It’s hard to ignore that the tech stocks are having a hard time lately not only on the ASX but on the global indices.
Whilst ASX benchmarks like the S&P/ASX 200 Index have snapped back towards the end of the March quarter, the tech indices have failed to show any significant movements.
Instead, the S&P All Technology Index started the year up at 2,984 and slipped down to 2,536 by the quarter’s end, eventually booking a 15% loss.
Promisingly, investors are relatively neutral on the industry at the moment, indicating that they anticipate long term growth rates to remain steady.
ASX Sector trends for the last three months
10 stocks that have produced strong newsflow
CV Check
CV Check Ltd (ASX:CV1) continues to deliver strong quarterly figures, with revenues totalling $6.9 million in the March quarter, up 64% from the previous corresponding period in 2021.
During the period, the company entered into a binding Software‐as‐a‐Service (SaaS) agreement with Hireup Pty Ltd, Australia’s largest national disability insurance scheme (NDIS) registered online platform.
The binding SaaS agreement is for the provision of real‐time compliance monitoring via its core product Cited, including identity verification that is expected to be worth more than $350,000 per annum.
Looking ahead, CV1 remains on target to release a mobile credential passport in the December quarter, with government accredited digital identity before the end of the year.
CV Check’s financial highlights.
RemSense Technologies
RemSense Technologies Ltd (ASX:REM) has had a busy first full quarter on the ASX, finalising agreements with technology giants IBM and SAP who dominate the global enterprise asset management market.
REM hit the boards in November 2021 after completing a strongly supported $5 million IPO, with the funding runway earmarked to help grow the company’s virtual plant digital twinning product.
The IBM agreements allow the company to further develop the virtual plant as a digital twin user interface for their market-leading Maximo Enterprise Asset Management (EAM) package.
Furthermore, the SAP agreements will develop virtual plant as part of the SAP Ecosystem, integrations that enable SAP and their clients to utilise virtual plant as a navigation tool for SAP v4 Hanna Enterprise Resource Planning (ERP) and EAM systems.
archTIS
archTIS Ltd revealed strong financial gains during the March quarter, delivering the highest quarterly licensing revenue to date of $783,000, up 92% from the previous corresponding period (PCP).
The record-breaking licensing revenue delivered a 78.5% gross margin; another historical high for the company.
The licensing revenue growth was highlighted by an ARR of $2.1 million which was a 50% increase from the PCP and was supported by the recognition of a one-time licensing fee through a partner opportunity.
archTIS financial highlights.
Archer Materials
Archer Materials Ltd (ASX:AXE, OTC:ARRXF) is well funded with about $28.3 million in cash at the end of the March quarter, taking its 12CQ quantum chip technology to new heights.
During the period, a major technical feat was achieved in its 12CQ quantum chip development that supports the possibility of the technology to enable quantum powered mobile devices.
Moving forward, Archer is expanding its quantum chip technology patent protection in the US, China, South Korea and Japan, with a European patent grant providing protection in a further 12 countries including the UK, France and Germany.
12CQ quantum chip technology.
SensOre
SensOre Ltd (ASX:S3N) has been keeping busy since its ASX debut in the March quarter, backed by a $7.5 million IPO, the company has been advancing its AI-driven mining technology
During the period, the company teamed up with Unico, a dedicated arm of global IT and business consulting firm CGI, to further commercialise SensOre’s mining exploration technology platform.
Together, the ASX-lister and Unico will use SensOre’s AI-driven technology to create a digital twin of the Earth’s surface, enhancing the way exploration companies identify and analyse mineral exploration targets.
Also, the company initiated two key partnerships that will see the hunt for energy, base and precious metals across Western and South Australia.
The company is teaming with German natural resources firm Deutsche Rohstoff to target, explore and acquire lithium prospects in the west under a joint venture agreement.
And to the south, Sensore has brought the state’s premier gold explorer, Barton Gold Holdings Ltd, on board as a client, broadening SensOre’s data portfolio in the prolific Gawler Craton.
SensOre hopes to one day rank as the world’s top-performing minerals targeting company as it works to bring AI technology, big data and geoscientific expertise to the exploration sector.
Netlinkz
Netlinkz Ltd (ASX:NET) delivered a strong March quarter, with quarterly revenue of $3.9 million, up 44% compared to the previous corresponding period in 2021
During the period, the company recorded growth in enterprise client numbers with contract renewal of up to 90% for existing clients and several significant potential enterprise clients in contract terms negotiation.
Preparations are underway for its VSN software rollout with the negotiation for the first support centre in the Middle East and North Africa (MENA) region and pricing for the subscription-based model finalised.
Netlinkz quarterly revenue.
Way2VAT
Way2VAT Ltd (ASX:W2V) ended the March quarter in a strong financial position, with a cash balance of $2.674 million, driving “solid revenue growth” across all of its revenue streams.
During the quarter, the fintech leader recorded an increase in transaction volume of $2.23 million, up 62% compared to the corresponding quarter in 2021.
On the operations front, W2V signed new deals with 10 major multinational enterprise clients during the quarter taking its enterprise numbers to 210 – a 40% increase in 12 months.
Also, the number of small and medium-sized businesses (SMBs) accessing Way2VAT capability through accounting software integrations increased by 7%, from 700 to 750.
Looking ahead, W2V is looking forward to the developments in its product development pipeline to further optimise its suite of products as well as accelerate revenue growth.
Post the reporting period, the company has partnered with Railsbank to launch a new 'Smart Spend Debit Mastercard' for the SMB and enterprise market, which fully automates VAT/GST returns from end to end.
SenSen Networks
SenSen Networks Ltd (ASX:SNS, OTCQB:SNNSF) delivered record revenue growth, with cash receipts of $1.7 million, a whopping 109% increase over the previous corresponding period in 2021
The company’s monthly recurring revenue (MRR) also continues to grow and has now been upgraded to A$650,000-$700,000 per month, translating to annual recurring revenue (ARR) of A$8-$8.4 million as customers recognise more revenue on a software-as-a-service (SaaS) basis.
While SenSen's projected revenue numbers have been affected by flooding and other external factors, the company is still on track to significantly increase annual recurring revenue from the previous financial year.
SenSen's cash receipt figures from customers.
SRJ Technologies
SRJ Technologies Group PLC (ASX:SRJ) revealed strong financial numbers for the March quarter, securing $1.1 million in revenue, nearly double the FY21 full-year revenue.
On the operations front, the company is in the execution stage of Phase 2 of the asset integrity solutions to Abu Dhabi partner EuroMechanical, which will undertake installation on Das Island for ADNOC.
Notably, Phase 2 comprises the manufacture and installation of several SRJ’s pipeline/flange/valve leak mitigation systems.
Moving forward, the company has secured further work with SBM Offshore on the delivery of the offshore asset’s integrity roadmap.
ClearVue Technologies
ClearVue Technologies Ltd (ASX:CPV, OTCQB:CVUEF) had a busy quarter, continuing initiatives to develop business in Europe and North American markets for its solar window solutions
With this regard, the company appointed a North American CEO and confirmed technology development work being completed in the US with D2 Solar.
Further, ClearVue signed a master services agreement with D2Solar of California for further development work on its second and third-generation technologies.
D2Solar, a leading specialist solar engineering firm based in Silicon Valley, California, will manufacture certain co-developed ClearVue components to secure a supply chain in North America.
Whilst in Europe, amongst other initiatives, ClearVue has been finalising terms for the establishment of a joint venture in the Netherlands with eLstar Dynamics Holdings B.V.
ClearVue has completed the design of a 15,000-square-metre archetype model building to demonstrate how its product can achieve a net-zero energy-use building.
Artist impression of ClearZero archetype (front view).
The modelling was completed on a design in Toronto, Canada, and benchmarked against the Toronto Green Standard (TGS) from 2030 - one of the world’s highest standards of building performance.
