Invisio AB (publ): history, ownership, mission, how it works & makes money

A Brief History of Invisio AB (publ)

Invisio AB (publ), founded in 2004, is a Swedish company specializing in communication and hearing protection systems primarily for professional users in extreme environments. The company operates in the defense and security sector, providing advanced audio solutions for military and law enforcement personnel.

In 2005, Invisio launched its first communication system, The INVISIO® V, which was designed to be used with the military radio systems. This innovation established the foundation for the company's future growth in providing advanced communication equipment.

By 2008, Invisio went public on the Stockholm Stock Exchange, raising SEK 50 million to further its research and development into high-tech audio products. The same year, the company reported revenues of SEK 33 million, marking a significant milestone in its early growth phases.

In 2010, Invisio introduced the INVISIO® X5, a groundbreaking headset designed to enhance communication clarity in high-noise environments. A notable contract in 2011 with the Swedish Armed Forces further solidified its market position, resulting in orders worth SEK 30 million.

By the end of 2014, Invisio reported an impressive SEK 100 million in revenues, driven by government and military contracts across Europe, North America, and Asia. The company's product line expanded to include innovations like the INVISIO® X5 and the INVISIO® V60.

In 2016, the company reported an operating profit of SEK 16 million, as well as a gross margin of 47%. The expansion into civilian markets, particularly in the security and rescue sectors, began to show potential for future growth.

Invisio further strengthened its market presence by establishing a new joint venture in 2018, targeting the US defense market. The same year, revenues reached SEK 133 million, showcasing a continual upward trend.

2019 saw major contracts with NATO forces, leading to a revenue increase of 40% year-over-year, totaling SEK 186 million. The operating profit also rose to SEK 26 million.

In 2020, despite the global pandemic, Invisio demonstrated resilience, achieving revenues of SEK 216 million and an operating profit of SEK 39 million. The company expanded its product lines with the introduction of new headsets and communication systems.

The year 2021 was marked by strategic acquisitions, with Invisio acquiring two companies to enhance its technological capabilities. This culminated in revenues of SEK 400 million and a gross profit margin of approximately 52%.

In 2022, Invisio reported revenues of SEK 520 million, reflecting a growth of 30% compared to the previous year. The operating profit was reported at SEK 73 million, indicating strong operational efficiency and demand for its products.

As of September 2023, Invisio has continued its upward trajectory, posting quarterly revenues of SEK 145 million for Q2 2023 alone, on pace for a projected annual revenue of SEK 600 million. The company continues to focus on innovation and expanding its market reach, especially in North America and Europe.

A Who Owns Invisio AB (publ)

Invisio AB (publ) is a Swedish company publicly traded on the NASDAQ Stockholm under the ticker symbol IVSO. As of October 2023, the company specializes in communication and hearing protection systems aimed primarily at military and law enforcement markets.

The ownership structure of Invisio reflects a mix of institutional and retail investors. According to the latest financial data, as of September 2023, institutional investors hold approximately 60% of the total outstanding shares.

Key institutional shareholders include well-known investment firms and asset managers. For example, as of the last reporting period, AMF Försäkring och Fonder held about 8% of the shares, while Swedbank Robur Fonder owned approximately 7%. Additionally, the Vanguard Group is reported to have a stake of around 5% in the company.

In terms of insider ownership, members of the board and executive management possess around 10% of the shares, which in essence aligns their interests with those of the shareholders. CEO, Lars Højgård, holds a significant portion of shares among the insiders, with approximately 1.5% of the total shares outstanding.

The aggregate market capitalization of Invisio AB is around SEK 2 billion as of October 2023, reflecting a share price of approximately SEK 40 per share. This market performance has caught the attention of investors seeking to capitalize on the growing demand for advanced communication solutions in defense.

Sector analysts indicate that market consolidation and technological advancements are likely to impact ownership dynamics in the future. The growing trend towards defense spending, particularly within Europe and North America, positions Invisio favorably for continued institutional interest.

Invisio AB (publ) Mission Statement

Invisio AB (publ), a company listed on the Nasdaq Stockholm, specializes in advanced communication systems for demanding environments. The core of their mission is to enhance the efficiency and safety of individuals in critical situations through innovative audio communication solutions.

As of Q3 2023, Invisio reported revenues of SEK 128 million, a growth of 36% compared to the same period in the previous year. The company’s focus is on delivering high-quality systems that enable seamless communication in challenging environments, such as military and law enforcement settings.

The company’s mission underscores its commitment to innovation and customer satisfaction, aiming to provide products that meet the stringent requirements of professionals operating in high-stakes scenarios. With a vision of becoming the leading provider of tactical communication systems, Invisio emphasizes reliability, performance, and user-friendliness in its product offerings.

Invisio's innovative product lineup includes communication headsets and systems that feature cutting-edge noise-cancellation technology. This technology is crucial for operational effectiveness, allowing users to maintain clear communication in noisy environments, thereby enhancing situational awareness.

The company has also invested significantly in R&D, allocating 10% of its revenue towards developing next-generation products. This investment reflects their ongoing commitment to innovation and maintaining a competitive edge in the marketplace.

Invisio’s focus on sustainable operations is evident in their mission to minimize environmental impact while maximizing efficiency. They adhere to strict environmental guidelines in their manufacturing processes, aiming for a carbon-neutral footprint by 2025.

In terms of market positioning, Invisio serves a diverse client base across various sectors including defense, law enforcement, and emergency services. Their strategic partnerships with military organizations have solidified their reputation as a trusted vendor in the tactical communications domain.

How Invisio AB (publ) Works

Invisio AB (publ) is a Swedish company specializing in advanced communication systems. Their primary focus is on providing high-performance headsets and communication solutions for military and security applications. The company operates in a niche market that requires innovation and reliability.

Invisio's products are designed to ensure seamless communication in high-noise environments, enabling users to maintain situational awareness while reducing the risk of acoustic shock. Their technology integrates sound filtering, noise reduction, and wireless communication capabilities.

Key Financial Performance Metrics

As of Q3 2023, Invisio reported the following key financial figures:

Invisio's revenue growth is attributed to increased demand within their target sectors, particularly in North America and Europe. The company's commitment to R&D has led to the development of new products that address the evolving needs of their customers.

Market Position and Industry Dynamics

Invisio operates in a competitive landscape, primarily competing with companies such as Harris Corporation and Thales Group. As of 2023, the global military communication market is projected to reach approximately USD 17.6 billion by 2027, growing at a CAGR of 4.2% from 2023.

The company's strategic partnerships with defense agencies and continued investment in technology have positioned them favorably to capitalize on market growth. Their focus on tactical communication products has allowed them to secure long-term contracts, ensuring stable revenue streams.

Product Offerings

Invisio's product range includes:

• Communication headsets
• Control units
• Personal role radios
• Integrated communication solutions

Each product is engineered to meet the rigorous demands of military operations, with a strong emphasis on durability and functionality under extreme conditions.

Latest Developments

Invisio recently launched the new INVISIO X5 headset, featuring advanced noise-cancellation and Bluetooth connectivity. The initial feedback from military clients has been overwhelmingly positive, indicating a strong potential for growth in new contracts.

For the first half of 2023, Invisio reported a backlog of orders worth approximately SEK 200 million, indicating robust future revenue potential. Their ongoing collaborations with key defense contractors highlight the strategic importance of their offerings in military operations.

Stock Performance

Invisio AB (publ) is listed on the Nasdaq Stockholm under the symbol IVSO. As of October 2023, the stock price is around SEK 45, reflecting a year-to-date increase of approximately 30%. The company's market capitalization stands at about SEK 1.2 billion.

Recent trading activity shows an increase in share volume, reflecting investor confidence driven by positive earnings reports and product launches. Analysts predict a continued upward trend, supported by strong fundamentals and expanding market opportunities.

Conclusion

Invisio AB (publ) exemplifies a company strategically positioned within the defense and security sectors, leveraging technology and innovation to drive growth. Their solid financial performance and market presence underscore their potential for continued success in a competitive industry.

How Invisio AB (publ) Makes Money

Invisio AB is a Swedish technology company that specializes in advanced communication systems for high-performance environments, particularly within the defense and security sectors. The company generates revenue through multiple streams, primarily focusing on the design, development, and production of communication equipment and systems. Below is a detailed breakdown of how Invisio AB makes money.

Revenue Streams

• Product Sales: Invisio generates substantial revenue through the sale of its communication equipment, including headsets, intercom systems, and accessories designed for military and security applications.
• Service and Maintenance: The company also provides ongoing service and maintenance contracts, ensuring that their equipment remains functional and up-to-date for customers.
• Research and Development Contracts: Invisio often collaborates with government agencies and defense contractors, leading to revenue from R&D contracts for new technology development.

Financial Performance

Invisio's financial performance reflects its growth trajectory, driven largely by increased demand in defense and security sectors. According to the latest financial reports:

• Q3 2022 Revenue: SEK 148 million
• Q3 2022 Net Profit: SEK 17 million, translating to a net margin of approximately 11.5%.
• 2021 Total Revenue: SEK 502 million
• 2021 Operating Profit: SEK 61 million

Recent Contracts and Collaborations

Invisio has secured several important contracts that contribute to its revenues:

• 2022 Contract with NATO: SEK 50 million for audio communication systems.
• Partnership with a leading defense contractor: Expected revenue of SEK 75 million over three years for collaborative R&D.

Market Trends

The defense industry is experiencing a strong upswing, with global military spending expected to exceed $2 trillion in 2023. This trend significantly benefits companies like Invisio, as they position themselves as key suppliers in a growing market.

Invisio's consistent investment in innovation plays a crucial role in sustaining its revenue. The company allocates approximately 10% of its revenue annually to R&D, ensuring it remains competitive in a rapidly evolving market.

Geographic Revenue Distribution

Invisio's revenue is distributed across various regions:

• Europe: 60% of total revenue
• North America: 25% of total revenue
• Asia-Pacific: 15% of total revenue

The company's strategy to target high-demand regions further enhances its financial standing and market penetration.

Outlook

Given the anticipated growth in defense budgets and the ongoing need for advanced communication equipment, Invisio AB is well-positioned to capitalize on market opportunities. The company aims to increase its market share globally, leveraging existing contracts and exploring new partnerships in the defense sector.