(Sharecast News) - Location data software specialist 1Spatial announced its successful acquisition of several multi-year enterprise contracts on Wednesday, marking a significant step towards solidifying its position across key geographies and concluding the year on a positive note.
The AIM-traded firm said it had firstly inked a two-year expansion contract in partnership with Rizing, a global SAP partner, to bolster the transportation asset management system (TAMS) project for the California Department of Transportation (Caltrans).
It said the collaboration would provide additional annual recurring revenue of $0.4m.
The contract would use 1Spatial's proprietary 1Integrate and 1DataGateway products, leveraging their data migration and data validation capabilities.
Moreover, the board said the contract would open doors for potential licence extensions and substantial account expansion, and strengthened the longstanding partnership between 1Spatial and Caltrans.
In a separate development, 1Spatial said it had secured a three-year contract extension with a major European utility customer based in France.
The customer had chosen to renew its software licence subscription for 1Spatial's GIS Framework and 1Integrate products, extending the term from one year to three years.
It said the software solutions played a pivotal role in managing the customer's water and sewage network system, enabling the development of customised applications to enhance operational efficiency.
The contract's total value was estimated at €1.8m over the initial three-year period, with around €1.2m allocated to managed services and €0.6m to term licence revenue.
Finally, 1Spatial said it had sealed a four-year contract with ATKIS-1Gen, a working group of Germany's association of state surveying administrations (AdV), focussed on coordinating surveying and mapping efforts in the country.
The contract was centred around the development of a cloud-based generalisation product aimed at replacing on-premise technology.
It said the initial contract was valued at €1.3m, with room for licence term extensions and further account expansion.
By leveraging 1Spatial's expertise and technology, ATKIS-1Gen was designed to streamline and enhance its product creation process within a managed cloud environment, ensuring increased efficiency and configurability.
"We are delighted to have been awarded these significant contracts from these major organisations, expanding our presence in Europe and the US," said chief executive officer Claire Milverton.
"These wins demonstrate that the Land and Expand strategy in our enterprise business is continuing to deliver organic growth, and alongside our 1Streetworks and NG911 offerings, we believe the opportunity for 1Spatial has never been greater.
"These wins prove that our customers understand the value of our world-leading and innovative technology as we are increasingly selected as the chosen provider on a repeat basis, and we expect many further opportunities from our patented 1Integrate offering across key geographies."
At 0843 GMT, shares in 1Spatial were up 2.83% at 52.96p.
Reporting by Josh White for Sharecast.com.
1Spatial Holdings (SPA)