SMA Expands into Liaoning with China Telecom
- Direct Carrier Subscription billing commenced & generating revenue in Liaoning
- Liaoning Province has over 43 million mobile phone subscribers1
- SmartPay platform now covers seven major provinces in China through China Mobile and China Telecom partnerships
- Company working closely with both telcos to strategically fast track further roll outs into additional major provinces
- SmartTrans now has billing reach to a potential 460 million mobile phone users
- Record revenue of $2.27 million in Q l FY2016 gives financial flexibility to significantly scale up SmartPay
Liaoning Province is the largest by population in Northeast China and, with the high income demographic of the cities of Dalian and Shenyang2, is a perfect fit for SMA and the large range of Apps and content available via SmartPay that are designed to suit this market.
SmartTrans has been strategically expanding its Direct Carrier Subscription billing service into targeted provinces in China through the agreements it has in place with both China Mobile and China Telecom. The Company is now actively negotiating with both to fast track the roll out of the service into additional major provinces, and ultimately intends to offer the service across the entire country.
The Company attributes the Direct Carrier Subscription service, with its associated strong customer retention rates of circa 80%, to much of the revenue growth it has achieved over the last twelve months. SmartTrans recently announced that the Company had booked record revenue of $2.27 million for Ql FY2016 from its China operations, with over $1 million of earnings in the month of September alone.
Commenting on the Liaoning roll out, SmartTrans Managing Director, Bryan Carr, stated: 'This latest expansion of SMA's Direct Carrier billing service into Liaoning is a reflection of our strategy to gradually scale this service up by targeting major provinces in China, with the longer term goal being to cover the entire country."
"Building on the success and performance of SmartPay, we are now working closely with both China Mobile and China Telecom with a view to fast tracking further expansion of the Direct Carrier billing service into additional major provinces in the near term."
"Having just achieved a record quarter of revenue in September, as recently communicated to shareholders, we now feel that we have the financial flexibility to significantly scale up SmartPay through geographical expansion combined with strategic marketing in order to maintain this growth trajectory."
Mr Carr added that he looked forward to further updating shareholders on the Company's financial results, operational initiatives and outlook for the business in the upcoming quarterly report towards the end of October.
About SmartTrans Holdings Limited
SmartTrans Holdings Limited (ASX:SMA) is a leading Australian technology and software provider that has developed a mobile and online billing and payment platform for the China market The company has agreements in place with China Mobile, China Unicorn, China Telecom CMPay, UnionPay and Alipay. With the growing use of the smartphone as a billing device in China, the company is experiencing significant uptake of its technology in that market. SmartTrans has also developed cutting-edge proprietary logistics software which is used by some of Australia's leading blue-chip organisations who have long term contracts in place with the company. SmartTrans is assessing growth opportunities for its logistic offering in China to complement its mobile and online payments platform.
SmartTrans Holdings Limited
China Telecom Corporation Limited