HIGHLIGHTS
- SenSen’s Annual Recurring Revenue (ARR) from North America to exceed A$1.5M per annum driven by new orders from Chicago Parking Meters and contract renewals from existing customers in the region.
- Increases SenSen’s current overall ARR guidance to ~A$4.5m for FY2022 and beyond, based on current confirmed orders and contracts.
- Completed hiring of key marketing and sales executives to accelerate growth in the region; and additional staff hired to increase key account management and customer support in the region.
- Opened North American headquarters in Las Vegas, Nevada, fitted with a range of SenSen solutions for demonstrations and customer sales
- Established multiple channel partner engagements to increase sales momentum in the region.
- SenSen to participate and present at multiple vertical-focused industry trade shows and conferences in the region in the next six months to support marketing efforts and promote SenSen solutions in the region.
MELBOURNE, SYDNEY and LAS VEGAS, April 21, 2021 — Leading Smart Cities and AI software solutions provider SenSen Networks Limited (ASX: SNS, OTCQB: SNNSF, "SenSen" or "the Company") is pleased to provide an update on its expanding US Operations.
Revenue and Sales
On the back of new orders and contract extensions, SenSen’s ARR from North America has crossed A$1.5M, which consists of:
- Revenue from new orders from Chicago Parking Meters;
- Contract renewals and extensions from the cities of Calgary and Edmonton (Canada);
- Contract renewals from customers of the recently acquired Snap Network Surveillance’s multi-camera people tracking software; and
- Locked in contract with the City of Las Vegas (Nevada) for parking management & enforcement.
This represents strong growth in overall revenue and particularly ARR from North America, which currently accounts for over one third of SenSen’s contracted ARR (~A$4.5m) in FY2022. ARR growth is expected to continue, with new channel partner arrangements being established and targeted sales and marketing activities underway.
SenSen’s revenue base in North America now completely funds operations in the US and Canada, providing a strong platform for organic growth as the US economy re-emerges from the impacts of COVID-19 shutdown. SenSen’s stable of flagship North American customers demonstrates a stable, high-reference client base to further accelerate growth in sales in the region.
Chicago Parking Meters
In the American Midwest, SenSen is working with Chicago Parking Meters (www.parkchicago.com) to provide parking and traffic analytics in the City of Chicago (Illinois), the third-largest US city. After SenSen successfully completed the POC trial, Chicago Parking Meters has ordered multiple systems from SenSen to improve the efficiency of its on-street parking management operations, which are currently being prepared for deployment in Q4 2021. Additional systems are planned for procurement in the coming months. These systems are expected to deliver both upfront and recurring revenues to SenSen.
Snap Network Surveillance
SenSen received its first set of orders from Snap Network Surveillance (Snap) customers since the acquisition in December 2020. Snap’s AI-powered multi-camera networked tracking technology is currently being implemented for customers through various resellers – A3 Communications (South Carolina), A+ Technology (New York City) and Southeast Security (Ohio). SenSen will receive annual software maintenance fees from these customers.
These new orders are a positive endorsement of the value Snap technology brings to its customers. SenSen has developed a targeted market education and outreach plan to promote Snap’s multi-camera person tracking and other solutions to this loyal base of partners and end customers, including airports, high-security prisons, shopping centres, universities, casinos, and law enforcement organisations.
City of Las Vegas
SenSen worked extensively with the City of Las Vegas to install Smart City technology on roads, car parks and garages across the city as well as outfitting a range of council vehicles with smart sensors, including scooters and Segways. As part of the progressive roll-out of SenSen systems under the contract with the City, multiple SenSen systems to improve the efficiency of on-street and off-street parking management have gone into production within the City of Las Vegas.
Additional systems are expected to go into production in the coming weeks. As announced previously, these systems generate both upfront and ongoing revenues.
SenSen has become a significant technology partner of the City of Las Vegas. SenSen was recently invited to participate in a paid smart curbside corridor pilot program with the City of Las Vegas in collaboration with Cox Communications (www.cox.com) to explore new avenues to leverage SenSen technology.
The pilot’s objective is to use technology solutions to monitor congestion in high-traffic areas of downtown Las Vegas for the next six months with the aim of optimising efficiency for all types of transport, especially rideshares and taxis. The innovative public-private partnership trial covers six parking spots along the sidewalk adjacent to the 100 block of Main Street with two digital kiosks that utilise SenSen’s video analytics and smart parking technology to better manage active curb loading zones for taxis and rideshares, making conditions safer for visitors and pedestrians.
Video analytics from the devices along the curb will capture vehicle and license plate information and send utilisation data to the kiosks to kick off a countdown timer. If a vehicle remains in the loading zone after the countdown ends, the system reports the incident directly to the city, ensuring a constant flow of traffic.
US office now open
Under a special grants program, the City of Las Vegas invited SenSen to open its new US office at the Las Vegas International Innovation Center, a premium, high-profile location in Downtown Las Vegas. The location is offered to companies, at subsidised rates, that are considered to be future disruptors in the technology space that align with City of Las Vegas priorities – including companies operating in IoT (Internet of Things), artificial intelligence, virtual and augmented reality, cybersecurity, water science and advanced mobile data.
In late March, SenSen opened its new office, which features a showroom / demonstration area for marketing to potential Smart Cities and gaming customers. SenSen will benefit from a Las Vegas address as the world’s leading convention city and a convener of business on a global scale. The city’s supportive policy environment and growing focus on innovation make it an ideal location to test and develop SenSen’s new technologies.
New Staff Hires in the region
Following SenSen’s successful $7.15M international expansion capital raise in January 2021, SenSen has completed the recruitment of a number of senior executives to accelerate sales and marketing in North America, including:
- Senior sales executive focused on the casino market;
- Senior sales executive focused on the security & surveillance market;
- Account manager to support and manage high-value direct customers; and
- Pre-sales and post-sales technical support staff.
SenSen’s North American team now constitutes six staff with four more to join the team before the end of June 2021, including an additional senior sales executive focused on the Smart Cities market and customer support.
"I am delighted to hit the ground running by hiring new staff and setting up our new US Headquarters to help execute our expansion plans in North America," said SenSen CEO Dr Subhash Challa.
"While our Smart Cities deals in Chicago and Las Vegas are built around our core strength in Intelligent Transport Solutions, we have multiple pipeline opportunities across all our verticals to pursue.
"In a post-pandemic world, we see significant potential to expand revenues in the US and other geographies. These newly announced contracts will significantly add to our previously announced revenues for FY2021, but even more importantly, will add to our growing ARR profile from FY2022."
This release is approved by the Board of SenSen.
About SenSen Networks Limited
SenSen is focused principally on the development, commercialisation and supply of innovative, data-driven business process enhancement solutions, designed to assist customers in their business operations and significantly improve business efficiency and productivity. SenSen provides video analytics and artificial intelligence data analytics software solutions to customers in the intelligent transportation systems and gaming sectors located in Australia, US, Canada, Singapore, New Zealand, Europe, India, and UAE.
Disclaimer – forward-looking statements
This release may contain forward-looking statements. These statements are based upon management’s current expectations, estimates, projections and beliefs in regards to future events in respect to SenSen’s business and the industry in which it operates. These forward-looking statements are provided as a general guide and should not be relied upon as an indication or guarantee of future performance. The bases for these statements are subjected to risk and uncertainties that might be out of control of SenSen Networks Limited and may cause actual results to differ from the release. SenSen Networks Limited takes no responsibility to make changes to these statements to reflect change of events or circumstances after the release.
