On August 22, 2024, OSI Systems Inc (OSIS, Financial) released its 8-K filing reporting record financial results for the fourth quarter and fiscal year ended June 30, 2024. The company, a designer and manufacturer of electronic systems and components for homeland security, healthcare, defense, and aerospace markets, posted impressive growth across its business segments.
Fiscal 2024 Fourth Quarter Highlights
For the fourth quarter of fiscal 2024, OSI Systems Inc (OSIS, Financial) reported revenues of $480.9 million, a 17% increase from $411.9 million in the same quarter of the previous year. The company's GAAP diluted earnings per share (EPS) were $2.55, while non-GAAP diluted EPS reached a record $2.84, surpassing the analyst estimate of $2.62.
Net income for Q4 FY24 was $44.7 million, compared to $42.4 million in the same quarter of the prior year. Non-GAAP net income for Q4 FY24 was $49.7 million, up from $45.8 million in the previous year.
Fiscal Year 2024 Performance
For the fiscal year ended June 30, 2024, OSI Systems Inc (OSIS, Financial) achieved revenues of $1.54 billion, a 20% increase from $1.28 billion in the prior fiscal year. GAAP diluted EPS for the fiscal year was $7.38, while non-GAAP diluted EPS was a record $8.13, significantly higher than the annual estimate of $7.46.
Net income for the fiscal year was $128.2 million, compared to $91.8 million in the previous year. Non-GAAP net income for the fiscal year was $141.2 million, up from $106.7 million in the prior year.
Segment Performance and Backlog
The Security division was a key driver of growth, with Q4 revenues increasing by 27% year-over-year to $342.5 million. The division's strong performance was attributed to robust demand for its products and services, leading to significant growth in adjusted operating income. The company's backlog at the end of Q4 FY24 was approximately $1.7 billion, indicating strong future revenue potential.
The Optoelectronics and Manufacturing division also reported record fourth-quarter revenues of $102.1 million, reflecting a recovery and continuous improvement efforts. The Healthcare division concluded fiscal 2024 with its strongest quarter, despite challenges in the hospital spending environment.
Financial Metrics and Achievements
| Metric | Q4 FY23 | Q4 FY24 | FY23 | FY24 |
|---|---|---|---|---|
| Revenues | $411.9M | $480.9M | $1.28B | $1.54B |
| GAAP Net Income | $42.4M | $44.7M | $91.8M | $128.2M |
| Non-GAAP Net Income | $45.8M | $49.7M | $106.7M | $141.2M |
| GAAP Diluted EPS | $2.46 | $2.55 | $5.34 | $7.38 |
| Non-GAAP Diluted EPS | $2.66 | $2.84 | $6.21 | $8.13 |
Commentary and Outlook
Deepak Chopra, OSI Systems’ Chairman and Chief Executive Officer, stated, "We are pleased to report strong fourth quarter financial results as outstanding performance in the Security division led to record revenues and record adjusted earnings per share. Fiscal 2024 was a great success for the Company. With a backlog near all-time highs and visibility into a robust pipeline of opportunities, we believe we are well positioned for a strong fiscal 2025."
For fiscal year 2025, OSI Systems Inc (OSIS, Financial) anticipates revenues in the range of $1.620 billion to $1.650 billion and non-GAAP adjusted earnings per diluted share in the range of $8.80 to $9.15.
Overall, OSI Systems Inc (OSIS, Financial) has demonstrated strong financial performance and growth across its business segments, positioning itself well for continued success in fiscal 2025.
Explore the complete 8-K earnings release (here) from OSI Systems Inc for further details.
