Calix Ltd (ASX: CXL) shares are ending the week with a bang.
In morning trade, the ASX tech stock is up over 14% to 59.5 cents.
This compares to a 0.5% gain by the ASX 200 index at the time of writing.
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What is Calix?
Before we get into today's big jump in its share price, let's dig a little deeper into what exactly Calix does.
It describes itself as an environmental technology company, creating businesses that solve global challenges in industrial decarbonisation and sustainability.
The company notes that its patented core platform technology is being developed for indirect heating of raw materials to enable efficient, precise, flexible and renewably powered metals and minerals processing and capture of unavoidable industrial emissions.
Furthermore, it is applying its core technology to the cement, steel, magnesia, alumina, critical minerals and direct air capture industries.
Management states that it is doing this "because there's only one Earth" and "Mars is for quitters."
What did it announce?
Investors have been bidding the ASX tech stock higher today after it announced a new contract win.
According to the release, Calix has executed a contract for the supply of magnesium hydroxide water treatment products to a new customer in the United States.
The contract with this US customer is expected to generate up to A$10 million in additional annual product and services revenue.
The three-year contract, which has options for a further two years, and subject to conditions and performance against agreed indicators, is with one of the world's largest agriculture companies that generated multi-billion revenues in 2024.
However, it is not a liberty to name the customer. It also confirmed that it does not believe that the identity of the customer is information that a reasonable person would expect to have a material effect on the price or value of its shares.
The release notes that the ASX tech stock plans to service the contract through its existing production and distribution facilities in the Mid-West region of the United States. First revenues from the contract aren't far away. Management advised that they are expected to be generated in the first quarter of the 2026 calendar year.
Despite today's strong gain, the Calix share price is underperforming the market in 2025. Since the start of the year, the ASX tech stock is down by approximately 20%.
