Electro Optic Systems (ASX:EOS) Announces €11.4 Million Slinger Counter-Drone Order
In a significant ASX announcement, Electro Optic Systems (ASX:EOS) has secured a substantial €11.4 million (approximately A$20 million) contract for its Slinger Counter-Drone system from a Western European NATO country. This latest EOS Slinger Counter-Drone Order marks another key milestone for the Australian defence technology firm, highlighting the increasing demand for kinetic counter-drone solutions as unmanned aerial threats continue to grow in modern security environments.
This contract reinforces the company’s reputation as a preferred supplier for advanced counter-unmanned aerial system (counter-UAS) technology. As security threats to Western European countries intensify, military forces are rapidly acquiring specialised systems capable of neutralising these dangers through kinetic engagement.
What does the latest counter-drone contract include?
The strategic €11.4 million agreement encompasses multiple components designed to deliver comprehensive counter-drone capabilities. The order includes Slinger Counter-Drone Remote Weapon Systems (RWS) units, spare parts, operator training programmes, and ongoing technical support services.
EOS has committed to delivering the systems within six months to address what the company describes as “urgent operational requirements.” This accelerated timeline underscores the pressing security concerns driving procurement across NATO member states. The revenue from this contract is anticipated to be recognised primarily during 2026.
According to EOS management, this deal demonstrates that the Slinger RWS has emerged as “a product of choice for kinetic counter-drone weapon systems” amongst European military forces. The contract follows a pattern of increasing demand for the Slinger system throughout 2025, positioning EOS as a key partner for NATO allies.
How does this order impact EOS’s total contract backlog?
This latest EOS Slinger Counter-Drone Order contributes to a remarkable expansion of the company’s secured order book. EOS’s contract backlog now exceeds $400 million, representing an almost three-fold increase from December 2024 levels. This substantial growth provides the company with strong revenue visibility extending into 2027.
Major Contract Wins Secured During 2025
EOS has announced several significant contract awards throughout 2025, building its backlog to record levels:
| Announcement Date | Product Category | Customer Region | Contract Value (A$M) |
|---|---|---|---|
| 19 May 2025 | Slinger Counter-Drone RWS | Western Europe | $53M |
| 5 August 2025 | High Energy Laser Weapon | European NATO | $125M |
| 22 August 2025 | Space Capability | Australia | $11M |
| 6 October 2025 | R400 RWS for LAND 400-3 | Australia | $108M |
| 17 November 2025 | Slinger Counter-Drone RWS | Western Europe NATO | $20M |
Based on existing schedules, EOS expects most of the contract backlog to be converted into revenue during 2026 and 2027. Beyond the secured backlog, EOS maintains an extensive pipeline of further opportunities.
Why are European nations prioritising counter-drone technology?
The strategic importance of the EOS Slinger Counter-Drone Order reflects broader shifts within European defence as unmanned aerial threats evolve. Recent months have seen an escalation in drone threats to Western European countries, prompting urgent procurement initiatives across NATO.
Key Threat Drivers:
- Increased drone proliferation in conflict zones.
- Technological advancement enabling more sophisticated surveillance and attack missions.
- Accessibility concerns as commercial drone technology is weaponised.
- Infrastructure vulnerabilities exposed by unauthorised drone activities.
European nations are responding through procurement programmes that prioritise proven kinetic counter-drone systems. Furthermore, NATO standardisation initiatives encourage member states to acquire interoperable systems, potentially creating additional opportunities for EOS as the Slinger gains acceptance across the alliance.
What technical capabilities make the Slinger system effective?
The Slinger Counter-Drone Remote Weapon System is EOS’s flagship kinetic counter-UAS solution, engineered to neutralise drone threats with precision targeting. The system addresses critical requirements for forces confronting evolving unmanned aerial system threats.
Key Technical Specifications:
- Remote operation capability to protect operators.
- Kinetic engagement for physical destruction of target drones.
- Rapid response functionality for urgent operational needs.
- Integrated training systems for thorough operator preparation.
- All-weather operational capacity for consistent performance.
The system’s selection by multiple NATO countries validates its technical superiority and operational effectiveness, positioning EOS as a preferred supplier for kinetic counter-drone solutions.
What is EOS’s current financial position?
As at 31 October 2025, EOS reported a cash position of $71.495 million with 192,952,098 shares on issue. This provides the company with the financial resources to execute against its record contract backlog. The company’s market capitalisation stands at approximately $922 million.
The new contract contributes to a financial profile characterised by:
- Record backlog conversion potential through 2026 and 2027.
- Diversified revenue streams across Defence and Space Systems.
- A blue-chip customer base including NATO allies and the Australian Defence Force.
This investor update confirms the company’s financial momentum has accelerated throughout 2025, with the contract backlog growing from approximately $133 million in December 2024 to its current level above $400 million.
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