Heckler & Koch Introduces New Drone Defense System for Infantry

Heckler & Koch, Germany's leading manufacturer of small arms, is venturing into the drone defense market. The company has received a new contract aimed at enhancing protection for infantry units against drone threats, a growing concern in modern warfare.

Company CEO Jens Bodo Koch announced this development during a press briefing in Oberndorf, although he did not disclose specific details regarding the contract. Koch highlighted the urgency of addressing the drone menace, stating that current solutions are limited. The new defense system will integrate grenade launchers or automatic grenade launchers mounted on vehicle turrets, equipped with a sensor system that utilizes artificial intelligence to detect and assess aerial threats.

When a drone is identified as a threat, the system can program a grenade to explode in the vicinity of the drone, creating a cloud of metal fragments designed to destroy the target. This innovative approach signifies a shift in the company's focus, moving from traditional firearms to advanced technologies.

Heckler & Koch is collaborating with Munich-based AI specialist Autonomous Teaming for this project. Rheinmetall is contributing control components for the grenades, while the turret design is provided by a Slovenian firm. As the primary system integrator, Heckler & Koch is responsible for unifying these components into a cohesive defense solution. The project is currently in its initial phases, with preliminary test firings already conducted. The company aims to complete the product development by the end of the year.

This initiative marks a significant transformation for Heckler & Koch, which has primarily been known for manufacturing assault rifles, machine guns, grenade launchers, and pistols. Since Jens Bodo Koch took the helm in 2018, the company has evolved into a systems provider, sourcing weapon components from various suppliers and offering integrated solutions, including suppressors and optics.

The company's financial performance has significantly improved, with record-high order volumes attributed to increased defense spending amid global geopolitical tensions, particularly following the Russian invasion of Ukraine. In 2023, the order intake reached EUR285.3 million, climbing by 50% to EUR426.2 million in 2024, marking the highest level in the company's history.

Revenue rose by 13.9%, totaling EUR343.4 million, while net profit after taxes increased by 9.6% to EUR31.5 million. These strong results have allowed the company to modernize its production facilities through substantial investments, and to gradually reduce its historically high debt burden. Following a debt repayment of EUR5 million in February, the net debt currently stands at EUR90 million. With approximately 1,250 employees, most of whom work at the main plant in Oberndorf, the company also operates a small assembly facility in the USA.

The management team at Heckler & Koch remains optimistic about future growth prospects, emphasizing their strategic positioning to thrive in a challenging environment.