The EnviroSuite Ltd (ASX: EVS) share price is surging higher this morning after a record quarterly result for the Aussie environment intelligence solutions group. At the time of writing, the EnviroSuite share price is trading for 16 cents, up 20%.
Why is the EnviroSuite share price surging?
EnviroSuite reported a strong third quarter highlighted by $2.1 million in new annual recurring revenue (ARR). The quarterly ARR added during the quarter was 180% on the previous quarter, or $1.15 million.
EnviroSuite's total ARR is now $42.5 million with one-off revenue of $1.7 million. This figure was reported for hardware and services reported during the period. The Aussie company also added 13 new customers during the period with "key expansion revenue" across existing customers.
Furthermore, the continued recovery in the aviation sector was a big part of the strong quarterly result. EnviroSuite posted a new contract win at a major international airport in North America. In addition to expansion revenue across Dublin, Oakland, and San Francisco International Airport.
In Mining & Industrial, EnviroSuite posted expansion revenue at Pilbara Ports Authority amongst other wins.
Strong results in the group's remaining Waste & Wastewater and Water segments helped to round out a strong quarter. The company added one additional site with Welsh Water and won Singapore's national water agency global innovation challenge for "digital twin solutions for water treatment".
The EnviroSuite share price has jumped at the market open this morning on the back of the news.
EnviroSuite boasts a low churn rate of ~2% across its product suite. In addition, the diversified offerings from the group have helped to grow margins in its Software as a Service (SaaS) offering.
Foolish takeaway
The EnviroSuite share price will be one to watch throughout the day as investors take in the latest quarterly result. Shares in the Aussie environmental technology group surged as it posted a 180% increase in quarterly ARR today.
