Freightos Reports Impressive Revenue Surge in Q1 2025, Reinforces Market Leadership

Freightos' Remarkable Growth in Q1 2025

Freightos Limited, the premier vendor-neutral digital booking and payment platform for the international freight sector, has announced impressive financial results for the first quarter of 2025. The results showcase a robust year-over-year revenue increase of 30%, surpassing expectations and positioning Freightos as a leader in the digital transformation of freight services.

In a statement, Zvi Schreiber, CEO of Freightos, credited the company’s growth to its innovative approach and the strategic launch of the comprehensive Freightos Enterprise Suite. This suite unifies various facets of shipping procurement, booking, and execution processes, particularly benefiting large importers and exporters. The integration of the software acquired from Shipsta is a vital component, enhancing the platform's capabilities. Schreiber emphasized that despite prevailing uncertainties in global trade caused by recent tariff changes, Freightos’ digital platform proves instrumental in navigating the complexities of the international freight landscape, enhancing visibility and flexibility for its users.

Highlights from Q1 2025 Financial Results

Freightos reported a total revenue of $6.9 million for the quarter, up from $5.4 million in the same period last year. This revenue growth reflects the comprehensive resilience of Freightos’ business model, reinforcing its confidence in maintaining guidance for the full fiscal year. The gross profit margins also saw an upswing, with the IFRS gross margin rising to 66.8% from 62.6% in Q1 2024, indicating improved operational efficiency. Adjusted EBITDA losses decreased slightly, demonstrating progress towards profitability.

In addition to financial performance, Freightos achieved a remarkable record of 370.9 thousand transactions in the first quarter, marking a 25% increase year-over-year. This milestone represents the 21st consecutive quarter of transaction growth, showcasing heightened engagement and adoption among the platform's users. The company also onboarded additional carriers, increasing the number from 67 to 71, which broadens the diversity of routes available to users and enhances service coverage.

The growth in unique buyer users also stood out, with a 10% increase from the prior year, reaching 19.7 thousand. This reflects the expanding reach of Freightos’ platform as more businesses opt for digital solutions in their shipping operations. Notably, the Gross Booking Value (GBV) surged to $276.1 million, reflecting a 43% rise compared to the first quarter of last year, propelled by consistent transaction volumes and stabilized freight rates across key trade lanes.

Looking Ahead: Financial Outlook

Freightos remains optimistic about the second quarter of 2025 and beyond, projecting continued growth across various key metrics. They anticipate completing between 380,000 and 385,000 transactions in the second quarter alone, expecting to see revenue growth of approximately 23% to 25%. The company’s management is mindful of potential fluctuations in freight rates and evolving trade policies, yet their robust business model and strong balance sheet provide confidence in navigating these challenges while pursuing growth opportunities.

Additionally, a webcast and conference call will be held on May 20, 2025, at 8:30 a.m. EST, allowing investors and analysts to further discuss the results and highlight future strategies.

As Freightos continues to expand its digital footprint in the logistics sector, the company’s commitment to innovation and excellence positions it favorably in an increasingly competitive global market. The company articulates a clear vision for the future, aimed at redefining international freight booking processes and continuing its legacy as an industry leader. With these promising results, Freightos is poised to carve out tremendous opportunities as it leads the charge towards a more sophisticated and agile freight industry.

For more information, please visit Freightos’ Investor Relations website or reach out directly for any inquiries.