Israeli defense contractor Rafael reported record sales and profits in 2024, driven by heightened global demand for weapons systems and increased defense budgets.
The state-owned company said sales rose 27% to 17.8 billion shekels ($4.8 billion), with 54% of its revenue from domestic contracts with the Israeli military and 46% from international clients — a ratio similar to the previous year.
The surge in business reflects growing demand for Rafael’s air defense systems, including the Iron Dome, David’s Sling, Trophy Active Protective System (APS) and SPYDER, amid ongoing regional conflict and a global arms buildup.
Rafael’s order backlog grew to a record 64.7 billion shekels ($17.5 billion), half of it from exports — a 24% increase over 2023. The company said that in 2024, 20 countries placed orders exceeding 100 million shekels, up from 12 million shekels in 2022.
Net profit reached 950 million shekels ($256 million), a 64% jump from the previous year. The board approved a dividend of 440 million shekels ($119 million) to the state, covering the years 2019 to 2023. A dividend for 2024 has not yet been announced.
Rafael CEO Yoav Turgeman said the company plans to deliver its new Iron Beam laser-based missile defense system to the Israeli Air Force later this year. “2024 was a record year for Rafael, during the longest and most complex multi-front war in Israel’s history,” Turgeman said, referring to the ongoing war with Hamas and related regional conflicts. “Rafael played a significant role in Israel’s military achievements in offense, intelligence and defense.”
The company said its fourth quarter was the strongest in its history, with sales of 5.48 billion shekels ($1.47 billion), a 20% increase from the same quarter in 2023. Orders during the quarter totaled about 11 billion shekels ($2.95 billion), and net profit reached 398 million shekels ($107 million).
Chairman Yuval Steinitz said Rafael’s systems were instrumental in Israel’s response to threats, including the Iranian missile and drone attacks in April and October and the broader Iron Swords War. “These events will be etched in the history of Rafael, the IDF and modern military conflict,” he said.
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The company marked several milestones in 2024, including the first successful interception by its naval Iron Dome system, known as Sea Dome, conducted by the Israeli Navy in the Gulf of Eilat in April. Rafael and U.S. defense contractor Raytheon also opened a new plant in the United States to produce Tamir interceptors, part of the Iron Dome system.
Additionally, the Trophy active protection system, which Rafael says is the only operational system of its kind in the world, was deployed for the first time on Germany’s Leopard tanks and is now integrated on 16 different platforms globally. Rafael said it hired approximately 1,800 new employees in 2024 to meet growing demand.