AeroVironment
35 named things its latest annual report says its results depend on, each in the company's own words. 26 of them are also named by other companies we've read.
Customers
U.S. government
earns from · approximately 85% of our revenuenamed as a riskSales to the U.S. government, either as a prime contractor or subcontractor and inclusive of foreign military sales, represented approximately 85% of our revenue for the fiscal year ended April 30, 2026.Risk factors (Item 1A)
Also named by ADI, AIR, APH, ASTS, ATI, AWK, BA, BWXT and 46 more
U.S. Department of Defense (DoD)
earns from · approximately 63% of our revenuenamed as a riskThe DoD, our principal U.S. government customer, accounted for approximately 63% of our revenue for the fiscal year ended April 30, 2026.Risk factors (Item 1A)
Also named by ACN, ALSN, CLS, CRWD, FLR, HEI, JCI, LMT and 12 more
U.S. Army
earns from · approximately 25% of our revenueDuring our fiscal year ended April 30, 2026, we generated approximately 25% of our revenue from the U.S. Army pursuant to orders placed under contract by the U.S. Army on behalf of itself as well as for several other organizations within the U.S. DoD.Business (Item 1)
Suppliers
Sole-source suppliers
depends onnamed as a riskOur ability to meet customers’ demands depends, in part, on our ability to obtain timely and adequate delivery of high quality materials, components and subsystems, many of which are obtained from a select group of specialized suppliers, including some sole-source providers.Risk factors (Item 1A)
Also named by AYI, BA, BDX, HII, IONQ, KMB, LHX, NOC and 6 more
Other companies
Arlington Capital Partners
approximately 26.3% of our outstanding sharesnamed as a riskEntities affiliated with Arlington Capital Partners (the “Arlington Entities”), in the aggregate, beneficially own approximately 26.3% of our outstanding shares of common stock.Risk factors (Item 1A)
BlueHalo
named as a riskBased on our assessment of our internal control over financial reporting as of April 30, 2026, we identified one material weakness remaining.Risk factors (Item 1A)
Competitors
Lockheed Martin Corporation
competes withnamed as a riskCompetitors in the LMS market include Textron Inc., RTX Corporation, Lockheed Martin Corporation, Anduril Industries, Inc., Aevex Corp., SpektreWorks, Inc., Dragoon Technology LLC, Cummings Aerospace, Inc., Elbit Systems Ltd., and UVision Air Ltd.Risk factors (Item 1A)
Anduril Industries, Inc.
competes withnamed as a riskCompetitors in the C-UAS and Electronic Warfare markets include Anduril Industries, Inc., The Boeing Company, Lockheed Martin Corporation, RTX Corporation, DroneShield Limited, SRC Inc., Polaris, Inc., CACI International Inc., Northrop Grumman Corporation, L3Harris Technologies, Inc., and other emerging technology firms and international players.Risk factors (Item 1A)
Also named by ACHR
Places
China
depends on · a significant majoritynamed as a riskOur products, including motors, batteries, and other advanced components, rely on rare earth metals for their manufacturing, of which a significant majority are sourced from China.Risk factors (Item 1A)
Also named by A, AA, AAOI, AAP, AAPL, AB, ADI, AEHR and 261 more
International sales
earns from · approximately 28% of our revenuenamed as a riskWe derived approximately 28% of our revenue from international sales, including U.S. government foreign military sales in which an end user is a foreign government, during the fiscal year ended April 30, 2026, down from 52% for the fiscal year ended April 30, 2025 due to BlueHalo’s lower mix of international sales.Risk factors (Item 1A)
Also named by AEHR, AMD, AME, ATI, CRS, ENTG, FSS, HLIO and 5 more
California
operates innamed as a riskWe have research and development and manufacturing operations located in California in regions known for seismic activity and wildfires, and in other areas prone to natural disasters.Risk factors (Item 1A)
Also named by A, AAON, AFRM, ALK, ALLY, AN, ARE, AWK and 88 more
East Asia
depends onnamed as a riskFor example, we obtain a significant number of our electronics components from companies located in East Asia, where environmental rules may be less stringent than those in the United States.Risk factors (Item 1A)
Also named by ALAB
Telerob (Germany)
operates innamed as a riskWe also manufacture internationally through Telerob, and if we are not granted exemptions from tariffs due to the nature of our business and customers, we could see greater impacts than we currently expect.Risk factors (Item 1A)
Hazards
Russia-Ukraine war
named as a riskWe cannot predict whether and when a reduction in overseas operational levels will occur, how future procurement priorities related to defense transformation will be impacted, including by future events such as the conflicts between Russia and Ukraine, Israel and Hamas, Israel and Iran, or the U.S. and Iran or how changes in the threat environment will impact opportunities and competition for our products and services, for existing, additional or replacement programs.Risk factors (Item 1A)
Also named by ADSK, ATR, CSCO, CTVA, EMR, FIS, FLO, FND and 21 more
Earthquakes and wildfires
operates innamed as a riskA significant natural disaster, such as an earthquake, fire or other catastrophic event, could severely affect our ability to conduct normal business operations, and as a result, our future operating results could be materially and adversely affected, including if our losses are not adequately or timely covered by our insurance.Risk factors (Item 1A)
Lithium-ion batteries
named as a riskFor example, in the past couple of years we have experienced fires in some of our leased facilities that were started by lithium-ion batteries, although none resulted in material damages or disruptions to our operations in such locations.Risk factors (Item 1A)
Commodities and inputs
Euro
exposed to its pricenamed as a riskAs our German subsidiary, Telerob conducts sales denominated in Euros, we are exposed to future foreign exchange gains or losses, and we will consider methods to limit our exposure on non-U.S. dollar transactions in the future.Market risk (Item 7A)
Also named by ABBV, ABNB, ABT, ADBE, ADI, AME, AMG, AMGN and 186 more
Rare earth metals
depends onnamed as a riskA limited supply or increased cost of rare earth metals could lead to higher production costs, delays in manufacturing schedules, and potential inability to meet customer demand, thereby impacting our revenue and growth plans.Risk factors (Item 1A)
Memory microprocessors
exposed to its pricenamed as a riskDue to the volatility of supply and increase in demand, lead times and prices for certain components, such as memory related microprocessors, may continue to experience supply and price uncertainty.Risk factors (Item 1A)
Regulators
Federal Aviation Administration (FAA)
subject tonamed as a riskWe cannot assure you that the Part 107 Rules, or any final rules enacted in furtherance on the FAA’s announced proposals, will result in the expanded use of our SUAS and MUAS by law enforcement or other non-military government agencies or commercial entities and we may not be able to expand our sales of SUAS and MUAS beyond our military customers, which could harm our business prospects.Risk factors (Item 1A)
Also named by ACHR, AIR, ALK, AMT, BA, BRK/B, CCI, CW and 27 more
Department of Government Efficiency (DOGE)
subject tonamed as a riskAs a result of DOGE and other factors, the funding of U.S. government programs is uncertain.Risk factors (Item 1A)
China Ministry of Commerce export control list
subject tonamed as a riskAdditionally, in March 2025, China’s Ministry of Commerce placed AeroVironment on China’s export control list.Risk factors (Item 1A)
Defense Contract Audit Agency (DCAA) and Defense Contract Management Agency (DCMA)
subject tonamed as a riskLike most government contractors, our contracts are audited and reviewed on a continual basis by the DCMA and the DCAA.Risk factors (Item 1A)
Federal Communications Commission (FCC) and NTIA
subject tothe National Telecommunications and Information Administration and the Federal Communications Commission, which regulate the wireless spectrum allocations upon which UAS depend for operation and data transmission in the United States;Risk factors (Item 1A)
Laws and programs
Fixed-price contracts
approximately 70% of our revenuenamed as a riskFixed-price contracts (including both government and commercial contracts) represented approximately 70% of our revenue for the fiscal year ended April 30, 2026.Risk factors (Item 1A)
U.S. Space Force SCAR program
earns from · approximately $241 millionnamed as a riskThe changes in estimates resulted in the recognition of a goodwill impairment charge of approximately $241 million in the Space reporting unit.Risk factors (Item 1A)
U.S. tariffs
exposed to its pricenamed as a riskWe rely on imported materials, components, or finished goods, and if tariffs increase, our supply chain costs may rise, adversely affecting our business, results of operations and cash flows.Risk factors (Item 1A)
Also named by A, AAPL, ACHR, ADI, AEHR, AEP, AIOT, AKAM and 170 more
General Data Protection Regulation (GDPR)
subject tonamed as a riskThere remains significant uncertainty surrounding the regulatory framework for the future of personal data transfers from the European Union to the United States with regulations such as the General Data Protection Regulation (“GDPR”), which imposes stringent E.U. data protection requirements, provides an enforcement authority, and imposes large penalties for noncompliance, including for the transfer of personal data between the company and our German subsidiary, Telerob.Risk factors (Item 1A)
Also named by A, AB, ABNB, ADBE, ADP, AGX, AIOT, AJG and 100 more
International Traffic in Arms Regulations (ITAR)
subject tonamed as a riskthe International Traffic in Arms Regulations and Export Administration Regulations, which regulate the export of sensitive technology and hardware, including controlled technical data, defense articles and defense services and restrict the countries from which we may purchase materials and services used in the production of certain of our products; andRisk factors (Item 1A)
Also named by ACHR, ADI, AIR, ALSN, APH, CDRE, CLS, COHR and 29 more
EU Artificial Intelligence Act
subject tonamed as a riskCompliance with the EU AI Act and analogous international AI regulatory regimes could require us to modify product designs, implement additional testing and technical documentation processes, increase compliance expenditures, restrict certain AI-enabled capabilities, or limit or prohibit the commercialization of particular AI-enabled features in European or other international markets.Risk factors (Item 1A)
Also named by ABNB, ADP, AIOT, AKAM, ALAB, AMG, APP, BKNG and 24 more
Cybersecurity Maturity Model Certification (CMMC)
subject tonamed as a riskIf we have not complied or are unable to comply with the CMMC requirements, our ability to receive certain new DoD contracts, subcontracts, or follow-on work could be negatively affected.Risk factors (Item 1A)
Also named by ADI, BWXT, GE, HEI, HLIO, HON, HWM, KTOS and 15 more
Federal Acquisition Regulations
subject tonamed as a riskthe Federal Acquisition Regulations and supplemental agency regulations, which comprehensively regulate the formation and administration of, and performance under, U.S. government contracts;Risk factors (Item 1A)
Foreign Military Sales
earns fromnamed as a riskWe may continue to receive future stop-work orders and/or contract cancellations for other existing U.S. government contracts due to shifting foreign military aid priorities.Risk factors (Item 1A)
SEC conflict minerals rules
subject tonamed as a riskThese rules and verification requirements have imposed additional costs on us and on our suppliers, including costs related to determining the source of conflict minerals used in our products, which may adversely affect our results of operations.Risk factors (Item 1A)
Also named by AMKR
One Big Beautiful Bill Act
subject toDue to the July 2025 reconciliation bill, commonly known as the One Big Beautiful Bill Act, and U.S. Internal Revenue Service tax capitalization rules, domestic Section 174A, which allows R&D expenditures to be deducted, we expect a decrease in cash paid for U.S. federal income taxes in future fiscal years relative to prior periods.Risk factors (Item 1A)
Also named by AA, ABR, ADI, ADM, ALB, AMAT, AMGN, AMKR and 121 more