Core Insights - OSI Systems (OSIS) is experiencing significant growth in its Security division, with revenues increasing by 16% year over year to approximately $290 million in Q2 of fiscal 2025, contributing to a total revenue increase of 12% to $419.8 million [1] - The company has a strong order book with a book-to-bill ratio of 1.2 and a backlog exceeding $1.8 billion as of December 31, 2024 [1] Group 1: Security Division Performance - The Security division's strong performance has led to a 17.5% appreciation in OSIS shares year to date, outperforming industry peers such as Fabrinet, TE Connectivity, and Universal Display [2] - Recent orders include a $76 million contract for airport screening solutions and a $32 million order for RF-based critical systems for secure communications [3][4] - Additional orders include a $12 million contract for the Eagle M60 ZBx inspection system and an $81 million order for the Eagle M60 mobile inspection system [5] Group 2: Future Guidance - OSIS has raised its revenue guidance for fiscal 2025 to a range of $1.685 to $1.71 billion, indicating expected growth of 9.5% to 11.1% [7] - Non-GAAP earnings guidance has also been increased to between $9.10 and $9.40 per share, reflecting an expected growth of 11.9% to 15.6% [7]
OSI Systems Rides on Strong Order Pipeline in Security Division