DroneShield has secured a contract valued at USD $61.6 million to supply handheld detection and counter-drone systems to a European military customer.
The company announced that the agreement consists of a package of three standalone follow-on contracts handled through its in-country European reseller. The reseller is contractually required to distribute DroneShield products to the military buyer. The contract covers detection and counter-drone systems along with associated accessories, with all deliveries expected during the third quarter of 2025. Payments are scheduled for the third and fourth quarters of the same year.
This latest contract surpasses DroneShield's recorded revenue for 2024, which stood at USD $57.5 million, and represents the largest single order in the company's history. DroneShield's recent production and inventory expansions are expected to facilitate completion of all deliveries within the stipulated quarter.
Order history
According to the company, the European reseller has progressively scaled up its orders over the past two years. Initial purchases involved single evaluation units, which evolved into multi-million dollar commitments. DroneShield previously received a contract from this reseller for the same customer in April 2024 totaling approximately USD $0.5 million.
There is no ongoing contractual obligation for future orders from either the reseller or the European military customer, DroneShield said.
The company outlined that the package of contracts, signed through the reseller, aligns with the European continent's EUR €1.4 trillion ReArm Europe programme, which aims to bolster defence capabilities across the region. The identity of both the reseller and military customer remains confidential. DroneShield stated that it does not consider this information material for its security price or value assessments.
Statements from CEO
"In succession to the $32.3 million repeat order announced on 14 April 2025 for another customer, DroneShield products are now being purchased in material quantities. The scale and frequency or orders has been increasing as leading Military customers are moving from testing hardware to broader rollouts. DroneShield is well placed to meet the increasing demand."
DroneShield expects the structure of its recent inventory and manufacturing scale-ups to play a critical role in meeting deadlines for this new agreement. The company stressed that all imports, deliveries and payments associated with these contracts have historically been managed on-time and in a professional manner through the European reseller.
In the official announcement, DroneShield said that no additional material conditions are required for the fulfilment of the current agreements. The company emphasised that the release included all information relevant to evaluating the effect of the agreement on DroneShield's share price and was not misleading by omission.
Product scope
The awarded contracts centre on DroneShield's line of portable detection devices and counter-drone technologies, as well as a range of accessories. These products are developed to enhance situational awareness and provide defence against unauthorised drone activities.
DroneShield has indicated increasing demand from military customers across different regions, coinciding with European defence authorities' moves to adopt greater numbers of counter-drone technologies. The company's strategy has included alignment with European initiatives to strengthen military equipment and infrastructure.
Delivery of the equipment will be undertaken throughout the third quarter of 2025, with financial settlement anticipated in the two quarters that follow.
DroneShield operates in several markets and supplies its detection and electronic warfare equipment to military, intelligence, government, law enforcement, and critical infrastructure customers globally.
