• Continued rapid increase in customer order flow
• Repeat orders from U.S. Government totaling $7.6 million
• Delivery expected in Q4 2025, cash payments in Q4 2025 or Q1 2026

DroneShield Limited (ASX:DRO) has announced that it is seeing a continued rapid increase in customer order flow, substantially from repeat customers looking to step up the amount of counter-drone systems from a low or no existing base. The company has received a package of 3 standalone contracts totaling $7.6 million for handheld systems for delivery to the U.S. Government. DroneShield expects to deliver all equipment in Q4 2025, with cash payments expected in Q4 2025 or Q1 2026. These repeat orders strengthen DroneShield's position as a trusted provider of mission-critical solutions to address the growing challenge of drone threats on the modern battlefield and the civilian sector. In addition to the larger orders, smaller frequent orders such as this one play an important role in ensuring the steady flow of the business, ongoing market fulfillment with the company's solutions, as well as building trust and laying the ground for the larger orders in the sales pipeline. For 2025 year to date, DroneShield has received 78 Purchase Orders with a median size order of approximately $400k, compared to 66 orders for all of 2024, with the median order value of $200k, showing a diverse business continuing to grow across all metrics.

Moving forward, taking into account the substantial revenue growth of the business in 2025, the announcement threshold for received orders in 2026 will increase from the current $5 million (which was based on the $57 million of revenue in 2024) to $20 million, unless there is a further rationale to announce a received smaller order.