Freightos FY2023 revenue up 6%

Nasdaq-listed Freightos, a digital booking and payment platform for the international freight industry, reported a six percent increase in 2023 revenue at $20.3 million with over 1.25 million transactions during the year.

"Adjusted EBITDA was negative $19 million compared to negative $14.6 million for 2022," says an official release.

For the fourth quarter of 2023, revenue was up eight percent at $5.3 million on 36 percent increase in transactions at 287,000.

Adjusted EBITDA came in at negative $3.8 million compared to negative $4.4 million for the fourth quarter of 2022, the release added.

"Gross Booking Value (GBV) was $187.5 million in the fourth quarter, up 10 percent compared to the fourth quarter of 2022, reflecting strong transaction growth, offset, in part, by lower average freight prices. While disruption to shipping in the Red Sea did drive a rate increase, this only came in the final days of the year.

"The number of unique buyer users digitally booking freight services across the Freightos Platform grew by 12 percent compared to the fourth quarter of 2022, reaching 17,600."

The number of carriers selling on the platform, primarily on WebCargo, increased to 45 as of the end of the fourth quarter of 2023. "Among these carriers are Japan Airlines and a leading North American airline. Additional new airlines signed to join the WebCargo platform in the fourth quarter including two top-20 air cargo carriers."

Zvi Schreiber, CEO, Freightos says: “As we reflect on our first year as a public company - a year marked by significant challenges for the freight industry - Freightos not only demonstrated remarkable resilience but also achieved a significant milestone in the growth of our platform, powering over a million transactions in 2023. This pivotal year has solidified our position as a leading platform for international freight, highlighting how our relentless drive to digitalise the industry delivers exceptional value to our customers. I want to take this opportunity to thank our talented team, which is focused on continually advancing our offerings to streamline operations for our carrier, forwarder and importer or exporter customers."

Ran Shalev, CFO, Freightos adds: “The past year has shown solid growth and solid progress towards profitability, illustrating our strategic balance between fostering growth and managing costs while maintaining a healthy financial position. As we enter 2024, we aim to efficiently scale transactions and revenue while further reducing our cash burn. Our long-term financial strategy is about establishing our platform as a standard in the digital international freight market.”

Cash and cash equivalents and short term deposits and investments balance at the end of December 2023 was $51.7 million, the release added.

2024 outlook
Freightos is expecting transaction growth of 22-26 percent in Q12024 and 26-34 percent for 2024 between 1.3-1.4 million.

Revenue is seen increasing eight-ten percent for Q12024 and 11-18 percent for 2024 at $22.4-24 million.