Aerospace and defense tech firm Airo misses Q4 revenue estimates

AIRO group

31/03/2026 11:41

Overview

Aerospace and defense tech firm's Q4 revenue rose yr/yr but missed analyst expectations

Adjusted EBITDA for Q4 missed analyst expectations

Company expects 2026 revenue growth of 15%-25% yr/yr, supported by drone segment backlog

Outlook

AIRO expects full-year 2026 revenue growth between 15% and 25% year over year

Company expects about $150 mln backlog to convert to revenue in 2026

Growth in 2026 expected to be supported by increased drone deliveries and expanded manufacturing

Result Drivers

DRONE DEMAND - Co said Q4 revenue growth was driven by continued demand for drone systems and deliveries incorporating upgraded capabilities for the RQ-35 Heidrun platform

MARGIN PRESSURE - Co attributed lower gross margin to product mix, delivery timing, integration of upgraded system capabilities, and continued investment in business development and team expansion

HIGHER OPERATING COSTS - Co said lower operating income reflected continued investment in engineering development, production scaling and public company infrastructure

Company press release: ID:nBw5ScWtka

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Miss
$48.3 mln
$52.2 mln (3 Analysts)
Q4 Adjusted EBITDA
Miss
$8.9 mln
$13.37 mln (3 Analysts)
Q4 Gross Margin
61.4%
Q4 EBITDA
$8.8 mln
Q4 Gross Profit
$29.7 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the aerospace & defense peer group is "buy"

Wall Street's median 12-month price target for AIRO Group Holdings Inc is $20.00, about 133.4% above its March 30 closing price of $8.57

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)