Thermal imaging is widely used in military applications. The current sensor technology updates make it possible to use on commercial products as well. The quality of the image is significantly important for the final product performance in the field. The main parameters that affect the quality are the sensor resolution, the optical performance and the image processing capability at the final stage. Even though improving final system performance requires development of the optical and the sensor systems, such hardware developments may become a challenging issue for many cases. At that time, FPGA based image processing on the final stage becomes crucial. The noise reduction, the contrast correction and the image optimization can be controlled by the FPGA based image processing techniques. In this study, possible techniques to remove noise from a handheld thermal imaging system via FPGA implementation will be mentioned. Additionally experimental results, regarding the image performance improvement and the source usage will be explained.