OSI Systems designs and manufactures specialized electronic systems for the security, healthcare, and defense industries. The company primarily operates through its Security division, which sells baggage and cargo screening systems under the Rapiscan brand to governments, airports, and border authorities. This division also provides turnkey screening services, where the company operates checkpoints for customers, and produces high-power radio frequency and radar systems for defense applications. Its Optoelectronics and Manufacturing segment develops light-sensing components and provides electronics manufacturing services to external clients while vertically integrating production by supplying subcomponents to OSI’s other business units. The Healthcare segment manufactures patient monitoring and cardiology devices under the Spacelabs brand. OSI generates revenue through a mix of product sales and recurring income from maintenance, software-as-aservice, and long-term service contracts. The company's growth strategy focuses on securing large government contracts for border security and missile defense, expanding its service business as its installed base grows, and providing security for major international sporting events. Additionally, OSI uses its global manufacturing footprint to attract customers diversifying their supply chains. By manufacturing many of its own components, the company maintains control over costs and lead times across its primary product lines.
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