(NASDAQ: AVAV) today reported financial results for its fourth quarter ended April 30, 2014.
“An 87 percent increase in diluted earnings per share on an adjusted basis, the achievement of our financial and operating objectives and the delivery of solid results that exceeded our guidance for fiscal 2014 demonstrate the AeroVironment team’s strong performance and disciplined execution of our strategy,” said Tim Conver, AeroVironment chairman and chief executive officer. “Our core business is stronger and more profitable than last year, and we are confident about the Company’s prospects for growth and shareholder value creation.”
Conver continued, “Looking ahead to fiscal 2015, we are encouraged by market and customer trends we are seeing and now believe we have greater visibility into the timing of meaningful adoption for Tactical Missile Systems, Commercial UAS and Global Observer. Accordingly, and to ensure we are well positioned to lead market adoption and capitalize on each opportunity, we plan to increase investments this year in these areas. We believe these additional investments in fiscal 2015 reflect the best use of our capital and will position the Company to deliver long-term growth and outstanding stockholder returns in the years to come.”
FISCAL 2014 FOURTH QUARTER RESULTS
Revenue for the fourth quarter of fiscal 2014 was $73.5 million, up 36% from fourth quarter fiscal 2013 revenue of $54.1 million. The increase in revenue resulted from increased sales in our Unmanned Aircraft Systems (UAS) segment of $17.7 million and in our Efficient Energy Systems (EES) segment of $1.7 million.
Income from operations for the fourth quarter of fiscal 2014 was $6.9 million compared to loss from operations for the fourth quarter of fiscal 2013 of $6.0 million. The higher income from operations was a result of higher revenue, resulting in $12.4 million higher gross margin, and lower research and development (R&D) expense of $3.2 million, offset by higher selling, general & administrative (SG&A) expense of $2.7 million.