DroneShield acknowledges stakeholder engagement deficiencies after investor fallout

The statement stems from investor fallout after an announcement on 10 November and the sale of shares by company leadership. The most recent DroneShield statement reported that US contracts were “inadvertently marked as new contracts rather than revised contracts based on the error in correspondence from the customer and an administrative error”.

“When DroneShield became aware of the error, it contacted the ASX to request a pause of trading pending a market release to withdraw the announcement made earlier that day,” according to the company.

“DroneShield has taken steps to strengthen validation checks of orders prior to announcement, to prevent recurrence.

“DroneShield’s chief executive continues to hold a mix of vested and unvested performance options. The chairman and non-executive director, Mr Jethro Marks, continue to hold vested performance options.

“DroneShield notes that in addition to the directors having exercised and sold a part of their newly vested shares, a number of employees have done so as well, crystallising the reward for their past effort.”

The company has announced that it will ensure an appropriate split between cash compensation and equity-based incentives moving forward. A new options incentive framework was previously presented to the company board at a board meeting in September this year and DroneShield has confirmed that non-executive directors no longer receive performance options, as outlined in the FY2023–24 annual report.

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It was also announced that vice president of sales and business development, Tom Branstetter, will step into an expanded role and will lead the company’s US operations in an interim period.

“The fundamental business of DroneShield remains strong and unchanged. The company continues to deliver record revenues, expand globally, and invest in technological innovation to meet evolving customer needs,” DroneShield chief executive Oleg Vornik said.

“Record revenues in 2025 have been driven by repeat customers, reflecting market confidence in DroneShield’s solutions.”

DroneShield has reaffirmed that financial reporting practices fully comply with all applicable accounting standards, including AASB 15 Revenue from Contracts with Customers.

The company’s financial statements are subject to appropriate internal controls and independent external audits.

“DroneShield is committed to undertaking an independent review of its continuous disclosure and securities trading policies and other areas, as stated in the 20 November 2025 response to the ASX,” DroneShield chairman Peter James said.

“That review will be overseen by independent directors, Simone Haslinger and Richard Joffe. It reflects DroneShield’s commitment to transparency and continuous improvement as the company grows.”

The company has also struck at reports implying fibre-optic drones have become mainstream in modern warfare.

“Reports are not consistent with field realities. In a recent interview, the Ukrainian Deputy Prime Minister described fibre-optic drones as ‘sluggish’ and noted they are rarely used due to operational challenges,” according to the company.

“Detailed commentary on market trends and the ‘ground truths’ about them can be found within the company’s October 2025 investor presentation.

“DroneShield’s commercial strategy reflects the value of advanced technology that meets rigorous operational requirements. Customers choose DroneShield’s products because DroneShield prioritises performance, reliability and ongoing innovation – critical factors in safeguarding personnel and assets.”

Robert Dougherty

Robert is a senior journalist who has previously worked for Seven West Media in Western Australia, as well as Fairfax Media and Australian Community Media in New South Wales. He has produced national headlines, photography and videography of emergency services, business, community, defence and government news across Australia. Robert graduated with a Bachelor of Arts, Majoring in Public Relations and Journalism at Curtin University, attended student exchange program with Fudan University and holds Tier 1 General Advice certification for Kaplan Professional. Reach out via email at This email address is being protected from spambots. You need JavaScript enabled to view it. or via LinkedIn.