Leeds-based Getech Group secures multiple contract wins as its order book grows

The contracts include subscriptions to the company's globe platform, geoscience data and the purchase of expert consulting services.

In a statement, Getech said: “The company expects to recognise £0.6m of revenue from these contracts in the year to December 31 2023 and expects unaudited revenue for FY23 (full year 2023) to be approximately £4.0m.

"The balance of £1.2m will be added to the company's order book, which currently totals £4.6m.

"As previously highlighted in our trading statement in December 2023, due to a growing level of caution amongst the company's client base a number of projects expected to close in FY23 will now occur in this financial year, and so Getech enters 2024 with a strong pipeline.”

Alongside new business activity, Getech said it is now signing up all new customers to its subscription model, as well as migrating existing customers to longer term contracts, which typically have a minimum commitment period of three years.

The statement added: “As a consequence, the company is pleased to report annual recurring revenue ("ARR") has increased to £2.8m (compared with £2.4m the previous year).

"Our objective is to migrate all customers to a subscription model as contracts come up for renewal.”

Included in the new contracts is a three year renewal for Getech's Globe platform from an Asian multinational energy company.

The statement added: “Globe is Getech's proprietary digital platform of earth science data that facilitates the exploration and location of subsurface resources that are vital for the energy transition, including carbon storage, geothermal, natural hydrogen and critical mineral assets. “Globe is an innovative product that collects geoscience and geophysical data, and through proprietary computational modelling and AI-led machine learning techniques, identifies favourable exploration opportunities for its customers.”

Also included in the contracts is a first global license subscription for Getech's data assistant software. The contract was signed with a US-based multinational energy company.

Richard Bennett, Getech’s acting CEO, said: "Entering 2024 with our substantially reduced cost base, increased order book and growing ARR means the business is undoubtedly better placed following a year of transition in 2023.

“We have also invested in expanding our exploration capabilities, targeting resources associated with the energy transition.

Mr Bennett added: "The recent COP28 demonstrated again the world's commitment to phasing down fossil fuels and in 2024 we expect to benefit from this by helping our customers locate the subsurface future facing resources such as critical minerals and geothermal projects that are so vital to the energy transition."