Booking portal Freightos sees Q3 revenues rise but losses deepen
22 / 11 / 2023
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Freightos continued to record improvements in both revenues and the number of transactions made on its booking portals in the third quarter but losses deepened.
The company, which includes airfreight booking portal WebCargo, saw its revenues increase by 8.9% year on year to $5.1m in the third quarter of the year on the back of a 40% improvement in the number of transactions to 269,000.
Meanwhile, losses for the period grew to $7.2m from $5.4m last year as spending on research and development; sales and marketing; and admin increased.
The company also incurred around $800,000 in costs for its reorganisation. In July, the company announced that it would reduce its headcount by around 50 people as part of efforts to reduce costs.
Despite the loss, the company was positive on its performance during the period given the improvements in revenues and transactions.
It pointed out the improvement in transactions came despite overall global air cargo volumes being flat compared to the third quarter of 2022 and below 2019 levels.
Meanwhile, the number of unique buyer users digitally booking freight services across the Freightos Platform grew 16% compared to the third quarter of 2022, reaching 17,312.
Zvi Schreiber, founder and chief executive of Freightos, said: “We are pleased with our third quarter results, marking the 15th straight quarter of robust growth in the number of transactions.
“This is a clear indicator of how strongly our value proposition is resonating, despite the current industry downturn.
“On a macro level, we are encouraged to see that global trade volumes continue to grow, and look forward to more indications of recovery in the global freight market.”
“During the quarter, we enhanced our offerings with key features and expanded our network of buyers and sellers.
“Even with this growth, we are only scratching the surface of digitizing the international freight market, and we’re excited about the opportunities we have as leaders in this ongoing digital transformation.”
The number of compaines offering their capacity also increased during the period to 39, with airline Norse Atlantic Airways, charter company Chapman Freeborn amd GSAs CargoJet and InXpress joining.
“Other existing airline sellers expanded available capacity to and from the Americas, Europe, Asia and the Caribbean, and expanded availability of specialized air cargo services for pharma,” the company said.
