AEVEX Corp.

What they do

AEVEX operates through two segments: Tactical Systems, which designs and manufactures autonomous, modular and attritable unmanned aircraft and surface vessels (UAS and USV) along with other mission-critical products, and Global Solutions, which provides bespoke mission solutions including AI-enabled full-spectrum airborne ISR, counter-UAS, additive manufacturing, and specialized mission aircraft engineering, modification and testing.

Revenue drivers

• Tactical Systems — Designs and manufactures battle-tested autonomous UAS and USV and other mission-critical products; it was approximately 86.3% of revenue in Q2 2026 and 87.2% in the first half of 2026.
• Global Solutions — Provides bespoke mission solutions including AI-enabled full-spectrum airborne ISR, C-UAS, additive manufacturing, and specialized mission aircraft engineering, modification and testing; it was approximately 13.7% of revenue in Q2 2026 and 12.8% in the first half of 2026.
• UAS products (Tactical Systems) — Q1 2026 revenue rose $161.0 million in Tactical Systems, primarily from UAS products, versus the prior-year quarter.
• Aircraft modification and testing (Global Solutions) — Q1 2026 Global Solutions revenue rose $4.3 million from aircraft modifications and testing products and services, partly offset by $2.2 million of lower mission support, ISR services revenue.

Recent performance

For Q1 2026 (three months ended March 31, 2026), total revenue was $216.7 million, up 307% from $53.3 million a year earlier. Net income was $21.0 million, a 9.7% margin, compared with a net loss of $27.3 million, a negative 51.3% margin, in Q1 2025, and adjusted EBITDA was $36.4 million versus negative $13.4 million in Q1 2025. Revenue for the three months ended June 30, 2026 was $201.8 million, up from $101.1 million for the three months ended June 30, 2025. As of June 30, 2026, the company reported total assets of $948.1 million, total liabilities of $274.6 million, cash and equivalents of $215.2 million, long-term debt of $96.6 million, and shareholder equity of negative $533.7 million.

Strategy

Management says it is investing in autonomy, AI and mission software, citing customer adoption of its AI-enabled autonomy solutions powered by CompassX. It describes scaling production to meet customer needs with speed and reliability and remaining disciplined in investment in innovation and manufacturing capacity. It also points to alignment with Department of War and international allied priorities and to a stated focus on scaling efficiently, strengthening margins, and investing in autonomy and software capabilities.

Risks

• Customer concentration in defense programs — Revenue depends heavily on securing and executing Programs of Record for U.S. and allied defense customers, so delays or losses of such programs would directly hit results.
• Segment mix shift — Tactical Systems rose to roughly 86% of revenue in Q2 2026 from roughly 71% a year earlier, while Global Solutions fell to roughly 14% from roughly 29%, concentrating results in one segment.
• Negative shareholder equity — Shareholder equity was negative $533.7 million at June 30, 2026, alongside $96.6 million of long-term debt and $274.6 million of total liabilities.
• IPO-related costs and recent structural changes — The April 2026 IPO, the accompanying organizational transactions, and related costs—including $22.1 million of underwriting discounts and commissions, $13.8 million of offering costs, and a $3.8 million Q1 increase in audit and accounting fees tied to the IPO process—introduce execution and reporting demands.

Outlook

For full year 2026, management guided to total revenue of $600.0 million to $620.0 million and adjusted EBITDA of $88.0 million to $94.5 million. The company estimates depreciation and amortization of approximately $21.3 million and interest expense of approximately $13.2 million for the year ending December 31, 2026. It states it cannot reconcile forward-looking adjusted EBITDA to net income without unreasonable effort because certain material reconciling items cannot be estimated.