Teledyne FLIR Defense Captures $7.8 Million Contract to Provide Mobile Surveillance Systems for Key Military Entity in Saudi Arabia

Rhea-AI Summary

Teledyne FLIR Defense (NYSE:TDY) has secured a $7.8 million contract with Middle East Task Company (METCO) to supply next-generation LVSS (Lightweight Vehicle Surveillance System) to a military entity in Saudi Arabia. The deal includes mission support equipment and training.

The LVSS system integrates advanced surveillance technology within a light pickup truck, featuring the TacFLIR® 380HD long-range thermal imaging system and Ranger® R20SS radar. Key capabilities include:

• Tracking up to 500 objects simultaneously at ranges over 10 miles
• 16-foot mast deployment in under 30 seconds
• Single-operator functionality from truck cab

The system is designed for rapid deployment missions requiring mobility and flexibility, specifically for protecting infrastructure, bases, and personnel. The project includes a localization plan approved by GAMI, with deliveries expected by the end of 2025.

Positive

• Secured new $7.8 million military contract in Saudi Arabia
• Contract includes additional revenue from support equipment and training
• Local manufacturing agreement enhances market position in Saudi Arabia

Negative

• Contract value relatively small compared to typical defense contracts
• Delivery timeline extends to end of 2025, indicating delayed revenue recognition

Insights

Defense Technology Analyst

Teledyne FLIR Defense's $7.8 million contract with METCO represents a positive development in their international defense business. While the contract amount is relatively small compared to Teledyne's $23.3 billion market cap (approximately 0.03% of market value), it demonstrates continued demand for their advanced surveillance technologies in critical international markets.

The LVSS platform showcases Teledyne's integrated technology approach, combining their TacFLIR 380HD thermal imaging with Ranger R20SS radar capabilities that can track up to 500 objects at ranges exceeding 10 miles. This mobile deployment system highlights Teledyne's competitive edge in rapid-response surveillance technology for border security, critical infrastructure protection, and threat detection applications.

Strategically, this contract enhances Teledyne's footprint in the Middle East defense sector. The localization agreement with Saudi Arabia's General Authority for Military Industries (GAMI) suggests a longer-term commitment to the Saudi market that could potentially lead to additional opportunities in the region. The planned delivery timeline by year-end 2025 indicates this contract will contribute to near-term revenue streams while potentially establishing framework relationships for follow-on business.

This contract win validates Teledyne's position as a trusted provider of advanced surveillance systems to sophisticated international customers, reinforcing their global competitiveness in specialized defense technology markets.

Financial Analyst

The $7.8 million Saudi contract represents a positive though financially modest development for Teledyne Technologies. While contributing incrementally to revenue, this deal's magnitude is minor against Teledyne's substantial revenue base and market capitalization of $23.3 billion.

What makes this contract strategically valuable is its potential demonstration effect in a key international market. Defense contracts often serve as reference cases for additional business, particularly in regions where establishing trusted vendor relationships is essential. The agreement with METCO includes a localization component coordinated with Saudi Arabia's military industries authority (GAMI), indicating potential longer-term commercial engagement beyond this initial contract.

For investors, this development confirms Teledyne's continued ability to secure international defense contracts in competitive markets. The company's specialized surveillance technologies command premium positioning, offering high-margin products that combine multiple proprietary systems (thermal imaging and radar) into integrated solutions.

With delivery scheduled through year-end 2025, revenue recognition will likely be distributed across multiple reporting periods. While this single contract won't materially impact quarterly results, it represents the type of regular business wins that collectively support Teledyne's defense segment performance and reinforces the company's competitive positioning in specialized surveillance markets where technology differentiation drives customer decisions.

Agreement signed with Middle East Task Company (METCO) to deliver LVSS light truck-based surveillance systems, integrating advanced radar and long-range thermal imaging technology

RIYADH, Saudi Arabia--(BUSINESS WIRE)-- Teledyne FLIR Defense, part of Teledyne Technologies Incorporated (NYSE:TDY), has won a contract valued at $7.8 million with Middle East Task Company (METCO) to provide its next-generation LVSS (Lightweight Vehicle Surveillance System) to a high-profile military entity in Saudi Arabia. The agreement also includes mission support equipment and training. Quantities were not disclosed.

Teledyne FLIR Defense has won a contract valued at $7.8 million with Middle East Task Company (METCO) to provide its next-generation LVSS (Lightweight Vehicle Surveillance System) to a high-profile military entity in Saudi Arabia. The LVSS™ delivers some of the most advanced, integrated mobile surveillance technology available, all fitted within the bed of a light pickup truck. It features the company’s TacFLIR® 380HD long-range thermal imaging system and its Ranger® R20SS radar that can track up to 500 objects at once at ranges greater than 10 miles (16 km). A single operator can deploy and operate the system’s 16-foot mast from the cab of a pickup in less than 30 seconds.

The FLIR Defense LVSS^™ delivers some of the most advanced, integrated mobile surveillance technology available, all fitted within the bed of a light pickup truck. It features the company’s TacFLIR^® 380HD long-range thermal imaging system and its Ranger^® R20SS radar that can track up to 500 objects at once at ranges greater than 10 miles (16 km). A single operator can deploy and operate the system’s 16-foot mast from the cab of a pickup in less than 30 seconds.

LVSS is designed for missions that call for speed, mobility and flexibility, and ideally suited to protecting infrastructure, bases, and personnel from both air- and ground-based threats.

“We’re honored to work with METCO in supporting a key military entity in its critical mission of safeguarding the nation,” said Stan Crawford, senior director of business development for the Middle East at Teledyne FLIR Defense. “The LVSS platform combines technologies FLIR Defense has pioneered for decades. It has been deployed successfully worldwide, helping customers secure their borders, critical installations, and shorelines from threats day or night.”

METCO, in coordination with Teledyne FLIR Defense and the General Authority for Military Industries (GAMI), have an approved localization plan for this effort. The LVSS systems are expected to be delivered by the end of 2025.

To learn more about Teledyne FLIR Defense integrated surveillance solutions, visit us online.

About Teledyne FLIR Defense

Teledyne FLIR Defense has been providing advanced, mission-critical technology and systems for more than 45 years. Our products are on the frontlines of the world’s most pressing military, security and public safety challenges. As a global leader in thermal imaging, we design and build sophisticated surveillance sensors for air, land and maritime domains. We develop the most rugged, trusted unmanned air and ground platforms, as well as intelligent sensing devices used to detect chemicals, biological agents, radiation and explosives. At FLIR Defense we bring together this expertise to deliver solutions that enable critical decisions and keep our world safe – from any threat, anywhere. To learn more, visit us online or follow @flir and @flir_defense.

About Teledyne Technologies

Teledyne Technologies is a leading provider of sophisticated digital imaging products and software, instrumentation, aerospace and defense electronics, and engineered systems. Teledyne's operations are primarily located in the United States, the United Kingdom, Canada, and Western and Northern Europe. For more information, visit Teledyne's website at www.teledyne.com.

About Middle East Tasks Company (METCO)

METCO is a leading provider of advanced security, defense, and aviation solutions, specializing in X-ray screening, custom-tailored integration solutions, and EPC services. Operating across major Saudi cities with global presence in Egypt, Dubai, Bahrain & North Africa, METCO partners with global leaders to enhance regional safety and infrastructure. FLIR is proud to have METCO as a strong regional partner, working together to deliver advanced security solutions. For more information, visit METCO’s website at www.metco-sa.com

View source version on businesswire.com: https://www.businesswire.com/news/home/20250323184115/en/

Media Contact:

Joe Ailinger, Jr.

Teledyne FLIR Defense

Phone: +1 781-999-2678

Email: joe.ailinger@teledyne.com

Source: Teledyne Technologies Incorporated

FAQ

What is the value and scope of Teledyne FLIR's new Saudi Arabia contract (TDY)?

The contract is valued at $7.8 million and includes LVSS surveillance systems, mission support equipment, and training for a Saudi military entity.

What are the key capabilities of Teledyne's LVSS surveillance system (TDY)?

LVSS can track 500 objects simultaneously at 10+ mile range, features TacFLIR 380HD thermal imaging, Ranger R20SS radar, and deploys a 16-foot mast in under 30 seconds.

When will Teledyne (TDY) deliver the LVSS systems to Saudi Arabia?

The LVSS systems are scheduled for delivery by the end of 2025.

How does Teledyne's LVSS system enhance military surveillance capabilities (TDY)?

LVSS provides mobile surveillance in a pickup truck, protecting infrastructure, bases, and personnel from air and ground threats with advanced thermal imaging and radar technology.