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(Sharecast News) - Cordel Group announced the signing of a five-year contract worth over $3.7m with a leading class one freight railroad in the United States on Monday, marking a significant expansion of its presence in the North American rail market.
The AIM-traded transportation AI platform company said it would deliver its end-to-end rail corridor analytics solution, including data capture, processing, and insight delivery, across the client's entire network on an annual basis.
It said the agreement also included a $3.8m provision for Cordel's forthcoming PTC asset management software-as-a-service platform, expected to launch in July.
Cordel said it would deploy multiple ruggedised LiDAR capture systems to be installed semi-permanently on rail-bound geometry vehicles, enabling high-frequency, high-accuracy data collection.
The company said its proprietary AI would process and classify the data, identifying key infrastructure features such as rail heads, ballast, vegetation, structures, platforms, and overhead line equipment.
Processed insights would be delivered through Cordel Connect, the firm's dedicated rail data platform, supporting decision-making across enterprise-level rail operations.
"We are delighted to announce our second class one multi-year contract and our third major USA customer, alongside Amtrak and Genesee & Wyoming," said chief executive officer John Davis.
"The world's best railroads are choosing Cordel because of our complete solution - industry-leading data management, multimodal AI and automated insights and visualisation.
"While economic uncertainty is currently extending decision cycles, we are confident in our strategy and long term growth trajectory."
At 1114 BST, shares in Cordel Group were up 14.07% at 7.7p.
Reporting by Josh White for Sharecast.com.