Elbit Systems Ltd. announced on Tuesday that it secured an approximately $1.4 billion defense contract from an unnamed European nation to supply a comprehensive suite of military modernization systems over the next five years.
The multi-domain package includes autonomous unmanned vehicles, ground-based electronic warfare solutions, precision-guided artillery, and advanced reconnaissance systems.
These platforms will be coupled with electro-optical designating and reconnaissance systems, with all components networked together via Elbit's software-defined radios.
The massive contract win was revealed alongside the Haifa-based company's first-quarter 2026 financial results, which showed a 15.5% jump in quarterly revenue to $2.19 billion, pushing Elbit's total order backlog past $30 billion for the first time.
According to management, the company is actively scaling up its production capacity to manage the record backlog.
Elbit management added that it plans to increase its deployment of automation, robotics, and artificial intelligence within its manufacturing facilities to accelerate order execution while maintaining operational margins.
Autonomous vehicles, electronic warfare solutions, precision-guided artillery
At the same time, the company is expanding its internal investments in research and development to shape its next-generation defense offerings, according to Elbit's President and CEO Bezhalel (Butzi) Machlis.
"This contract reflects the breadth and attractiveness of Elbit Systems' defense portfolio, as well as our ability to deliver both highly capable, best-in-class systems and comprehensive, integrated solutions tailored to evolving operational needs," said Machlis.
"It reinforces our positioning as a trusted strategic partner to customers worldwide, supporting their long-term defense challenges and modernization efforts," he continued.
On the company's website, Elbit Systems describes itself as a "leading global defense technology company, delivering advanced solutions for a secure and safer world," and as one that "develops, manufactures, integrates and sustains a range of next-generation solutions across multiple domains."
The Israeli arms company has been one of the primary global targets for pro-Palestinian protests, boycotts, and targeted diplomatic and commercial restrictions in Europe.
Elbit's European revenue stream remains resilient
France barred Israeli defense firms, including Elbit, from participating in major global arms expos like Euronaval and Eurosatory in 2024, according to the Defense Ministry.
In particular, the ministry noted an incident at the 2025 Paris Air Show in which organizers completely blocked off Israeli exhibition booths behind massive black screens.
In September 2025, Spanish Prime Minister Pedro Sánchez declared an arms embargo and a partial import ban on Israeli defense products according to Spain's Social Rights, Consumer Affairs, and 2030 Agenda Ministry, with the country canceling several active defense procurement contracts with Elbit Systems following the directive.
Despite these obstacles, Elbit's broader European revenue stream remains highly resilient amid global instability and rising defense concerns, according to a March 17 Reuters report.
Yonah Jeremy Bob and Guy Elster contributed to this report.