DroneShield has announced a new $61.6 million contract, its largest to date, for handheld drone detection and counter-UAS systems destined for a European military customer. The agreement was signed through a privately owned in-country reseller that is contractually obligated to supply the unnamed end user.
The contract includes detection and mitigation systems along with associated accessories. DroneShield said it expects to complete deliveries in the third quarter of 2025, with payment scheduled across Q3 and Q4.
The deal surpasses the company’s total revenue for 2024, which was reported at $57.5 million. According to the company, recent investments in production capacity and inventory have positioned it to fulfill the order within a single quarter.
Growing demand for counter-drone capabilities
This latest award follows a $32.2 million repeat order announced in April 2025 for a separate military customer.
While the specific systems included in the new contract were not identified, DroneShield’s product lineup features handheld solutions such as the DroneGun Mk4 and DroneGun Tactical, which combine RF detection with directional jamming to neutralize small drones.
The company says it is experiencing increased order volumes and shorter procurement cycles as European militaries ramp up counter-UAS investments in response to evolving threats.
Oleg Vornik, DroneShield CEO, noted:
“In succession to the $32.2 million repeat order announced on 14 April 2025 for another customer, DroneShield products are now being purchased in material quantities. The scale and frequency of 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.”
Expansion aligned with Europe’s defense push
The contract comes amid a broader European push to rearm and modernize its defence posture under the ReArm Europe Plan / Readiness 2030, a multi-year effort aimed at strengthening EU defence capabilities. The initiative includes increased fiscal flexibility for defence spending, greater procurement autonomy and support for Ukraine’s war effort.
As part of its response, DroneShield is establishing a European Centre of Excellence focused on manufacturing, assembly, R&D and training. The facility will be the company’s first outside Australia and is expected to produce hardware with at least 65 percent European industry content for certain regional programs.
DroneShield has noted that Europe currently accounts for over A$1.1 billion across 55 active sales opportunities, making it one of the company’s largest regional markets.
Australian production and development
The company also continues to invest in its Australian production and development capacity. In 2024, 91 percent of DroneShield’s output was exported, according to company figures. This aligns with Australia’s broader defence industrial strategy, ‘Future Made in Australia,’ which envisions national defence spending doubling to $100 billion by FY2034.
In addition to supplying allies in Europe, DroneShield has supported Ukraine’s frontline forces with rapid system upgrades designed to counter increasingly complex drone threats. These upgrades are facilitated through the firm’s Sydney-based software and systems hub.
While the company has not disclosed specific timelines or capabilities related to the new Centre of Excellence, it is expected to help DroneShield qualify for additional regional procurement programs, especially those requiring local content or rapid fulfilment.
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Post Image – DroneShield’s Immediate Response Kit (Post Image Credit: DroneShield)
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