Operating margins remain deeply negative, evidenced by a -192.8% margin in 2026Q1, reflecting a structural disconnect between gross profit generation and heavy fixed-cost overhead.
| Sales/Revenue | 88.01M | 90.91M | 86.94M | 43.25M | 17.08M | 11.78M |
| Revenue Growth % | 15.35% | 4.57% | 100.99% | 153.23% | 44.97% | - |
| Cost of Goods Sold | 35.49M | 36.49M | 28.62M | 18.34M | 12.95M | 8.3M |
| COGS % of Revenue | - | 40.14% | 32.92% | 42.4% | 75.83% | 70.48% |
| Gross Profit | 52.53M | 54.41M | 58.32M | 24.91M | 4.13M | 3.48M |
| Gross Margin % | 59.68% | 59.86% | 67.08% | 57.6% | 24.16% | 29.52% |
| Gross Profit Growth % | - | -6.69% | 134.07% | 503.59% | 18.68% | - |
| Operating Expenses | 95.37M | 83.18M | 75.75M | 34.85M | 31.13M | 6.05M |
| OpEx % of Revenue | - | 91.5% | 87.13% | 80.56% | 182.23% | 51.36% |
| Selling, General & Admin | 71.73M | 65.26M | 24.62M | 22.98M | 21.83M | 4.9M |
| SG&A % of Revenue | - | 71.79% | 28.32% | 53.12% | 127.79% | 41.6% |
| Research & Development | 16.01B | 17.92M | 13.13M | 11.87M | 9.3M | 1.15M |
| R&D % of Revenue | - | 19.71% | 15.11% | 27.44% | 54.44% | 9.76% |
| Other Operating Expenses | -2M | 0 | 37.99M | 0 | 0 | 0 |
| Operating Income | -42.84M | -28.77M | -17.43M | -9.93M | -27M | -2.57M |
| Operating Margin % | -48.68% | -31.64% | -20.05% | -22.96% | -158.06% | -21.84% |
| Operating Income Growth % | - | -65% | -75.53% | 63.21% | -949.24% | - |
| EBITDA | 2.29M | -16.18M | -4.44M | 3.32M | -16.95M | -1.52M |
| EBITDA Margin % | 2.61% | -17.79% | -5.11% | 7.66% | -99.24% | -12.91% |
| EBITDA Growth % | -90.18% | -264.17% | -233.97% | 119.56% | -1014.61% | - |
| D&A (Non-Cash Add-back) | 9.51M | 12.59M | 12.99M | 13.25M | 10.05M | 1.05M |
| EBIT | -7.21M | 12.74M | -15.26M | -28.03M | -33.15M | -17.13M |
| Net Interest Income | -8.34M | -9.8M | -14.23M | -2.14M | -3.62M | -3.39M |
| Interest Income | 376K | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 8.72M | 9.8M | 14.23M | 2.14M | 3.62M | 3.39M |
| Other Income/Expense | 30.37M | 31.7M | -12.05M | -20.23M | -9.76M | -17.94M |
| Pretax Income | -12.47M | 2.94M | -29.49M | -30.16M | -36.76M | -20.52M |
| Pretax Margin % | -14.17% | 3.23% | -33.92% | -69.73% | -215.23% | -174.12% |
| Income Tax | 5.11M | 7.04M | 9.21M | 2.29M | -11.21M | 12.85K |
| Effective Tax Rate % | -40.98% | 239.64% | -31.23% | -7.6% | 30.5% | -0.06% |
| Net Income | -17.58M | -4.1M | -38.69M | -32.46M | -25.55M | -20.53M |
| Net Margin % | -19.98% | -4.51% | -44.51% | -75.04% | -149.59% | -174.23% |
| Net Income Growth % | -107.02% | 89.39% | -19.22% | -27.02% | -24.47% | - |
| Net Income (Continuing) | -17.58M | -4.1M | -38.69M | -32.46M | -25.55M | -20.53M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.56 | -0.17 | -1.55 | -1.30 | -1.03 | -0.82 |
| EPS Growth % | -69.63% | 89.03% | -19.23% | -26.21% | -25.61% | - |
| EPS (Basic) | - | -0.17 | -1.55 | -1.30 | -1.03 | -0.82 |
| Diluted Shares Outstanding | 31.39M | 23.68M | 24.89M | 24.89M | 24.89M | 24.89M |
| Basic Shares Outstanding | 31.39M | 23.68M | 24.89M | 24.89M | 24.89M | 24.89M |
| Dividend Payout Ratio | - | - | - | - | - | - |
Certification and liquidity constraints
As reported in the company's quarterly financial statements, AIRO's revenue trajectory remains highly volatile, with quarterly figures fluctuating between $6.3M and $48.3M over the last two years, suggesting that the firm has yet to establish a predictable, organic growth cadence across its four distinct business segments.
The lack of a consistent upward trend in revenue indicates that the company's current business model is heavily reliant on project-based defense contracts and episodic hardware sales. Investors should monitor whether the firm can transition from this lumpy revenue profile to a more stable, recurring model as its eVTOL segment matures.
Based on the provided income statement data, AIRO's gross margins have swung significantly from a low of 26.6% in 2026Q1 to a high of 69.9% in 2024Q4, reflecting the inherent difficulty in maintaining consistent profitability across a diverse portfolio of aerospace hardware and specialized training services.
This wide variance suggests that the company's product mix is highly sensitive to the specific nature of contracts fulfilled in any given quarter. The inability to sustain high gross margins consistently may imply that the firm lacks significant pricing power in its competitive defense and avionics markets.
According to recent financial filings, AIRO's operating margins frequently dip into deep negative territory, such as the -192.8% recorded in 2026Q1, which highlights a significant disconnect between gross profit generation and the heavy fixed-cost burden required to support the company's extensive R&D and engineering initiatives.
The company appears to be struggling to achieve operational scale, as SG&A and R&D expenses often overwhelm the gross profit generated by its legacy segments. This suggests that the current corporate structure may be too fragmented to allow for the efficient absorption of overhead costs.
As indicated by the historical data, AIRO's net income is characterized by extreme swings, including a $5.9M profit in 2025Q2 followed by a $15.5M loss in 2026Q1, suggesting that reported earnings are heavily influenced by non-operating items and potentially inconsistent accounting treatments across its various business units.
The presence of significant stock-based compensation in certain periods, such as the $18.8M recorded in 2025Q4, further complicates the assessment of true operational performance. Investors should remain cautious, as these fluctuations may mask the underlying cash burn rate required to sustain the company's developmental eVTOL platform.
Based on the reported figures, the primary risk to the investment thesis is the company's persistent inability to generate positive operating income, which raises questions about whether the legacy avionics and training segments can realistically subsidize the long-term capital requirements of the eVTOL and drone divisions.
Short-sellers would likely focus on the widening gap between cash reserves and the high burn rate, which may necessitate further dilutive financing. The reliance on a 'barbell' strategy appears increasingly precarious if the company cannot demonstrate a clear path to operational break-even in the near term.
Quick answers to the most common questions about buying AIRO stock.
For fiscal year 2025, AIRO Group Holdings, Inc. Common Stock (AIRO) reported total revenue of $90.9M. This represents a 671.5% increase compared to $11.8M in 2021.
AIRO Group Holdings, Inc. Common Stock (AIRO) reported a net loss of $4.1M for the fiscal year ending 2025.
AIRO Group Holdings, Inc. Common Stock (AIRO) reported an operating income of $-28.8M, resulting in an operating profit margin of -31.6%. This margin reflects the operational efficiency of the business before interest and taxes.
AIRO Group Holdings, Inc. Common Stock (AIRO) generated $54.4M in gross profit for the year, representing a gross profit margin of 59.9%. This demonstrates the company's core pricing power and production efficiency.