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- **Revenue Growth**: Q3 revenue $7.7M (+24% YoY), driven by 27% transaction growth and Solutions segment expansion.
- **Strategic Partnerships**: Visa collaboration enhances payment solutions; WebCargo Rate & Quote Ocean launched with Nippon Express.
- **Ocean Expansion**: Targeting 2028 for ocean platform revenue; Solutions ocean sales expected in 2026.
- **Financial Targets**: Adjusted EBITDA breakeven by Q4 2026; 2025 cash burn ~$10M.
- **Market Challenges**: Tariffs and macro uncertainty slow enterprise sales, but digital adoption accelerates platform usage.

**【CEO Summary Section】**
- **Q3 Highlights**: Processed 429,000 transactions (+27% YoY), 20,600 unique buyer users, and 77 carriers with >5 bookings. Air cargo volumes grew 4% YoY, but rates declined 6% due to macro challenges.
- **Product Progress**: Launched WebCargo Rate & Quote Ocean, expanding Nippon Express deployment. Partnered with Visa for payment solutions, enhancing digital booking workflows.
- **Ocean Expansion**: Integrated 2 new ocean carriers, targeting 2028 for meaningful ocean revenue contribution. Solutions revenue grew 30% YoY, driven by renewals and upsells.
- **Commercial Strategy**: Hired Chief Revenue Officer Michael Netter to accelerate multimodal adoption and optimize LTV/CAC ratios.

**【CFO Financial Commentary】**
- **Q3 Financials**: Revenue $7.7M (+24% YoY), Platform $2.6M (+15% YoY), Solutions $5.1M (+30% YoY). IFRS gross margin 69.1% (vs. 65% YoY), non-IFRS 74.8% (vs. 72.7% YoY).
- **EBITDA & Cash**: Adjusted EBITDA -$2.6M (vs. -$2.8M YoY), cash $30.6M. FX headwinds reduced EBITDA improvement; 2025 cash burn ~$10M (vs. $15M 2024).
- **Guidance**: Target breakeven adjusted EBITDA by Q4 2026. Q4 2025 expects continued growth but modest EBITDA improvement due to revenue mix shifts.

**【Q&A Highlights】**
- **Revenue Growth & FX**: Platform growth outpaces Solutions, driven by WebCargo. FX impacts expenses, not revenue. 2026 budget assumes stable FX, with no delay to breakeven.
- **Ocean Integration**: Ocean carriers require digital transformation; 2028+ for significant platform revenue. Solutions ocean sales expected in 2026.
- **Take Rate & Penetration**: Take rate to grow as WebCargo scales. Penetration highest in Europe, low single digits in Asia. Visa partnership enhances payment solutions for higher take rates.
- **Tariffs & Market Volatility**: Uncertainty drives demand for digital platforms but slows enterprise SaaS sales cycles. U.S.-China trade volumes remain challenging.


Freightos Limited (CRGO) Q3 2025 Earnings Call Transcript

- **Board Refresh & Governance**: Appointment of seasoned logistics leader Udo Lange as Chairman and tech expert Rotem Hershko to Board strengthens strategic oversight.
- **Record Growth**: Q2 revenue up 31% YoY to $7.4M, driven by 26% transaction growth and Solutions segment expansion (+36% YoY).
- **Strategic Wins**: Added China Airlines to carrier network, integrated Ford Air for ground transport, and secured multi-year contracts with top retailers via Procure.
- **Market Resilience**: Despite 15% YoY decline in air rates, platform penetration remains under 10%, highlighting vast growth potential.
- **Breakeven Path**: On track for Q4 2026 breakeven, with disciplined cost control and 100% FX hedging mitigating volatility.

**【Management Opening Remarks】**
- Anat Earon-Heilborn welcomed participants and outlined the call structure, noting the appointment of Dr. Udo Lange as Chairman and the addition of Rotem Hershko to the Board. She highlighted upcoming investor events and emphasized the company's focus on digitalizing global trade.

**【CEO Summary Section】**
- **Board Updates**: Udo Lange, with 30+ years in logistics, was appointed Chairman, bringing expertise from Stolt-Nielsen and Dex Logistics. Rotem Hershko, with Amazon and Maersk experience, joined the Board, enhancing governance and strategic alignment.
- **Q2 Performance**: Record revenue and 22nd consecutive quarter of transaction growth (397,000 transactions, +26% YoY). Added China Airlines and Air Europa, expanding carrier network to 75.
- **Market Dynamics**: Air cargo volumes up 3% YoY, but FAX index down 15% YoY. Ocean rates rose 43% QoQ but remained 11% lower YoY. Tariffs caused short-term volatility, with mixed impact on platform activity.
- **Strategic Growth**: Platform expansion into ground transportation with Ford Air Corporation. Solutions segment revenue up 36% YoY, driven by Freightos Terminal contract benchmarking and SEKO Logistics partnership.
- **Network Effects**: Unique buyer users +6% YoY to 20,200. Carrier cohorts show increasing engagement, reinforcing platform liquidity.

**【CFO Financial Commentary】**
- **Q2 Results**: Revenue $7.4M (+31% YoY). Platform revenue $2.5M (+23% YoY), Solutions $4.9M (+36% YoY). Non-IFRS gross margin 74% (vs. 72% YoY). Adjusted EBITDA -$2.5M (vs. -$3.1M YoY), impacted by FX fluctuations.
- **Guidance**: Q3 transactions 419-425K (+24-25% YoY). Full-year GBV raised to reflect market strength. Revenue guidance narrowed to $29.5-30M. Breakeven EBITDA target remains for Q4 2026.

**【Q&A Highlights】**
- **Tariff Impact**: Tariffs caused short-term booking volatility but long-term digitalization trends remain strong. Q2 saw pull-forward activity, but enterprise customers delayed decisions amid uncertainty.
- **Shipsta Integration**: Shipsta's contract data enhanced Freightos Terminal, driving cross-sells to enterprises. Procure solutions won multi-year contracts with top retailers.
- **Ocean Freight Progress**: Completed API integration with a major carrier for contract and spot bookings, marking a milestone in ocean digitalization. Growth will be gradual but strategic.
- **FX Hedging**: 100% of FX exposure is hedged, mitigating cash impact but affecting reported EBITDA. Management remains confident in breakeven trajectory.
- **Warrant Structure**: Warrants with $11.5 strike price are not an overhang given current stock price, with no plans to address them.


Freightos Limited Ordinary shares (CRGO)-18 Aug 25-2025 Q2 Earnings call transcript

- **Record Q1 Growth**: $6.9M revenue (+30% YoY), 370K transactions (+25% YoY), 71 carriers on platform. 
- **Enterprise Expansion**: Freightos Enterprise Suite launch drives solutions revenue (+33% YoY). 
- **Tariff Resilience**: <2% transaction exposure to China-US tariffs, Q2 guidance reflects cautious GBV outlook. 
- **Cash Position**: $36.4M cash, on track for 2026 EBITDA breakeven. 
- **Partnership Impact**: New trucking partnership to enable seamless multimodal shipments.

**【CEO Summary Section】**
- Q1 2025 revenue reached $6.9 million, up 30% YoY, driven by platform ($2.3M, +23%) and solutions ($4.6M, +33%) growth. 
- 370,000 transactions (+25% YoY) and 71 carriers on platform (4 new Q1 additions). 
- Launched Freightos Enterprise Suite post-quarter, integrating Shipsta acquisition for end-to-end freight management. 
- Air cargo volumes up 8% YoY, but rates down 6% due to Red Sea crisis impact. China-US tariffs peaked at 145%, affecting <2% of transactions. 
- Q2 guidance: 380-385K transactions (+20-22% YoY), GBV $278-285M (+37-40% YoY), revenue $7.0-7.1M (+23-25% YoY). 

**【CFO Financial Commentary】**
- IFRS gross margin 66.8% (vs 62.6% Q1 2024), non-IFRS 73.7% (vs 70.3%). 
- Adjusted EBITDA loss narrowed to $3.0M (vs $3.6M), on track for 2026 breakeven. 
- Cash balance $36.4M, supporting growth investments. 
- Platform revenue mix: 60% flat fees, 40% variable. 

**【Q&A Key Themes】**
- **Tariff Impact**: China-US tariffs >145% reduced transactions, but <2% of total. Recent US-China tariff agreement (30% US, 10% China) may stabilize volumes. 
- **De Minimis Exemption**: Loss of Shein/Temu charter planes could add 10-20% air cargo capacity. FAX index rates stable, but GBV outlook cautious due to potential rate declines. 
- **Trucking Partnership**: New end-to-end solution for door-to-door shipments, expected to increase customer stickiness. 
- **M&A Strategy**: No immediate plans beyond Shipsta, focusing on organic growth to achieve 2026 EBITDA breakeven.

Freightos Limited (CRGO) Q1 2025 Earnings Call Transcript

- **Revenue Surge**: Q4 2024 revenue up 25% YoY to $6.6M, driven by 22% transaction growth and 12 new carriers.
- **AI Success**: Sky Rate pilot achieved 70% revenue boost; AI tools now embedded in core products.
- **Profit Path**: Adjusted EBITDA loss narrowed to $3.1M in Q4, with 2025 guidance targeting $-10.9M to $-10.2M, eyeing breakeven by 2026.
- **Tariff Opportunity**: Potential de minimis exemption cancellation could shift ecommerce traffic to conventional cargo, benefiting Freightos volumes.
- **Growth Catalysts**: Ocean SaaS expansion, Fusion architecture unification, and regional carrier adoption driving long-term scalability.

**【CEO Summary Section】**
- **Revenue Growth**: Q4 2024 revenue rose 25% YoY to $6.6 million, driven by 22% transaction growth and 12 new carrier additions, bringing total carriers to 67.
- **Market Momentum**: Facilitated 350,000+ transactions, a 22% YoY increase, with air cargo volumes up 10% YoY due to e-commerce demand.
- **Strategic Pillars**: 
  - **Platform Expansion**: Added regional and niche carriers, enhancing two-sided network effects.
  - **Solutions Growth**: SaaS revenue hit a record high, with Fusion architecture enabling ocean SaaS solutions and AI tools like Sky Rate (70% revenue boost in pilot).
  - **Network Effects**: Unique buyer users surpassed 20,000, with carriers like a European airline exceeding 7,000 bookings within a year.
- **AI & Innovation**: Rolled out AI-powered tools like Sky Rate and Freightos Terminal’s AI report generator, with internal AI adoption to boost productivity in 2025.

**【CFO Financial Commentary】**
- **Profitability**: Non-IFRS gross margin improved to 74% (vs. 70% YoY), with adjusted EBITDA loss of $3.1M in Q4, narrowing from $19M in 2023.
- **2025 Guidance**: 
  - Q1 revenue: $6.7–$6.8M (25%–27% YoY growth)
  - Full-year revenue: $29–$30.6M (22%–29% YoY growth)
  - Adjusted EBITDA: $-10.9M to $-10.2M, targeting breakeven by end-2026.
- **Cash Position**: $37.3M in cash, supporting strategic initiatives.

**【Q&A Highlights】**
- **Tariff Impact**: Short-term frontloading could boost volumes, but long-term trade resilience expected. Cancellation of de minimis exemption may shift ecommerce traffic to conventional cargo, benefiting Freightos.
- **AI Adoption**: Sky Rate in pilot with 70% revenue lift; internal AI tools to enhance efficiency in 2025.
- **M&A Strategy**: Open to opportunistic acquisitions, but not reliant on stock use given current price dynamics.
- **Digitalization Outlook**: Ocean API adoption and Asian air cargo digitalization seen as key inflection points for accelerated growth.

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