RADA Expects 2021 Revenues to Grow by Over 60% to Above $120 million

Rhea-AI Summary

RADA Electronic Industries Ltd. (NASDAQ: RADA) has announced its revenue guidance for 2021, projecting over $120 million. The company expects steady revenue and profitability growth throughout the year, driven by increased market acceptance of its tactical radars and a growing order backlog. CEO Dov Sella highlighted the robust demand and confidence in continuing a 60% revenue growth rate. The primary revenue will come from multi-mission, software-defined tactical radar systems, particularly in the US market, which is expected to enhance gross margins and profitability.

Positive

• Revenue guidance of over $120 million for 2021.
• Expectation of 60%+ revenue growth rate.
• Strong order backlog and healthy pipeline for tactical radars.
• Improving gross margins and operating expense structure anticipated.

Negative

• None.

NETANYA, Israel, Dec. 21, 2020 /PRNewswire/ -- RADA Electronic Industries Ltd. (NASDAQ: RADA) today provided its revenue guidance for 2021. Management expect full year 2021 revenue of over $120 million, with sequential quarter on quarter revenue and profitability growth throughout the year.

Guidance is based on the growing market acceptance of RADA's tactical radars, the recent level of new and expected orders, as well as the backlog which RADA has started to build for 2021 and onwards. The majority of revenues in 2021 will be derived from RADA's growth engine: multi-mission, software-defined tactical radar systems, especially in the US market.  

Dov Sella, RADA's CEO, commented, "We continue to experience an unprecedented period of growth for our Company, driven by our new and growing market of tactical radars. The new orders received throughout the past year, along with our very healthy pipeline for our tactical radars' growth engine, give us excellent visibility into 2021 and strong confidence that our 60%+ revenue growth rate will continue. Furthermore, given our improving gross margins and operating expense structure, we expect to significantly improve our profitability."

About RADA

RADA is a global defense technology company focused on proprietary radar solutions and legacy avionics systems. The Company is a leader in mini-tactical radars, serving attractive, high-growth markets, including counter-drone applications, active military protection, critical infrastructure protection and border surveillance.

 

Company Contact: Avi Israel (CFO) Tel: +972-765-386-200      mrkt@rada.com www.rada.com

Investor Relations Contact: GK Investor Relations Ehud Helft Tel: 1 646 201 9246 rada@gkir.com

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SOURCE RADA

FAQ

What is RADA's revenue guidance for 2021?

RADA expects to generate over $120 million in revenue for 2021.

What growth rate is RADA anticipating for 2021?

RADA anticipates a revenue growth rate of over 60% for 2021.

What drives RADA's expected revenue growth?

Growth is driven by increased market acceptance of tactical radars and a strong order backlog.

In which market will RADA primarily generate revenue?

The majority of revenue will come from the US market for tactical radar systems.