NTG Clarity Announces Work Valued at $14.1M and New Frame Agreement

Executive Summary

• NTG Clarity Networks secured approximately C$14.1 M in new purchase orders and contract renewals, including a C$9.2 M PO pipeline against its existing three‑year C$53 M framework agreement.
• The company signed a 2.5‑year frame agreement expected to generate > C$10 M in revenue, with additional frame agreements under advanced negotiation.
• Significant growth is occurring in the Gulf region, notably ≈ C$1.6 M of NTGapps orders from Iraqi customers, expanding the firm’s footprint alongside Saudi Arabia.

Key Details

• Renewed contracts: C$2.9 M for offshore and onsite software development services; includes increased resource commitments.
• New purchase orders: C$9.2 M for offshore and onsite software development services, billed against the previously announced C$53 M three‑year framework contract (August 2024).
• NTGapps orders: C$2.0 M from existing financial and telecom clients; includes additional scope on current implementations.
• Regional focus: Approximately C$1.6 M of NTGapps PO value originates from Iraqi customers, reflecting expanding market penetration in the Gulf.
• New frame agreement: 2½‑year term with a referred enterprise; no guaranteed minimum spend but projected to deliver > C$10 M over its life at gross margins of 35%–40%.
• Additional negotiations: Advanced talks for further frame agreements with other portfolio companies of the same investment entity.
• Financial outlook: All new contracts are expected to fall within NTG’s standard gross‑margin range.

Notable Quotes

“Leading enterprises in Saudi Arabia and elsewhere in the Gulf continue to invest aggressively in digital transformation… Our clients are actively referring us to their affiliates, which speaks directly to the caliber of work NTG delivers.” – Adam Zaghloul, Vice President of Strategy & Planning.