Freightos (CRGO) Q1 2026 earnings summary

Executive summary

• Q1 2026 was softer than expected due to Middle East disruptions, but revenue grew 3% year-over-year to $7.2 million, driven by WebCargo and data solutions, despite headwinds in SaaS and marketplace segments.

• Leadership transition occurred, with a new CEO and ongoing CFO search, positioning 2026 as a transition year focused on execution and SaaS-driven growth.

• Adjusted EBITDA improved to negative $2.8 million from negative $3.0 million year-over-year, reflecting operational efficiency gains.

• The company remains focused on execution, accountability, and scalability, aiming for adjusted EBITDA breakeven by end of 2026.

• Carrier participation increased to 79, with new additions including Ethiopian Cargo and Air Serbia.

Financial highlights

• Q1 2026 revenue was $7.2 million, up 3% year-over-year.

• Processed 425,000 transactions, up 15% year-over-year but below the 20%+ target.

• Gross booking value reached $343 million, up 24% year-over-year.

• Non-IFRS gross margin was 73.5%, within the 70%-80% target range.

• Adjusted EBITDA was negative $2.8 million, in line with expectations and improved from $(3.0)M in Q1 2025.

• IFRS loss for Q1 2026 was $(6.5)M, compared to $(4.5)M in Q1 2025, mainly due to reorganization expenses.

• Cash and short-term deposits ended Q1 at $23.5 million.

Outlook and guidance

• Full-year outlook updated to reflect Q1 softness and ongoing Middle East impacts; FY 2026 revenue guidance is $30.2M–$31.4M, up 3%–6% year-over-year.

• Q2 2026 revenue expected between $7.2–$7.4 million, flat to down 3% year-over-year.

• Adjusted EBITDA for FY 2026 is expected between $(6.9)M and $(6.2)M, with breakeven targeted by year-end.

• Transaction volume for FY 2026 projected at 1.81–1.84 million, up 10–12% year-over-year; GBV expected at $1.51–$1.53 billion, up 18–19%.

• Long-term vision targets 20%-30% annual growth in transactions and GBV, 25%-30% revenue growth, and 70%-80% gross margin.