Network-as-a-service provider Megaport attributed its recent revenue growth to distribution partnerships with Cisco and distributor Arrow Electronics.
In a market update posted on the ASX, the company disclosed that revenue for the quarter was $27.9 million, up 5% from the second quarter of fiscal 2021-22. while annualized recurring revenue as of March 31, 2022 was $114 million.
Megaport also cited “heavy” currency effects from the strengthening Australian dollar as another contributor to revenue growth.
The company also said its PartnerVantage channel program, which launched in August, is “accelerating” with the addition of new partners such as distributors Arrow and TD Synnex, systems integrators NTT Ltd and Canon Business Services, and Local MSPs like Melbourne-based Otto.
Megaport boss Vincent English said: “The momentum of our distribution program, Megaport PartnerVantage, continues to gather momentum since the launch of our partner portal in November 2021.
“The team has been heavily focused on partner recruitment and enablement over the past two quarters. As our investments in channels yield better results, we are strengthening our pipeline and converting more and more offers from partners at all levels.
“In addition, our broader strategic partnerships with Arrow Electronics and Cisco contributed to third quarter transactions. Operationalizing these broader partnerships requires commercial, marketing and development investments to bring our combined capabilities to market and we are very pleased to see the impact of these initial agreements.
PartnerVantage has helped Megaport’s partners such as data center operators, managed service providers, resellers, system integrators, agents and other technology providers to deliver network connectivity as a service (NaaS ) of the company.
The program included a suite of tools and resources to help partners manage all of their customer engagements, including quoting, sourcing and invoicing, from a single screen.
Megaport also saw strong customer growth in the third quarter of fiscal 2021-22, growing 86% to 2,541 in its third quarter, an increase of 4% from the previous quarter.
During the period, Megaport sold 1,577 new services, up 6% quarter over quarter for a total of 25,936 services. The total number of Megaport Cloud Routers at the end of the quarter was 670, an increase of 67, or 11% quarter over quarter.
The company also sold 19 Megaport virtual devices, up 48% quarter-over-quarter to a total of 59, with initial sales through Cisco’s global price list and indirect sales channel closing during of the quarter.
Last month, Megaport signed an agreement with Pulse Data Center, based in Toowoomba, Queensland, for cloud connectivity and direct data center connections.
Megaport has also promoted Jim Brinksma to the recreated position of chief technology officer, from his role as chief technical officer and co-founder of InnovoEdge, which Megaport acquired in March.