Quartix Technologies - ARR hits £39.7m, with profit ahead and no debt
Quartix Technologies (QTX), the subscription-based vehicle tracking software & services business, has announced a positive trading update covering the nine months to 30th September 2026, with management reporting a continuing strong financial performance.
Full-year revenue is expected to be in line with current market expectations of £40.3 million. That’s up from £35.7 million in FY2025 and £31.8 million in FY2024. Adjusted profit before tax is expected to be modestly ahead of current market expectations, reflecting cost savings identified at the time of the interim results, with re-investment of these £0.2 million savings deferred into 2027. For reference, market expectations are for adjusted EBIT of £10.1 million for FY2026, demonstrating good expected growth, with adjusted EBIT of £8.8 million posted in 2025 and £6.4 million in 2024.
Following dividend payments of £4.9 million in the year to date, cash was £5.3 million as at 30th September 2026, with no debt. This is up from net cash of £4.8 million at the end of June this year.
Last year’s total dividend payment was 10p per share, with the interim payment increased from 2.5p to 2.7p per share. At the current price of 232.5p, the historic yield is 4.3%.
Management estimates free cash flow for the year to date of c.£4.7 million, reflecting tax payments of £2.3 million during the first nine months, including £1.1 million paid to HMRC following a change in accounting policy.
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The business
Founded in 2001, Quartix is a leading provider of subscription-based vehicle tracking systems, software and services, supporting organisations to improve the efficiency, safety and sustainability of their fleets.
Its technology combines ease of installation with powerful telematics software that delivers real-time insights into vehicle location, driver behaviour and fleet performance. Customers can access detailed reports, including timesheets, route histories and key operational metrics, from any internet-enabled device, helping to reduce costs, streamline operations and lower environmental impact.
Quartix operates a simple and flexible subscription model with no upfront hardware costs, making advanced fleet management accessible to businesses of all sizes. The Quartix vehicle tracking system has been installed in over 1 million vehicles and the firm has around 34,000 fleet customers globally.
The addressable market is growing strongly: according to Berg Insight, the number of active fleet management systems in Europe is projected to reach 27.6 million by 2028, representing a compound annual growth rate (CAGR) of 11.1%.
Quartix 5-year share price chart
Growth in Annualised Recurring Revenue
In the trading statement, Quartix gave a detailed explanation of its Annualised Recurring Revenue (ARR), the main forward-looking measure of growth and a key indicator of the value of its subscription base. ARR comprises committed software subscription revenues only and excludes other service revenues, including revenues that may recur.
ARR increased by £3.0 million during the nine months to end-September, to £39.7 million. On a trailing-twelve-month (TTM) basis, ARR increased by £3.9 million, or 11%, from £35.8 million as at 30th September 2025. ARR growth in Q3 was said to be particularly encouraging, with £0.9 million added during the three months.
On a TTM basis, the customer base grew by 6% to 33,873 and the total subscription base increased by 7% to 347,702, which Quartix said shows the resilience and quality of the recurring revenue model. Meanwhile, net revenue retention on a TTM basis remained flat at 97.3%, with improving NRR being a priority for the business across all territories. Quartix said it continues to focus on improving new customer acquisition, while maintaining a disciplined approach to investment in sales and marketing, a sustainable cost base and the long-term quality of recurring revenue.
Figures shown are for the nine months to 30th September 2026 or as at 30th September, except where noted as “TTM”. Source: Company
The table below shows Quartix’s key metrics for the period, with notably strong performances coming from Italy, Spain and Germany.
Outlook
On the outlook, Andy Walters, Executive Chairman, commented:
“We have made good progress in the first nine months of 2026, with annualised recurring revenue increasing by £3.9m, or 11%, over the past twelve months to £39.7m. This sustained double-digit growth, when combined with very strong cash generation, is particularly encouraging. Our new video telematics product is gaining traction in the UK and we are now preparing for our launch in Continental Europe. The performance demonstrates the resilience of the Group’s subscription model and the continued growth in the value of its installed customer base. The Board remains confident in meeting market expectations for the full year.”
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Disclosures
Quartix Technologies is not a corporate client of Optimo Research Ltd.
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