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Freightos Reports Strong Financial Performance in Q2 2025

Freightos Limited (NASDAQ: CRGO), known as the preeminent vendor-neutral digital booking and payment platform for the international freight sector, unveiled its financial results for the second quarter of 2025 on August 18, showcasing a notable 31% increase in revenue compared to the same period last year. The results exceeded management's expectations, indicating a promising trajectory for the company.

Key Financial Highlights

Freightos reported a second-quarter revenue of $7.4 million, rising from $5.7 million in Q2 2024. The increase in revenue reflects the robust growth in transactions, as well as the successful expansion of their service offerings. The IFRS Gross Margin grew to 67.1%, up from 64.9% in Q2 2024, showing enhanced operational efficiency.

Despite facing challenges such as fluctuating currency rates, which moderately impacted the Adjusted EBITDA (recorded at negative $2.9 million), the overall financial position remains solid. The company's cash and cash equivalents stood at $34.1 million at the end of June 2025, enabling it to navigate through uncertainties in the global market.

Remarkable Growth in Transactions and Unique Users

One of the standout features of Freightos' Q2 performance was achieving a record of 397 thousand transactions, marking a 26% increase year-over-year. This achievement underscores the company’s effectiveness in attracting a diverse range of customers to its platform.

Additionally, the unique user base grew by 6% compared to the same period last year, reaching approximately 20,200 unique buyers. The diversity in service offerings, enhanced by the integration of new carriers and technologies, contributed significantly to this growth.

Strategic Adjustments and Innovations

Freightos is not just focused on growth but is also prepared to adapt to the dynamic international trade environment. CEO Zvi Schreiber emphasized the company's commitment to innovation, particularly in response to changing market conditions. He mentioned, “We are continuously finding opportunities to strengthen our service offerings, ensuring that we add more value to our customers.”

Furthermore, alongside the announcement of the impressive quarterly results, Freightos has recently expanded its board with the appointment of new chairman Dr. Udo Lange, which is expected to bring additional expertise to their strategic direction.

Looking Ahead: Optimistic Projections for 2025

Freightos management has revised its full-year transaction outlook upwards, now forecasting between 1,607 to 1,684 thousand transactions for 2025, with projected revenue growth between $29.5 to $30 million. This is a testament to their confidence in ongoing market opportunities and operational efficiency as they aim to reach breakeven Adjusted EBITDA by the end of 2026.

While the company acknowledges the impact of external economic factors such as inflation and potential regulatory changes on freight volumes, they remain steadfast in their pursuit of digital solutions that improve reliability and transparency in international shipping. Freightos continues to leverage its technological prowess to navigate these waters successfully.

In conclusion, Freightos Limited’s Q2 2025 results reflect a successfully managed business strategy in a challenging landscape, allowing the company to firmly establish itself as an industry leader in the logistics sector. As they push forward, the emphasis on adaptability and innovation is likely to yield promising dividends in the quarters to come.