Anyone can promise you the moon and the stars when it comes to projecting the value of your assets. At TXO we’re different – we have integrity, backed up by decades of experience & insight into current market trends. Let us keep it real as your asset recovery partner.
Requirement
It became apparent that many of our asset recovery clients were facing a common challenge. They had surplus network and IT equipment that was either live in the network, due for de-installation or sat idle in a warehouse. All these scenarios were draining OPEX through power consumption and expensive storage charges. The elevated requirement internally for many of our clients was to justify the cost of equipment recovery. This cost should be justified against potential returns, resale value of spare parts and the financial write off of any equipment that still has value on procurement or finance’s books.
Solution
Our solution utilised i-VALUE, our in-house proprietary tool, to make asset valuations based on real-time market data and provide fair market value (FMV). With i-VALUE we enabled our clients to understand the true value of their network assets and demonstrate the cost-benefit for de-installing excess equipment prior to de-installation, shipping or receipt of any equipment. This real-time market data empowered the clients to make informed network modernisation and decommission decisions and supported procurement teams to write off equipment from their books. Our customers were given a choice over whether they use the revenue generated as cash back into the business or as credit to purchase second user equipment from us to support EOL products and reduce the need for additional budgets.
Results
As a team, we are committed to accomplishing the things we say we will do. It’s one of the reasons why we’re so passionate about the accuracy of our asset valuations (versus actual revenue generation). We get how important it is for our customers too.
Year-on-year we are 10% over or under across the board for all of our consignment valuations.
We have obtained these results for customers spanning fixed and mobile operators, leading OEMs, large enterprises, utilities, retail, finance, transportation and more. This is great news for customers because they know we’ll achieve genuine value for what their equipment is worth. The revenue generated can then be forecasted and budgeted for other projects or taken into consideration by our customers when freeing up crucial and expensive warehouse footprint.
More information
If you are thinking about modernising your network or need support handling your decommissioned and idle assets, our team can provide you with the market intelligence you need to make more productive business decisions.