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AV's first quarter net loss was $3.6 million, or 17 cents per share for the quarter ended Aug. 1, compared with net income of $4.8 million, or 22 cents per share, for the same period a year earlier.
AV's revenue plummeted 29.2 percent to $37.9 million from $53.6 million during the first quarter of fiscal 2009.
The first quarter fiscal 2010 results reflect the anticipated deferral of Raven UAS deliveries as customers await the availability of new digital Raven systems and upgrade kits for the thousands of aircraft in the field, the company said.
"Low first quarter revenue, combined with maintaining our R&D and other spending to support our full year plan, resulted in a first quarter loss, but this was generally consistent with our fiscal year 2010 plan," Tim Conver, AV's chairman and chief executive officer, said in a statement.
Conver said the availability of digital Raven systems should drive increased revenue in the second half of the year as customers scramble to catch up on deferred deliveries.
AV also achieved progress during the quarter on other development programs that will position the Monrovia-based company for "continued long term growth," he said.
One analyst who tracks AeroVironment said the company's
long-term picture still looks good. Still, Tuesday's news wasn't exactly what shareholders wanted to hear.
"That sort of caught investors by surprise, but the fundamental story of the company hasn't changed," said Erik R. Olbeter, an equity analyst with Pacific Crest Securities. "They have a great suite of new products coming out that we think will in high demand by the government."
Olbeter said AV has tapped into one of the fastest growing segments of the market. But products delays, he said, can put investors on edge.
"The biggest unknown with the company is timing ... and that was made loud and clear today," Olbeter said.
AV's stock closed up 88 cents to $30.42 in Tuesday trading on Nasdaq.
kevin.smith@sgvn.com
(626) 962-8811, Ext. 2701
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