TZ (ASX:TZL) has signed an agreement with Ricoh Europe for the distribution and sale of TZ’s smart locker solutions to Ricoh’s customer base throughout Europe, the Middle East and Africa (EMEA).
The company’s shares were last trading 12.2% higher intra-day on Tuesday, at A$0.046.
TZ’s Internet of Things (IoT) based smart lockers are made for modern office environments, hotels, educational sites and mail centres that handle high package volumes.
The relationship with Ricoh Europe is an important building block for TZ that enables the launch of TZ Smart Locker products in the European market.
With annual sales of over US$4.4 billion, Ricoh Europe extends across 25 countries in EMEA.
The new three-year agreement builds on the relationship that was first established with Ricoh USA last year.
The European market represents untapped potential for TZ’s PAD business and offers the company another stream for new incremental revenue growth.
The TZ PAD Systems integrate software, networking and TZ Smart locking devices to enable secure storage and tracking of valuable, time sensitive parcels.
TZ recorded a revenue of A$20.8 million in FY 2016, an increase of 37% compared to FY 2015 revenue of A$15.2 million.
Importantly, TZ has carried through its strong performance to FY2017, with a good finish to the December quarter bringing the half year revenue to A$14 million (unaudited).
This represents a 32% increase in revenue compared to the half year result last year.