KVH Industries, Inc., (Nasdaq: KVHI) has received a total of $3.8 million in new orders for its precision fiber optic gyro (FOG) systems, three international prime contractors have now placed a total of $1.3 million in new orders for tactical navigation systems, and the Company’s Persian Gulf contract is now operational.
Shipments of the TACNAV® orders to the three prime contractors are scheduled to start in the second quarter of 2009 ,with some extending into 2010. Due to contractual restrictions, additional details regarding the customers and vehicle platforms cannot be disclosed at this time. KVH’s TACNAV military vehicle navigation systems provide unjammable, precision navigation, heading, and pointing data for vehicle drivers, crews, and commanders. TACNAV can also serve as a link between each vehicle and the overall digital battlefield, making each unit a node in a secure military network that consolidates a wide range of tactical data to provide detailed information to individual units and military commanders.
A total of $2.9 million in new orders was received for KVH’s DSP-3100 FOGs from a major remote weapons station manufacturer. In addition, a $0.9 million order was placed for KVH’s CNS-5000 continuous navigation system for use in commercial applications. Plus, KVH Industries order for TracPhone® V7 finds the satellite communications systems now installed and operating on various U.S. government and military units operating in the Persian Gulf. The completed hardware sales in this first deployment, together with recurring mini-VSAT Broadband airtime service, and are expected to generate more than $1 million in combined revenue over the first 12 months. Due to contractual restrictions, the number of systems and additional details regarding the customers and mobile platforms cannot be disclosed at this time.
The mini-VSAT Broadband service, along with the KVH TracPhone V7 antenna, comprise the first end-to-end 24-inch VSAT hardware, service, and support package available for maritime communications and offers Voice over IP (VoIP) phone service and Internet access as fast as 512 Kbps (upload) and 2 Mbps (download) at fixed monthly rates. The compact TracPhone V7, which is 75 percent lighter and 85 percent smaller by volume than traditional 1m VSAT antennas, brings a blend of the economy and speed of VSAT communications with lower costs and easier installation, making the system exceptionally well suited for a wide range of mobile applications. The recent addition of Persian Gulf coverage, along with service in the northern Pacific Ocean, were the latest steps in the KVH and ViaSat (Nasdaq: VSAT) joint effort to provide affordable mobile Ku-band broadband connections worldwide.
