"We are pleased to announce this morning a significant new partnership which, combined with our growing pipeline gives us confidence in securing a positive outcome for the year," says (right) Nelson. Specific terms of the reseller agreement are confidential, but Craneware will receive from the channel partner, guaranteed minimum payments of $7,5m between now and 30 June 2014.
The Channel Partner will use multi-year licenses for all Craneware Solutions in its work with Federal and State Healthcare facilities and projects. At the end of the minimum period, Craneware will continue to license its solutions to those facilities that have been signed during the period of the agreement and recognise revenue on a normal basis until the end of the individual multi-year contracts.
The contract is the second recent channel partner deal for Craneware in as many months, proving the success of its channel partner development work, which has provide for guaranteed minimum levels of revenue in the current and future years and extend the Company's market opportunity.
This new contract reinforces Craneware's confidence in the value of its new InSight solutions to the Craneware suite, as they have been instrumental in winning this contract.
Revenue is reported increased 13% to $18.8m ( $16.6m) adjusted EBITDA at $4.7m ($4.6m) and profit before tax $3.8m ( $4.3m) Proposed interim dividend of 4.8p per share (4.0p)