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OSI Systems Receives $32 Million Order to Provide RF-based Critical Communication Systems

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OSI Systems (NASDAQ: OSIS) announced that its Security division has secured an international order worth $32 million for providing radio frequency (RF) based critical systems designed for long-range secure communications. The company will also support systems integration and deployment activities for this program.

The order represents an upgrade to existing long-range communication systems, with RF-based communication and surveillance solutions being described as important components of military infrastructure worldwide.

OSI Systems (NASDAQ: OSIS) ha annunciato che la sua divisione Sicurezza ha ottenuto un ordine internazionale del valore di 32 milioni di dollari per la fornitura di sistemi critici basati su radiofrequenza (RF) progettati per comunicazioni sicure a lungo raggio. L'azienda supporterà anche le attività di integrazione e implementazione dei sistemi per questo programma.

L'ordine rappresenta un aggiornamento ai sistemi di comunicazione a lungo raggio esistenti, con soluzioni di comunicazione e sorveglianza basate su RF descritte come componenti importanti delle infrastrutture militari in tutto il mondo.

OSI Systems (NASDAQ: OSIS) anunció que su división de Seguridad ha asegurado un pedido internacional por un valor de 32 millones de dólares para proporcionar sistemas críticos basados en radiofrecuencia (RF) diseñados para comunicaciones seguras a larga distancia. La empresa también apoyará las actividades de integración y despliegue de sistemas para este programa.

El pedido representa una mejora a los sistemas de comunicación a larga distancia existentes, con soluciones de comunicación y vigilancia basadas en RF descritas como componentes importantes de la infraestructura militar en todo el mundo.

OSI Systems (NASDAQ: OSIS)는 보안 부서가 3천2백만 달러 상당의 국제 주문을 확보했다고 발표했습니다. 이 주문은 장거리 안전 통신을 위해 설계된 무선 주파수(RF) 기반의 중요한 시스템을 제공하는 것입니다. 회사는 또한 이 프로그램에 대한 시스템 통합 및 배포 활동을 지원할 것입니다.

이 주문은 기존 장거리 통신 시스템의 업그레이드를 나타내며, RF 기반의 통신 및 감시 솔루션은 전 세계 군사 인프라의 중요한 구성 요소로 설명됩니다.

OSI Systems (NASDAQ: OSIS) a annoncé que sa division Sécurité a obtenu une commande internationale d'une valeur de 32 millions de dollars pour fournir des systèmes critiques basés sur la radiofréquence (RF) conçus pour des communications sécurisées à longue distance. L'entreprise soutiendra également les activités d'intégration et de déploiement des systèmes pour ce programme.

La commande représente une mise à niveau des systèmes de communication à longue distance existants, les solutions de communication et de surveillance basées sur RF étant décrites comme des composants importants de l'infrastructure militaire dans le monde entier.

OSI Systems (NASDAQ: OSIS) gab bekannt, dass seine Sicherheitsabteilung einen internationalen Auftrag im Wert von 32 Millionen Dollar erhalten hat, um funktionskritische Systeme auf Basis von Funkfrequenzen (RF) bereitzustellen, die für sichere Langstreckenkommunikation konzipiert sind. Das Unternehmen wird auch die Systemintegration und Implementierungsaktivitäten für dieses Programm unterstützen.

Der Auftrag stellt ein Upgrade bestehender Langstreckenkommunikationssysteme dar, wobei RF-basierte Kommunikations- und Überwachungslösungen als wichtige Komponenten der militärischen Infrastruktur weltweit beschrieben werden.

Positive
  • Secured substantial $32 million international order
  • Expansion in military communication infrastructure sector
  • Contract includes additional revenue from integration and deployment services
Negative
  • None.

Insights

The $32 million international order for RF-based critical communication systems represents approximately 0.9% of OSI Systems' market capitalization, marking a strategically important win in the defense sector. The contract's scope, encompassing both system delivery and integration services, suggests a comprehensive solution that could lead to long-term customer relationships and potential follow-on orders.

The selection of OSI Systems for this military infrastructure project carries particular significance in the current global context, where secure long-range communications are becoming increasingly critical for defense operations. RF-based systems offer distinct advantages in military applications, including enhanced range, reliability in challenging environments, and resistance to jamming - capabilities that command premium pricing and create high barriers to entry for competitors.

From an investor perspective, this contract demonstrates three key strengths: First, it validates OSI's technological capabilities in high-end RF communications, a growing market segment. Second, the inclusion of systems integration services indicates higher-margin revenue potential beyond hardware sales. Third, international defense contracts typically involve rigorous vendor qualification processes, suggesting OSI's strong competitive position could lead to additional opportunities in other markets.

The timing of this order aligns with global trends in military modernization programs, where aging communication infrastructure is being upgraded to meet evolving security challenges. This positions OSI Systems to potentially capture additional market share in what is typically a multi-year cycle of defense spending increases across various regions.

HAWTHORNE, Calif.--(BUSINESS WIRE)-- OSI Systems, Inc. (the “Company” or “OSI Systems”) (NASDAQ: OSIS) today announced that its Security division received an international order valued at approximately $32 million to provide radio frequency (RF) based critical systems that are designed for long-range secure communications. In addition, the Company is expected to support the systems integration and deployment activities for this program.

OSI Systems’ President and CEO, Ajay Mehra, commented, “We are pleased with this award and look forward to collaborating with this customer and supporting the upgrade of its long-range communication systems. RF-based communication and surveillance solutions are a crucial component of military infrastructure world-wide.”

About OSI Systems

OSI Systems is a vertically integrated designer and manufacturer of specialized electronic systems and components for critical applications in the homeland security, healthcare, defense, and aerospace industries. The Company combines more than 40 years of electronics engineering and manufacturing experience with offices and production facilities in more than a dozen countries to implement a strategy of expansion into selective end-product markets. For more information on OSI Systems or any of its subsidiary companies, visit www.osi-systems.com. News Filter: OSIS-G

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements relate to OSI Systems’ current expectations, beliefs, and projections concerning matters that are not historical facts. Forward-looking statements are not guarantees of future performance and involve uncertainties, risks, assumptions, and contingencies, many of which are outside OSI Systems’ control and which may cause actual results to differ materially from those described in or implied by any forward-looking statements. Undue reliance should not be placed on forward-looking statements, which are based on currently available information and speak only as of the date on which they are made. OSI Systems assumes no obligation to update any forward-looking statement made in this press release that becomes untrue because of subsequent events, new information, or otherwise, except to the extent it is required to do so in connection with its ongoing requirements under Federal securities laws. For a further discussion of factors that could cause OSI Systems’ future results to differ materially from any forward-looking statements, see the section entitled "Risk Factors" in OSI Systems’ most recently filed Annual Report on Form 10-K and other risks described therein and in documents subsequently filed by OSI Systems from time to time with the Securities and Exchange Commission.

OSI Systems, Inc.

Ajay Vashishat

Vice President, Business Development

310-349-2237

avashishat@osi-systems.com

Source: OSI Systems, Inc.

FAQ

What is the value of OSI Systems' new RF communication systems order in 2024?

OSI Systems received an international order valued at approximately $32 million to provide RF-based critical systems for long-range secure communications.

What type of systems will OSIS provide in their latest military contract?

OSIS will provide radio frequency (RF) based critical systems designed for long-range secure communications, including systems integration and deployment support.

Will OSIS provide additional services beyond the RF systems delivery?

Yes, OSI Systems will also support the systems integration and deployment activities for this communication systems program.

Which division of OSI Systems received the $32 million communication systems order?

The Security division of OSI Systems received the $32 million international order for RF-based critical communication systems.

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