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Highlights

  • DroneShield receives its largest-ever order, totalling AUD 61.6 million, from a European military customer via reseller.

  • FY2025 secured revenues now stand at AUD 161 million, nearly triple FY2024's full-year result.

  • Shares surge 20% to AUD 2.15 on the ASX following announcement.

DroneShield Ltd (ASX:DRO) has witnessed a notable surge in its share price during morning trade, with its stock climbing 20% to reach $2.15. The rally follows the announcement of a record-breaking contract win, marking a significant milestone in the company’s operational history.

According to the update issued to the ASX, DroneShield has secured a series of follow-on contracts worth a combined AUD 61.6 million. These contracts have been arranged through its private, in-country European reseller. The reseller is contractually committed to distributing the technology to a European military client.

The new contracts include the provision of handheld drone detection and countermeasure systems along with supporting accessories. This order surpasses any previous transaction in the company’s history and notably exceeds its entire FY2024 revenue of AUD 57.5 million.

DroneShield confirmed that the increased scale of its production capabilities and inventory capacity will allow for the complete delivery of this order within the third quarter of 2025. The corresponding cash inflows are expected across both the third and fourth quarters of the current financial year. The company clarified that there are no additional material conditions attached to the order.

This latest development follows an earlier, much smaller contract with the same reseller in April 2024, which was valued at AUD 0.5 million. The company noted a gradual build-up of trust and engagement over the past two years. What began as an order for evaluation units has now scaled into a multi-million dollar commitment. All previous imports, deliveries, and payments associated with this reseller have reportedly been completed efficiently and professionally.

In addition to the contract announcement, DroneShield also released a broader performance update for FY2025. It reported year-to-date secured revenues of AUD 161 million—nearly triple the revenue it posted for the whole of FY2024. The company’s sales pipeline now stands at AUD 2.41 billion, indicating a robust outlook for the remainder of the financial year. With more than six months still left in FY2025, the company appears well-positioned to exceed previous annual benchmarks.

As of 20 June, DroneShield's cash reserves stood at AUD 198.1 million.