Freightos (CRGO) Sidoti's Year End Virtual Investor Conference summary

Market opportunity and platform overview

• International freight is a $600B market, with over 90% of bookings still offline, creating inefficiencies and opportunities for digital transformation.

• The platform connects carriers, forwarders, and shippers, enabling real-time pricing, instant booking, and efficient procurement.

• Over 1.3 million bookings were processed in 2024, with a run rate of 1.5 million, reflecting rapid adoption and network effects.

• The platform is embedded in workflows of top global freight companies, with 70% of global capacity represented.

• The three-sided network is a core competitive advantage, difficult to replicate even with advanced technology.

Business model and monetization

• Revenue is split between solutions (SaaS/data) and platform (transaction fees), with platform revenue expected to overtake solutions revenue as scale increases.

• Take rates are improved by adding value-added services like payments, interlines, and documentation.

• The platform for importers/exporters and forwarders yields double-digit percentage take rates from GBV.

• Gross margins are improving due to operational efficiencies and infrastructure savings, with SaaS margins higher than platform margins.

• The company is capital efficient, with no debt, minimal CapEx, and a clean balance sheet.

Financial performance and outlook

• Revenue has grown steadily since 2020, projected to reach $29.5–$29.6M in 2025.

• Gross margins have improved to 73–75% (non-IFRS) and 65–69% (IFRS), with further expansion expected.

• Adjusted EBITDA has improved 8–12 percentage points year-on-year, with profitability targeted for Q4 2025 and break-even in 2026.

• Transaction volume and GBV are growing 20–30% year-on-year, with revenue growth guidance of 25–30% annually.

• The company holds $30.6M in cash, expecting to maintain over $20M at break-even.