Vehicle tracking specialist Trakm8 Hldgs (LON:TRAK) has been awarded preferred supplier status for a significant contract with UK builders' merchant, Jewson, together with a number of its sister brands including Graham, Ashworth, Ceramic Tile Distributors, Minster, Frazer, Archibalds and Gibbs & Dandy. As part of the deal, Trakm8 will supply a vehicle tracking system for up to 2,500 of Jewson’s fleet of commercial vehicles. Shares in the company were up by more than 5% to 20.5p on the news.

Trakm8 will be supplying hardware based on its market leading T6 hardware, including Controller Area Network based communications and the TRAKM8 SWIFT operating platform. Integration work will be undertaken to meet Jewson's specific requirements. Trakm8 already has similar contracts in place with the likes of UK utility group E.ON and the South African based distributor Smartsurv.

John Watkins, Trakm8’s chief executive, said: “We are delighted to announce this commercial relationship with Jewson. This is a further endorsement of Trakm8's technological competency in vehicle tracking and remote diagnostics solutions and also demonstrates the confidence of a major commercial vehicle operator in the quality and competitiveness of our products and service provision.”

In April, Trakm8 reported that it was continuing to make progress towards sustained profitability despite challenging economic conditions. Its performance during the second half of the year continued in line with expectations, with profit and cash both showing improvements compared to the first half. In the half year to November 2009, the company posted sales down slightly at £1.7m and a pre-tax profit of £0.1m against a loss of £0.4m in the same period a year earlier. Shares in the company have risen steadily during the last 12 months from a low of 6p last June.

Unlock the rest of this article with a 14 day trial

Unlock with Email
Unlock with Google

Already have an account?
Login here