VIENNA, Va. - Urgently, Inc. (NASDAQ: ULY), a prominent provider of digital roadside and mobility assistance, announced today the extension and growth of its partnership with a leading global automotive OEM. The agreement, which previously spanned five years and covered the U.S. market, now extends to seven years and includes services in Canada.
The collaboration involves Urgently continuing to support the OEM's warranty roadside assistance program and post-warranty membership plans. This includes help for various types of breakdowns and accident-related towing services. The technology stack provided by Urgently integrates with the OEM's global CRM system, dealer portals, client portals, and customer-facing products, aiming to enhance the efficiency and customer experience of roadside assistance.
As part of the expanded agreement, Urgently's digital platform will also facilitate dealer-provided mobile service programs, utilizing algorithms for job distribution and real-time data to optimize service delivery. The platform includes service provider apps and portals for service delivery, communication, and tracking.
Matt Booth, CEO of Urgently, expressed pride in the continued partnership, emphasizing the company's commitment to exceptional service and safety. He stated that the renewal showcases Urgently's dedication to customer value and aligns with the automotive OEM's vision for its roadside assistance programs in both the U.S. and Canada.
Urgently's platform, which leverages location-based services, real-time data, AI, and machine-to-machine communication, is designed to offer proactive and transparent mobility assistance experiences. The company aims to ensure safety and minimize disruptions for drivers by employing its technology to predict and prevent potential issues.
The press release includes forward-looking statements regarding the partnership's potential benefits and Urgently's future performance. It notes that such statements involve risks and uncertainties and are not guarantees of future performance. For more detailed information on these risks, the company refers to its filings with the Securities and Exchange Commission.
This news is based on a press release statement from Urgently, Inc.
InvestingPro Insights
As Urgently, Inc. (NASDAQ: ULY) announces its expanded partnership with a leading global automotive OEM, it's important for investors to assess the company's financial health and market position. According to InvestingPro, Urgently is currently facing some financial challenges. Analysts have raised concerns about the company's cash burn rate and anticipate a sales decline in the current year, which could impact the company's ability to sustain operations without additional financing. This is particularly significant as the company embarks on its extended agreement which may require upfront investments to support the expanded services.
InvestingPro Data highlights a market capitalization of 14.76 million USD, which indicates a relatively small player in the market. The company's gross profit margin stands at 21.68% for the last twelve months as of Q1 2024, underscoring the struggles with weak gross profit margins. Furthermore, the price of ULY has experienced a significant decline, with a 1-year price total return of -79.32%, reflecting investor concerns and potentially presenting a buying opportunity for those who believe in the company's long-term strategy.
With Urgently's stock having fared poorly over the last month and the price falling significantly over the last year, investors may want to pay close attention to the company's upcoming earnings report and any strategic updates. For those interested in a deeper dive into Urgently's financials and future prospects, there are additional InvestingPro Tips available at https://www.investing.com/pro/ULY, providing a more comprehensive analysis and guidance.
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