Pointerra Ltd (ASX: 3DP) shares have been getting a lot of attention on Tuesday.
At one stage today, the ASX small cap was up 32% to a 52-week high of 9.6 cents.
This meant that the technology company's shares were up a remarkable 92% in just two days.
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Why is this ASX small cap rocketing?
The driver of these gains has been the release of the company's quarterly update on Monday.
Pointerra revealed that it achieved record cash receipts of $4.24 million during the three months ended 31 December. This contributed to a net cash inflow from operating activities of $1.45 million for the quarter.
For the half year, the ASX small cap reported cash receipts of $7.3 million, which is more than the cash receipts of $6.8 million that it achieved in the whole of FY 2024.
Management advised that this was driven by delivery efficiencies in material contracts and existing customer renewals. The good news is that US customer programs are expected to continue contributing during the balance of FY 2025 and beyond.
What is Pointerra?
Pointerra describes itself as a global geospatial technology company that is aiming to change the way people use remote sensing and design data to build digital twins and manage the physical world.
Its Pointerra3D platform uses AI-driven algorithms and scalable cloud processing to rapidly convert massive 3D datasets into analytics and insights that provide definitive answers to physical asset management questions.
The company notes that the speed, smarts, scale, and on-demand accessibility in the platform's cloud-based common data environment delivers safety improvements, efficiencies, cost savings, and risk mitigation that have never been seen in this sector.
Clearly judging by the ASX small cap's cash receipts, an increasing number of end users are finding the platform useful.
One of those is the US Department of Energy (DOE), which earlier this month awarded Pointerra a US$2 million contract extension. This relates to its existing program modelling a range of electric grid resilience investment scenarios by electric utilities.
Under a hurricane impact analysis program, Pointerra will use 2D and 3D data to generate digital twins of electric utility grids in hurricane affected areas.
It will then develop a change detection model that demonstrates impacts from recent hurricanes on the assets of the grid in the affected areas, provide an overall analysis of hurricane impacts on the grid assets, and compile results and methodologies in a report demonstrating best practices that can be implemented.
