EOS Contract Backlog Nearly Triples to A$400M with New €11.4M NATO Order
Electro Optic Systems has landed a significant €11.4 million contract for its Slinger Counter-Drone systems from a Western European NATO country, boosting its contract backlog to nearly A$400 million. This surge underscores EOS’s growing footprint in the defence sector amid rising drone threats.
- New €11.4m (A$20m) Slinger Counter-Drone order from Western European NATO country
- Contract backlog exceeds A$400m, nearly tripled since end of 2024
- Backlog includes high-energy laser weapons and remote weapon systems for Australia and Europe
- Most backlog revenue expected to be realised in 2026 and 2027
- EOS maintains a robust pipeline of potential defence contracts
New Order Highlights Rising Demand for Counter-Drone Technology
Electro Optic Systems Holdings Limited (ASX, EOS) has announced a fresh contract valued at approximately A$20 million for its flagship Slinger Counter-Drone Remote Weapon Systems. The order, placed by a Western European NATO country, reflects growing concerns over drone threats in the region and the increasing reliance on kinetic countermeasures.
Scheduled for delivery primarily in 2026, this contract includes not only the weapon systems themselves but also spare parts, training, and related support services. The urgency of the operational requirements underscores the strategic importance of EOS’s technology in modern defence environments.
Backlog Growth Signals Strong Future Revenue Visibility
This latest order adds to a series of significant contracts secured by EOS throughout 2025, including high-energy laser weapons and remote weapon systems for both European and Australian customers. Collectively, these contracts have propelled EOS’s unconditional contract backlog to over A$400 million, almost three times the level at the end of 2024.
With most of this backlog expected to convert into revenue over the next two years, EOS is positioning itself for a period of robust financial performance. The company’s diversified portfolio across defence and space systems further strengthens its market position.
Strategic Positioning Amid Evolving Defence Needs
EOS’s focus on advanced remote weapon systems and directed energy weapons aligns with shifting defence priorities, particularly in countering unmanned aerial threats. The Slinger system’s selection by a NATO country highlights its competitive edge and operational relevance.
While the company maintains an extensive pipeline of potential contracts, it remains cautious about the uncertainty inherent in converting these opportunities into firm orders. Nevertheless, the current momentum suggests EOS is well-placed to capitalize on increasing defence spending and technological modernization efforts.
Bottom Line?
EOS’s expanding backlog and new orders signal a strong growth trajectory, but the challenge remains in converting pipeline opportunities into confirmed contracts.
Questions in the middle?
- Which Western European NATO country has placed the new Slinger order, and could this lead to further contracts?
- How will EOS manage production and delivery schedules to meet the surge in backlog revenue expected in 2026–27?
- What is the competitive landscape for counter-drone systems in Europe, and how does EOS’s technology compare?