The Company closed
At the end of Q2 2023 the Total Contract Value ("TCV") for agreements that were either fully executed contracts ("Fully Executed") or agreed to, awarded and out for execution ("Awarded") was
$0.44 million in new professional services revenue$0.35 in net new ARR (Annual Recurring Revenue)- As at
June 30, 2023 ARR stood at$6.50 million - Once all of the Awarded activity is Fully Executed, the Company's ARR will stand at
$7.1 million and will add an additional$0.97 million in professional services revenue
Notable highlights from the quarter include:
- 7 of the 27 customer agreements were for expanded services and usage across existing customers
- Largest ARR growth continues to come from high demand markets familiar to HS GovTech, notably
California andColorado
HSPay continues to increase in adoption as Total Processed Volume ("TPV") remained steady through Q2. Heading into Q3, it is anticipated TPV to increase as the largest revenue collection season for local government agencies typically takes place between late summer and fall. This is due to permit renewals in larger programs, such as food, being initiated during the summer months.
Chief Executive Officer,
ARR is a non-IFRS measure that provides an indication of the subscription revenue from customers that is expected from continued usage per the term of contract signed, and as such management believes ARR to be a meaningful measure for assessment of Company performance. Key assumptions related to ARR figures are from continued usage of the services over the life of the agreement, with the calculation based on the annual average of subscription revenues over the life of the agreement.
HS GovTechTM is an industry leading software as a service company serving the state, provincial and local government market across
This release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although HS GovTechTM believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. HS GovTechTM expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
SOURCE
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