Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Jade Software eyes global dominance for Master Terminal

Jade Software eyes global dominance for Master Terminal in next growth phase

By Paul McBeth

April 30 (BusinessDesk) - Jade Software, which took its intelligence software developer Wynyard Group public last year, has grand designs for its Master Terminal business to become the world’s top supplier of operating systems for mixed cargo ports.

The Christchurch-based software developer is ramping up its pitch for international customers for Master Terminal after some success in the Middle East and North America over the past two years. Chief executive David Lindsay says being able to handle mixed cargo rather than containers alone is a competitive advantage for Master Terminal’s port management system.

“We view it as a quite substantial opportunity – it’s not often you get that opportunity to take the number one position,” Lindsay told BusinessDesk. “If we stopped growing, we’re basically profitable, but we do want to drive and accelerate growth as much as possible.”

In Jade’s 2013 annual report, Lindsay touted plans for Master Terminal to evolve into a logistics company with new products on offer, after sales growth of 26 percent last year. Jade’s group revenue gained 14 percent to $26.5 million, though the company didn’t break down the individual units’ performances.

Lindsay told BusinessDesk the mixed cargo ports have big greenfield opportunities, with about 40 percent of ports around the world still using paper-based systems.

“What we’re seeing is higher growth in mixed cargo terminals – they’ve got growth in volumes, they’ve got different cargo types coming through, and they’re struggling with a lot of pressure from shipping companies wanting turnaround more quickly,” he said. “From our point of view, that’s driving demand for our systems.”

Jade’s Master Terminal unit has gone from one US customer in 2012 to seven, and expects to add another three in the near future, with “that rate of growth continuing,” Lindsay said.

The company is developing a new product which can be used by inland terminals, which Lindsay said will probably be ready for commercial release early next year. It also wants to expand its product range and working with customers to find what they want.

Lindsay said the growth phase for Master Terminal will be over the next three to five years, which will likely see it develop into a broader logistics company, and would probably been channel partners to help with global expansion.

The increased emphasis on Master Terminal comes after Jade’s successful exit of Wynyard, which it carved out as a standalone business last year before the intelligence software developer’s initial public offer in July.

About 64 percent of Wynyard was sold to the public at $1.15 a share, and the stock has since soared to $2.30. Jade investors also received a $14.9 million capital return this year via a share buyback after the company’s board struggled to find any other compelling investment opportunities.

“If you really do put all your focus on one or two key parts of the business, you’re able to increase growth exponentially,” Lindsay said.

The other remaining leg to Jade, the digital and enterprise businesses, will be merged into one unit, which Lindsay says will let customers have a full suite of products available from purpose-built software through to mobile applications.

Jade is targeting financial services and utilities as sectors rife with growth opportunities, at a time when about three-quarters of firms’ information technology budgets are being spent on building applications and driving customer engagement, Lindsay said.

“Unless you build something transactional that allows customers to do something, it doesn’t provide a business benefit,” he said.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Scoop Business: Productivity Commission To Look At Housing Land Supply

The Productivity Commission is to expand on its housing affordability report with an investigation into improving land supply and development capacity, particularly in areas with strong population growth. More>>

ALSO:

Forestry: Man Charged After 2013 Death

Levin Police have arrested and charged a man with manslaughter in relation to the death of Lincoln Kidd who was killed during a tree felling operation on 19 December 2013. More>>

ALSO:

Smells Like Justice: Dairy Company Fined Over Odour

Dairy company fined over odour Dairy supply company Open Country Dairy Limited has been convicted and fined more than $35,000 for discharging objectionable odour from its Waharoa factory at the time of last year’s ”spring flush” when milk supply was high. More>>

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news