OSI Systems Q2 Earnings Rise; Lifts Revenue Outlook For 2014

(RTTNews) - OSI Systems, Inc. (OSIS), a maker of specialized electronic systems and components and provider of security screening services, Tuesday reported an increase in the second-quarter earnings chiefly as revenues grew. In addition, the company raised its revenue guidance while lowering the bottom end of earnings guidance range for fiscal 2014.

For the second quarter. earnings rose to $14.57 million, or $0.71 per share, from $12.42 million, or $0.60 per share, a year earlier.

Excluding impairment, restructuring and other charges, earnings increased to $16.12 million, or $0.78 per share, from $14.38 million, or $0.70 per share, for the corresponding period last year.

Revenues for the 3-month period increased to $236.41 million from $194.05 million a year earlier. Security Group segment revenues rose to $106.59 million from $91.86 million a year ago.

CEO of OSI Systems, Deepak Chopra, said, "During the second quarter, our Security Division generated both record sales and profits as sales grew by 16% over the prior year and operating income, excluding the impact of impairment, restructuring and other charges, increased by 49%. The excellent performance of our turnkey operations were a major contributor to our top line growth and increased operating margins."

Looking ahead, OSI Systems increased the revenue guidance for 2014 to $890 million - $920 million from the earlier view of $875 million - $905 million. The company, however, lowered the bottom end its earnings per share guidance to $3.10 - $3.39 versus the previous guidance of $3.24 - $3.39.