Software-as-a-service provider Vault Intelligence (ASX: VLT) has posted a record $1.25 million in new contracted annualised recurring revenue for the fourth quarter of the 2019 financial year.
The figure represents a 130% increase on the previous quarter and contributes to a predicted CARR market guidance achievement of $6.02 million for 2019, generated from Vault’s suite of enterprise-level software and mobile solutions provided to more than 1 million subscribers across 30 industries.
This market guidance amount marks an 82% year-on-year growth for the risk and safety technology-focused company and comprises revenue from its active subscription services including the Vault Solo workplace safety and protection solution, plus future ARR committed via signed contracts and heads of agreement.
Vault has set its CARR target for the new financial year at a minimum $10 million due to “accelerated momentum” during the fourth quarter and significant pipeline growth.
“With the acceleration in sales as a result of focused growth initiatives, customer driven product development (particularly in the Solo product line) and a significant qualified pipeline of new opportunities, Vault is pleased to provide a target of $10 million CARR to be delivered by 30 June 2020,” the company stated.
“Sales pipelines for Vault Enterprise and Solo lines are at record levels, and significant opportunities have been progressed to the stage where new material-sized deals for both platforms are expected to be converted throughout the coming financial year.”
Vault also delivered record results in the quarter for cash receipts, with business breaking through the $1.5 million barrier for the first time based on revenue from the Vault Enterprise product and Vault Solo.
Customer cash receipts totalled $1.62 million, representing a growth rate of 72% on the prior quarter, while total cash receipts were $5.33 million (or 33% year-on-year growth).
Cash burn for the quarter was 32% lower than the previous quarter at $738,000.
“We have ended the quarter with Australian-dollar equivalent funds of (approximately) $2.8 million in cash (excluding net receivables of $330,000),” the company said.
“We are well-positioned financially to continue the growth and development of the business.”
At mid-afternoon, shares in Vault were trading 16.95% higher at $0.345.