Dashcam solutions company e-Com Systems aims for $100 million revenue in 4 years
e-Con Systems – a leading player in dash cam solutions for a range of industries – is raising $10 million from private equity (PE) firms as the 18-year-old company based in Chennai is looking to increase revenue to $100 million over the next four years from $26 million this year, supported by a favorable global order outlook.
“This will be our first fundraising program. We are in the final stages of discussions to raise funds from private equity investors. We are already a profitable business and are looking for investors who will help us in our overseas expansion, in addition to providing funds, which will be used for business development and R&D,” Ashok Babu, Founder and Chairman, e-Con Systems India Pvt Ltd said Activity area.
The company expects embedded vision to completely change the landscape of how cameras and sensors are used in devices. “Given the current visibility of orders from our customers, we expect to reach the $50 million revenue mark over the next two years,” he added.
e-Con was co-founded in 2003 by Ashok Babu, Harishankar and Maharajan Veerabahu, who returned to India after working on embedded platforms for a leading Japanese technology company and managing numerous projects to start their own business. In 2004, Maheshwari Dhayanandan joined them as director.
The company built over 250 models, which were converted into products for mass production. It has shipped over 2 million cameras to over 90 countries worldwide.
e-Con has focused on providing design services for a decade. In 2014, they decided to move into products and as a result, the revenue mix changed – products that were 10% of its revenue in 2013-14 moved to 90% in 2021-22.
Support business expansion
The company mainly provided vision and camera solutions to three sectors: retail, medical and industrial. “There are only a few companies in the field of embedded vision and we are now the leader. If you took any in-vehicle platform, we would have provided our cameras,” Babu said.
He said e-Con is an R&D and value proposition driven company. About 20 people work on finished products, 60-70 people focus on camera-related R&D, while we also have a 70-80 people engineering team focusing on customization.
PE money will be used to support business expansion in key markets such as the United States, European Union, Japan and Korea. About 95-98% of its revenue comes from exports. “We will set up a business development team of application engineers and marketing personnel in these markets,” Babu said.
Overall, the company will increase its workforce from 430 to 1,000 over the next two to three years. He plans to hire more engineers to support the expansion.
e-Con also sells products online. Through its online store, the company sells 20 to 30 cameras a day. These are delivered to people in multiple markets. It has also built warehouses in key markets. “We receive more than 2,000 foreign visitors to our online store every day. This is a growing segment and we will increase our focus on selling our products online,” he added.
May 04, 2022