The DroneShield Ltd (ASX: DRO) share price is in focus after the company posted record interim revenue of $125.8 million, up 74% on the prior corresponding period, though it reported a statutory after-tax loss of $32.2 million.
Image source: Getty Images
What did DroneShield report?
- Revenue jumped 74% to $125.8 million (1H 2025: $72.3 million).
- Recurring revenue increased 229% to $11.5 million (1H 2025: $3.5 million).
- Statutory net loss after tax of $32.2 million, versus a $2.1 million profit a year earlier.
- Underlying EBITDA loss of $12.4 million (1H 2025: $8.0 million profit).
- Net tangible assets per share: $0.28 (31 December 2025: $0.33).
- No interim dividend declared.
What else do investors need to know?
The interim period saw DroneShield expand both its product range and geographic footprint, with over half of its revenue coming from Europe and the UK. The company completed its new Sydney production facility and launched European operations, underpinning its growth strategy.
Higher operating costs followed increased staff numbers and strategic investments in software and next-generation hardware, contributing to the reported loss. Cash and term deposits at 30 June stood at $180 million, while inventory was built up to support upcoming product launches.
Significant governance changes occurred during the half-year, including a new CEO, Angus Bean, after Oleg Vornik's departure, and the appointment of Hamish McLennan as Chairman.
What's next for DroneShield?
Looking ahead, DroneShield is preparing to launch new AI-enabled hardware and software solutions, aiming to grow its subscription and recurring revenue streams. The company is focused on production scale-up, ongoing research and development, and capitalising on increased demand for counter-drone solutions globally.
Management expects that strategic partnerships and regional expansion, particularly in high-demand regions like Europe and the US, will continue to play a pivotal role in future growth.
DroneShield share price snapshot
The DroneShield share price has been sold off over the past 12 months and is down 45% over the past 12 months. This compares to a modest gain by the S&P/ASX 200 index (ASX: XJO).
