Tracsis shares rose as much as 8% on Wednesday after the transport tech firm secured a major new contract to deliver smart ticketing systems for National Rail.
The Leeds-based business will install what it calls the Tap Converter system, a centralised smart ticketing technology platform that processes ‘tap’ data from various sources such as smartcards, contactless bankcards and mobile apps/barcodes when passengers tap in and out at stations. It will also integrate with multiple modes of transport, supporting the delivery of London style PAYG ticketing for rail, bus and tram travel.
Tracsis tech will construct journeys from these taps calculating the best fare while automatically applying entitlements, concessions, discounts and fare caps. Once calculated, the system provides this fare information to the TOC to charge the passenger and submits settlement records to the rail industry’s settlement engine.
Tracsis said its revenues from the deal will be based on the volume of transactions processed and this will be driven by future customer adoption rates and system usage, once the Tap Converter system is operational.
A total of 1.7 billion rail passenger journeys were recorded across Great Britain in the 12 months to September 20241. Tracsis estimates that PAYG transaction volumes using the Tap Converter system could in the medium term equate to 10-15% of total annual passenger journeys with commuters expected to drive the highest adoption rates.
CEO Chris Barnes said: “Digital transformation remains integral to the rail industry’s future.
“The Government has made a commitment to expand pay-as-you-go ticketing across urban areas on the National Rail network and the Tap Converter system will position Tracsis as an important technology provider at the heart of this transformation.”
Despite the stock jump, Tracsis shares remain down 23% since the start of the year.