Osi Systems, Inc. · NASDAQ:OSIS
Osi Systems — Q3 2025 Earnings Presentation
36 slides from Osi Systems's earnings presentation, May 15, 2025
Slide 1: Investor Presentation May 2025
Investor Presentation SECURITY, OPTOELECTRONICS AND HEALTHCARE SOLUTIONS FOR A SAFER & HEALTHIER WORLD May 2025 1
Slide 2: Safe Harbor
Safe Harbor This presentation 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 t
Slide 3: OSI Systems is a Leading Global Provider of Advanced, High-Reliability Electronics Solutions
OSI Systems is a Leading Global Provider of Advanced, High-Reliability Electronics Solutions for Critical Applications in Diversified Essential Markets $1.5B REVENUE (Fiscal Year Ended June 30, 2024*) Opto 21% BY Healthcare DIVISION* 11% Security 68% SECURITY OPTOELECTRONCS HEALTHCARE Develops and m
Slide 4: OSI Systems is a Highly Compelling Investment Opportunity
is a Highly Compelling Investment Opportunity 1 Strong business model supported by meaningful macro tailwinds, with high recurring and reoccurring sales across diverse, growing end markets 2 Track record of robust financial performance and growth momentum with focused R&D to drive technological inno
Slide 5: Step-change in Scale and Positioned for Accelerated Growth
Step-change in Scale and Positioned for Accelerated Growth FY25 Revenue Guidance DIVERSIFIED REVENUE MODELS Strong organic growth driven by significant bookings $1.690 - $1.715 Billion SYSTEMS (9.8% - 11.5% growth) Strong Backlog at near record levels positions the Company for continued revenue
Slide 6: Positioned for Accelerated Growth in 2025 and Beyond
Positioned for Accelerated Growth in 2025 and Beyond Strong backlog and recurring revenue provide excellent visibility. Track record of consistent, adjusted EPS growth. REVENUES FY25 Non-GAAP EPS* FY25 $ IN MILLIONS Guidance Guidance ▲9.8% - 11.5% $10.00 ▲12.5% - 16.2% ▲20% $9.00 ▲31% $1,539 $8.00 ▲
Slide 7: Significant Recurring Service Revenue and Near-Record Backlog
Significant Recurring Service Revenue and Near-Record Backlog SIGNIFICANT RECURRING / REPEAT SERVICE REVENUE YEAR-END BACKLOG (% OF TOTAL REVENUE*) $ IN MILLIONS Service, turnkey operations, consumables Recurring FYE20 – FYE24 SECURITY Revenue Newer SaaS model (CertScan®) CAGR of 19% ~30% being
Slide 8: Strong Cash Flow and Liquidity Provide Flexibility for Continued Investment
Strong Cash Flow and Liquidity Provide Flexibility for Continued Investment Recent cash flow reflects working capital investments to support the strong backlog STRONG OPERATING CASH FLOW DISCIPLINED CASH MANAGEMENT & LOW LEVERAGE POSITION INVESTMENT FY18 - FY23: >$650 million in operating cash flow
Slide 9: Markets with Macro Tailwinds Provide Considerable Growth Opportunities
Markets with Macro Tailwinds Provide Considerable Growth Opportunities SECURITY OPTOELECTRONICS HEALTHCARE Market Heightened global demand for high- Strong demand for specialized Increasing demand for efficient Tailwinds performance threat detection screening optoelectronics resulting from healthcar
Slide 10: Technology Leadership is a Primary Competitive Advantage
Technology Leadership is a Primary Competitive Advantage BROAD, LEADING TECHNOLOGY PLATFORMS AND PRODUCT LINES PROVIDE HIGHLY ATTRACTIVE ONE- STOP-SHOP ADVANTAGE Deep expertise in critical technologies and a track record of delivering break-through solutions Advisor to U.S. Department of Homeland
Slide 11: Global Vertically-Integrated Footprint
Global Vertically-Integrated Footprint NUMBER OF SITES AMERICAS EMEA APAC Global engineering and 9 R&D 2 R&D 2 R&D manufacturing expertise, 15 Manufacturing 4 Manufacturing 4 Manufacturing 17 Sales/Service 11 Sales/Service 7 Sales/Service vertical integration, efficient cost structure, global sales
Slide 12: Security
SECURITY GLOBAL LEADER IN SECURITY SCREENING SOLUTIONS
Slide 13: OSI Security Division: A Global Leader in Security Screening Market
OSI Security Division: A Global Leader in Security Screening Market Rapiscan l S2 Global BUSINESS OVERVIEW GLOBAL SECURITY SCREENING LEADERSHIP A leading global provider of security inspection solutions, equipment and services for aviation, ports, rail, customs and border protection, event securit
Slide 14: Integrated Solutions: Leadership in Breadth of Applications
Integrated Solutions: Leadership in Breadth of Applications Provides Advantage in a Fast-Growing Market End-to-end screening solutions leveraging advanced and next-gen technologies for maximum threat detection, flexibility, ease in procurement and operational success across ports, aviation, checkpoi
Slide 15: Large-Scale Turnkey Screening Solutions: Market Leader
Large-Scale Turnkey Screening Solutions: Market Leader Demonstrated ability to develop, integrate, and operate comprehensive large-scale solutions with cutting-edge screening systems, staffing, and training support CHARACTERISTICS Flexible, service-based revenue model – scanning industry first L
Slide 16: Focus on Recurring Revenue
Focus on Recurring Revenue Field Service Security as a Service Software as a Service 24/7 global service team provides expert support to customers Multi-year comprehensive follow-on service and on-site CertScan® leading inspection integration platform from pre-installation operations analysis to ope
Slide 17: Cargo and Vehicle Inspection Systems: Significant Global Penetration Opportunity
Cargo and Vehicle Inspection Systems: Significant Global Penetration Opportunity with New Portfolio Additions INDUSTRY LEADERSHIP Strong market share of wide range of scanning technologies enhanced with Z Backscatter® cargo and vehicle scanning systems Significant contract wins in the U.S., Midd
Slide 18: Three Major Recent Contract Awards for Advanced Cargo and Vehicle Inspection Solutions
Three Major Recent Contract Awards for Advanced Cargo and Vehicle Inspection Solutions QUARTER AWARDED Q2 FY23 Q4 FY23 Q3 FY24 SIZE OF AWARD $200+ million $500+ million* $100+ million Portals (Eagle® P60), Mobile (Eagle® M60), Portals (Eagle® P60), Mobile (Eagle® M60), PRODUCTS ZBV®, Radiation Porta
Slide 19: Hold Baggage Screening Systems: Significant Replacement Opportunity
Hold Baggage Screening Systems: Significant Replacement Opportunity with Patented High-Performance Next-Gen CT Technology – RTT® 110 GLOBAL HOLD (CHECKED) BAGGAGE SCREENING MARKET OVERVIEW EU mandatory transition from conventional multi-view X-ray (EDS Standard 2) to CT (EDS Standard 3) Air carg
Slide 20: High-Performance Baggage and Parcel Inspection Systems
High-Performance Baggage and Parcel Inspection Systems: Well-Positioned in Expanding Government and Commercial Markets INDUSTRY LEADERSHIP Checkpoint X-ray system – strong worldwide market share Significant installed base Single and dual-view technology, superior imaging, and high efficiency
Slide 21: Trace Detection: Opportunity to Capitalize with Leading Products
Trace Detection: Opportunity to Capitalize with Leading Products INDUSTRY LEADERSHIP Suite of industry-leading, patented technologies with high sensitivity and low false alarm rates Itemiser ® 5X – Added to TSA Air Cargo Screening Technology List in 2023. Certified by the Civil Aviation Administ
Slide 22: High-Powered Radio Frequency Solutions: Critical Communications & Surveillance
High-Powered Radio Frequency Solutions: Critical Communications & Surveillance INDUSTRY LEADERSHIP Leading technology to ensure reliable communications and detect potential threats that might impact secure borders High power solid-state digital radar systems provide reliable communications in ch
Slide 23: A Top Provider of Certified Compliant Technologies with Large U.S. Installed Base
A Top Provider of Certified Compliant Technologies with Large and Growing U.S. Installed Base (Partial List) DEPT OF DEFENSE DEPT OF HOMELAND DEPT OF LABOR SPORTING VENUES Pentagon SECURITY DEPT OF STATE INDEPENDENT AGENCIES Air Force Customs and Border Protection NAS CIA (CBP)
Slide 24: Large and Growing International Customer Base (Partial List)
Large and Growing International Customer Base (Partial List) AMERICAS (EXCLUDING U.S.) MIDDLE EAST AND AFRICA EUROPEAN UNION / UK ASIA PACIFIC Secretary of the Mexican Ministry Abu Dhabi Customs North Atlantic Treaty China Customs of National Defense (SEDENA) Organization (NATO) Dubai Poli
Slide 25: Optoelectronics and Manufacturing
OPTOELECTRONICS AND MANUFACTURING SENSORS, DETECTORS, AND ELECTRONICS
Slide 26: A Leading Provider of Advanced, Custom, High-Precision Optoelectronic and Electronic Assembly Systems
A Leading Provider of Advanced, Custom, High-Precision Optoelectronic and Electronic Assembly Systems BUSINESS OVERVIEW PRODUCTS & SERVICES Sought-after, trusted provider of leading, innovative sensors, detectors and electronics for global OEMs that demand high-reliability, high-performance engine
Slide 27: Global Electronics Design, Manufacturing Services and Support
Global Electronics Design, Manufacturing Services and Support Focused on Intricate, High-Value Add Applications CUSTOM SOLUTIONS SELECTED CUSTOMERS & RELATIONSHIPS Recognized as a leader in higher-value custom engineering solutions for leading technologies for use in a broad range of applications
Slide 28: Capitalizing on High Growth Opportunities Through Our Broad Offering
Capitalizing on High Growth Opportunities Through Our Broad Offering of World-Class Solutions GROWTH OPPORTUNITIES High-growth applications: Analytics Imaging Monitoring AEROSPACE MEDICAL AND BIOTECH DEFENSE AND HOMELAND SECURITY Test & Measurement Tracking Next-gen technologies: Dev
Slide 29: Healthcare
HEALTHCARE MEDICAL MONITORING SYSTEMS AND DEVICES
Slide 30: OSI Healthcare Division: Global Supplier of Medical Monitoring Systems & Devices
OSI Healthcare Division: Global Supplier of Medical Monitoring Systems & Devices BUSINESS OVERVIEW SELECTED CUSTOMERS & RELATIONSHIPS Broad portfolio of connected care solutions, for patient monitoring, cardiology & remote monitoring Expanding addressable market with strategic investments in dig
Slide 31: Market Penetration Opportunity with Expanding Portfolio in Patient Monitoring & Connectivity
Market Penetration Opportunity with Expanding Portfolio in Patient Monitoring & Connectivity GROWTH OPPORTUNITIES Aging population and rising chronic conditions driving demand for patient monitoring in hospital and at home Growing focus on subscription-based revenue with rollout of “monitoring a
Slide 32: New Innovations and Introductions Provide Opportunity in Cardiology Systems
New Innovations and Introductions Provide Opportunity in Cardiology Systems and Accessories Markets GROWTH OPPORTUNITIES Cardiology Systems: Increasing demand for ECG carts and ambulatory cardiology monitoring with data management solutions and connectivity Growing adoption of consumer wellness
Slide 33: Summary
[eX-J/SYSTEMS, INC. SUMMARY
Slide 34: OSI Systems – A Technology Leader Well-Positioned for Continued Growth
OSI Systems – A Technology Leader Well-Positioned for Continued Growth Scale, momentum in large contract awards, significant backlog, and high-performance culture to CATALYSTS FOR CONTINUED deliver continued profitable growth and increased visibility GROWTH IN PLACE Attractive and growing market
Slide 35: Creating Solutions for a Safer and Healthier World
CREATING SOLUTIONS FOR A SAFER AND HEALTHIER WORLD
Slide 36: Reconciliation of GAAP to Non-GAAP Diluted EPS
Reconciliation of GAAP to Non-GAAP Diluted EPS DILUTED EPS FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 GAAP basis* $ 1.07 $ (1.57) $ 3.46 $ 4.05 $ 4.03 $ 6.45 $ 5.34 $ 7.38 Impairment, restructuring, and other charges 2.37 1.88 0.20 0.35 0.55 0.42 0.44 0.37 Amortization of acquired intangible assets 0.4