Australian access control leader TZ Limited has continued its run of successes after inking multiple deals with a combined value well in excess of $3 million.

In the past week, TZ Limited has secured a number of lucrative contracts both with existing A-list clients and a number of new businesses.,

These include a $1 million, 36-month deal with global logistics company DSV South Africa, a USD $547,000 deal with tech behemoth Microsoft, and a USD $572,000 deal with a North American university.

The latter two deals will see TZ upgrade Microsoft’s existing locker bank networks, and replace the university’s existing mailroom and parcel locker infrastructure respectively.

Scott Beeton, the company’s managing director, said the new orders demonstrate the ongoing need for the company’s comprehensive range of access control solutions in a post-pandemic world.

 

“The improving rate and flow of new purchase orders into the business clearly shows that as our existing base of blue-chip US customers emerge from the COVID-19 pandemic, there is a heightened demand for TZ’s access control, smart lock, and self-serve locker bank solutions,” he said.

 

“Encouragingly, the business is expanding its installed client base across all market sectors we operate in.”

The orders also represent the conversion of several pipeline opportunities into purchase orders, reinforcing the company’s new strategy to grow the business.

The company said its conversion of clients from pipeline to purchase orders “reinforces” the company’s strategy to grow its installed client base.

Additionally, Mr Beeton said, these orders show the business is expanding its access to market through new distribution partnerships. 

The purchase orders follow sizable growth in the company’s sales pipeline last year – up 240% in Australia and New Zealand and an increase of approximately 100% in the US.

Mr Beeton, who joined TZ in 2020 following a refresh of the company’s board, said the opportunity set for the company is beginning to expand as countries around the world emerge from COVID and workers begin to return to their offices.

He added that TZ is now well positioned to capitalise on this growing opportunity base following a series of cost-reduction activities and restructuring undertaken by the business last year.

These changes helped the company deliver its first cash-flow positive result “in a long time” with earnings before interest, tax, depreciation and amortization of $200,000, and a new revenue model with recurring everyday revenues of $2.5 million.

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Reach Markets have been engaged by TZL to help manage their investor communications.

Sources:

• ASX Announcement: 21 May 2021
• ASX Announcement: 26 May 2021
• TZL: Investor Presentation