Acusensus (ASX: ACE) Surges 18% on Major USD 22 Million U.S. Contract Win

The AI-Driven Road Safety Company Winning Government Contracts Worldwide

Acusensus (ASX: ACE) grabbed investors’ attention today after its share price surged 18 percent on news of a major contract win in the United States. The company secured a deal worth an estimated USD 22 million to deliver automated work zone speed control systems across Connecticut, marking its largest U.S. contract to date. The program is set to begin in November 2025, with full operations expected in 2026.

This latest milestone builds on Acusensus’ growing U.S. footprint, following a recent contract to provide five speed enforcement trailers for a pilot program in Kentucky. The expansion highlights the company’s rising presence in the intelligent traffic enforcement space as governments increasingly turn to automated technology to improve road safety and compliance.

With Acusensus now winning large-scale projects in new jurisdictions, investors are beginning to ask whether this momentum could signal the start of a broader growth phase for the company. The next question is how these contracts could shape its earnings profile and long-term valuation potential.

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The Australian AI Company Powering the Future of Road Safety

For those unfamiliar, Acusensus Limited is a technology company that designs and develops AI-enabled road safety solutions. Investors may have already seen its systems in action — the cameras mounted above highways and bridges that capture high-resolution images of drivers engaging in illegal behaviour, such as mobile phone use behind the wheel. Powered by artificial intelligence, these systems detect offences in real time and transmit alerts to law enforcement within seconds.

Acusensus has developed, patented, and commercialised a suite of technologies focused on identifying distracted drivers, and has since expanded its capabilities to include speed detection (both point-to-point and average), seatbelt compliance, and number plate recognition. The company generates revenue primarily through government contracts, supported by strong gross margins of around 45 percent. This model provides recurring income and positions Acusensus as a trusted partner for governments seeking to improve public safety through advanced, automated enforcement systems.

What the future could look like for Acusensus

Based on its most recent financial report, Acusensus (ASX: ACE) generated approximately AUD 59 million in revenue for FY25. The newly announced USD 22 million Connecticut contract represents more than 50 percent of that figure, marking a substantial new stream of income for the company. Acusensus also maintains a strong balance sheet, holding around AUD 9 million in cash and no debt, which provides a cash runway of roughly 18 months to support ongoing operations and project delivery.

With a proven business model underpinned by long-term government contracts and gross margins of around 45 percent, Acusensus appears well-positioned to move toward profitability in the near term. Its technology delivers clear economic and safety benefits for governments, which supports steady demand. However, to sustain long-term value creation, the company will need to continue building durable client relationships and expanding its base of recurring revenue streams across multiple jurisdictions.