Verra Mobility has been recognized by CIOReview Magazine as the recipient of “Top 20 Smart City Solution Companies - 2019,” based on our proprietary methodology, reflecting its position in the industry. This profile has been developed by the CIOReview research and editorial team based on insights from an interview with David Roberts, CEO.

Verra Mobility
VRRM]

David Roberts, CEO

The idea of “smart cities” as the future of urban settlement is rapidly taking shape across different parts of the globe. There are multiple players involved in making these smart cities possible: government entities such as cities, municipalities and school districts, as well as commercial and fleet providers, such as rental car companies and tolling authorities. Technology and data are helping these players build the infrastructure of the smart cities by intelligently weaving together components such as city transportation, water and waste management and energy usage. Among the multitude of aspects that constitute smart cities, the road transportation grid is possibly one of the earliest and most advanced adopters of smart technologies. Leveraging powerful sensors, intelligent analytics software and data, roadways around the world are becoming more efficient with less traffic congestion and violations, while changing driver behavior to help improve the safety of people. This achievement is not merely because of the advent of smart technologies or solutions alone, but rather because of the strategic solution portfolios of visionaries, such as Verra Mobility (NASDAQ: VRRM).

"Relationships with customers are what set us apart, driving innovation and delivering consistent results in our business segments of commercial services and government solutions"

As a global leader in smart transportation, Verra Mobility focuses on making life safer, easier, and more efficient for the customers and the communities it serves. “We do this by building connected systems that tie safe cities and smart roadways together,” says David Roberts, CEO of Verra Mobility. With products that range from red-light, speed, school bus stop arm and bus lane cameras, “We work alongside customers and behind the scenes to develop customized technology solutions that solve complex transportation challenges,” adds Roberts.

Decongesting Traffic the Smart Way

As populations continue to rise, cities are consistently looking for technology solutions to reduce traffic congestion and improve air quality by reducing vehicle emissions. London, Stockholm and Singapore are examples of large international cities where congestion pricing is used as a proven tool to reduce traffic during peak times. At this time, Verra Mobility is exploring ways to help cities implement these types of solutions, given their experience in the similar and underlying technologies. Drivers who enter a congestion zone are charged a pre-determined fee, deterring them from entering zones during peak traffic hours. “And these solutions are working,” says Roberts. Take Stockholm, for example. The traffic congestion reduced by 20 percent, and the city estimates that the air quality improvement will lead to 20-25 fewer deaths per year. Using cameras to capture a license plate, Verra Mobility’s solutions identify vehicle registration and ultimately send the driver a bill for the tolling fee. This, in turn, will promote the use of public transportation, taxis and non-traditional forms of transportation, such as e-mobility and ridesharing.

An additional benefit is putting the fees associated with congestion pricing to good use such as enabling cities to make much-needed improvements and updates to public transportation systems and other infrastructures.

We work alongside customers and behind the scenes to develop customized technology solutions that solve complex transportation challenges

Many municipalities aren’t fortunate enough to have the resources or infrastructure to take on such smart city mobility challenges. Verra Mobility has repeatedly helped such clients execute individually configured mobility projects and reap the benefits. “We’re in the business of helping customers solve their transportation challenges with leading technology and services, that are configurable to their needs,” says Roberts. As a market leader in this sector with highly differentiated platforms, Verra Mobility is the number one provider of road safety cameras and toll and violation management systems for rental car and fleet management companies in the United States. Verra Mobility has a large install base, which helps create recurring revenue for their clients so cities can re-invest in much needed safety, transportation and infrastructure needs.

Empowering Safety with New-Age Tech

The use of smart sensors has enabled cities to become connected in ways never seen before. Today, sensors are responsible for conserving streetlight power, monitoring traffic and even detecting gunshots. The capabilities of these smart city sensors are predicted to evolve even more with the integration of 5G networking. Verra Mobility leverages these advancements while they configure individual solutions for clients. For example, when it comes to implementing smart cameras in school buses, safety is the crucial point of interest for Verra Mobility. The company answered the call from school districts across the country as concerned parents continued to see their children being put in danger by drivers illegally passing school buses. Leveraging radar and motion-activated technology, Verra Mobility’s stop-arm camera solution monitors vehicles that pass the school bus while the stop arm is extended. Video evidence of the event and violation data is securely sent via a cellular network for law enforcement review. When received, a citation is sent to the driver, helping change driver behavior to positively impact student safety.

In another case, the San Antonio Independent School District (SAISD) released a request for proposal (RFP) for a list of innovative school bus technologies. The list included a stop-arm camera system, an interior and exterior camera system with real-time viewing functionality, a global positioning system, student ridership visibility, an app-based parent notification system and a secure on-bus Wi-Fi to extend classroom learning to every school bus. Verra Mobility—in partnership with existing SAISD vendors and school bus camera providers— designed CrossingGuard+, a solution that significantly improved safety in school transportation.

SAISD’s program soon grew to a fleet of smart and safe buses. Millions of dollars in hardware and software were provided to SAISD, on the promise of future revenue from the district’s stop-arm safety camera program. In effect, Verra Mobility collaborated with technology providers to create a smart and safe bus that meets all the stringent requirements of children’s’ transportation needs. It’s easy to see how this functionality could expand into other school districts and even into public city buses in the near future.

Whether it is improving the safety of buses for school districts or suggesting new ways of implementing mobility and transportation solutions for cities, proving the viability of ideas like congestion pricing, is vitally relevant. According to Roberts, “Real-time data and analytics are the keys to proving such cases by sharing details such as traffic counts during specified time frames, crash statistics and pedestrian-involved collisions.” Also, it is no surprise to anyone that smart city technologies carry a hefty price tag. This is a strong point for many “Vision Zero” cities—cities with a goal that envisions zero pedestrian deaths—to leverage the benefits of Verra Mobility’s cameras, (red light, speed, school bus stop arm) for enhancing road safety and fund further smart city initiatives. Verra Mobility helps these cities drive the concept of the smart city into a reality.

Bringing all to the Table

Verra Mobility’s market share, global presence (15+ countries) and extensive partnerships with leading toll authorities, rental car companies and municipalities position the organization as a recognized leader in the smart mobility space.

“We rally to the cause of our customers. Relationships with customers are what set us apart, driving innovation and delivering consistent results in our business segments of commercial services and government solutions,” says Roberts. The commercial services customers include fleet management companies large fleet operators and original equipment manufacturers (OEMs) and emerging fleets such as ride-share services. On the other hand, government solutions customers consist of municipalities, school districts and other government entities.

Owing to its unique value proposition, Verra Mobility has experienced incredible growth over the last year. “It has been a very busy year, both from a development standpoint and staffing,” says Roberts. On the developmental front, Verra Mobility recently launched PeasyTM, a consumer tolling application. On the staffing front, the company has appointed two people into strategic leadership positions: Mike McMillan, vice president, Corporate Development and Strategy, and Garrett Miller, executive vice president, Government Solutions.

Looking to expand its footprint to Europe and beyond through strategic partnerships and acquisitions. While achieving this, “People are always a key differentiator for our company,” says Roberts. “It is not just a technology company but also a people company.” Verra Mobility’s teams are driven by a relentless pursuit of tomorrow’s solutions while simultaneously solving the challenges that customers face today. As Roberts puts it, “We know mobility impacts human lives, and that fact gives us purpose. We approach our work with a sense of perseverance and grace.”

Verra Mobility

Verra Mobility Partners with Arrive to Improve the Parking and Tolling Experience via App for Drivers

Thursday, November 21, 2019

PHOENIX: Verra Mobility (NASDAQ: VRRM), a global leader in smart transportation, announced a partnership with Arrive, the leading parking service provider across the United States and Canada. The new relationship will deliver a user-friendly and more comprehensive mobility solution that conveniently combines tolling and parking into a single intelligent platform for drivers.

"As a company, we pride ourselves on our ability to simplify the growing and increasingly complex mobility ecosystem by creating an all-in-one platform that allows our customers to travel smarter, said David Roberts, president and CEO of Verra Mobility. "With this collaboration, we saw an opportunity to enhance our powerful tolling capabilities with Arrive's parking prowess - another pain point drivers face."

This partnership will enable Verra Mobility to infuse all of Arrive's valuable parking data into a single mobility platform and deliver services through Peasy, Verra Mobility's pay-as-you-go web and mobile tolling app. This app will now allow users to not only pay for tolls effortlessly, but also to find, book and pay for parking spaces the same way - cash-free and without headaches.

"Drivers and commuters should not have to download several apps to get around cities," said Dan Roarty, President and COO of Arrive. "We are excited to work with Verra Mobility to integrate our platforms together in their Peasy app and provide customers a greater value."

Verra Mobility Partners with Telepass in Italy to Enable Expanded Toll Payment Coverage for Short-Term Rental Cars

Thursday, April 13, 2023

AMSTERDAM,: Verra Mobility Corporation (NASDAQ: VRRM), a leading provider of smart mobility technology solutions, including electronic tolling, reached a joint agreement with Telepass, an Italian-based firm and leader in integrated mobility, to jointly provide toll processing services in Italy. With this agreement and resulting integration between the two parties, Verra Mobility will expand its footprint in Europe, with the ability to deliver toll payment solutions for short-term rental cars across all toll roads throughout Italy.

"This partnership with Telepass in Italy is a signal of where smart mobility solutions are headed in Europe," said Tsjerk-Friso Roelfzema, Senior Vice President and General Manager for Verra Mobility Europe. "We are excited by the opportunity to work with Telepass, and together we can advance innovation in transportation, expedite travel for rental car drivers while also better connecting toll data from the drivers and the companies that own the vehicles. This is a value-added solution for all parties."

Short-term rental car and shared mobility companies operating in Italy will now be able to offer customers an interoperable toll payment program that will function interchangeably between Italy, Spain, France, and Portugal. Without Verra Mobility's solutions, rental car customers are required to wait in toll lanes, paying by cash or with credit card, and rental car companies are at risk of toll penalties in the event drivers do not pay at barrier-free toll locations. Verra Mobility's service enables electronic toll payments and offers a more seamless travel experience while traveling across borders.

"Telepass is committed to making travel easier and more seamless across Italy and Europe," said Paolo Malerba, Chief Business Sales Officer, of Telepass. "Verra Mobility is an ideal partner to make this happen and shows much promise in simplifying travel in Italy and beyond."

With this partnership, short-term rental car companies will be able to offer a convenience-based service that their customers want, allowing companies to easily assign toll costs to responsible drivers, with Verra Mobility managing the administrative burden of toll processing, account management, customer billing and in-vehicle device management.

Verra Mobility Announces First Quarter 2023 Financial Results

Monday, June 05, 2023

• Total revenue of $191.9 million

• Net income of $4.6 million

• Generated cash flows from operations of $45.2 million

• Reaffirming 2023 guidance

MESA, Ariz.,-- Verra Mobility Corporation (NASDAQ: VRRM), a leading provider of smart mobility technology solutions, announced today the financial results for the first quarter ended March 31, 2023.

"We delivered another strong quarter financially and continued the operating momentum we demonstrated throughout 2022," said David Roberts, President and CEO, Verra Mobility. "We are benefitting from robust travel demand that has returned to pre-pandemic volume as well as nationwide efforts to improve road safety through investments in automated safety enforcement technology. I am incredibly excited about our future – we are well-positioned in large, growing and attractive markets and we have established a proven operating model to drive consistent execution."

First Quarter 2023 Financial Highlights

• Revenue: Total revenue for the first quarter of 2023 was $191.9 million, an increase of 13% compared to $170.4 million for the first quarter of 2022. Service revenue growth was 15% due to increases in travel volume and related tolling activity in the Commercial Services segment which grew 17%, and the growth in service revenue from our Government Solutions segment, which increased 14% and was driven by the expansion of speed programs. Parking Solutions service revenue increased 10% due to increases in our software as a service (SaaS) product offerings and various services related to parking management solutions.

• Net income: Net income for the first quarter of 2023 was $4.6 million, or $0.03 per share based on 153.1 million diluted weighted average shares outstanding. Net income for the comparable 2022 period was $10.0 million, or $0.06 per share, based on 160.7 million diluted weighted average shares outstanding.

• Adjusted Earnings Per Share (EPS): Adjusted EPS for the first quarter of 2023 was $0.26 per share compared to $0.22 per share for the first quarter of 2022.

• Adjusted EBITDA: Adjusted EBITDA was $87.9 million for the first quarter of 2023 compared to $75.3 million for the same period last year. Adjusted EBITDA margin was 46% of total revenue for 2023 and 44% for 2022. The expansion in Adjusted EBITDA margins was driven primarily by revenue contribution mix and increased volume leverage across our business segments.

We report our results of operations based on three operating segments:

• Commercial Services offers automated toll and violations management and title and registration solutions to rental car companies, fleet management companies and other large fleet owners.

• Government Solutions delivers automated safety solutions to municipalities, school districts and government agencies, including services and technology that enable photo enforcement related to speed, red-light, school bus and city bus lane management.

• Parking Solutions provides an integrated suite of parking software and hardware solutions to universities, municipalities, parking operators, healthcare facilities and transportation hubs in the United States and Canada.

First Quarter 2023 Segment Detail

• The Commercial Services segment generated total revenue of $85.6 million, a 17% increase compared to $73.5 million in the same period in 2022. Segment profit was $53.6 million, a 15% increase from $46.6 million in the prior year. The increases in revenue and profit compared to the prior period resulted from increased travel volume and the continued adoption to the all-inclusive fee structure as well as the increase in enrolled vehicles and higher tolling activity for our FMC customers. The segment profit margin was 63% for 2023 and 63% for 2022.

• The Government Solutions segment generated total revenue of $85.9 million, a 9% increase compared to $78.8 million in the same period in 2022. The increase was primarily driven by the expansion of speed programs, as speed is the largest product in this segment. The remaining increase is attributable to expansions across red-light, school bus stop arm, and bus lane programs. The segment profit was $31.5 million in 2023 compared to $25.5 million in the prior year with segment profit margins of 37% for 2023 and 32% for 2022. The increase in segment profit and margins is primarily attributable to the increase in recurring service revenue and a reduction in bad debt expense due to improved cash collections.

• The Parking Solutions segment generated total revenue of $20.3 million a 12% increase compared to $18.1 million in the same period in 2022. The segment profit was $2.9 million compared to $3.2 million in the prior year with segment profit margins of 14% for 2023 and 18% for 2022. The decline in segment profit and margins is primarily attributable to a higher mix of hardware versus SaaS and services revenue.

Liquidity: As of March 31, 2023, cash and cash equivalents were $64.3 million, and we generated $45.2 million in cash flows from operations for 2023.

Interest Rate Swap

In December 2022, we entered into a cancellable interest rate swap agreement to hedge our exposure to interest rate fluctuations associated with the LIBOR (now transitioned to Term Secured Overnight Financing Rate) portion of the variable interest rate on our 2021 Term Loan. Under the interest rate swap agreement, we pay a fixed rate and the counterparty pays a variable interest rate which is net settled. The notional amount on the interest rate swap is $675.0 million. We have the option to terminate the interest rate swap agreement starting in December 2023, and monthly thereafter until December 2025 in the event interest rates decrease. Any changes in the fair value of the derivative instrument (including accrued interest) and related cash payments are recorded in the condensed consolidated statements of operations within the loss on interest rate swap line item. We recorded a $2.8 million loss during the three months ended March 31, 2023, of which approximately $1.6 million is associated with the derivative instrument re-measured to fair value at the end of the reporting period and $1.2 million relates to the monthly cash payments.

2023 Full Year Guidance

Any guidance that we provide is subject to change as a variety of factors can affect actual operating results. Certain of the factors that may impact our actual operating results are identified below in the safe harbor language included within Forward-Looking Statements of this press release.

We are reaffirming the fiscal year 2023 guidance we issued on March 1, 2023, based on our financial results for the first quarter of 2023 and our current outlook for the remainder of the year, as follows:

• Total revenue of $780 million to $800 million

• Adjusted EBITDA of $360 million to $370 million

• Adjusted EPS of $1.00 to $1.10

• Free Cash Flow of $135 million to $155 million

Verra Mobility Celebrates 5-Year Anniversary On Nasdaq

Friday, October 27, 2023

MESA, Ariz., -- Verra Mobility Corporation (NASDAQ: VRRM), a leading provider of smart mobility technology solutions, celebrates its five-year anniversary as a publicly traded company.

"This is a significant milestone in our incredible journey to become a leader in smart mobility solutions," said David Roberts, president and CEO, Verra Mobility. "Our core values, shared purpose and the Verra Mobility operating system have all been instrumental in driving continued growth and profitability."

Verra Mobility went public in October 2018, and the Company has since grown into new markets and expanded geographically.

Verra Mobility strengthened its portfolio of automated safety enforcement solutions for cities and government customers with the acquisition of Redflex in 2021. It also expanded the Company's offerings into Europe and Australia. In December 2021, the Company entered the parking solutions market with the acquisition of T2 Systems, a leading provider of parking hardware, software and services for universities, municipalities and parking operators.

Today, Verra Mobility's approximately 1,600 employees serve more than 2,400 customers in 11 countries, helping to improve fleet operations and enhance urban mobility. The Company has deployed more than 10,000 automated camera-based systems for red-light, speed management and school-bus stop arm enforcement programs, helping to improve safety and promote healthier communities.

Verra Mobility also provides tolling and violations management solutions and title and registration services for fleets with nearly 6 million vehicles managed by the Company's offerings.

The Company's Parking Solutions business segment's SaaS and hardware offerings provide thousands of universities, municipalities and parking operators with customer relationship management, parking permit management, enforcements and collections and analytics and reporting.

"We recognize and appreciate each of our employees around the world for their commitment and their passion," said Mr. Roberts. "We are grateful to all of our customers and partners and look forward to continuing to serve them at their highest point of need."

Verra Mobility to participate in two investor conferences in June 2024

Wednesday, June 12, 2024

MESA, Ariz.,-- Verra Mobility Corporation (NASDAQ: VRRM), a leading provider of smart mobility technology solutions, announced today that it will participate in two upcoming investor conferences.

David Roberts, President and CEO, and Craig Conti, Chief Financial Officer, are scheduled to present at the Baird 2024 Global Consumer, Technology & Services Conference on Tuesday, June 4, 2024, at 9:05am ET.

Mr. Roberts and Mr. Conti will also present at the William Blair 44th Annual Growth Stock Conference on Thursday, June 6, 2024, at 10:00am CT (11:00am ET).

Verra Mobility and Hayden AI partner to facilitate automated bus lane and bus stop enforcement

Thursday, July 18, 2024

MESA, Ariz. — Verra Mobility Corporation (NASDAQ: VRRM), a leading provider of smart mobility technology solutions, and Hayden AI, a leader in artificial intelligence and spatial analytics, announced today a partnership to offer next-generation technology solutions to customers across the U.S. Together, the two companies will deliver a seamless technology platform designed to improve road safety, sustainability, and public transit reliability and accessibility.

The partnership will leverage Hayden AI's mobile perception technology and Verra Mobility's customer integration experience to provide cities and transit agencies with a best-in-class program for automated bus lane, bike lane, bus stop, and double-parking enforcement solutions.

As leading industry experts, the collaboration will deliver a privacy-based, customer-centric platform that leverages machine learning to continuously adapt to the needs of each customer and create a comprehensive mobility solution for communities across the nation.

Cities will receive added value through a multi-solution approach that helps decrease commute times and congestion and increase accessibility, ultimately delivering more reliable schedules for riders. The residual benefit includes a more holistic community transit value through increased ridership, reduced exhaust pollution from idling buses, and increased bicycle safety.

Partnership contributions

Verra Mobility is the largest safety and mobility event-processing company, capturing more than 50 million events across the globe. With nearly 30 years of experience, Verra Mobility will deliver quality, reliability, and a proven capacity to process the needs of customers. As a large, scalable organization with proven financial strength, the company has the unique ability to cater to communities of all sizes - from complicated large metropolitans to the unique needs of smaller municipalities.

Hayden AI is the US market leader in mobile automated bus lane and bus stop enforcement, with hundreds of AI-powered detection systems installed on transit buses across the country. The company will use its mobile perception platform mounted on transit buses to detect and identify instances of illegal parking in bus lanes, bus stops, bike lanes, and other dangerous no-parking zones. This technology uses edge processing to detect parking and moving violations in real-time and keep data secure.

"This is an exciting opportunity that allows us to offer the most up-to-date, adaptable technology to our customers, bringing them a more powerful tool to speed up transit and improve the commuter experience," said Jon Baldwin, executive vice president of Government Solutions, Verra Mobility. "With our event automation, citizens will be able to get where they need to go faster, safer, and more efficiently, while transportation agencies will have real-time data insight to improve road congestion and increase ridership."

"Hayden AI is excited to partner with Verra Mobility. By combining our innovative technology with Verra Mobility's event processing platform we can improve safety, reliability, and accessibility for even more transit agencies and cities," said Chris Carson, PhD, founder and CEO of Hayden AI. "Integrating our vision AI platform with Verra Mobility's back-end will allow us to leverage our strengths and build on a solution designed to increase on-time arrivals, reduce carbon emissions, enhance safety and accessibility, and encourage more transit ridership."

The companies already have an established partnership in New York City where the integrated bus lane solution has reduced collisions by an average of 20% on routes utilizing the technology. Building from this success, the partnership also resulted in the launch of the automated bus stop and double parking enforcement for the city - two critical initiatives to help improve road safety and transportation accessibility for people with disabilities. These impactful programs are the foundation for combining Verra Mobility's event processing platform with Hayden AI's integrated bus-mounted vision AI platform, resulting in an end-to-end solution for customers.

Hayden AI has installed hundreds of camera systems on transit buses across the United States for mobile automated bus lane enforcement while Verra Mobility is the leader in automated safety enforcement systems, with more than 13,000 safety camera systems deployed across three continents.

The two companies will look to expand beyond the bus lane enforcement to continuously develop the partnership, integrating additional mobility opportunities across the globe - now and into the future.

Verra Mobility partners with Xtract to offer incident management solutions to vehicle fleet customers

Monday, August 26, 2024

Verra Mobility's tolling, violation and title and registration customers can leverage Xtract's platform and connected vehicle data to detect and analyze collision events in near-real time

MESA, Ariz-- Verra Mobility Corporation (NASDAQ: VRRM) a leading provider of smart mobility technology solutions, announced today a partnership with Xtract, a global leader in digital First Notice of Loss (FNOL) and near-real-time vehicle collision reconstruction insights for automated incident management. Through this partnership, Verra Mobility will offer its fleet customers the ability to improve claims processing speed and accuracy by automatically aggregating connected vehicle data and analyzing trips in near-real time to better detect and manage collision events.

"Incident management is a time-consuming, manual and painstaking process for fleet owners and fleet management companies," said Steve Lalla, Executive Vice President of Verra Mobility's Commercial Services division. "Xtract's innovative approach to simplify and automate incident management is a perfect complementary fit in our suite of fleet solutions. Verra Mobility believes data generated from connected vehicles will increasingly enable more efficient solutions to benefit fleet operators, and incident reconstruction is a crucial use case for how data can be used to save fleets time and money."

Xtract's digital reporting process replaces paper accident forms and enables the capture of standardized incident data by leveraging vehicle telematics and AI in order to reduce the time and exposure of claims handling. Through the Xtract platform, fleet managers will receive an instant notification when a collision occurs involving one of their vehicles so they can proactively manage the incident and reduce risk.

"A fleet of any size needs immediate incident notification, incident reconstruction, and a rapid response plan," said Tim McCarthy, EVP of Business Development at Xtract. "We developed Xtract's AI-powered platform to detect and interpret telematics data to take the stress out of the entire process from reporting all the way through to insurance claim resolution. We are excited to partner with Verra Mobility to reduce operational expenses and mitigate risk for fleet customers, working together to make the lives of fleet managers easier and more profitable."

Verra Mobility provides solutions for commercial fleet vehicles including management of toll payments, violations and title and registration services. Its fleet management services are utilized by major fleet owners, operators, and managers to conveniently and automatically pay over 300 million annual toll transactions and violation fees for more than seven million vehicles globally.

Top 20 Smart City Solution Companies - 2019

Company
Verra Mobility

Management
David Roberts, CEO

Description
Verra Mobility (“Verra Mobility” or the “Company”), the leading provider of tech-enabled smart transportation solutions Verra Mobility is a global leader in smart mobility, serving the world's largest commercial fleets and rental car companies in managing tolling transactions and violations for more than 8.5 million vehicles and operating more than 4,000 red-light, speed, and school bus stop arm safety cameras. Verra Mobility maintains its leadership position in the marketplace through meaningful scale and has demonstrated consistent revenue growth underscored by its differentiated transaction processing model

Verra Mobility VRRM]