August 01, 2016 11:30 AM Eastern Daylight Time
New Customer Growth Drives Spireon Momentum in 1H 2016
Spireon Expands Vehicle Telematics Leadership Position with 20th Consecutive Quarter of Revenue Growth
IRVINE, Calif.–Spireon Inc., the leading provider of aftermarket GPS-based vehicle telematics and Business Intelligence solutions with over 3 million active subscribers, today announced it has achieved its 20th consecutive quarter of year over year revenue growth. The record revenue growth arises as the Company added over 1,000,000 new connected devices in the past year across all major vehicle telematics segments, including new and used car dealers and lenders, small and medium sized fleets, transportation and trailer, rental car companies and consumer markets.
Spireon’s growth has been fueled by consistent expansion among Automotive Industry customers along with exponential growth among its Fleet and Transportation customers. Spireon grew revenue 20 percent year over year for the first half of 2016, and more than doubled its profitability. This consistent growth in active subscribers extends Spireon’s leadership position as the industry’s largest aftermarket vehicle telematics solutions provider.
“Our record revenue and profitability reflects our market leadership, increasing demand for innovative and reliable vehicle telematics solutions, as well as our deep focus on our customer’s success,” said Kevin Weiss, Spireon’s Chief Executive Officer. “The Spireon team is unmatched in our extensive industry experience and expertise and we expect to continue this historic run as we place customers at the heart of everything we do.”
Strength in Automotive Technology Solutions
With over 14,000 automotive dealerships leveraging Spireon solutions, the Company maintains a strong leadership position in the vehicle finance and Buy-Here-Pay-Here (BHPH) industries, with rapid growth in the new car dealer segment. Through the first six months of 2016, Spireon tracked a 15 percent increase in year over year sales for its Automotive Technology Solutions group.
Demand for Spireon’s GoldStar GPS vehicle tracking and collateral management solutions increased as auto finance professionals and BHPH dealers saw loan delinquencies hitting their highest rates this year since 2010. Spireon GoldStar GPS solutions now connect and protect over $21 billion in vehicle assets for BHPH and automotive finance companies.
Momentum for GoldStar GPS sales and active subscribers derives from the introduction of innovative new products and capabilities for the BHPH and vehicle finance markets. With the addition of the PositionPlus GPS product, Spireon now offers a full suite of GPS-based solutions that meets the diverse needs of BHPH dealers with varying GPS tracking and collateral management requirements and budgets.
Additionally, Spireon momentum among the new car dealer segment experienced rapid growth in H1 2016 with a 26 percent increase in unit sales. Bolstered by the recent addition of the SkyLink and Kahu product offerings, new car dealers now have comprehensive tools to manage their inventory as well as add a new revenue source for their business by offering car buyers connected car services such as stolen vehicle recovery.
Growth in Fleet, Trailer and Transportation Industries
A recent report from analyst firm C.J. Driscoll & Associates estimates that the U.S. mobile resource management (MRM) market will expand to over 14 million units, and MRM hardware and service revenues will grow to over $4.7 billion. Spireon is well positioned to continue driving dramatic growth among its Fleet, Trailer and Transportation customer set and seize this growing opportunity.
With Spireon’s FleetLocate solution delivering significant customer benefits of improved business productivity, operating efficiency and customer service, Spireon experienced dramatic growth among Fleet businesses during the first half of 2016. Revenue grew 27 percent in the first half while total contract value for this segment increased 70 percent. Spireon’s Enterprise Fleet, Trailer and Transportation segment growth was fueled by new solution offerings including Spireon’s FleetLocate Temperature Monitoring product and Spireon’s Driver Performance Program, as well as Spireon’s unique model of customer engagement focused on delivering outstanding customer service and support.
Additionally, Spireon’s Local Fleet business segment revenue increased 14 percent year over year. Through Spireon’s VehiclePath channel program, Spireon partners with local and national resellers to provide small and medium sized businesses GPS-based telematics solutions that help lower their overhead and increase revenue.
Spireon, Inc. is the industry’s leading open connected vehicle company, providing businesses and consumers with powerful Big Data insights to track, manage and protect their most valuable assets. The award-winning Spireon NSpire open platform delivers rich information from any GPS connected vehicle or asset, converting that information into actionable insight. Headquartered in Irvine, CA, Spireon’s open connected vehicle platform now supports more than 3 million active subscribers across the company’s growing suite of product offerings for new and used car dealers, lenders and financial institutions, rental car agencies, insurers, consumers, and fleet, trailer and asset management companies.
Learn more at www.spireon.com
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