NextVision revenue surges amid rising demand for drone cameras
NextVision revenue surges amid rising demand for drone cameras
The war sharply increased the demand for NextVision's cameras, in addition to a jump in sales in Europe and the US following the war in Ukraine; the company ended 2023 with a 150% jump in net profit to $27.5 million; NextVision's stock jumped by 302% last year.
After the growing demand for NextVision's products saw its stock surge by 302% in 2023, the company published its annual reports on Monday and showed exactly why investors have been so excited about it.
NextVision, which has seen its shares rise by another 60% since the start of 2024, manufactures and markets day and night cameras for ground and aerial tools, among others for micro and mini drones (a total of 11 types of cameras). The war in Ukraine, the tensions between the U.S. and China, and of course Israel’s war against Hamas increased the orders for the company's cameras, and accordingly also its revenues.
The company concluded 2023 with revenue of $52 million, compared to $26 million in 2022. The company increased the number of its customers abroad last year to 152, compared to 138 foreign customers in 2022. Revenues from sales to customers abroad grew accordingly, to $38.6 million, compared to $18.6 million in 2022.
NextVision has customers in a long list of countries, including Japan, South Korea, Singapore and India in Asia. Among the customers in Europe are Germany, Holland, Belgium, Slovenia, France, Switzerland, Italy, Hungary, Finland, Czech Republic, Lithuania, Moldova, and Great Britain. In North America, Canada and the USA, and in South America, Brazil, Mexico, and Chile.
The number of the company's customers in Israel increased at a more moderate rate, but revenues from Israel jumped at a sharper rate, due to the outbreak of the war in Gaza in the fourth quarter of this year.
The company had 31 customers in Israel in the reporting year, compared to 28 customers in 2022. Revenues from Israeli customers jumped to $13.67 million in 2023, almost double the revenue of the previous year - in 2022 they stood at $7.4 million.
Sales in Israel generated 26.3% of NextVision's total annual revenue, sales in the U.S. were responsible for 15%, customers in Europe are responsible for most of the revenue, 52.7% compared to 37% in 2022. Sales to customers in other parts of the world yielded 6% of the company's revenues.
"The war between Russia and Ukraine, as well as the ‘heating up' of the world's security market, led a significant number of governments to declare their intention to significantly increase their defense budgets and military equipment. The war in Ukraine, like the current war against Hamas, highlighted the acceleration in the use of drones and small observation drones by the forces in the field. In light of this trend, the company is actually experiencing an increase in demand for the solution it provides to its customers in all fields and even expects continued interest in its products," the company stated in its report.
NextVision ended 2023 with an operating profit of $28.7 million (55% of revenue), compared to $12.8 million in 2022 (49%) - a 130% jump. Net profit jumped to $27.5 million (52%), versus $11.1 million in 2022 (43%) - an improvement of 150%. The company announced the distribution of a dividend of $13.7 million to the shareholders (49.7 million shekels).
"We are proud to conclude another record year with significant growth in all parameters and even exceeding the aggressive sales target we set. The company's achievements are the result of hard work, increasing demand for the company's products and its ability to provide high-quality and advanced technological photography solutions that match customer demand," said Chen Golan, chairman and founder of NextVision.
