TZ Limited releases ‘significantly improved’ March quarter results
TZ Limited (ASX: TZL) has released its March quarterly (Q3 FY2022) report this week, which showed a “significant improvement” on the previous corresponding period’s revenue.
The company achieved a monthly recurring revenue base (MRR) of $235,000 for Q3 FY2022.
Net cash generated from operating activities spiked to $0.4 million this quarter – up on the -$0.4 million result in Q3 FY2021 and the December quarter’s -$2.3 million.
Cash flows for operating activities during Q3 FY2022 comprised receipts of $8 million, payments of product manufacturing and operating costs of $4.9 million, Payments for staff costs of $2.1 million, payments for administration and corporate costs of $0.6 million.
Meanwhile, group revenue for Q3 FY2022 was $5.05 million, bringing the year-to-date revenue to $13.2 million – up 11% in the corresponding period last year.
Business activities update for TZ
Throughout Q3 FY2022, TZ streamlined its product portfolio to reduce costs and allow the company to focus on its core growth sectors.
The NSW-based company is continuing to bring its customers and prospects to a comprehensive set of TZ cloud subscription services that’s now well underway.
TZ has a large backlog of orders (over $7 million) which, it says will be delivered before 30 June 2022.
Customer needs and protection have also been placed at the forefront – elevating the TZ cloud infrastructure to be SOC 2 and ISO27001 compliant
A new website has been launched as the brand continues to evolve to attract new clients and partners in a bid for an even better quarter.
TZ deal with NSW Government
As the company continues grow, a deal was struck with the NSW Government earlier this month.
A government department plans to upgrade its existing lockers to the TZ smart locker system as part of its strategy to supply its numerous employees with an agile personal storage solution, in a time where overall security threat levels have increased dramatically over the last two years.
TZ will retrofit around 3,000 existing day lockers with patented smart locking devices, controlled by TZ’s centralised enterprise locker management cloud platform.
TZ Limited chief executive officer Mario Vecchio says the company was able to address the government departments specific bespoke requirements thanks to its software focused solution.
Mr Vecchio says it is encouraging to see the market is rapidly responding to post COVID hybrid and agile workplace requirements, which is creating new opportunities for TZ’s cloud based solutions.
June quarter 2022
TZ expects the strong momentum from Q3 FY2022 will flow through to the last quarter of this financial year.
The company has also been selected for a US-based fast food restaurant trial, which will solve efficiency issues created by the surging food service delivery market providers by companies such as Uber Eats.
It will last for 90 days, ensuring that its restaurant customers create the efficiencies sought for during the in-restaurant pickup services to keep up with this fast-growing demand.
TZ says this is a natural fit for the TZ cloud application software suite and promising opportunity for the company.
Additionally, TZ is in negotiations with software partners that will resell its TZ cloud software platform for integration with their own hardware services.