Karachi October 03 2021: As the world has experienced unprecedented challenges during the past two years on account of stabilization measures and the COVID-19 outbreak that has affected the businesses, TPL Trakker Limited has managed positive results by focusing on diversification and exploring new and untapped avenues, both product and geographical wise.
Looking ahead, TPL Trakker focusing on expanding our product line by bringing to market vertical specific solutions for industries such as healthcare, manufacturing, agriculture, telecommunication, pharmaceuticals, Oil & Gas and transportation. There is a renowned focus by clients on digitization and shifting to IOT solutions to bring about efficiencies and TPL is well positioned to take advantage of this opportunity through our capability to connect complex infrastructure & monitor its patterns.
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BOP approved Rs4.5bn financing for TPL group
On July 1, 2020, the Company acquired an additional 21% stake in TME, whereby management control was obtained.
Ending the financial year 2020-2021, the Company achieved consolidated revenues of Rs. 2.11 billion representing a growth of 32% when compared with last year. The Company also witnessed an improvement in the financial results before taxation by 82% relative to the last year. The Connected Car segment contributed 53% to the topline of the Company, where 16% growth was observed from last year, whereas the Digital Mapping & Location services far exceeded expectations by achieving 297% over last year.
The lower interest rates will result in increased volumes in the financial sector as the banks have started maintaining an average of 5000 to 6000 vehicles being financed on a monthly basis. We also partnered with different business associations and banks for Below-The-Line advertising activities and this will remain one of our main focus in FY 2021-2022.
The unexpected shortfall in microchip production which has ultimately hit the automobile production resulting in late and in some cases cancelled orders is expected to return to normalcy by October 2021. Subsequent to which, we expect a sharp increase in monthly volumes in our tracking and auto hardware business.
Future Outlook - Digital Mapping & Location Services
The upcoming focus of the Mapping & Location Services business unit is to introduce the Digital Maps Platform for Pakistan. Starting with the strategy to position the TPL Maps Flagship App as the Maps App of Pakistan. This endeavor is multi-tiered with a complete revamp of the existing App. A comprehensive user experience research was conducted and a roadmap for the new App was finalized.
The aim of this app will be to enable movers to have a wholesome travelling experience in Pakistan by providing companionship, assistance, planning, and facilitation through an integrated mapping platform. Heavily focusing on localization in terms of hyper local reach, connections, partnerships, this app will be a Pure Pakistani App bringing together the startup and entrepreneurial sector to service the end user and fulfilling all their traveling and mobility needs.
Carving out a differentiated space where international giants may be hesitant to compete given the local advantage that TPL Trakker has on ground, the new TPL Maps app will raise user expectations through additional benefits, continuous innovation and value additions via features that integrate themselves into the user’s life.
The new TPL Maps App will be rolled out in three phases - capitalizing on Ease of Use, Personalization & Accuracy and Localization respectively. As a Pure Pakistani app, our focus will be to garner sustainable monetization and revenue generation from this platform through local partnerships specifically in the areas of tourism, hospitality, payment gateway engines, local merchants, local transport agencies, and advertisements.
For the existing LBS platform, we forecast a revenue growth of about fifty percent over last year. The focus is on high value client acquisitions like Muller & Phipps, HBL, KE, TCS, Daraz, 4B Group, easypaisa, telenor to name among few. Reseller partnership agreements will also lock in big names such as Telenor and Systems Ltd. Steps are also underway to position TPL Maps LBS as the preferred LBS platform on the national level with an alignment with NITB and its associated applications and mobile apps.
FY 20-21 saw the commercial go to market of DART. DART was also enabled for international markets through integration with HERE maps. This B2B Software-As-A-Service (SAAS) product is completely configurable to cater to all industry verticals whether they be distribution, logistics, services, rapid delivery, e-com last mile or Financial Service Institutions. Prospective pipeline for the current fiscal includes Cybernet, Wateen, Nayatel, PizzaHut, M&P, BlueEx and HBL. Reseller partnership is also under consideration with telenor B2B.
The current data points acquired stand at 5,153,235. TPL Trakker will be partnering with organizations with similar data collections for their customer addresses and locations, reinforcing our data collections with respect to entries and accuracy.
In conclusion, a diversified approach factoring direct business development, innovations, partnerships, and product development is anticipated to drive stable and sustainable growth for the rest of the financial year.
Trakker Middle East
Following the acquisition of trakker Middle East LLC. by TPL, a new management team was put in place with the aim to grow the company and expand our market to the wider GCC region for our IoT and SaaS solutions.
In the past year, TME has added some valuable products to its list of offerings. Most notable among these is the AI-Based Driver Monitoring & ADAS system. With its safety and audit features, this product has huge potential in the market. TME has already been able to commercialize this solution and the company is seeing increasing demand from some ma¡or players such as Dubai Petroleum and DNATA. In order to diversify our product portfolio further we have also added GenSet Monitoring and Cold Chain Monitoring solutions.
TME has added DART, a SaaS based route planning solution, to its portfolio as well. DART is an existing system developed by TPL which has been customized for the UAE & Middle East market.
Despite the COVID situation, TME has been able to add new clients to its portfolio regularly in the past year. Top of the list is Gargash Mercedes UAE, with a fleet of around 3,000 vehicles. Another notable client is QER (Quality Equipment Rentals) which is among the top 3 equipment rental companies in UAE, with a fleet over 2,500.
Overall, the past year was one of transition, where old solutions were replaced with new more cost effective and efficient ones. New product lines were added to the portfolio. TME is also effectively managing government mandated transition from 2G to 4G telco services. After having successfully navigated these challenges, TME looks towards a promising year with great growth potential.