Aerovironment (AVAV) Smashes Earnings Estimates, Maintains Guidance

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04:57:36 pm on December 3, 2008

Aerovironment (AVAV) which has been one of a few bright spots in the green sector of late, reported outstanding earnings results after the bell today.  They beating analyst EPS estimates of .27/share by .14 (71% increase over year ago quarter) on revenues of 65.8 million (22% growth over year ago quarter) which was slightly ahead of estimates. The company is maintaining revenue growth guidance for 2009 of 20 – 25% growth.

While the company is involved in renewable energies with its rooftop wind turbine systems and electric vehicle charging stations, the growth driver remains its unmanned aircraft systems.

“Our second quarter results reflect strong, effective performance and continued diversity within our unmanned aircraft systems portfolio. The underlying demand for our unique unmanned aircraft system solutions is driving procurement, service and research and development revenue,” said Tim Conver, CEO of AVAV. “Both our UAS and EES segments performed well, resulting in record quarterly revenue and a healthy operating margin. EES, in particular, benefited from product mix and operating efficiencies to deliver a strong gross margin. Supported by a considerable cash reserve and no debt, our team executed well against our business strategy while robust customer demand and our product development pipeline position us very well for continued growth.”

The stock continues to be one of the few that trades above its 200 day moving average and should see a pop tomorrow sending it above the 50 day moving average as well. 

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