Sydney, Feb 25, 2026, 18:27 AEDT — Market closed.
- DroneShield rallied 12.6% to finish at A$3.39, following the release of its FY2025 results.
- The board outlined a series of governance review measures mandated by the ASX, among them stricter trading regulations.
- Next up for investors: Thursday’s results call.
Shares of DroneShield Ltd climbed 12.6% to A$3.39 by Wednesday’s close, after the company released its FY2025 results. The stock ranged from A$2.97 to A$3.47, with roughly 22 million shares traded, market data showed. Source: https://www.intelligentinvestor.com.au/shares/asx-dro/droneshield-limited/share-price https://www.investing.com/equities/droneshield-ltd
This shift is significant: the company wants attention on execution now, following months of governance turmoil that hit valuation and triggered questions over its disclosure controls.
That tees up the next session, with traders tuned in for signals on order timing and cash conversion. The focus is also on whether the governance tweaks deliver enough reassurance to hold buyer interest.
DroneShield posted A$216.5 million in customer revenue for FY2025, a jump of 276% over 2024, according to its results deck. The pipeline hit A$2.3 billion as of February. Cash on hand was A$209.4 million, with net cash from operations at A$15.9 million and underlying pre-tax profit at A$33.3 million. The company mapped out plans to scale up to A$2.4 billion in annual production by end-2026, flagging European contract manufacturing in the first half of 2026 and U.S. assembly in the back half. Source: https://company-announcements.afr.com/asx/dro/ddfc4912-11cf-11f1-ad9a-2e14b29d7b39.pdf
The presentation also flagged an inventory write-down related to legacy DroneGun models. Management said it had upgraded to a new enterprise resource planning system—software for tracking inventory, orders, and production—in a bid to improve delivery planning. As of Dec. 31, inventories stood at A$79 million, according to the same source.
On Wednesday, DroneShield released results from a governance review launched after the ASX raised issues over director share sales, a retracted market statement, and a trading halt back in November. The board said independent directors supervised the process, which was carried out by Herbert Smith Freehills Kramer. Among the measures: a “front page test”, forming a disclosure committee, extending blackout periods, and a policy on minimum shareholdings. Source: https://announcements.asx.com.au/asxpdf/20260225/pdf/06wqj4xl40g7z2.pdf
DroneShield rolled out an updated trading policy, effective Feb. 25, introducing stricter rules for “restricted persons”—a group that includes the company’s directors and top executives. The new guidelines widen blackout periods tied to the release of full-year, half-year, and quarterly results. Source: https://company-announcements.afr.com/asx/dro/07ad35ee-11cf-11f1-aa76-525adc3649ab.pdf
Oleg Vornik, the chief executive, told The Australian he hadn’t expected the reaction to last year’s share sales. “I think it was fair to say that I was shocked,” he said. Source: https://www.theaustralian.com.au/business/companies/droneshield-chief-oleg-vornik-blames-tallpoppy-syndrome-for-backlash-over-50m-share-sale/news-story/e56a180bb25decd420d9eb31e6da3c86
Still, risks remain. Defence orders often arrive unpredictably, and those hefty “pipeline” figures can shrink if procurement timetables shift, approvals get bogged down, or deliveries drag on. There’s also the question of whether stricter trading and disclosure rules will actually head off self-inflicted setbacks—the sort that make momentum traders hesitate.
The management’s results call is set for Thursday at 9:00 a.m. Sydney time. Investors are looking for specifics—when deliveries start, how fast they’ll ramp up manufacturing, and just how soon governance tweaks might show up in more transparent disclosure. Source: https://company-announcements.afr.com/asx/dro/58666d1b-103d-11f1-bc68-96c56ccf4ea1.pdf
