Freightos (CRGO) posts record $7.7M quarter, holds Q4 EBITDA breakeven target

The catalyst in focus for $CRGO is a record second-quarter revenue print of $7.7 million, paired with a reiterated target of reaching adjusted EBITDA breakeven at some point in Q4 2026. Freightos Limited (Nasdaq: CRGO) narrowed its adjusted EBITDA loss to $2 million in the period. The next confirmable milestone is Q3 revenue, with the company guiding $7.7 million to $7.8 million.

The print and what drove it

Speaking at a Sidoti conference, recently appointed CEO Pablo Pinillos said platform revenue climbed 90% year over year, while solutions revenue fell 4% to $4.8 million. Transactions reached 458,000, up 15% from the prior-year period. Pinillos noted that excluding routes touching Middle East origins, destinations, or airspace, that growth fell within the company's longer-term target range of 20% to 30%.

The Middle East conflict held Q2 air freight rates roughly 25% above pre-conflict levels and pressured transaction volumes in affected corridors, though Pinillos said revenue distribution was not materially affected. The full-year outlook assumes recovery in Middle East freight activity continues at approximately the pace seen in Q2 and that air freight rates hold near current levels.

Freightos modestly raised its full-year transaction and gross booking value outlook while narrowing revenue guidance to $30.4 million to $31.0 million. Over the past 12 months the platform processed about 1.8 million transactions, representing approximately $1.5 billion in aggregate gross booking value. Cash ended the quarter at $21.4 million, and Pinillos said the company does not see a need for additional strategic investment to reach its planned growth trajectory.

Setup and what to watch

The profitability path runs through a solutions business that Pinillos acknowledged needs better execution on sales, conversion, and implementation speed. About two-thirds of revenue is recurring, per the CEO, providing some visibility into the back half. Freightos added Korean Air in Q2, bringing its active carrier count to 75, covering roughly 80% of global air cargo capacity and including all of the top 20 air carriers. Pinillos said customers using the company's software solutions book three to five times more transactions than those who do not, framing the SaaS offerings as a liquidity driver for the marketplace.

The company expects to become cash generative by mid-2027. Watch the Q3 revenue print against the $7.7 million to $7.8 million guided range and any update on solutions implementation speed, which Pinillos flagged as a second-half priority.

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