H&K introduces anti-drone technology
Heckler & Koch Goes After Sky Threats
Stepping out of their comfort zone, German handgun manufacturer, Heckler & Koch, is diving headfirst into the drone defense business. In an unveiling at Oberndorf, CEO Jens Bodo Koch confirmed the move, albeit keeping specifics under wraps. He shared his concerns about drones being a major threat to ground forces, as there are limited solutions available currently.
The new defense system from Heckler & Koch involves mounting grenade launchers or grenade machine guns onto a modified vehicle turret. This setup is equipped with a sensor box employing artificial intelligence to identify drones and gauge their potential danger. Once detected, the grenade is programmed to detonate in proximity to the drone, creating a metal cloud that the drone flies into and is destroyed. This is how Koch describes how the system operates.
Heckler & Koch teams up with Munich-based AI specialist, Autonomous Teaming, for the drone defense project. Rheinmetall contributes control components for the grenades, while a Slovenian company provides the vehicle turret. Koch proudly declares Heckler & Koch as the system provider, overseeing the integration of all parts. The project remains in its setup phase, with initial testing already conducted. The product is slated for market release by the end of the year.
This shift in focus marks a dramatic change for Heckler & Koch, traditionally known for manufacturing assault rifles, machine guns, grenade launchers, and pistols. Since Koch took charge as CEO in 2018, the company has transformed its image to that of a "system provider," procurement of weapon components, and reselling them as comprehensive systems, such as silencers and rifle optics. This strategic shift has significantly increased their revenue.
Record-breaking Orders
Financial data for the past year shows positive growth. With the Russian threat and global situation evolving, military orders from NATO nations have significantly increased. While the 2023 order intake was €285.3 million, it more than doubled to €426.2 million in 2024 — an all-time high for the company.
The revenue surged by 13.9% to €343.4 million, and the earnings after tax (EAT) increased by 9.6% to €31.5 million. Significant investments were made for production modernization. The high profits have been instrumental in gradually reducing the debt, with the net debt now standing at €90 million following a February repayment of €5 million.
Heckler & Koch currently employs around 1,250 people, the majority at the main plant in Oberndorf. There's also a small assembly plant in the USA. The management remains optimistic about the economic outlook, with Koch expressing confidence in Heckler & Koch's strategic positioning to grow in the challenging environment. Coincidentally, Koch shares the same name as the company’s founder, Theodor Koch.
[1] Source: Defense News[2] Source: Military Times[3] Source: Janes[5] Source: Rheinmetall
- The collaboration with Autonomous Teching, a Munich-based artificial-intelligence specialist, is an integral part of Heckler & Koch's new drone defense project, demonstrating their commitment to integrating advanced technology into their industry.
- The financial growth witnessed by Heckler & Koch in the past year, marked by record-breaking orders from NATO nations, has enabled them to invest significantly in finance and technology, such as in production modernization and AI-based drone defense systems.
