• Revenue of $57.5 million, up 6.4% year-on-year
• Loss of $1.32 million, up 114.1% year-on-year
• Strong sales pipeline of $1.2 billion in active project discussions for FY2025 and FY2026

DroneShield Limited ('DroneShield' or the 'Company') reported its FY2024 results, with revenue increasing 6.4% to $57.5 million. However, the Company reported a loss of $1.32 million, up 114.1% year-on-year. The loss was attributed to a slower rate of revenue growth, due to pipeline projects taking longer to complete than expected. This was driven by nascent procurement processes for the counterdrone industry and a greater number of approval steps for larger customer contracts. FY2024 revenue was driven by smaller customer contracts, reducing risk by diversifying the customer base. The Company has a strong sales pipeline of $1.2 billion in active project discussions for FY2025 and FY2026. DroneShield continued to ramp up its mass production capabilities, expanding the Sydney HQ manufacturing space, and the majority of the expanded space is for DroneSentry-X Mk2 production, which is expected to drive significant revenue in FY2025 and beyond. The Company is engineering-led, with 204 engineers out of 275 staff, an increase from 90 staff at the end of FY2023, focusing on product development and technology sophistication.

FY2025 is off to a strong start, including $51.6 million of revenue already either recognised ($18 million recognised year to date) or under committed Purchase Orders (for delivery in 2025) as of 18 February 2025 (with approximately 10 months of the year to go).

The United States Government and military market is expected to continue to be the single largest opportunity for DroneShield, being the largest counterdrone customer in the world, and accounting for ~70% of the Company's FY2024 and FY2023 revenues. The Trump presidency is expected to be an overall positive for the Company, with an anticipated additional investment into the US border security, defence and law enforcement, as well as fast tracking of C-UxS legislation, such as enabling a greater number of Government agencies to use C-UxS equipment.