Smart Shooter Rides Demand Surge as AI Fire-Control Systems Gain Global Traction
Battlefield targeting technology firm posts strong Q1 growth, announces it is expanding international orders
Photo credit: Smart Shooter
Smart Shooter, an Israeli defense technology company that develops AI-based fire-control systems designed to improve small-arms accuracy and reduce missed shots and collateral damage, reported strong financial and operational growth in the first quarter of 2026, driven by rising international demand for its systems.
The company said revenue rose by approximately 26% year-over-year to $6.6 million, compared with just under $5.3 million in the same quarter of 2025. Growth was supported by increased sales activity across existing markets, with Europe contributing about 55% of revenue and Israel about 29%.
More significantly, Smart Shooter reported a surge in new business momentum. During Q1 2026, the company signed new binding contracts worth approximately $17.65 million, a sharp 396% increase compared to the same period last year. From the start of 2026 through the reporting date, total new contracts reached approximately $33 million, reflecting broad-based demand across Europe, Asia-Pacific, and the United States.
The company’s order backlog expanded accordingly, reaching about $36 million at the end of the quarter and rising further to approximately $49 million shortly after the reporting date. Management expects at least $40 million of the current backlog to be delivered and recognized as revenue during 2026, providing strong visibility for the year ahead.
Profitability metrics also improved. Adjusted EBITDA turned positive at $38,000, compared with a loss in the prior-year quarter, while adjusted net loss narrowed to approximately $0.4 million, down from $1.5 million in Q1 2025. The company attributed the improvement to scaling operations and better cost absorption following its March 2026 IPO on the Tel Aviv Stock Exchange, which raised approximately NIS 200 million.
Several key contracts were signed during and after the quarter, including orders from Europe, Asia, and the United States for the company’s SMASH 3000 and SMASH HOPPER systems, as well as a procurement-linked order tied to the U.S. Department of Defense.
CEO Michal Mor said the results reflect accelerating global demand, particularly for counter-drone capabilities, and added that the company plans to expand R&D investment and production capacity to meet rising international requirements.
Smart Shooter, founded in 2011 and headquartered in Kibbutz Yagur, continues to position itself as a specialist in AI-assisted targeting systems used by military and security forces across NATO and allied countries.