EOS’s Contract Backlog Surges to A$400M on New US$22M U.S. Army Order

EOS Breaks Into U.S. Army Market

Electro Optic Systems Holdings Limited (ASX – EOS) has secured a landmark contract worth US$22 million (approximately A$33 million) to supply Remote Weapon Systems (RWS) for integration onto a major U.S. Army ground combat vehicle. The deal, inked with General Dynamics Land Systems, represents EOS’s first binding contract for its current generation RWS in the large and strategically important U.S. defense market.

Manufacturing of the enhanced RWS will take place at EOS’s facility in Huntsville, Alabama, underscoring the company’s commitment to establishing a strong operational footprint within the United States. This move not only facilitates closer collaboration with U.S. defense partners but also positions EOS to better meet the stringent operational requirements of the U.S. Army.

A Growing Contract Backlog Signals Momentum

This new contract adds to a rapidly expanding order book for EOS. The company’s unconditional contract backlog has surged to over A$400 million as of December 2025, a substantial increase from A$136 million at the end of 2024. This growth is driven by a series of secured orders across multiple regions, including Europe, Australia, South Korea, and North America, covering a range of advanced defense technologies such as high-energy laser weapons and counter-drone systems.

EOS anticipates that the majority of this backlog will convert into revenue during 2026 and 2027, reflecting a strong pipeline of production activity and customer demand. While the company remains cautious about guaranteeing future orders beyond the current contracts, the scale and diversity of its secured projects suggest a solid foundation for sustained growth.

Global Reach and Proven Technology

EOS’s Remote Weapon Systems are already operationally proven and deployed by militaries worldwide, with over 2,500 units delivered across Australia, the Middle East, North America, Europe, and Southeast Asia. Known for their accuracy and reliability, these systems have become a cornerstone of modern land warfare technology.

The contract with General Dynamics Land Systems not only validates EOS’s technological capabilities but also enhances its reputation as a leading global supplier of advanced defense solutions. The company’s dual focus on defense and space systems continues to diversify its portfolio, with ongoing developments in high-energy laser weapons and space domain awareness technologies.

Looking Ahead

While the US$22 million contract marks a significant milestone, EOS’s future growth will depend on its ability to convert pipeline opportunities into binding orders and to scale production efficiently. The Huntsville manufacturing facility will be a critical asset in meeting these challenges and capitalizing on the expanding U.S. defense market.

As EOS moves forward, investors and industry watchers will be keen to see how the company leverages this foothold to secure further contracts and deepen its engagement with key defense partners globally.