Elbit Systems Ltd. (NASDAQ: ESLT), a prominent defense technology company, announced on Monday that it has been awarded a substantial contract valued at $228 million by General Dynamics Ordnance and Tactical Systems (GD-OTS). The agreement entails the delivery and integration of the Iron Fist Active Protection System (APS) onto the U.S. Army’s Bradley Fighting Vehicles over the next three years.
The Iron Fist APS is engineered as a "hard-kill" defense mechanism designed to defeat incoming threats prior to impact with the vehicle. Its architecture provides comprehensive 360-degree coverage while maintaining a compact size, which permits armored units to operate efficiently in varied combat environments ranging from open fields to densely built urban theaters.
Specifically, the system is built to counter a spectrum of contemporary battlefield hazards, including anti-tank rocket-propelled grenades, advanced guided missile systems, unmanned aerial vehicles (drones), loitering munitions, and high-velocity tank projectiles. An essential factor in its design is the focus on ensuring enhanced protection without significantly augmenting the vehicle’s overall weight or power consumption.
This contract marks the third occasion that the U.S. Army has chosen the Iron Fist system, following an earlier contract announced earlier in 2024. It underscores a continuation of confidence in Elbit’s capabilities to deliver critical survivability enhancements on one of the Army’s principal armored platforms.
Bezhalel (Butzi) Machlis, serving as the President and Chief Executive Officer of Elbit Systems, remarked, "Our Active Protection System remains globally recognized for its technological superiority. We value our strategic and collaborative relationship with GD-OTS and the U.S. Army, who have entrusted us with the responsibility of providing systems that improve soldier survivability and safeguard lives on the battlefield."
Beyond its developments on the Bradley Fighting Vehicle program, Elbit Systems has recently achieved contract wins for helicopter platforms in the Asia-Pacific region. This diversification signifies a strategic expansion from its traditional ground-based defense offerings to broader areas of military technology around the globe.
Regarding market performance, Elbit Systems’ shares were down 0.45% to close at $715.76 during premarket trading on Monday. The stock is positioned close to its 52-week peak of $737.51, reflecting sustained investor interest amid ongoing contract success. In related defense sector movements, General Dynamics Corp and Lockheed Martin Corp stocks experienced slight declines, whereas aerospace-focused ETFs showed mixed signals.