DroneShield products on display
DroneShield Ltd (ASX:DRO), a prominent player in the counterdrone sector, has earned a coveted spot in the S&P/ASX All Ordinaries Index, marking a significant achievement for the company.
The inclusion announcement by S&P Dow Jones Indices on March 1, 2024, follows DroneShield’s impressive financial results for the fiscal year 2023, as disclosed in a press release on February 27, 2024. These results highlighted the company’s substantial growth and path to profitability – and highlights the rise of counterdrone technology firms in the current geopolitical climate.
In 2023, DroneShield witnessed remarkable financial performance, with record-breaking cash receipts totaling $73.5 million, a notable fivefold increase compared to the previous fiscal year. Revenue also surged to $55.1 million, marking a threefold rise from the previous year. A significant portion of the revenue was attributed to repeat customers, reflecting the company’s ability to maintain strong relationships.
Achieving profitability for the first time, DroneShield reported a profit after tax of $9.3 million for FY23. This milestone, coupled with a noteworthy 64% increase in share price over the year, surpassing the ASX300, underscored the company’s growing presence in the market.
With a robust cash balance of $57.9 million as of December 31, 2023, and no outstanding debt, DroneShield demonstrated financial resilience and stability. The company also boasts a contracted backlog of $30 million and a pipeline exceeding $510 million, indicative of its promising future prospects.
DroneShield’s strategic initiatives, including team expansion and facility upgrades, position the company for continued growth. With over 115 team members, including 90 engineers, and expanded facilities in Sydney, DroneShield is well-equipped to meet increasing demand and deliver on larger orders.
Moreover, the global landscape presents opportunities for DroneShield’s growth, with rising counter-drone, defense, and security spending worldwide. Ongoing conflicts, such as the situation in Ukraine, highlight the critical need for effective counterdrone solutions, further fueling demand for DroneShield’s products and services.
Commenting on the company’s inclusion in the All Ordinaries Index, Oleg Vornik, CEO of DroneShield, expressed confidence in the company’s trajectory, stating, “This recent news of addition into the All Ordinaries Index is expected to further highlight our story to a number of institutional and retail shareholders, adding to the existing base of over 11,000 investors in DroneShield.”
DroneShield’s entry into the S&P/ASX All Ordinaries Index signifies a significant milestone, reflecting the growing influence and market recognition of drones and counterdrone technology.
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Miriam McNabb is the Editor-in-Chief of DRONELIFE and CEO of JobForDrones, a professional drone services marketplace, and a fascinated observer of the emerging drone industry and the regulatory environment for drones. Miriam has penned over 3,000 articles focused on the commercial drone space and is an international speaker and recognized figure in the industry. Miriam has a degree from the University of Chicago and over 20 years of experience in high tech sales and marketing for new technologies.
For drone industry consulting or writing, Email Miriam.
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