DroneShield wins $5.2m follow-on European military contract

Sydney based DroneShield Limited has won a $5.2 million follow-on contract from an undisclosed in-country European reseller which is contractually required to distribute the products to a European military customer. The contract is for handheld counter Uncrewed Aerial System (UAS) systems and associated accessories. DroneShield has all stock on-the-shelf to deliver this order and will receive cash payment in this quarter of 2025.

DroneShield provides Artificial Intelligence-based platforms for protection against advanced threats such as UASs and autonomous systems. The company offer customers bespoke counter-UAS and Electronic Warfare (EW) solutions and off-the-shelf products designed to suit a variety of terrestrial, maritime and airborne platforms, both civil and military. DroneShield’s customer communities include the military, intelligence, Government, law enforcement, critical infrastructure and airports.

The reseller for this latest sale into Europe is a vetted partner that DroneShield has worked with for three years. Over this period, and excluding the contract announced today, DroneShield has received 12 contracts from this reseller totalling over $70 million.

DroneShield has not disclosed the identities of the reseller or end-user: it does not consider them to be information that a reasonable person would expect to have a material effect on the price or value of DroneShield’s shares. The company has been in the Australian financial media over the past two weeks because its share price has fallen sharply in response to a number of directors cashing in shares they have been awarded as part of their performance bonusses.

As previously announced to the market, DroneShield’s announcement threshold for received orders in 2026 will increase from the current $5 million (which was based on the $57 million of revenue in 2024) to $20 million, unless there is a further rationale to announce a received smaller order.