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Military drone maker's shares jump more than 25% after announcing booming sales

  • AeroVironment's quarterly revenue rose 47 percent year over year.
  • The company attributed the sales surge to a $23.2 million gain in drones sales.
  • AeroVironment's strong revenue tricked down to its bottom line, as the drone maker's earnings shattered Wall Street expectations.
U.S. Army Major Rod Secor poses with a AeroVironment RQ-11 Raven, a small hand-launched remote-controlled unmanned aerial vehicle (SUAV), at the U.S. military booth at the Singapore Airshow in Singapore.
Tim Chong | Reuters
U.S. Army Major Rod Secor poses with a AeroVironment RQ-11 Raven, a small hand-launched remote-controlled unmanned aerial vehicle (SUAV), at the U.S. military booth at the Singapore Airshow in Singapore.

Shares of AeroVironment, a military drone maker, closed 26 percent higher and hit an all-time high on Wednesday after the company posted strong quarterly sales.

The company's revenue for fiscal second-quarter 2018 hit $73.8 million, marking a 47 percent year-over-year increase. AeroVironment attributed the sales surge to a $23.2 million gain in drones sales.

AeroVironment's strong revenue tricked down to its bottom line, as the drone maker's earnings per share shattered Wall Street expectations. The company reported a profit of 29 cents a share, while analysts polled by Reuters expected a loss of 6 cents a share.

"Our outstanding team delivered another solid quarter of financial and operational results driven by robust, global customer demand across our business and continued effective execution," CEO Wahid Nawabi said in a release.

AeroVironment's stock has already had a stellar 2017, having risen 61.2 percent entering Wednesday's session.