Freightos Limited Ordinary shares

Freightos reported Q2 revenue of $7.7 million, up 3% year over year. Platform revenue was $2.9 million, up 19%, while Solutions revenue was $4.8 million, down 4%. Gross margin was 74.1%, up from 73.5% in Q2 last year, and adjusted EBITDA was negative $2 million. Platform facilitated 458,000 transactions, up 15%, and gross booking value reached $422 million, up 33%. For Q3, management guided to revenue of $7.7 million to $7.8 million and adjusted EBITDA of negative $1.3 million to $1.2 million. Full-year 2026 revenue guidance was narrowed to $30.4 million to $31.0 million, with 12% to 14% transaction growth and 19% to 21% GBV growth; management expects adjusted EBITDA breakeven in Q4 and cash generation in the first half of 2027.

Pablo Pinillos framed 2026 as a transition year focused on disciplined execution, tighter prioritization, and building the foundation for long-term growth. He emphasized the strategic importance of Freightos becoming the infrastructure layer connecting global freight, highlighted the addition of Korean Air, and said the unified ONE Freightos identity is meant to better connect procurement, pricing, booking, payments, data, and decision intelligence. His tone was constructive but candid, especially on Solutions, where he said execution is not yet where it needs to be and that the priority for the second half is converting pipeline into bookings and recurring revenue.

As Interim CFO, Pablo said the company ended Q2 with $21.4 million in cash and short-term deposits, down from $23.5 million at the end of Q1, a $2.1 million change. He linked cash burn closely to adjusted EBITDA, noting Q2 cash burn was $2.1 million versus adjusted EBITDA loss of $2 million, and said he expects burn for the rest of the year to track guidance, with no more than $500,000 added in the beginning of next year until cash positive. He also said the March cost optimization actions are on track, with the operational benefit continuing in Q3 and the full financial impact expected in Q4.

Analysts focused on why Solutions is lagging despite volatile freight prices, why renewals are under pressure, and whether the stronger platform metrics should have lifted full-year revenue guidance more. Management said the issue is not lack of pipeline but conversion: customers are slower to commit because of budget scrutiny, market uncertainty, and pricing pressure, and Freightos needs to shorten sales cycles and close more effectively. On carriers falling below the active threshold, Pablo clarified they are still on the platform and bookings continue; the company reaches out directly to help maximize their usage. In response to questions about cash, management said the business is broadly tracking EBITDA-to-cash burn and expects breakeven momentum to build through Q4 and into 2027.