AeroVironment, Inc. (NASDAQ:AVAV) Q1 2021 Results Earnings Conference Call September 9, 2020 4:30 PM ET Company Participants Steven Gitlin - Chief Marketing Officer and Vice President of Investor Relations Wahid Nawabi - President and Chief Executive Officer Kevin McDonnell - SVP and Chief Financial Officer Conference Call Participants Ken Herbert - Canaccord Genuity Joseph De Nardi - Stifel, Nicolaus & Company Pete Skibitski - Alembic Global Advisors Peter Arment - Baird Louie DiPalma - William Blair Steve ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the quarterly period ended August 1, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-33261 AEROVIRONMENT, INC. (Exact name of registrant as specified in its charter) Delaware 95-2705790 (State or other ju ...

Financial Performance - AeroVironment achieved record fourth quarter revenue of $135 million[6] - The company's fiscal year revenue reached $367 million[6], a 17% year-over-year increase[8], driven by higher small UAS, "other," and HAPS revenue[8] - Gross profit for the fiscal year was $153.1 million[8], a 19% increase[8] - The funded backlog reached a record $208 million[6], a 27% increase[8] - Diluted EPS was $1.72, compared to $1.74 in the previous year, which included a $0.26 per share one-time gain from litigation settlement[8] - Non-GAAP diluted EPS was $1.84, an increase of $0.36, including $0.12 in acquisition-related expenses and amortization of intangible assets[8] Strategic Progress - AeroVironment strengthened its leadership position in multiple markets[6] - Small UAS revenue reached $226 million, driven by strong domestic demand[13] - The company expanded its international reach to a total of 50 allied customers[13] - The contract value of the HAPS program grew to $166 million[13] Fiscal Year 2021 Expectations - AeroVironment anticipates revenue between $390 million and $410 million for fiscal year 2021[17, 18] - The company expects an operating income margin of 12% to 12.5%[18] - Diluted earnings per share are projected to be between $1.65 and $1.85[18] - Non-GAAP diluted earnings per share are expected to be between $1.74 and $1.94[18]

Financial Data and Key Metrics Changes - AeroVironment reported record fourth quarter revenue of $135.2 million, an increase of 54% from $87.9 million in the prior year [9][23] - Full year revenue reached $367.3 million, up 17% from $314.3 million in fiscal 2019 [9][27] - Full year diluted earnings per share from continuing operations was $1.72, slightly down from $1.74 in fiscal 2019, but non-GAAP earnings per diluted share increased to $1.84 from $1.48 [10][28] Business Line Data and Key Metrics Changes - Small unmanned aircraft systems (UAS) accounted for 62% of total revenue, generating $225.9 million, while tactical missile systems (TMS) contributed $63.8 million, representing 17% of total revenue [11][27] - HAPS (High Altitude Pseudo-Satellite) generated $60.9 million, also 17% of total revenue, with expectations for flat growth in fiscal 2021 [17][28] Market Data and Key Metrics Changes - International revenue for the year was $166.2 million, with $50.6 million in the fourth quarter [73] - The UK emerged as the largest international customer, indicating strong demand for AeroVironment's solutions in foreign markets [14] Company Strategy and Development Direction - The company aims to enhance its leadership in robotic sensor, software analytics, and connectivity technologies, with a focus on diversity and inclusion within its workforce [7][8] - AeroVironment is positioned to disrupt the legacy missile market with its Switchblade family of loitering missile systems, which has secured significant contracts [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving fiscal year 2021 revenue guidance of $390 million to $410 million, despite potential impacts from COVID-19 and supply chain delays [34][36] - The company anticipates a slightly lower top-line growth rate due to the ongoing pandemic and its effects on customer funding and procurement decisions [35][36] Other Important Information - The funded backlog as of April 30, 2020, was a record $208.1 million, providing strong momentum for future growth [10][30] - The company has transitioned to a hybrid work structure due to COVID-19, ensuring safety while maintaining productivity [20][21] Q&A Session Summary Question: Guidance on revenue growth and contract ramp-up - Management indicated that the first half of fiscal 2021 is expected to represent about 40% of total revenue, with a diverse portfolio allowing for flexibility in growth [40] Question: Drivers of growth in fiscal 2021 - The majority of growth is anticipated to come from small UAS and TMS, with HAPS expected to remain flat [43] Question: Impact of continuing resolution for DoD on guidance - Management has accounted for potential impacts from the continuing resolution and remains confident in achieving the provided guidance [46] Question: Relative impact of COVID-19 on guidance - Management noted that while there are delays, they are manageable, and the strong backlog supports their growth outlook [58] Question: International sales and opportunities - The company has 50 international allies as customers and is actively pursuing opportunities for TMS internationally, with a positive outlook for future sales [54]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended April 30, 2020 ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission file number 001-33261 AEROVIRONMENT, INC. (Exact name of registrant as specified in its charter) Delaware 95-2705790 (State or other jurisdiction of ...

AeroVironment, Inc. (NASDAQ:AVAV) Q3 2020 Earnings Conference Call March 3, 2020 4:30 PM ET Company Participants Steven Gitlin - Chief Marketing Officer and Vice President of Investor Relations Wahid Nawabi - President and Chief Executive Officer Kevin McDonnell - Senior Vice President and Chief Financial Officer Conference Call Participants Pete Skibitski - Alembic Global Advisors Ken Herbert - Canaccord Genuity Inc. Troy Jensen - Piper Jaffray & Company Louie DiPalma - William Blair & Company Steven Gitli ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the quarterly period ended January 25, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-33261 AEROVIRONMENT, INC. (Exact name of registrant as specified in its charter) Delaware 95-2705790 (State or other ...