Key Highlights

  • CRGO reported second-quarter 2026 Revenue of $7.7 million, a company record, up 3 percent year over year and beating the $7.3 million estimate by 5.26 percent.
  • Platform revenue grew 19 percent year over year to $2.9 million, while solutions revenue declined 4 percent to $4.8 million, reflecting execution gaps identified during 2025.
  • Platform transactions reached 458,000, up 16 percent year over year, with gross booking value hitting a record $422 million, up 33 percent.
  • Adjusted EBITDA loss improved to a record low of negative $2 million, and the company narrowed full-year 2026 revenue guidance to a range of $30.4 million to $31.0 million.

Platform Outperformance Driven by Tariff-Related Refund Activity

Freightos Limited (NASDAQ:CRGO), a Hong Kong-headquartered digital freight booking and payment platform connecting airlines, ocean carriers, and freight forwarders, said platform revenue outperformance was driven by its Clearit customs transactions business, which processed a higher-than-expected Volume of tariff-related refund claims following recent trade policy changes. Management said this activity carries higher revenue per transaction than typical customs work and was a meaningful, largely temporary contributor to the quarter, with a more moderate contribution expected in the third quarter and a smaller contribution in the fourth.

Because this Clearit refund activity is not expected to repeat at the same level, the platform revenue growth rate seen this quarter should be viewed as somewhat elevated relative to the underlying trajectory of the business, even as management noted that excluding Middle East-affected routes, transaction growth remained in the company's long-term target range of 20 to 30 percent.

Solutions Revenue Decline Reflects Execution Gaps

Solutions revenue fell 4 percent year over year, which management attributed directly to new bookings falling short of covering a shortfall from softer renewals amid pricing pressure and budget scrutiny among customers. The company said its sales pipeline grew 30 percent quarter over quarter, but emphasized that pipeline growth alone is not the outcome it is measuring, pointing instead to conversion rates, sales cycle duration, and customer go-lives as the metrics that will determine whether execution improves in the second half.

Because management explicitly stated it is not satisfied with solutions performance and that new bookings have not yet offset renewal pressure, the credibility of the company's expectation for improved conversion in the second half will depend on visible progress in these bookings metrics over the coming quarters rather than continued pipeline growth alone.

ONE Freightos Unification Aims to Deepen Platform Adoption

The company brought its previously separate products together under a single Freightos Brand identity during the quarter, a change management described as reflecting the increasing integration of its shipper, forwarder, and enterprise solutions into a connected platform spanning procurement, pricing, booking, and data intelligence. The addition of Korean Air to the carrier network and continued development of multimodal capabilities across ocean, air, and land freight were cited as evidence of this platform strategy advancing, though active carrier count declined slightly to 75 from 79 in the prior quarter as some carriers fell below the minimum transaction threshold.

Conclusion

Freightos delivered record platform metrics this quarter, aided by a temporary boost from tariff-related refund processing, while continuing to work through execution challenges in its solutions Business that management has acknowledged directly. The company's ability to convert its growing sales pipeline into actual bookings during the second half, alongside its progress toward an expected adjusted EBITDA breakeven crossover in the fourth quarter, will be the key indicators of whether 2026 concludes as the transition year management has described.