The Three Primes: Snapshot
Israel operates the global defense industrial base through three state-anchored primes: Rafael Advanced Defense Systems, Israel Aerospace Industries, and Elbit Systems. Each controls distinct categories. Together, they generated $16.8 billion in FY2025 exports, operate $71+ billion in order backlogs, and employ 36,000 people.
This is the index that ties them together.
Rafael Advanced Defense Systems
- FY2025 Revenue: $6.8B | Order Backlog: $23.3B | Net Profit: $423M
- Focus: Air defense (Iron Dome, David's Sling, Spyder), missiles (Spike family), active protection (Trophy), lasers (Iron Beam)
- Privatization: 25–30% partial IPO under government evaluation; listing venue (TASE vs. US exchange) unsettled as of mid-2026
Israel Aerospace Industries (IAI)
- FY2025 Revenue: $7.5B | Order Backlog: $30B+ | Employees: 15,000
- Focus: Aerospace (fighter jets, satellites, drones), air defense (Arrow 3, Barak MX), space systems
- Privatization: Discussed; no formal announcement
Elbit Systems (NASDAQ: ESLT)
- FY2025 Revenue: $7.94B | Order Backlog: $30.2B | Net Income: $600M
- Focus: Airborne systems (UAVs, avionics), land systems (PULS rocket artillery), munitions (Delilah cruise missile, via IMI acquisition), C4I, cyber
- Privatization: Already public (dual NASDAQ/TASE), Federmann family 45% stake
Export Corridors
USA: Rafael Iron Dome/Skyhunter (Camden, Arkansas), IAI Arrow 3, Elbit Hermes UAVs and Fort Worth complex. Europe: Rafael Spike via EuroSpike JV, IAI Arrow 3 Germany $3.6B, Elbit PULS. India: Rafael Spike via L&T JV. Middle East: Rafael Spike and Spyder (Morocco), Elbit Delilah under negotiation (Morocco), IAI Barak MX (Morocco).
Order Backlogs
Rafael $23.3B (3.3x sales), IAI $30B+, Elbit $30.2B. All three operating 3+ years ahead. Post-2022 European rearmament + October 2023 Israeli ops = sustained backlog expansion, not cyclical.
Privatization Status
Elbit: Public since 1996. Dual-listed NASDAQ/TASE. Federmann family ~45% control. IAI: Government-owned, privatization discussed, no formal timetable. Rafael: 100% government-owned. 25–30% partial IPO under evaluation. Listing venue unsettled — a government delegation traveled to the US in mid-July 2026 to evaluate a Nasdaq/NYSE listing rather than TASE. Classified programs and export controls explain the decades-long hesitation. Formal government approval still pending; window may close ahead of elections due by late October 2026.
