WiseTech H1FY2024 net profit up 5%, revenue up 32%

CargoWise revenue of A$420.7 million, up 40% compared to H1FY2023, driven by recent M&A and customer growth

WiseTech H1FY2024 net profit up 5%, revenue up 32%

Photos Credit: WiseTech Global

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WiseTech Global reported a five percent increase in net profit at A$128.4 million for the first half of financial year 2024 (six months ended December 31, 2023). Total revenue increased 32 percent to A$500.4 million.

The revenue of CargoWise, the single-platform logistics solution, increased 40 percent (up 19 percent organically) to A$420.7 million compared to H1FY2023, driven by recent M&A and customer growth including new Large Global Freight Forwarder (LGFF) rollouts, says an official release.

Richard White, Founder and CEO, WiseTech

“I am pleased to announce a strong first half financial performance, driven by the focused execution of our 3P strategy by WiseTech’s passionate and dedicated team of more than 3,300 people," says Richard White, Founder and CEO, WiseTech. "Our highly cash generative business model and strong liquidity continues to provide a solid platform to fund long-term sustainable growth.

“We continue to focus on enhancing our core CargoWise platform in pursuit of our vision to be the operating system for global logistics. Innovation remains a critical driver of our growth. We have increased our investment in research and development over the last five years, investing over A$1 billion to deliver more than 5,500 product enhancements which creates substantial value for our customers and underpins revenue growth.

“Our acquisition of MatchBox Exchange in October added another key component to CargoWise’s Landside Logistics capability and will deliver significant efficiency and productivity benefits for our customers. The integration of our recent acquisitions is also progressing well.

“CargoWise’s strong momentum continued in the first half. We have secured a CargoWise global rollout with Sinotrans, bringing our penetration of the top 25 global freight forwarders to 13. We also secured large global freight forwarder rollouts with APL Logistics and Yamato Transport, taking us to 49 LGFFs overall.”

Operating cash flow of A$249.9 million was up 23 percent on H1FY2023, and free cash flow of A$155.3 million was up 13 percent, the release added. "The company has significant financial headroom with total liquidity of A$445 million from cash and undrawn debt facilities."

Guidance reconfirmed
WiseTech Global has reconfirmed its FY2024 guidance range for revenue of A$1,040-1,095 million (representing growth of 27–34 percent) and EBITDA of A$455-490 million (representing growth of 18–27 percent).

“This is an exciting time for our business, our global team, and our customers," says White. "The WiseTech team are truly, deeply, passionate about what we do, and we use all our empathy, energy, focus and talent to drive innovation and deliver substantial value to our customers. We remain steadfast in our long-term vision, continuing to relentlessly invest in enhancing CargoWise, making it the platform of choice for large logistics service providers.”

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