stated on at least two of the calls shown, checked against each call's transcript. Click a figure to read the sentence. A dash means it was not stated that quarter.
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