Boresight lands record US$383K North American military order, tripling previous drone deal
Boresight Ltd (ASX: BST) has secured its largest-ever single order from a North American military customer, with its US subsidiary receiving a purchase order worth US$383,275 (~AU$532,000) for aerial target drones, ground control stations and operator training.
The order is approximately 3x larger than the same customer’s previous purchase, marking a repeat and expanding relationship with an influential military buyer. Delivery and payment are expected in Q2 FY27.
For investors, the significance lies in the pattern. Repeat, growing orders point to product validation and a developing recurring revenue channel into the US defence market, one of the largest addressable markets globally.
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What the order includes
The purchase order, received by Boresight U.S., Inc, expands on prior sales in both scale and services. Its composition includes:
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340+ BQ-400 swarming-capable aerial target drones
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Multiple proprietary software Ground Control Stations
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An Operator Training Course
The addition of the Operator Training Course is notable. According to the Company, the expanded scope reflects deeper customer engagement, not simply a repeat purchase of hardware. Boresight attributes the larger order to increased scale in aerial target usage and growing confidence in its capability.
| Order Element | Detail | Investor Impact |
|---|---|---|
| Order value | US$383,275 (~AU$532k) | Largest single North American military order to date |
| Scale vs prior | ~3x previous order | Growing customer confidence & usage |
| Drones | 340+ BQ-400 | Volume manufacturing demand |
| Fulfilment | Huntsville, Alabama facility | US-made advantage for procurement |
Why “American-made” and the Huntsville facility matter
Manufacturing of the aerial target drones will be conducted at Boresight’s new, larger US facility in Huntsville, Alabama (ASX: 20 July 2026). This allows American-made products to be supplied to the military end-customer, which the Company describes as an important element of military procurement decisions.
Local US production carries structural advantages. Fulfilling orders domestically reduces delivery lead times and overheads, while supporting eligibility under procurement preferences that favour American-made supply.
The Huntsville manufacturing expansion targets annual output of more than 5,000 BQ-400 drones, a step up from the hundreds-per-year scale of the prior US facility and the foundation for servicing growing North American order volume at lower unit cost.
Support for the delivery will be provided from Boresight’s Australian headquarters where required, as the Company continues to ramp up operations at its expanded US facility.
How Boresight sells to the US military
Boresight reaches military end-customers through an in-country reseller model. The purchase order was received via Mountain Horse Solutions LLC, an established partner that provides Boresight with the contracting mechanisms that allow sales through to military-end-customers, including the US Department of War and other entities.
This structure is worth understanding. Mountain Horse acts as the contracting pathway rather than the end user. The end customer itself is described as a leading military training element, a standard-setting, training-focused organisation.
The equipment supports training in counter-drone warfare, also known as C-UAS (counter-unmanned aerial systems). In practical terms, attritable aerial target drones, meaning low-cost drones intended to be expended during use, allow military personnel to train against realistic drone threats without risking high-value assets.
For Boresight, the reseller arrangement offers a repeatable route into the world’s largest defence market.
Management commentary
Justin Olde, Managing Director & Chief Executive Officer
“This repeat order is testament to the ongoing effectiveness of Boresight’s aerial target drones in providing cost-effective, reliable and repeatable mission counter drone training. We have a number of North American military customers however this particular client is a standard setting, training focused organisation that has broad influence over their entire military. They’ve looked at the available options and they keep coming back to Boresight.”
Olde also pointed to the operational benefits of US fulfilment.
“The ability to service this and other North American customers directly from our US facility means that our delivery lead times and costs are reduced, providing more responsiveness whilst driving down overheads…” he said.
What happens next
Boresight has outlined a concise near-term roadmap for converting the order into revenue:
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Production to commence on the order
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Staged delivery through to the end of Q2 FY27
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Delivery and payment expected in Q2 FY27
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Continued ramp-up of expanded US facility operations
The timeline gives investors a defined revenue conversion window. The key watch point from here is whether this influential customer, and other North American military buyers, continue to place further repeat orders.
Boresight’s FY26 revenue growth of 55% year-on-year, reported in the company’s debut quarterly as an ASX-listed entity, established the baseline against which this and subsequent North American orders will compound as US facility capacity scales.
About Boresight
Boresight delivers an integrated aerial target drone ecosystem that enables realistic C-UAS training and testing for government and industry, combining attritable aerial target drones, mission planning software and scalable ground control systems.
The Company’s platform range includes quadrotor and fixed-wing aerial target drones designed to replicate evolving drone threats and enable repeatable testing and training scenarios. With teams across Australia, the United States and Europe, Boresight supports customers globally with scalable C-UAS training solutions and integrated production capabilities.
Ready to Explore Boresight’s Growing US Defence Opportunity?
Boresight’s record-breaking US$383,275 North American military order — triple the size of its previous deal — underscores the expanding demand for its BQ-400 aerial target drones and C-UAS training solutions across the world’s largest defence market. With American-made production now scaling out of Huntsville, Alabama, the company is structurally positioned to service repeat and growing military procurement.
To explore Boresight’s full drone ecosystem, US manufacturing capabilities, and investor information, visit the Boresight investor and product centre for the latest on its North American expansion and defence pipeline.