ASX-listed technology firm TZ has won a major contract in the US that will help drive a major expansion of its business.
TZ’s wholly owned subsidiary, Telezygology, has received an order from the Logistics and Transportation Corporation for the supply of parcel lockers to the US.
The contract covers the manufacture, supply, installation and commissioning of 300 locker banks over the next seven months.
About 60 percent of the revenue is expected to be booked before 30 June, with the balance expected in the first half of the next financial year.
The contract also provides for service revenue on a fee-for-service basis and ongoing maintenance revenue after the end of the 12-month warranty period.
TZ is an internet-of-things specialist that sells remotely actuated smart locking devices. The firm’s chairman is Mark Bouris, the entrepreneur who founded Yellow Brick Road and Wizard Home Loans and starred on the Australian version of The Apprentice.
This is the second big win in the past month for TZ, which also signed a three-year contract to supply up to 100 locker banks to Singapore Post.
Executive director Kenneth Ting said the two contracts would more than triple TZ’s installed base of postal and logistics lockers within the next 12 months, from 160 locker banks to more than 500.
“Our ability to win business like this goes a long way towards ensuring that our revenue growth ambitions can continue to be sustained,” he said.
TZ reported $10.6 million of revenues for the six months to 31 December 2015, a 38.9 percent jump on the year before. The company also reported a net loss of $3.2 million – a 12.5 percent improvement on the previous year’s loss of $3.7 million.