Ann: Major New Managed Service Contract Win, page-2

Major New Managed Service Contract Win
HIGHLIGHTS
• Initial $600,000 Managed Service contract signed with Richmond Wellbeing
• Contract term of three years
• Additional add on services being quoted beyond the initial contract value
• Fourth managed service contract announced since July
• Total value of contracts now exceed $2.1m since Managed Service Division
launched
Cirrus Networks Holdings Limited (“Cirrus” or the “Company”) (ASX: CNW) is pleased to
announce a major new Managed Service contract with Richmond Wellbeing Inc to an initial
value of $600,000. The contract has a term of three years and provides scope for additional
add on services to be quoted beyond the initial value.
The services to be provided to Richmond Wellbeing by Cirrus include cloud migration
services, IT help desk services, data centre infrastructure and monitoring.
The total contract wins now exceed $2.1m since the Company officially launched its
Managed Service Division in June 2015. The annuity income derived from these managed
service contracts is highly complementary to the existing Cirrus business and will provide the
company with a higher degree of revenue continuity going forward.
The Company continues to invest heavily in its managed service division through capital
expenditure and staff recruitment to enable it the ability to increase services as demand
grows. Although incurring upfront costs, the repositioning of the business with a focus to
long-term annuity contracts should provide a more streamlined and efficient business model
moving forward.
Yvonne Timson, Executive Manager Corporate Support Services – Richmond Wellbeing
comments, “The team at Cirrus demonstrated thought leadership in their approach to
designing technology and services that will enable our organisation to retain its position as
one of WA’s leading mental health service providers. It has been refreshing to work with a
company that still sees its biggest asset as their people, which is evident in the service we
have received thus far.”
The Cirrus solution consists of a roadmap enabling Richmond Wellbeing to move core
applications into the Cloud. Overarching this is a managed help desk and remote monitoring
service with IT strategy planning.
Frank Richmond, Cirrus Networks Managing Director comments, “To sign our fourth
customer within three months to our Managed Service Division is a major achievement for
the Company and of great benefit for Shareholders. We have been strongly focused on
improving revenue continuity for the business going forward and each signing of a new
Managed Service annuity contract helps us achieve that goal.”
About Richmond Wellbeing
Richmond Wellbeing is a leading mental health organisation providing support for
individuals and their families since 1975. Based in Western Australia, the organisation is part
of a global network of Richmond Fellowships throughout the world. Richmond Wellbeing is a
leader and advocate for consumer-centered mental health recovery. Its services include
Community Outreach Services, Community Residential Services, Albany Fellowship House,
Carer & Family Services, Hearing Voices Network WA and Richmond Learning Exchange. It is
a registered service provider for the National Disability Insurance Scheme (NDIS), National
Disability Insurance Agency (NDIA) and WA NDIS MY WAY.
About Cirrus:
Cirrus Networks Holdings Limited (ASX: CNW) is an IT solutions provider that helps
businesses understand their technology needs and implement solutions that are world
leading, best of breed, cost effective and efficient for long term operational gain. Cirrus’
innovative approach has resulted in the swift establishment of a blue-chip customer base
and its success was recently recognised at the Deloitte Australia’s Technology Fast 50
Awards, where it was named the second fastest growing “Rising Star” technology company
in Australia in 2014.
Cirrus currently has contracts in place with some of Australia’s premier companies including
Argyle Diamonds, Western Australia Police, Roy Hill Iron Ore, LandCorp, Independence
Group NL, Tronox Ltd, Emeco Holdings Ltd and Keystart Home Loans.