The DroneShield Ltd (ASX: DRO) share price is in focus today after the company announced a new $7.6 million US Government order and highlighted strong growth in order volume for 2025.
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What did DroneShield report?
- Secured three new contracts totalling $7.6 million for handheld counterdrone systems with the US Government
- All equipment expected to be delivered in Q4 2025, with cash payments due in Q4 2025 or Q1 2026
- Repeat orders from the US customer follow $5.7 million (May 2024) and $7.9 million (September 2025) orders
- Received 78 purchase orders year-to-date in 2025, compared to 66 for all of 2024
- Median order size increased to approximately $400,000 in 2025, up from $200,000 in 2024
What else do investors need to know?
DroneShield is experiencing strong recurring demand, with both smaller frequent orders and large contracts, such as the $62 million European order announced and delivered earlier in 2025. These ongoing orders deepen relationships with major defence customers and help build credibility for larger future deals.
The company continues to invest in expanding its annual production capacity, targeting an increase from $500 million to $2.4 billion by the end of 2026. Assembly facilities are being established in Europe and the US to support this growth.
DroneShield's SaaS-based AI software, including the newly launched RFAI-ATK solution, is set for wider release in mid-2026 and is currently undergoing customer trials. This strengthens the company's technology edge in the fast-evolving counter-UAS sector.
What did DroneShield management say?
DroneShield CEO and Managing Director Oleg Vornik said:
In addition to the larger orders such as the $62 million European order received in June and fully delivered since, smaller frequent orders such as this one play an important role in ensuring the steady flow of the business, ongoing market fulfilment with our solutions, as well as building trust and laying ground for the larger orders in our sales pipeline. The pipeline includes multiple opportunities over $100 million each, including the largest $800 million opportunity, that the business is currently working on, with our customers.
What's next for DroneShield?
Looking ahead, DroneShield plans to further scale up production and focus on securing even larger contracts from its international customer base. Announcement thresholds for new orders will also increase to $20 million in 2026, reflecting the company's strong revenue growth in 2025.
Management is optimistic about its growing pipeline, with several substantial opportunities currently being pursued. The company's focus on innovation, expanding SaaS offerings, and establishing regional manufacturing hubs supports its strategy for sustained global growth.
DroneShield share price snapshot
DroneShield shares have risen 293% in the past 12 months, strongly outperforming the S&P/ASX 200 Index (ASX: XJO) which has risen 6% over the same period.
