10-Q · May 20, 2026
AEVEX Corp. delivered a strong performance in Q1 2026 with total revenues of $216.7 million, a dramatic increase of 307% year-over-year, and reported EPS of $0.22, surpassing expectations by 37.5%. The Tactical Systems…
Earnings analysis · 10-Q
AVEX earnings analysis
Filed August 12, 2026 · Our reading of the company's report
The latest report
AEVEX reported $201.791 million of second-quarter revenue and $0.01 of EPS, with revenue down approximately 6.9% sequentially and EPS down approximately 95% from $0.22 in Q1 2026. Cash increased substantially to $215.2…
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AEVEX reported $201.791 million of second-quarter revenue and $0.01 of EPS, with revenue down approximately 6.9% sequentially and EPS down approximately 95% from $0.22 in Q1 2026. Cash increased substantially to $215.2 million from $27.9 million at year-end, but the filing continues to report ineffective disclosure controls and broad material weaknesses in financial reporting and IT controls. The extracted filing does not provide gross or operating margins, cash flow, segment results, or updated quantitative guidance.
Reported figures
- Earnings per share
- $0.01
What stood out
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Revenue Declined Sequentially
Second-quarter revenue was $201.791 million, down from $216.7 million in the prior quarter, a sequential decline of approximately 6.9%.
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EPS Fell Sharply
Reported EPS was $0.01 versus $0.22 in Q1 2026, a decline of $0.21 per share and approximately 95%.
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Cash Position Strengthened
Cash and cash equivalents increased to $215.2 million at June 30, 2026 from $27.9 million at December 31, 2025, an increase of $187.3 million.
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Liquidity Provides Rate Cushion
The company disclosed that a 100-basis-point increase in interest rates would have increased interest expense by approximately $0.3 million for the quarter and $1.0 million for the six-month period.
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IPO Reshaped Capital Structure
The company issued 25,135,300 Class A shares, 63,297,524 Class B shares and 7,208,876 additional Class A shares in connection with the IPO and preferred-unit conversion.
What to watch
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Material Control Weaknesses Persist
Management concluded that disclosure controls were not effective as of June 30, 2026 because of material weaknesses, including insufficient personnel, inadequate segregation of duties and incomplete formal accounting policies. The weaknesses resulted in audit adjustments to substantially all account balances for 2025 and 2024, with certain adjustments material.
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Broad IT Control Deficiencies
The company disclosed IT-control deficiencies covering program changes, user access, computer operations and software development. Management determined that these deficiencies, in aggregate, constitute a material weakness and could affect substantially all financial statement accounts and disclosures.
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Floating-Rate Debt Sensitivity
A 100-basis-point increase in interest rates would have raised interest expense by approximately $0.3 million for the three months ended June 30, 2026 and $1.0 million for the six months ended June 30, 2026.
Management's outlook
The provided 10-Q text does not include quantitative revenue or EPS guidance. Prior company guidance of $600 million to $620 million was reiterated in the June 5, 2026 8-K, but no update is provided in the extracted filing.
Earlier filings 1
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.