AIRONasdaqAircraftUS GAAP · USD

AIRO Group Holdings, Inc.

AIRO Group Holdings, Inc. is a Delaware-based aerospace, autonomy, and air mobility platform built through a series of acquisitions completed in early 2022. The company operates across four segments—Drones, Avionics, Training, and Electric Air Mobility—spanning both established operating businesses and early-stage development programs. Its Drones and Avionics units develop and manufacture hardware for military and commercial end users, while the Training unit provides military pilot training with an intent to expand into commercial training. The Electric Air Mobility segment is developing a rotorcraft eVTOL aircraft for cargo and passenger missions, a program that remains pre-certification and pre-delivery.

Ask about the company
Revenue90.9m USD
+4.6 %y/y
Operating profit (EBIT)-28.8m USD
−65.0 %y/y
EBIT margin-31.6%
−11.6 ppy/y
Net income-4.1m USD
+89.4 %y/y
Free cash flow-35.5m USD
−271.6 %y/y

Fiscal year 2025 · change from previous year

Development 2024–2025

-50-250255075100m USD2024: 87 m USD2024: EBIT -17 m USD20242025: 91 m USD2025: EBIT -29 m USD202591-29
RevenueOperating profit (EBIT)

Business

Share of revenue
Drones30 %

Development, manufacturing and sales of drones, with planned drone services such as DaaS for military and commercial users.

Avionics30 %

Design and manufacture of avionics systems for military and general aviation aircraft, drones, and future eVTOL platforms.

Training40 %

Pilot training services currently focused on military customers, with an expected expansion into commercial pilot training.

Electric Air Mobility0 %

R&D program developing a rotorcraft eVTOL for cargo and passenger operations, including fixed-route and on-demand missions.

Products

Reported · share of revenue
88.9%11.1%FY2025100 %
  • Products88.9 %
  • Services11.1 %

Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

AIRO’s near-term revenue profile is described as dependent on sales to a relatively small number of customers, implying meaningful customer concentration risk. Across segments, the core customer set includes military and defense-related buyers for drones, avionics, and pilot training, alongside commercial end users for drones and general aviation avionics. The Training segment’s current offering is military pilot training, while commercial pilot training is positioned as a future expansion. For Electric Air Mobility, the expected customer base includes operators launching eVTOL services initially in a limited number of metropolitan areas, with adoption dependent on safety, affordability, and regulatory approvals. Purchasing patterns may fluctuate by period, and reduced production levels at major customers can directly reduce AIRO’s revenue.

U.S. and allied military / defense customers

Buy drones, avionics, and pilot training to support defense missions and readiness; procurement cycles and program volumes drive demand.

Commercial and industrial drone end users

Purchase drones and may adopt Drone as a Service to outsource operations and maintenance as the offering is introduced.

General aviation OEMs, owners, and operators

Buy avionics for general aviation aircraft and potentially for integration into drones and future eVTOL platforms.

Future electric air mobility operators

Prospective buyers/operators of rotorcraft eVTOL aircraft for fixed-route flights, on-demand trips, and cargo operations, contingent on certification and market adoption.

Strategy

AIRO’s strategy is to operate as a multi-segment aerospace platform spanning near-term revenue businesses (training, avionics, drones) and longer-cycle development (electric air mobility). In drones, the roadmap includes expanding beyond product sales into service-based offerings such as Drone as a Service, which could change revenue mix and customer stickiness. In avionics, the focus is on supplying systems across multiple aircraft types—including drones and future eVTOL—positioning the segment as an enabling technology layer across the portfolio. In training, the company is executing military pilot training today while preparing to enter commercial pilot training to broaden the addressable market. In electric air mobility, priorities center on progressing development and achieving FAA certification before any meaningful deliveries can occur.

Commercialize and expand drone offerings, including DaaSMedium term

Services could diversify revenue and reduce dependence on one-time hardware sales while meeting customer demand for outsourced operations.

Broaden training business beyond military into commercial pilot trainingMedium term

Expands addressable market and can smooth demand versus reliance on a small number of major customers.

Progress eVTOL program toward FAA certification and first deliveriesLong term

The electric air mobility segment is pre-revenue and depends on certification and market adoption to become a material business line.

Geography

Q1/2026

AIRO is headquartered in the United States and is incorporated in Delaware, with operations tied to U.S. aerospace and defense demand and U.S. regulatory frameworks. The company also references exposure to global political and economic conditions, including sanctions/export controls related to Russia and broader geopolitical risks, indicating an internationally exposed supply chain and/or customer environment even if revenue is not geographically disclosed. Electric air mobility commercialization is expected to begin in a limited number of metropolitan areas, suggesting an initial city-by-city rollout rather than broad national coverage. No authoritative revenue-by-region or revenue-by-country breakdown was provided in the available excerpts, limiting precision on geographic mix. Geographic factors matter primarily through certification pathways (e.g., FAA), defense procurement, and supply chain availability.

Europe80 %
United States20 %

Share of the revenue the company reports by geography.

Risks

AIRO discloses that its results will likely continue to depend on a relatively small number of customers, making revenue sensitive to the loss of key accounts, reduced purchasing, or lower production levels at major customers. The company operates in markets characterized by rapid technological change and evolving regulatory and industry standards; delays in product development or failure to integrate new technology can impair competitiveness and timing of revenue. Electric air mobility is explicitly described as an emerging market that may not develop as expected, and the company has not yet obtained FAA certification for its eVTOL aircraft or delivered any aircraft, increasing execution and adoption risk. The business is also exposed to cyber and security threats, as well as macro/geopolitical risks including sanctions/export controls related to Russia, supply chain disruptions, inflation, interest rates, and labor market constraints. As an early-stage company with a history of losses, it faces financing and covenant compliance risks that can constrain investment in R&D and scaling.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Lack of FAA certification and no eVTOL deliveries to date1Customer concentration and demand volatility2eVTOL market may not develop as expected3Cybersecurity and unauthorized access4Geopolitical, sanctions/export controls, and macro volatility5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Lack of FAA certification and no eVTOL deliveries to dateImpact: CriticalLikelihood: High

    Without certification and manufacturing/delivery execution, the eVTOL program may not generate revenue and is difficult for investors to evaluate.

    Exposure: Certification timeline and industrialization readiness

  2. Customer concentration and demand volatilityImpact: HighLikelihood: Medium

    The company expects to depend on a relatively small number of customers whose purchasing patterns and production levels can fluctuate, and losing key customers could materially reduce revenue.

    ExposureSales concentration across segments (dronesAvionicsTraining)
  3. eVTOL market may not develop as expectedImpact: HighLikelihood: Medium

    Electric air mobility is still emerging and depends on public adoption, perceived safety/affordability, and operator rollout in limited metro areas.

    Exposure: Electric Air Mobility segment growth assumptions

  4. Cybersecurity and unauthorized accessImpact: MediumLikelihood: Low

    Security and cyber threats could compromise company, customer, or supplier information and systems, disrupting operations and damaging relationships.

    Exposure: IT systems and connected aerospace/defense workflows

  5. Geopolitical, sanctions/export controls, and macro volatilityImpact: MediumLikelihood: Low

    Sanctions/export controls related to Russia and broader geopolitical risks, plus inflation, rates, FX, and supply chain/labor disruptions can affect costs, availability, and demand.

    Exposure: Global supply chain and customer environment

Accounting

Judgemental items
Goodwill impairment testing and valuation assumptions

Goodwill is not amortized and is tested at the reporting unit level; changes in projected cash flows or discount rate can trigger material impairment charges.

Impact: Potentially material non-cash impairment expense and reduced asset base

Definite-lived intangible assets and amortization

Intangibles from business combinations are amortized over estimated useful lives, affecting operating income and segment profitability trends.

Impact: Recurring non-cash amortization expense

Fair value accounting for warrants and equity-linked instruments

Initial recognition of warrant liability and subsequent reclassifications can create non-operating volatility and non-cash impacts.

Impact: Non-cash gains/losses and balance sheet classification changes

Equity settlements of obligations (debt and contingent consideration)

Settling debt or contingent consideration in common stock affects equity, reported cash flows, and may obscure underlying cash burn.

Impact: Non-cash financing activity and dilution considerations

Lease accounting (right-of-use assets and lease liabilities)

Operating leases increase reported assets and liabilities and affect EBITDA vs operating cash flow comparability.

Impact: Balance sheet leverage metrics and operating expense presentation

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Last updated: 24/09/2026