Q-Free is a leading global supplier of intelligent transportation systems (ITS). The company operates in 15 different geographical markets and its operations are divided into tolling and traffic management. In the tolling segment, Q-Free provides hardware, software and services solutions for electronic toll collection (ETC). In the Traffic Management segment, Q-Free provides technology for the planning and control of traffic, including solutions for traffic signalling, software for inter-urban traffic management, as well as traffic counting and classification systems.
Q-Free operates in a market with competing technologies. While the company’s technology is currently established as a leading technology, new ones could emerge in the future. Note, however, that new technologies, such as satellite, would most likely be adopted in combination with an already established technology and that Q-Free’s technology in this case is expected to be used as an enforcement mechanism. Furthermore, Q-Free expects to deliver improved margins going forward, driven by an increased focus on ARR and investments in S&M. If most customers prefer upfront payments, this could affect margin expansion going forward.
