TransAct Lands First BOHA!® Enterprise License Sale

Rhea-AI Summary

TransAct Technologies (TACT) has secured its first BOHA! software enterprise license agreement covering 300 locations for a major foodservice operator. The five-year deal features an average revenue per unit of $950 annually and includes the purchase of 300 BOHA! WorkStation devices. The initial setup for 50 locations will start within three months, while the full rollout is expected within a year. This order marks a record for BOHA! WorkStations, doubling previous sales achievements.

CEO Bart C. Shuldman highlighted this agreement as a pivotal moment in transitioning to a SaaS-based model, showcasing strong demand for BOHA! solutions.

Positive

• Secured first BOHA! software enterprise license with a major foodservice operator covering 300 locations.
• Average revenue per unit (ARPU) is approximately $950 per year.
• Purchase order for 300 BOHA! WorkStation devices marks a new sales record, doubling previous achievements.

Negative

• None.

All-software deal includes 300 locations nationwide

BOHA! WorkStations will be sold separately as locations come online, doubling previous sales record

HAMDEN, Conn.--(BUSINESS WIRE)-- TransAct® Technologies Incorporated (Nasdaq: TACT) (“TransAct” or “the Company”), a global leader in software-driven technology and printing solutions for high-growth markets, today announced that it has signed its first ever BOHA! software enterprise license Purchase Agreement, covering all 300 locations for a foodservice operator within retail establishments. This agreement for the BOHA! cloud software solution is for a five-year period and features an average revenue per unit (“ARPU”) of approximately $950 per year.

In addition to the enterprise software license agreement, this customer will purchase 300 BOHA! WorkStation devices to support their labeling needs. The initial installation of 50 locations will occur over the next three months with the remaining locations completed in less than a year. This represents TransAct’s largest BOHA! WorkStation order ever, more than doubling the previous record which came in May.

“This software-led win represents a major step in the life of our industry-leading BOHA! solutions as we continue our evolution into a SaaS-based solution provider. And with two BOHA! WorkStation sales records being broken in just a few months, we believe this demonstrates strong demand and continuing momentum for our solutions, and we are pleased to welcome this new customer to the BOHA! family,” said Bart C. Shuldman, CEO of TransAct Technologies.

BOHA! is the first single-vendor cloud-based enterprise system to combine applications for Food Safety, Date Code and Grab n’ Go Labeling, Temperature Monitoring of Food and Equipment, pH measurement, Checklists & Task Management, Inventory Management, Timers, and Food Recall, in one integrated platform. Each BOHA! solution combines cloud-based SaaS applications with hardware and accessories to deliver superior results for critical back-of-house operations. BOHA! offers a one-stop solution for restaurants and food service companies to address their current back-of-house operating requirements while providing a future-ready platform capable of addressing back-of-house operations.

For more information on the Company’s BOHA! ecosystem, please visit www.transact-tech.com/m/restaurant-solutions/

About TransAct Technologies Incorporated

TransAct Technologies Incorporated is a global leader in developing software-driven technology and printing solutions for high-growth markets including food service, casino and gaming and POS automation. The Company’s solutions are designed from the ground up based on customer requirements and are sold under the BOHA!®, AccuDate™, EPICENTRAL®, Epic®, and Ithaca® brands. TransAct has sold over 3.6 million printers and terminals around the world and is committed to providing world-class service, spare parts, and accessories to support its installed product base. Through the TransAct Services Group, the Company also provides customers with a complete range of supplies and consumable items both online at http://www.transactsupplies.com and through its direct sales team. TransAct is headquartered in Hamden, CT. For more information, please visit http://www.transact-tech.com or call (203) 859-6800.

BOHA! is a trademark of TRANSACT Technologies Incorporated. ©2022 TRANSACT Technologies Incorporated. All rights reserved.

Forward-Looking Statements

Certain statements in this press release include forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project," "plan," "design," or "continue," or the negative thereof, or other similar words. All forward-looking statements involve risks and uncertainties, including, but not limited to, the adverse effects of the COVID-19 pandemic, related vaccination rates and the emergence of virus variants on our business, operations, financial condition, results of operations and capital resources, including difficulties or delays in manufacturing or delivery of inventory or other supply chain disruptions, shutdowns and/or operational restrictions imposed on our customers, an inability of our customers to make payments on time or at all, diversion of management attention, necessary modifications to our business practices and operations, cost cutting measures we have made and may continue to make, a possible future reduction in the value of goodwill or other intangible assets, inadequate manufacturing capacity or a shortfall or excess of inventory as a result of difficulty in predicting manufacturing requirements due to volatile economic conditions, price increases or decreased availability of component parts or raw materials, exchange rate fluctuations, volatility of and decreases in trading prices of our common stock and the availability of needed financing on acceptable terms or at all; our ability to successfully develop new products that garner customer acceptance and generate sales, both domestically and internationally, in the face of substantial competition; our reliance on an unrelated third party to develop, maintain and host certain web-based food service application software and develop and maintain selected components of our downloadable software applications pursuant to a non-exclusive license agreement, and the risk that interruptions in our relationship with that third party could materially impair our ability to provide services to our food service technology customers on a timely basis or at all and could require substantial expenditures to find or develop alternative software products; our ability to successfully transition our business into the food service technology market; risks associated with potential future acquisitions; general economic conditions; our dependence on contract manufacturers for the assembly of a large portion of our products in Asia; our dependence on significant suppliers; our ability to recruit and retain quality employees as the Company grows; our dependence on third parties for sales outside the United States; our dependence on technology licenses from third parties; marketplace acceptance of new products; risks associated with foreign operations; the availability of third-party components at reasonable prices; price wars or other significant pricing pressures affecting the Company's products in the United States or abroad; increased product costs or reduced customer demand for our products due to changes in U.S. policy that may result in trade wars or tariffs; our ability to protect intellectual property; the effect of the United Kingdom’s withdrawal from the European Union; and other risk factors detailed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and other reports filed with the Securities and Exchange Commission. Actual results may differ materially from those discussed in, or implied by, the forward-looking statements. The forward-looking statements speak only as of the date of this release, and the Company assumes no duty to update them to reflect new, changing, or unanticipated events or circumstances, except as required by applicable law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220707005055/en/

Investors:

Bart Shuldman

Chief Executive Officer

TransAct Technologies Incorporated

Ryan Gardella

ICR, Inc.

Ryan.Gardella@icrinc.com

Source: TransAct Technologies Incorporated

FAQ

What is the significance of the new BOHA! software agreement for TACT?

The agreement represents TransAct's first BOHA! software enterprise license, potentially enhancing its revenue and market presence.

How many locations are covered under TransAct's new agreement?

The agreement covers 300 locations for a foodservice operator.

What is the average revenue per unit for the new BOHA! software deal?

The average revenue per unit is approximately $950 per year.

How does this agreement impact TACT's sales records?

This agreement includes a purchase order for 300 BOHA! WorkStation devices, marking a new sales record for the company.

When will the initial installations of the BOHA! WorkStations begin?

The initial installation of 50 locations is set to occur over the next three months.