OSIS - Earnings call transcript Q4 2019

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Operator

Good day, ladies and gentlemen, and welcome to the OSI Systems Incorporated Fourth Quarter and Fiscal Year 2019 Conference Call. At this time, all participants are in a listen-only mode. Later, we'll conduct a question-and-answer session and instructions will follow at that time. [Operator Instructions].

As a reminder, this call will be recorded.

to Financial host Officer. like Alan today’s now Chief Edrick, would introduce for your conference, I Please ahead. go

Alan Edrick

Thank you. CFO Good Chopra, us. And I'm morning here our and thank Edrick, I'm Vice you President Executive and President with and today of CEO. Systems. Alan OSI Deepak for joining

today, and conference a to year issued to welcome extend and we Welcome quarter to OSI calls. first-time call. announcing conference anyone quarter fiscal Systems end the is participant XXXX a our on We Earlier fourth who release fourth press XXXX year would results. a financial like our fiscal full

that take subject to we today's of provisions Harbor securities on the I deemed discussion Before XXXX the with the are would Private and laws. statements that statements. risks, of Reform Act which company's Securities many forward-looking remind to are In control. forward-looking outside of connection be the everyone management's the statements These results, of with may are advantage based our assumptions contains call, and to forward-looking expectations, this under contingencies, Safe be respect uncertainties, like discuss conference Litigation current to wishes company to

financial without the its Such regarding statements company earnings expected and limitation, operational and the the revenues, operating include of expected company's performance including information and divisions; growth.

of new becomes only forward-looking this to speak untrue including on information undertakes could Undue All with reliance update factors, that of should in periodic date or any from statements information forward-looking based described call. the materially differ subsequent because results forward-looking no SEC call on statements company placed are our due otherwise. this the on actual available not time-to-time. of obligation reports numerous factors be the as from and statements to or made currently forward-looking And filed statement events company's the as

call, the results. non-GAAP and conference financial to refer we company's today's measures of During may both GAAP

measures SEC to GAAP X-K. report those a to and to release furnished current exhibit and please refer an regarding earnings information comparable today's the figures, of as quantitative Form been For measures non-GAAP on a reconciliation has which

call to Deepak general I fiscal and high-level of turning discuss financial the Before year. the business to quarter fourth overview and a provide full the company's will operations, over

record divisions. quarter solid of X% First, we reported our revenues by of million, year-over-year three a fiscal across fourth XXX driven each performance increase

full X% to the record billion. revenues For year, increased X.XXX fiscal

Second, Non-GAAP year and on our in QX earnings $X.XX which earnings specified at prior revenues compared this later GAAP QX in $X.XX we items leveraged came earnings reported same generate certain share as to discussed $X.XX fiscal release diluted QX to to of we growth. call, period. diluted compared per the $X.XX 'XX higher EPS, in excludes share per in

increase to saw XXX GAAP non-GAAP in 'XX from fiscal in points we operating A release. QX adjusted with QX expansion is basis XX.X% margin significant margin earnings forth of in fiscal the to set the operating 'XX. Third, adjusted X.X% reconciliation

from Fourth, X.X. was the related This operations operations the fiscal QX XXXX and million, services, to XXXX period QX and same flow our ratio was cash XX cash million. last for equipment year. our approximately over year up fiscal non-turnkey, finally, brought book-to-bill And XXX from fiscal XX%

XXXX guidance, diving our Deepak. into call results deeply discussing turn Before financial more and the to our fiscal me over let

Deepak Chopra

continued build the results. foundation we strong initiatives the Throughout Optoelectronics We contributed full call. mentioned year, the and our to revenues for long-term Alan achieving again focusing and welcome to record Alan, on strength to our gain the year. growth. continued Systems markets All as had quarter a while and you, in for current Healthcare has great OSI three Thank earnings conference fiscal Security, simultaneously divisions; QX to

fiscal at division activity related activity. worldwide year-over-year our Overall, the and in QX fiscal and more X% each services in full where increase the products and revenues this depth, higher have at with for prior year starting security million. versus Discussing up the macro XXX X% year. XXXX revenues million increased factors Security saw XXX driven division were Security were Various XXXX industry

changes in inspection required Airport Europe prompted by security Union as new deploy European check the to airports baggage mandate systems.

that countries and upgrades expansion international are Additionally, border existing increased commercial infrastructure. require experiencing trading port and of and activity land

deadlines experience and aviation enhance efforts approach airports continued product high to compliant. as cargo the the In of a we become their screening to ECAC lines, activity in level air Europe

and systems expanded During scanning cargo base we quarter, check applications computed baggage air internationally. CT tomography for the our install RTT of our

package customers adopting speeds. operations are air X-ray conventional with cargo improving solution by with their fast Furthermore, combined scanning our RTT higher

with new of intelligent We an development. additional a line and which the of currently models screening and gaining have are reliability quality available traction ORION management Multiple ORION called as in enhanced bag solutions technology image as checkpoint advanced system are models design with improved offering operating technology. well also

to Guatemala middle we operational turnkey in On the expect this and around new services, year. Asia fiscal have Southeast go the in programs of

project services East. an which datacenter the civil integration, in working works, includes training Middle integrated services equipment, also We’re on and follow-on

working product the throughout and software growth various quarter with on U.S. several and international. was in the leaders among agencies line our and during the year, cargo we are projects significant and Our portfolio government currently hardware

growth the As new expanded year, through cargo this ongoing. support service, base see we installations we maintenance related for and installed our have training

for Some are Security in of QX examples wins as the division follows. our the of

platforms support inspection million a were to $XX baggage, sustained for Rapiscan we systems. awarded service and from at provide U.S.-based services, contract a multiple and and maintenance, training contractor prime cargo valued of For multiyear parcel engineering logistic

$XXX logistics received systems. million provide U.S. the to order a Custom Border indefinite and and inspection from fleet Patrol, our $XX delivery, with CBP, million maintenance delivery order indefinite service, parts also existing We of quantity for

correctional are the few quarter systems we our helped and customer contract finally, million service a checkpoint awarded at facilities for wins approximately breadth state centers. parcel a And provide illustrate in installed and the were support These but comprehensive and the at U.S. and of of to $X base valued multi-year end-user detention maintenance baggage applications. inspection only

and focused capturing at opportunities air remain check airports international on the baggage front, On cargo. we

During QX, for Real explosive and a order Tomography provide million to system international units additional XXX related to spare of detection announced support airport. Time follow-on maintenance European we approximately the and a RTT $XX

the we’ve been with At ORION XXX series checkpoint, making great strides line. our product new

fiscal gaining international fiscal We are the expect to in have at sold and XXXX. its traction positive growth Rapiscan which XXXX launch customers continue also to internationally XXX we CT the in with mid its several checkpoint since

breadth numerous platforms and XXXX division for As in we look both opportunities Security ahead, and we positioned with are of the U.S. across internationally a pipeline very robust well is thus for the fiscal

prior XX% resulted Optoelectronics. from in an revenue contributions and ago from fourth million organic of the a year This generated total fiscal that achieved the for period acquisition a from Manufacturing to improvement million the revenues than same quarter, the Moving mix growth In closed or $XX was higher $XXX year. about XXXX. the a of XX% year which and early and Optoelectronics in increase division

customers. The medical Opto telecom, leveraging team defense of and has for manufacturing done equipment sensors a great and flex equipment in its original job aerospace, position

enhanced fiscal Our our flex capabilities assembles. anticipate XXXX. We have performed have product and for prototype growth in in-house well customers flex product with lines offering to continued

more this engineering, our full vertically We our including design customers believe make forward, customization, manufacturing. focus valuable prototyping and of add OEM and to component and our integrated range that technologies development and for is and value a to design subsystem Going division application customers. us concept services capabilities efficient that product

division that Opto and quality backlog, of the for the start excellent an believe starting Given is XXXX. we off to level getting fiscal

to Moving on Healthcare.

quarter, consecutive and management focus related and at of income core payoff. exit year-over-year unprofitable our supplies we second saw resulted to the of patient markets business line growth significant and team’s accessories cardiology Spacelabs to beginning anesthesia the which the For is growth. top operating monitoring The following on

our by positive and hospital enhancement opportunities $XX totaling of innovative fourth effect the itself received quarter. on that team tools. orders focus Healthcare offering in U.S. Some monitoring continues million about this to workflow differentiates the patient three large solution is by during we The evidenced

has which patients. secure hospitals discharge solution XXXX Healthcare providing us backlog, ended with The XXXX. is improving the fiscal record An a nursing productivity managing caregivers. and enter and value-based allows SafeNSound in throughput associated fiscal that to example positioning care assists patient communications division an between streamlining by SafeNSound well we the admit workflows, staff software app as

are summary, we XXXX. in Overall, with our pleased QX fiscal in and accomplishments

We making successful look the look forward we opportunities on overall. a As ahead, strengthening we to to strategic continue focus capturing to investments acquisitions, businesses our pipeline XXXX. fiscal and plan and in

to With guidance the detail before turn performance for that, questions. call you. Alan our opening Thank call the Edrick talk going I’m back and financial more to in about over to

Alan Edrick

Deepak. you, Thank

financial review fiscal our fourth in quarter greater will I XXXX results Now detail. for

from reached in an QX fiscal revenues in X% of lines. revenues XXX levels record our growth million, driven the cargo of QX Security the previously, As mentioned 'XX of and product up fiscal QX were division RTT 'XX X% in year-over-year. of by increase

due with continued generated company performance revenues intercompany strong a The fiscal acquired also of revenues by Opto to its we division external QX revenues. million. This revenues by and the was increasing driven to early XX new XX% impressive record including year-over-year year strong in a

Healthcare posted growth which significant demand growth U.S. profits. division leveraged driven by Our was revenue solid to X%, in of

and three operational saw up to gross points notably XXX We exhibit to The year. was of our efficiencies. in expansion both continued Opto QX most basis product favorable Healthcare divisions divisions, had mixes which all compared in approximately last XX.X% margin QX margin gross and

margin previous mix calls, among will fluctuate on other As based period-to-period gross factors. mentioned revenue our on from

of divisions over pipeline. revenue efficiencies the our cost were operating expanding our QX structure. year to and up work to all across We X% support SG&A or expenses to 'XX expenses. opportunity same fiscal improve growth prudently of and our X.X Moving in prior million manage our period

by which division. in remain innovative from on expenses about QX XX.X vital as view Security success X.X to were business. our the long-term focused by million up driven we product largely development QX the prior the of million, R&D year, of We

and restructuring as of in fiscal were QX million QX to million 'XX 'XX. charges in of Impairment XX.X other fiscal compared X.X

in For compared were prior to the full the year. million X.X XX fiscal amounts year, million 'XX such in fiscal

taxes. to Moving

QX impact discrete tax XX.X% effective The in the year the rate, items, in to fiscal our Excluding fiscal year. 'XX tax excluding XX.X% XXXX XX.X% impact was rate tax of discrete QX compared of of to was the prior fiscal XX.X% items, in effective tax 'XX. compared

improved to of operating acquired charges QX turn now adjusted QX operating amortization margin fiscal will company’s from adjusted and in restructuring X.X% of a The margin, 'XX. non-GAAP of in expense. our 'XX impairment discussion which I excludes XX.X% other fiscal to and non-GAAP

which division the in X.X% revenue Each prior This in division growth was operating to growth effective in significant operating year XX.X% Healthcare fiscal margins QX the primarily from reported to increases. cost most adjusted margin and increased management. due

finally, Healthcare the previously, to has relatively changes higher QX from Opto margin improvements same are year. margin margin noted margins from Security XX.X% QX The XX.X% been has of last contribution in XX.X% sensitive the quarter division to the for line. QX, up year. fiscal in increased quite As last the division’s nicely fiscal to operating division’s expanded thus year And in this and operating top the XX.X% in operating

Moving QX 'XX QX and days XX.X 'XX and XX compared to to to increased in QX both fiscal QX XXX compared partially QX sales fiscal flow. improved XXX of QX flow we’ve days days fiscal cash and sequentially 'XX. in year. management last an outstanding profits prior of of year-over-year flow decreased in to in This the generated 'XX, inventory fiscal by increase from XX.X days as by cash QX 'XX year. driven of in days days QX XXX fiscal of In to in was XX million This million the fiscal 'XX strong of days offset in fiscal of inventory in operating was cash

projects, was million, was while investment in CapEx included and amortization the which XX.X million. turnkey X.X for quarter depreciation

sheet remains year the ended leverage X.X. We approximately strong. net balance Our with fiscal of

turning finally, to guidance. So

charges, This and associated amortization diluted revenues excludes of of expense restructuring EPS XXXX, their For assets and impairment non-GAAP billion to discrete range tax to as $X.XX fiscal year any effects of X.XXX items. $X.XX. non-cash interest and tax acquired non-GAAP we well and share intangible per potential diluted anticipate earnings as other X.XX billion

estimates. uncertainties risks to reasonable generally which affecting vary currently non-GAAP affecting We we reflect however, earnings, ranges and industries and the sales anticipated could sales believe guidance due in operate. the in earnings our specifically the non-GAAP business in from Actual

uncertainties readiness orders site customer These our trade risks in evolving beyond or our include acceptance as discussed uncertainties renewals products and each filings. installations, government and of such SEC our items and the and contract risks and in control division timing product other policies, of

our strategic our innovative acquisitions. to various our leadership grow role continue across enable to continued and products industries. business while investments making selective have investing We and solutions with development in OSI product These

Thank call. we would conference you for open call time, the this to questions. participating like And in this at to

Operator

Instructions]. [Operator

question of Jefferies. first Our Sheila comes line from with Kahyaoglu the

Your line now open. is

Sheila Kahyaoglu

you. you an can Maybe update new and also on think I they RFPs Thank it’s are, Hi. could significant you large remarks projects your Mexico? mentioned I there comment prepared Asia. and give Deepak, know in Guatemala how us on in turnkey you were anymore. these competitive, not as if just were

Deepak Chopra

Sheila, myself Answer and I’ll thank question think to take the both you. Alan. I it

a the long-term international longer It’s have it the cycle, committing it’s said because competitive is kind before XX equipment tenders. with just that All we’ve these a customer also of these XX, vendor. and of relationship are to an of not and open years things

way. same is the Our Guatemala

way same Mexico. Puerto Rico the is the Albania is Our same and way.

Regarding Guatemala and more little Asia size, Alan talk maybe can one? about you bit the the a

Alan Edrick

so us. than Sheila, nice both contracts are Sure. both and They Rico. Puerto Asia are Guatemala for smaller

So online the come overall them for of company. contribute we’re and before calendar looking the to year to end the

Deepak Chopra

your January that contract talk We sometime we active a two-year much was Mexico, ends customer. it, other the XXXX. in in still but question don’t about to yes, are Back with – discussions the we about renewal

Sheila Kahyaoglu

is Healthcare, know we Thank think guidance How highly think deceleration? then solid because here. do mix about on really I pretty Okay. a steep I implies you. And margins your that, variable.

Deepak Chopra

that business margin of to that growth we we gracefully the my anesthesia. we what things continue they the to and an the damage said the unprofitable over we which last in what of of that. other had the patient and we known is for, no higher exit are businesses both we are done with business unprofitable business I we business One and of of are in with cardiology the monitoring, that focus call emphasizing And year want Alan? that and it exited remarks, think them

Alan Edrick

add Yes. don’t it. a would business to The just Sheila, has deceleration. I Healthcare implies seasonality guidance our believe we some steep

on a the some is side QX typically for international instance, QX the on of being usually a Healthcare a vacations. on slower the particularly So the is the operating quarter than world which other international quarter with margin lot quarters, of stronger side

high about we the overall for earlier, Healthcare looking So margins our line in given as contribution business. optimistic mentioned very quite margins to operating top in and are this are we Healthcare But a forward the really year good feel sensitive the to year.

Sheila Kahyaoglu

little Do is think it’s you tell. you think – last year this QX – was and bit double-digit margin feasible XXXX a difficult for business? a Do for to beyond

Alan Edrick

don’t overall. and the Yes, Last so year started momentum in QX you. QX agree provide guidance in to division. gain by provide for QX. soft company then with and was We We QX we and it we Healthcare

the anticipate out So in of some from coming in perspective, a year-over-year would QX. we nice Healthcare gate increases

Sheila Kahyaoglu

you. Thank a Okay. Thanks lot.

Operator

you. Thank

CJS of comes line with Our Larry Securities. next from Solow question the

open. now is Your line

Peter Lukas

It’s Good Lukas Pete Hi. morning. for Larry.

the from impact the on half new the upfront quarter in revenue question did before these on the up for of on cost turnkey Just have XXXX, contracts margins first two QX? any following contracts previous current

Alan Edrick

Good Alan. impact is This in you. receiving They we question. have of as did Thank invest revenues. advance some

given as that said, of have being the turnkey revenues overly the the company yes, with CapEx not these a begin. two basis. were However, significant. were But to expenses of they not do operating our as they before contracts on But deals, we consolidated well upfront material all size

Peter Lukas

more you current trailing often bill to to lumpy. share color us Great. or any backlog? months in XX give that And on the realize flat, Thanks. bill nearly I at quarter book Could book

Alan Edrick

well. Alan. start Yes. that with as I’ll is This

months non-turnkey On trailing was similar the a was basis, book QX. basis X.X. approximately our to on bill XX to So

backlog So the change our our year in function a Mexico from of contract. last is largely

the time As the time until implied. turnkey when you question as next one as had goes know then contract, backlog received that from following such us associated long only the renewal contract for a each in direction we well earlier with

strong have coming strong So we we with fiscal XXXX backlog believe opportunity a into a pipeline. very

Deepak Chopra

Deepak is This here.

have a onto U.S.-Mexico up. There’s that have gone add reading of There’s sure activity. in budgets going lot it, a guys border. of lot. activity the to lot The you been on I’m a Just

well both positioned equipment of We with are border. sides the on

need working going before, deadline the they and meet towards the that enhance the We robust that actively mentioned sector on think the equipment. as airports to their the pipeline pipeline government U.S. with to that with are we be are to the very we strong – RTT in continues where a and European

Europe, pipeline for at are with So very entering both adding very look positive year a that we outlook. obviously slow up are a is and those to the positive but are August July, strong we things

Peter Lukas

And can signs I you understand And expand expansion it me is just lastly sensitive improvement the period-to-period, margin? but in economically segment? on think slowdown any Thanks. jump have fluctuates do of margin from your Great. continued perhaps segment in you most sustainable? what seen you into driving Optoelectronics, this is

Alan Edrick

and Alan. with then Sure. I’ll This that can comment. Deepak is start

management has side. margin with years. that thrilled of a operating a number number We’ve We’re the team for on the strong of quarters job our and Opto seen expansion done frankly

strategic that team done has services. our been shift to products And the great job. part margin higher and of really So a has

instance, were customers our upstream with was have the and business flex profitable prepared profitable. the some with comes – that customers margins. the remarks in more on referring exited relationships we Deepak have to to focus also flex and many earlier We’ve at So, customers business for higher of marginally that moved higher

of us the great done there’s job. opportunities we there. industries that team and The is further ahead represent on So margin some good focused the team has believe opportunity a

Deepak Chopra

we aerospace, technology higher we are margin that add broaden at focus flex in the our I and to very want up strategic well business, is development, product onto whole our marketplace cater organic on vendor to prepared customers. defense, and the our business platform technology so at that strategy in business that we broader the the big medical, said looking chunk and a my just time we is technology remarks, whole focusing Yes, both and in model same acquisitions. which which the take to by bigger cable marketplaces a said, to food a could platform in the primary that it, business to be And chain better And get are Alan. do

Peter Lukas

Very in queue. helpful, the I’ll thanks. back jump

Operator

you. Thank

the next ROTH Jeff Partners. Capital line comes Martin Our question of with from

Your is open. line now

Jeff Martin

guys. Good morning, Thanks.

Deepak Chopra

Good morning.

Jeff Martin

Deepak, little indicate on the I additional potential wanted growth insight terms rank in you that of system? to get of Security from that in the you some see would checkpoint a near division? does And future? you in Where bit for growth the drivers ORION screening

Deepak Chopra

working about Good a Basically, some question. aggressively the we’ve started product new perform at look it internationally. in the line have is CT the product second two the made got checkpoint for new thing it total marketplace. have that’s features better in even to lot that we up our are a what of the they are CT we international airports. demonstrations They interest models; has the is also We’ve ramp And successful call years and introduce to we that and exciting of very that XXX very our prettier we have they about line Frankly, now. checkpoint features. and well better in very ORION area launching some We been received.

more ORION our the what my and a have line CT we in two growth and to space product significant ones Security’s new will XXX product cargo that opportunities is next remarks have checkpoint standard year sold be RTT that features. I for in line We and the replacement said the with call some. And

Jeff Martin

also services a That’s wondered could elaborate helpful. Great. integrated the mentioned. I if you project bit you Thanks. on very

contract think turnkey the East a than something Middle bigger comment size or following that’s if I’m it’s I you Guatemala the was relative that? said. programs new or like wondering if is two Southeast and of that the in Asia that of

Deepak Chopra

successful in specifically Well, for what size both with strategic Puerto want been have successful in contract it’s we mind Keep been very that talk revenue but competitive Albania, a we’ve the we’ve reasons, importance. to Rico, side in about successful been don’t and Mexico. in significant

another of it. at excited about Far in other East. East to account can very Middle We look parts we the can people various customers look at one potential the world are We online the so all and in bring wanted so anchor new we our coming

So X. size. And It’s X, significant when as Mexico. as size X, think not Puerto the or it term it’s which comments, unique thing long it that X, said it’s It’s in activating. it is we’ve a contract as smaller couple of a same expand big of Rico will than starts phases a in a it performs I

Jeff Martin

could – you you’ve that. finally the if just on basis? then Thank you’re how guidance, give you your in at quarters least be terms was strongest guidance for quarters constructed curious currently rank And of quarterly which the expecting I don’t know you revenue to Thanks. but quarterly a

Alan Edrick

Jeff, Alan. this is

you’re bit to but given annual provide nice would we year-over-year for side me little here. a then So gain we the color traction. year, expect as stuff, is some Typically, the let QX We and summer lighter increases. throughout to us we though holidays expect a give go the guidance, And tend on right. little you

of bookings us. on go timing we year a and The But might as QX basis, how see being it. and might for customer requirements. QX and vary on based the some we we of high-level So see needs quarters generally through strongest speaking the will course that’s

Deepak Chopra

does the has it that that when ancillary and it when onto receive link product to RTT customer have it’s are Alan many quarter-to-quarter contracts, so – said can flight the dependent is have product we is business ready, very it that ready what to when times also you of upon civil said, from is provide customer it, to sort we’ve the the tends our on equipment add and this change. and get business lumpy, to ready, just astute the as that upon to to you’re works this line, Jeff, larger ability cargo many, and about be larger been to contracts, in dependent

Jeff Martin

guys. for the Thanks it. appreciate Great. Certainly. color, I

Operator

Instructions]. [Operator

line with Our next Josh question comes Riley FBR. from the Nichols B. of

is line open. now Your

Josh Nichols

pretty Thanks that has for the see how been through such if check European well do you far taking are did given that ask that favorable this to all process tailwind I executing juncture? think a on fronts. my question baggage company’s want conversion and to we guess you good at had to the

Deepak Chopra

Good is question. This Deepak here.

it, the goes a high other speed received of robust continue that has airports very air East, and that some what accelerating opportunity. growth XX% in pipeline because very it’s plus – I maybe think for done very towards the involved to did is of hand-in-hand leading it, the and that much this say in are very going maybe cargo or asked start it done deadline. features towards has the we conference well the we for say the done become is going somebody all we in and are the is time in product number, that about thing is of else, more been we us Asia would will that been very to well you it’s and seeing more last we a sort real the pull to is line it be is but our or that into its new it Middle if as the it Pac, uniqueness, so of think call, difficult same development XX% guess industry XX%, we and throughput But we have very, between cargo it air gets excited has what market have than to

Josh Nichols

about could way through the Could the side on thus what And about quarter? seeing this be obviously quarter the quarter a government you with talk big year U.S. for end. of being you’re far September two-thirds fiscal

Deepak Chopra

their Well, talk. and a obviously, tremendously southern a have said public it lot towards is on. lot Patrol, everybody’s bookings. increased of There’s activity the knowledge this a on the have That’s going Border lot government There’s true. year-end And we and knows historically of Customs CBP, it’s border. the that the that budgets before people depend

comparative it well very are talk have more. But and not We placed. we reasons, to would about something for anything until say we specific

Josh Nichols

do And are more are. with the bigger more opportunities like more this borders tangent to work the then ports? doing opportunities where lot borders the and just like that TSA, or do a there’s the you kind and a point, big of ports year with you anticipate It think growth sounds like

Deepak Chopra

One related. is timing

businesses are cargo much the cargo. sides, is activity a onto the our We far side into procurement focused stuff lot But for away aviation into next for of still both right both the very replacement whereas there’s cycle TSA and term and the cycle going XXXX more to been now, other continue activity the much that we’re up on. And area robust believe there’s this so long also very thing want moving But we growth. food see chain. all mention, will about to I We’ve talking the it.

business. services integrated the into going are We

We’re going into software.

government to solution to U.S. call And broaden more we into training. we continue are selling equipment. just with what then working to is We’re the a efficient going

Josh Nichols

Thanks. helpful. the That’s I’ll in queue. back hop

Operator

not you. time. showing questions Thank any this I’m at further

Deepak Chopra

speaking well very doing for thank and to the on well. want call. is joining We We’ve and want our stockholders. to thank I in to the everybody received business very been next QX the with I Again, you Thank forward again October. employees you. our look

Operator

for in Ladies and conference. gentlemen, conclude thank you does today’s participating today’s This program.

all great day. Everyone, may disconnect. have You a

OSI Systems (OSIS) 26 Aug 192019 Q4 Earnings call transcript