Getech (GTC ), a geoenergy and subsurface data company, announced final results for the year to 31 December 2022. Getech beat market expectations with 19% revenue growth to £5.1m, a similar rate of growth to the 20% achieved in 2021.
Getech's orderbook grew to a record £4.6m, a 39% increase year-on-year. Annualised recurring revenue was also up 14% to £2.4m. The company remained well-funded with a comfortable £4.3m in cash/cash eq compared to its current market cap of £9.25m.
In terms of operational highlights, Getech saw a 42% year-on-year increase in the number of software subscriptions sold. The company scored its largest critical minerals contract valued at £900k and its first contract for an integrated decarbonisation solution. During the period, Eavor and Getech partnered to develop a portfolio of geothermal projects in Latin America.
Two years ago, Getech made the decision to diversify away from oil and gas exploration (now referred to as "transitional petroleum" in its balance sheet), and sell its subsurface global knowledge to industries outside of the hydrocarbons sector. Historically, the company generated over 90% of its income from oil & gas, now down to 66%, with 23% of sales coming from critical minerals solutions. Evident in today's numbers is the success of this shift in focus.
The 23% of revenue from critical metals solutions came from companies in search of new materials for net zero technologies, such as geothermal, hydrogen, wind, solar, and carbon capture projects. Getech is actively continuing its pivot to renewables-relevant data. Additionally, annual recurring revenue (ARR) increased by 14% to £2.4m, thanks to the addition of new Globe and other software customers that drove the substantial increase in software subscriptions.
Overall, Getech maintained high petroleum customer retention rates while repurposing its data, software and analytics to identify critical minerals and ideal locations for net zero projects. FY22 was the second year of double-digit revenue growth since Getech completed a £6.25m equity raise in 2021. Momentum is strong well into FY23 with a robust balance sheet and a growing sales pipeline.
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