• Acquired Keyvision, a proptech Tenant App company, to diversify revenue
• Experienced significant challenges with US tariffs, impacting sales by over 50%
• Successful Microsoft trial led to initial data centre security sales, with strong enquiries

TZ Ltd entered FY25 with a focus on growth, but faced significant challenges during the year. The acquisition and integration of Keyvision Holdings, a proptech Tenant App company, was more time-consuming and costly than anticipated. Additionally, TZ's US operations were severely impacted by the changes in US government policy and import tariffs, with sales down over 50% compared to budget. Despite these setbacks, the company had some positive developments, including the successful completion of a trial with Microsoft leading to initial data centre security sales, and several corporate opportunities arising for distribution or joint venture proposals. The outlook for FY26 is positive, with the data centre security market expected to sustain strong double-digit growth, and the company aiming to roll out the Keyvision platform, especially in the US and Southeast Asia. The financial performance was significantly impacted by the US tariff situation, but the underlying opportunities in the US remain intact, and the company is confident in its ability to deliver on the sales potential in FY26.

Revenue is expected to 'bounce back' in FY26 with a forecast of $17m. The aim is to significantly grow the DC Security revenue off the back the Microsoft validation.

The outlook for FY26 is extremely positive. The data centre market continues to expand rapidly, and the Microsoft sales, along with existing customer expansion, are expected to sustain strong double-digit growth in this sector. The US economy has also stabilized, and customer spending is flowing again, which should allow TZ to deliver on the US sales potential.