Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Zanett Inc. Up 70% with $29.7 Million in Confirmed Business (NASDAQ: ZANE)

Zanett Inc. (NASDAQ: ZANE)  provides customized information systems. The company offers a wide variety of offerings categorized by function, industry and solution. Providing end to end e-business systems, business systems; application development; project management; business analysis; architecture design; package customization; testing and quality assurance, and implementation management; and implementation of enterprise resource planning, supply chain management, and customer relationship management systems as well as voice and data networking integration, the company has a wide variety of revenue stream and knowledge capital. 

ZANE has 204 employees and a Market Cap of $20 million. Today, the company announced it had closed over $12.6 million in business from 37 different customers. Over the past year the Zanett Inc. has solidified $29.7 million in business. About a month ago, the company reported quarter one results noting an increase in revenue, a strong pipeline and reduced debt. Revenue increased 12% to $10.7 million in comparison to the fourth quarter of 2009 (9.6 million). $135 million was reported in the pipeline, unweighted and $800,000 of debt was paid.

Finally, the company was named as a finalist for the Mira Award Program under the category of Healthcare Information Technology. This award recognizes high levels of information technology performance in the state of Indiana. In particular, Zanett was nominated for its Clinical Online Delivery System software which provides those working in medical facilities to house and share data rapidly and efficiently, thus allowing for more informed and efficient decisions. Unfortunately, the company did not win the award, it was instead given to My Health Care Manager for Eldercare Solutions.

ZANE is currently trading at $2.35 up 4.94 or 66% on a volume of 3,273,439 shares upon release of the quarterly results. In March the company was trading at $.26 but jumped drastically over three dollars on April 6th. That day, I had actually written about the jump in stock price, which you can find here.

On that day Zanett had announced the signing of a record $17.1 million dollars worth of contracts in the quarter comprised of 57 different customers with one contract valued at almost $4 million. Judging from past trends, the company jumps on contract sales. Historically, ZANE has had some issues with NASDAQ compliance of remaining over a dollar. As long as the company continues to sign contracts and close business there should not be any problem with staying above a dollar and reaching profitability.


Disclosure: no positions