Financial Data and Key Metrics Changes - Revenue for Q2 fiscal 2020 was $83.3 million, a 14% increase from $73 million in Q2 fiscal 2019 [7][18] - Gross profit was $35.2 million, up 24% from $28.4 million in the same quarter last year, with a gross margin of 42%, an increase of 3 percentage points [7][19] - GAAP earnings per diluted share increased to $0.31 from $0.29 year-over-year, while non-GAAP earnings per diluted share rose to $0.35 from $0.30 [8][22] - Funded backlog decreased by 10% to $146.7 million compared to the previous year, but remained high relative to historical averages [8][27] Business Line Data and Key Metrics Changes - Small UAS revenue was $59.2 million, accounting for 71% of total revenue, while HAPS contributed $13.4 million (16%), TMS $7.9 million (10%), and other $2.8 million (3%) [18] - The HAPS program has generated $103.2 million in revenue to date, with a total contract value of $148.9 million [18][19] Market Data and Key Metrics Changes - The company reported strong international demand for small UAS, with multiple awards totaling over $20 million from customers in Southeast Asia and the Middle East [12] - A $5 million contract was awarded for Puma systems to the U.S. Border Patrol, indicating ongoing procurement opportunities [12] Company Strategy and Development Direction - The company is focused on executing its growth strategy and achieving fiscal year 2020 objectives, with a commitment to innovation in small UAS and tactical missile systems [6][32] - The transition of VAPOR product line manufacturing to Simi Valley is on track, expected to be completed by the end of Q3 fiscal 2020 [12][60] - The company is also advancing its HAPS business, with a total contract value increase to $149 million, indicating strong growth potential in this area [16][17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving fiscal year 2020 revenue guidance of $350 million to $370 million, despite potential impacts from government funding resolutions [32][33] - The company anticipates a decline in gross margin in the latter half of the fiscal year due to a shift in revenue mix [32] - Management highlighted the importance of ongoing government support for international sales and the potential for expanding the customer base [72] Other Important Information - The company plans to invest 5% to 6% of revenue in capital expenditures to support growth strategies [33] - Cash and cash equivalents at the end of Q2 fiscal 2020 totaled $310.9 million, a decrease attributed to the acquisition of Pulse Aerospace and investments in HAPSMobile [27][28] Q&A Session Summary Question: How does the current 89% visibility compare to previous years? - Management noted that while the current visibility is lower than last year's 97%, it remains high compared to historical averages [36][38] Question: When can we expect a larger variant of the Switchblade? - Management is making progress on a larger variant but could not disclose specific timing for its market release [39][41] Question: What are the next steps for the LMAMS contract? - Management is engaged in sole-source negotiations with the U.S. government, with a potential contract value of $160 million [44][46] Question: What is the status of the HAPS program? - The company is transitioning from design and development to testing and certification, with multiple flights planned in the future [68][69] Question: How is the UAV adoption rate trending? - Management reported strong growth in small UAS internationally, supported by U.S. government export licenses [71][73]

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 October 26, 2019 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 ...

AeroVironment, Inc. (NASDAQ:AVAV) Q1 2020 Earnings Conference Call September 4, 2019 4:30 PM ET Company Participants Steven Gitlin - VP IR Wahid Nawabi - President & CEO Teresa Covington - SVP & CFO Conference Call Participants Pete Skibitski - Alembic Global Advisors Ken Herbert - Canaccord Joe DeNardi - Stifel Peter Arment - Baird Louie DiPalma - William Blair Steven Gitlin Good afternoon, ladies and gentlemen, and welcome to AeroVironment's First Quarter Fiscal Year 2020 Earnings Call. This is Steven Git ...

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 July 27, 2019 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 jur ...

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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 26, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | --- | --- | |-------------------------------------------------------------------------------------------------------|-------------------------------------------------------| | | ...