The RPM Global Ltd (ASX: RUL) share price was trading nearly 10% higher today according to Google Finance, following the release of a financial update.
For context, the broader Australian share market or S&P/ASX 200 (ASX: XJO) was trading 0.1% higher.
Who is RPM Global?
RPMGlobal is an IT company within the mining industry that has traditionally provided advisory services and technical support in regards to mine preparation and planning.
RPM’s tools and advisory services help miners answer questions such as where, when and how to dig to extract their commodity in the most efficient way possible.
Featured video: understanding SaaS multiples
In the video above, I explain how SaaS multiples work, how to calculate them and what they mean. Click here to subscribe — it’s free — to Rask Australia’s YouTube for updates and tutorials.
RPM Global investor update
This morning RPMGlobal released a financial update on its subscription sales to clients, noting that it has now achieved total contracted value (TCV) of $25.4 million. This represents an increase of $3.9 million on the TCV number it released to investors in February just gone.
With more clients subscribing to RPM’s software as a service (SaaS) style subscriptions, the company is on track for $11.4 million of annualised recurring revenue (ARR) from software subscriptions.
Under the watch of software veteran and CEO Richard Mathews, RPM Global has pushed heavily into technology and specifically into developing a complete software stack for mining clients.
Last week, RPM announced its new TALPAC-3D product, which adds to its suite of simulation tools.
“TALPAC3D is an output of us listening carefully to our very loyal TALPAC customer base and taking on board their feedback that also delivers on the industry’s evolving needs,” Mathews said at the time.
“RPM has been at the forefront of developing leading mining and haulage systems that are widely accepted as the industry standard, making the release of TALPAC-3D a logical and exciting new addition to RPM’s Intelligent Simulation offering.”
RPM said it will now only update the market if or when TCV is greater than $30 million.
RPM Global shares were last seen trading at $0.97, giving the company a market capitalisation of less than $250 million.
[ls_content_block id=”14948″ para=”paragraphs”]
