VIDEO security specialist IndigoVision has targeted a return to profitability this year after flagging the boost brought by two major orders in Southeast Asia in the four months to April 27.

The Penicuik-based group narrowed operating losses to $0.6 million last year following a $2.8m reverse in a tumultuous 2017, which saw it part company with former chief executive Marcus Kneen. Former chairman Hamish Grossart had left the firm earlier that year after 20 years in the role.

In a statement issued ahead of its annual meeting yesterday, IndigoVision signalled its expectation of a return to the black this year. The company, which provides its systems to businesses such as banks, casinos and airports around the world, said it had won two orders in Malaysia each worth more than $1m in the current year, during which trading has been in line with expectations. The orders are for open space and car parking facilities in a “substantial commercial building and a mass transit rail line”, which will be delivered over a period of up to 18 months.

The firm noted that it has completed the majority of the planned restructuring of its supply chain and recently launched its Ultra X camera series, which it said complies with the US National Defense Authorization Act 2019.

It added that this week has seen the first production run of products from the group’s primary camera supplier’s new facility in Mexico, which is intended to secure tariff-free access to the US market.

IndigoVision said in a statement: “As in previous years, sales are expected to be weighted towards the second half of the year and the nature of our business is such that the precise timing of our orders is difficult to predict. Nevertheless, the current indicators support the board’s target to return the company to profitability in the current year.”

Chief executive Pedro Simoes, who officially took over as chief executive in January 2018 after holding the role on an interim basis, added: “The year has started positively and we are confident that 2019 will be another year of progress for the group.”