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Freightos targets adjusted EBITDA breakeven in Q4 2026 and cash flow by mid-2027
The company said platform revenue rose 19% while solutions revenue fell 4%, and it expects Middle East route recovery to continue at the Q2 pace.
Freightos Limited characterized 2026 as a transition year centered on disciplined execution and tighter prioritization as it reported results from its Q2 2026 earnings call, according to Yahoo Finance.
Management said platform revenue grew 19%, supported by a resilient global offering and a temporary tailwind from Clearit customs refund activity after tariff policy changes. Solutions revenue declined 4%, with executives pointing to execution gaps in building recurring revenue streams and pricing pressure on renewals.
Freightos reported transaction growth of 15%, which it said was impacted by Middle East conflict disruptions, though growth excluding affected routes stayed within its long term target of 20% to 30%. The company also noted the addition of Korean Air as it expands airline participation across the Asian cargo market, and it is consolidating its product portfolio under the ONE Freightos identity to simplify procurement workflows.
On guidance, Freightos expects to reach adjusted EBITDA breakeven at some point during Q4 2026 and exit the year at a breakeven run rate. It also expects to become cash flow generative by mid-2027, citing a cash position of $21.4 million, while stating its projections assume Middle East route recovery continues at the Q2 pace without full normalization.
The company said operating discipline improved, reflected in a record low adjusted EBITDA loss from cost optimization actions initiated in March. Freightos also appointed Yaron Eldad as CFO effective September 1 and flagged pricing pressure on SaaS renewals and procurement budget scrutiny as headwinds for the Solutions segment.