Osi Systems

What Osi Systems does

OSI Systems, Inc. (NASDAQ: OSIS) is a Hawthorne, California-based, vertically integrated designer and manufacturer of specialized electronic systems and components organized into three operating divisions. The Security division (~70% of revenue), operating through the Rapiscan Systems, S2 Global, and Continental Electronics Corporation brands, provides X-ray-based baggage, parcel, cargo and vehicle inspection systems (Eagle M60, Orion Road Mobile), trace detection systems (Itemiser 4DX and 5X), the CertScan integration software platform, and — as of 2026 — a homeland defense over-the-horizon radar transmit subsystem. The Healthcare division (~10% of revenue), under the Spacelabs Healthcare brand, manufactures patient monitoring, diagnostic cardiology, anesthesia delivery, and ventilation systems sold to hospitals and clinical providers. The Optoelectronics and Manufacturing division (~20%+ of revenue) is one of the largest global manufacturers of photodiodes and optical sensors, producing electronic sub-assemblies for OSI's internal divisions and external OEMs in medical devices, secure communications, and semiconductor equipment.

OSI generates revenue primarily through long-cycle government and enterprise procurement. Security division orders disclosed range from $10M to $235M, with service revenue representing approximately 30% of Security revenue at margins more than 10 percentage points above product margins. The Optoelectronics and Manufacturing division operates on long-term OEM supply agreements, including a multi-year medical device award exceeding $40M. Customers span federal/state/local government agencies, law enforcement, military, customs and border protection, hospitals, and Fortune 500 OEMs across more than 170 countries, served through a network of manufacturing and sales offices in North America, Europe, the Middle East, and Asia Pacific.

The company holds sector-critical regulatory certifications including ECAC/EU G1 for trace detection, ISO 9001/14001/27001/37001 across manufacturing, and aerospace, medical, and automotive manufacturing registrations. Backlog stood at a record $1.9B with a 1.3x book-to-bill ratio at Q3 FY2026, supported by FY2026 revenue guidance of $1.825-$1.867B and EPS guidance of $10.30-$10.55 (10-13% growth). Capital structure includes $575M of convertible senior notes issued in 2024-2025 and a $725M revolving credit facility extended to July 2030.

Name

Osi Systems

Legal name

OSI Systems, Inc.

Website

https://osi-systems.com

Company type

Public

Founded year

1987

Operating status

Operating

Headcount range

5,001–10,000 employees

Short description

OSI Systems (NASDAQ: OSIS) is a vertically integrated designer and manufacturer of security screening and inspection systems (Rapiscan), patient monitoring and diagnostic cardiology devices (Spacelabs Healthcare), and optoelectronic components serving government, healthcare, and OEM customers across 170+ countries.

Ownership category

akta.pro rank

Product category

Security Screening Systems

NAICS

Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing (334511), Instruments and Related Products Manufacturing for Measuring, Displaying, and Controlling Industrial Process Variables (334513), Electromedical and Electrotherapeutic Apparatus Manufacturing (334510), Navigational, Measuring, Electromedical, and Control Instruments Manufacturing (3345)

SIC

Search, Detection, Navagation, Guidance, Aeronautical Sys (3812), Industrial Instruments For Measurement, Display, And Control (3823), Measuring & Controlling Devices, Nec (3829)

akta.pro primary industry

Sensor Fusion, Interface ICs & Modules (AFE/Readout/Packaging/Calibration) (HDAHALAO)

akta.pro secondary industries

Embedded & HMI Electronics Manufacturing (Industrial PCs, HMIs, Panel PCs) (IMAGAGAD), Access Control & Identity Systems Integration (Badge, Biometrics, Mobile) (BPAKAGAB)

Keywords

• Security screening systems
• Patient monitoring devices
• Optoelectronic components
• Cargo inspection systems
• Trace detection systems

Headquarters

HQ city

Hawthorne

HQ country

United States

HQ region

North America

Offices33 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Supply Chain, Personnel, Operations, Technology or R&D, Marketing or Sales, Infrastructure

Revenue model

1. Security Products and Services: Revenue from security screening equipment (baggage, cargo, vehicle inspection systems), turnkey screening operations, and maintenance/service contracts. Represents approximately 70% of company revenue. Service revenue currently comprises about 30% of Security division with higher margins (10+ percentage points above product margins).
2. Optoelectronics and Manufacturing: Revenue from designing and manufacturing optoelectronic components (photodiodes, optical sensors), electronic sub-assemblies for OEM customers, and manufacturing services. Represents approximately 20%+ of company revenue. Includes long-term supply agreements with medical device OEMs and secure communications companies.
3. Healthcare Products: Revenue from patient monitoring systems, diagnostic cardiology, anesthesia delivery, and ventilation systems under the Spacelabs brand. Represents approximately 10% of company revenue. Products sold to hospitals, clinics, and healthcare providers globally.
4. Defense Radar Systems: Revenue from homeland defense over-the-horizon radar transmit subsystems under defense contracts. Currently a major contract win (~$235M UCA) representing approximately 13% of annual revenue.

Pricing tiers

Go-to-market motion1 record

Distribution channels4 records

Marketing channels4 records

Core offering

OSI Systems is a vertically integrated designer and manufacturer of specialized electronic systems and components, operating three divisions. The Security division (Rapiscan Systems, S2 Global, Continental Electronics) provides security screening equipment including baggage, cargo, and vehicle X-ray inspection systems, trace detection systems, integrated screening software platforms, and homeland defense radar. The Healthcare division (Spacelabs Healthcare) provides patient monitoring, diagnostic cardiology, and anesthesia/ventilation systems for hospitals. The Optoelectronics and Manufacturing division manufactures photodiodes, optical sensors, and electronic sub-assemblies for OEMs in aerospace, defense, medical, and industrial markets.

Product overview

OSI Systems is a vertically integrated technology solutions company with three operating divisions serving critical applications in homeland security, healthcare, and optoelectronics. The Security division (Rapiscan Systems, S2 Global, Continental Electronics) provides security screening equipment and services including baggage/cargo X-ray inspection systems (Eagle M60, Orion), trace detection (Itemiser 4DX/5X), CertScan integration platform, and homeland defense radar systems. The Healthcare division (Spacelabs Healthcare) delivers patient monitoring, diagnostic cardiology, and anesthesia/ventilation systems for hospitals and clinical settings. The Optoelectronics and Manufacturing division supplies photodiodes, optical sensors, electronic sub-assemblies, and manufacturing services to the Security and Healthcare divisions as well as external OEMs in aerospace, defense, medical, and industrial markets. The company operates manufacturing facilities across the Americas, Europe, Middle East, and Asia Pacific.

Differentiator

Problem solved

Functional benefit

Brands

• Rapiscan: Global provider of security screening solutions, equipment, and services including baggage inspection, cargo and vehicle inspection, hold baggage and people screening, radiation detection, and explosive and narcotics trace detection.
• Spacelabs Healthcare
• S2 Global
• Continental Electronics Corporation (CEC)
• AS&E
• CertScan Platform
• Itemiser 4DX
• Itemiser 5X
• Eagle P60

Products and services

• Rapiscan Security Screening Systems Global provider of security screening solutions, equipment, and services including baggage and parcel inspection, cargo and vehicle inspection, hold baggage and people screening, radiation detection, and explosive/narcotics trace detection systems for government agencies and security checkpoints.
• Itemiser 5X Trace Detection System Next-generation trace detection system for identifying explosives and narcotics, ECAC/EU G1 certified for European aviation security applications including airports, prisons, and border control checkpoints.
• Itemiser 4DX Trace Detection System Established trace detection system for passenger and cargo screening at airports, with thousands deployed globally for aviation security and law enforcement applications.
• Orion Road Mobile X-ray Inspection System Mobile X-ray inspection system for advanced security operations, enabling flexible deployment at various checkpoints and high-threat facilities.
• Eagle M60 Cargo Inspection System Non-intrusive inspection system for cargo and vehicle screening at borders and ports, providing high-energy X-ray imaging for contraband detection.
• CertScan Platform Proprietary integration software platform by S2 Global that streamlines screening operations, centralizes data, and enables efficient management of security scanning equipment at customs and border protection applications.
• S2 Global Turnkey Screening Solutions Turnkey screening solutions provider for customs and border protection, air cargo transport, aviation screening, and critical infrastructure, offering integrated operations, training programs, and the CertScan integration platform.
• Homeland Defense Over-the-Horizon Radar System Long-range radar transmit subsystem capable of tracking beyond line-of-sight limitations for homeland defense applications, with advanced RF engineering and system integration under Continental Electronics Corporation.
• Continental Electronics Corporation RF and Microwave Technologies Mission-critical radio frequency (RF) and microwave technologies for defense, government, industrial, and broadcast applications, including homeland defense radar systems.
• Spacelabs Patient Monitoring and Diagnostic Cardiology Systems Advanced patient monitoring devices, diagnostic cardiology systems, anesthesia delivery, and ventilation systems for critical care, emergency, and perioperative areas in hospitals, clinics, and ambulatory surgery centers.
• OSI Optoelectronics Photodiodes and Optical Sensors One of the largest global manufacturers of custom semiconductor-based optoelectronic components including photodiodes and optical sensors for aerospace, defense, medical, telecommunications, and industrial applications.
• OSI Electronics Manufacturing Services Electronics manufacturing services provider offering OEM solutions, sub-assembly manufacturing, and value-added services for medical, aerospace, defense, and industrial markets.
• Rapiscan Maintenance Services Maintenance services contracts for Rapiscan baggage, cargo, and vehicle inspection systems with continued CertScan Platform support, representing higher-margin recurring service revenue for the Security division.

Quantifiable outcome

• Record backlog of $1.9 billion with 1.3x book-to-bill ratio
• +3 more outcomes

Named customers7 records

Segments3 records

Ideal customer profiles3 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

AI capability5 records

Feature7 records

Scale indicators25 records

Recent moves6 records

Expansion highlights6 records

Direct peers

• Smiths Detection: Smiths Group's security screening division is the closest direct competitor to OSI's Rapiscan, offering baggage, cargo, and trace detection systems to airports, customs, and border agencies globally with overlapping ECAC-certified product lines.
• Nuctech: Chinese state-owned security inspection provider offering X-ray, cargo, and people screening systems with deep penetration in Asia, Africa, and emerging markets, competing head-to-head with Rapiscan on price-sensitive government tenders.
• Teledyne Technologies: Direct peer in instruments, imaging, sensors, and defense electronics, with FLIR thermal imaging and a portfolio of optoelectronic and detection products. Highly comparable to OSI's mix of OEM sensor supply, defense systems, and industrial instrumentation.
• Hamamatsu Photonics: Japanese manufacturer of photodiodes, optical sensors, and photonic devices, directly comparable to OSI Optoelectronics in supplying high-reliability optoelectronic components to medical, industrial, and scientific OEMs.
• Drägerwerk: German medical and safety technology company with patient monitoring, anesthesia, and ventilation systems that directly compete with Spacelabs Healthcare in hospitals and clinical settings globally.

Broad incumbents

• L3Harris Technologies: Large U.S. defense prime with a portfolio spanning defense electronics, surveillance, and detection systems. L3Harris competes with OSI in homeland defense radar and broader defense markets while also serving adjacent security screening and electronic warfare needs.
• Leidos Holdings: Major defense, intelligence, and homeland security contractor with a security detection portfolio that overlaps with Rapiscan in cargo and vehicle inspection, alongside broader government IT and engineering services.
• Honeywell International: Diversified industrial conglomerate with security screening, sensing, and aerospace/defense businesses that overlap with OSI's Security, Optoelectronics, and Healthcare-adjacent product lines as part of a much broader portfolio.
• GE HealthCare: Large medical imaging and patient monitoring incumbent whose patient care solutions portfolio overlaps with Spacelabs in hospitals, while bringing far greater scale, R&D budget, and installed base.

Emerging players

• Vanderlande Industries: Materials handling and security screening integrator for airports, parcel, and warehouse logistics, with checkpoint and hold baggage screening systems that overlap with Rapiscan's airport security offering.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/osi-systems
• Xx.com/osisystems
• Facebookfacebook.com/109508395733502

Compliance6 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles8 records

Subsidiaries11 records

Funding overview

Funding rounds6 records

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A6 records

Investments1 record

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Osi Systems