LONDON (ShareCast) - (Sharecast News) - Quartix Technologies reported a robust start to 2025 in an update on Monday, reporting significant growth in annualised recurring revenue (ARR), new customer acquisition, and subscription volumes.
The AIM-traded vehicle tracking systems specialist said ARR rose by £2m in the first quarter to £34.2m - a 21% increase over the growth achieved in the same period last year.

It attributed more than £0.9m of the rise to new business.

The firm said it added 2,206 new customers in the first quarter - an 18% increase compared with the prior year, and saw a 19% rise in new subscriptions to 22,102.

On a trailing 12-month basis, the customer base had grown by 10% to 31,040 and total subscriptions by 12% to 310,701.

Quartix said its financial performance was improving, as it confirmed that it was on track to meet market expectations for the year.

Free cash flow for the quarter was £1.3m, increasing net cash to £4.4m.

Overheads remained broadly stable compared to the second half of 2024, with the exception of an inflation-linked pay rise implemented in January.

The company noted that price indexation was now applied to almost all customer contracts and that around 75% of the 2025 impact had already been recognised in the first quarter.

Net revenue retention on a trailing 12-month basis edged up to 96.3%, with further gains targeted.

Quartix confirmed that its 4G hardware upgrade programme in France was progressing as planned, with a more detailed update expected in July.

The company also noted that its hardware exports to the US remained a small portion of the business, limiting current exposure to tariffs, though further review was underway.

"We have made a very strong start to 2025 and progress in each of our markets has been good," said executive chairman Andy Walters.

"Annualised subscription revenues rose by 13% to £34m in the 12 months from April 2024 and both our order backlog and rate of new customer acquisition are significantly ahead of those at this point last year."

Walters said the company was achieving record levels of performance on most business measures.

"Notwithstanding any unexpected impact of a potential trade war, we are confident of meeting market expectations for 2025 and look forward to the rest of the year and the future with confidence."

At 1014 BST, shares in Quartix Technologies were down 2.59% at 188p.

Reporting by Josh White for Sharecast.com.

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