Today, DroneShield Ltd (ASX: DRO) posted record quarterly revenue of $92.9 million, up 1,091% on pcp, and a 204% lift in operating cashflow to $20.1 million.
What did DroneShield report?
- Quarterly revenue jumped to $92.9 million, a 1,091% increase over Q3 FY24
- Cash receipts hit an all-time high at $77.4 million, up 751% on last year
- SaaS revenues grew to $3.5 million, a rise of 400% year-on-year
- Operating cashflow climbed to $20.1 million, from a $19.4 million loss in the prior corresponding period
- Year-to-date committed revenues reached $193.1 million, smashing the full-year 2024 result
- Cash and equivalents at period end were $212.8 million
What else do investors need to know?
DroneShield marked major milestones during the quarter, including completion of a $62 million European contract and the award of an $11.7 million US Department of Defense research contract. The company expanded its research and manufacturing footprint, opened a new SA R&D facility, and increased its US operations.
The product lineup grew with the release of SentryCiv—a subscription offering for the civilian sector—and the enterprise-grade DroneSentry-C2 SaaS platform. DroneShield also gained inclusion in the S&P/ASX 200 Index (ASX: XJO) and surpassed 4,000 units sold, with a recent award for a $7.9 million order.
What's next for DroneShield?
Management plans to accelerate development of AI-powered solutions and grow SaaS revenues, with the civilian market targeted as a major growth driver. With a strong cash position, DroneShield aims to maintain profits by expanding into new markets and rolling out additional subscription-based products.
Ongoing US and European defence contracts, plus growing demand from critical infrastructure and government clients, position DroneShield well for further revenue and margin growth in 2026.
DroneShield share price snapshot
DroneShield shares have soared 337% over the past 12 months, far outpacing the ASX 200 index which has risen around 9% over the same period.
