ASX-listed government cloud collaboration company archTIS Limited (ASX:AR9) has told investors that it expects commercial revenue to start showing in the second half of this year.
In an update note, the company confirmed that the commercial launch of its Kojensi Gov product will take place before the end of the first half of 2019 — saying the launch will unlock a new wave of revenue.
“We expect SaaS product-based revenues will gain traction and our expenditure on research and development to materially increase,” CEO Daniel Lai said.
He confirmed that it saw its great short-to-medium opportunity within the government sector — saying that current talks with “several government agencies” should convert to commercial deals in the second half of the year.
However, Lai also said a recent deal to have the product in use for the Aged Care Royal Commission hints at broadening the scope of the product’s customer base.
Lai said Kojensi Gov’s use in the Royal Commission had the effect of “significantly expanding the use case of the offering to the legal sector”.
He also hinted at an expanding network of partners, including the likes of Oracle, Deloitte, and KPMG as bearing fruit for the company beyond the government and legal sectors.
“Our strategic partnerships with industry-leading companies, such as Axiomatics and Oracle, leading cloud providers (Vault, AWS) and systems integrators (Cirrus Networks, DXC) bolster our offering and position us alongside complementary products and services,” Lai said.
“Partnerships with Deloitte and KPMG place our technology as part of their technology solution for global clients, giving us direct access to a broad and established customer base. This will help us accelerate our global brand and drive sales.
“Already, we have identified important opportunities within the non-government sector, which we expect to be able to progress into commercial agreements in the coming months.”
archTIS specialises in the design and development of products, solutions and services for secure information sharing and collaboration.
Its products and solutions have the ability to apply and enforce dynamic, policy-driven access controls at the user and information level.
Established in 2006, archTIS has over 10 years’ experience delivering secure information and identity management services and solutions within the highest security levels of the Australian Government.
This content is produced by Star Investing in commercial partnership with archTIS Limited. This content does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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