- Sustained growth in Transactions and in number of Buyer
Users reflects continued marketplace growth dynamic
- Operational efficiency plan yields better than expected
results enhancing the Company's financial standing
JERUSALEM, Nov. 21,
2023 /PRNewswire/ -- Freightos Limited (NASDAQ:
CRGO), a leading vendor-neutral digital booking and payment
platform for the international freight industry, today reported
financial results for the quarter ended September 30, 2023.
"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." said Zvi
Schreiber, founder and CEO of Freightos. "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."
"We're encouraged by the progress toward profitability in the
third quarter, which confirms the effectiveness of our operational
efficiency plan launched in July," said Ran Shalev, CFO of
Freightos. "The third quarter's results are a testament to our
strategic balance of driving growth and managing expenses. This
trend together with our solid cash position, keeps us on course to
reach profitability with the capital on hand."
Third Quarter 2023 financial highlights
- Revenue of $5.1 million for the
third quarter of 2023, an increase of 9% compared to the third
quarter of 2022, or 7% on a constant currency basis.
- IFRS Gross Margin of 54.9%, the same as for the third quarter
of 2022. Non-IFRS Gross Margin of 69.5%, compared to 63.5% for the
third quarter of 2022.
- IFRS operating loss of $9.3
million, compared to $5.3
million in the third quarter of 2022
- Adjusted EBITDA in the third quarter of 2023 of negative
$4.1 million, compared to negative
$3.4 million in the third quarter of
2022.
- Cash and cash equivalents and short term deposits and
investments balance at the end of September
2023 of $55.2 million.
Recent business highlights
- Transaction Growth: Freightos achieved a record 269
thousand Transactions in the third quarter of 2023, up 40% year
over year, for the first time exceeding a run rate of a million
transactions per year. This growth was achieved while overall
global air cargo volumes were flat compared to the third quarter of
2022 and still remain below 2019 levels, based on IATA data. At the
same time global ocean container shipping volumes increased 5% from
the third quarter of 2022, according to Container Trades
Statistics.
- Gross Booking Value Growth:Gross Booking Value (GBV) was
$160.7 million in the third quarter,
up 1% compared to the third quarter of 2022, reflecting strong
Transactions growth but lower average freight prices.
- Unique Buyer Users: 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.
- Revenue growth: Revenue of $5.1 reflects growth from increased use of
platforms and solutions by forwarders and carriers, offset by
reduced direct engagement from small to mid-sized
importers/exporters compared to the previous year, in line with the
company's expectations when it implemented its operational
efficiency plan. Total Platform revenue in the third quarter was
$1.8 million, at the same level as
the third quarter last year, and Solutions revenue was $3.3 million, up 14% year over year.
- Carrier Growth: Carriers selling on the Platform,
primarily on WebCargo, increased to 39 as of the end of the third
quarter of 2023. In Q3 the WebCargo platform welcomed new airlines
Norse Atlantic Airways and aircraft charter company Chapman
Freeborn, more Global Sales Agents (GSAs) offered capacity -
including CargoJet and InXpress, while other existing airline
sellers expanded available capacity to and from the Americas,
Europe, Asia and the Caribbean, and expanded availability of
specialized air cargo services for pharma.
- WebCargo Solutions and Platform Advances: Freightos
Solutions for freight forwarders, sold under the WebCargo brand,
continued to improve with a range of new features in Q3, including
new integrations for air cargo data handling and visibility,
enhanced carrier integration and language solutions, and booking
and payment solutions for ocean shipments.
Financial outlook
|
Management
Expectations
|
|
Q4
2023
|
FY
2023
|
|
|
|
#
Transactions
|
273,000 -
284,000
|
1,010,500 -
1,021,500
|
Year over Year
Growth
|
30% -
35%
|
51% -
53%
|
GBV ($m)
|
$ 163.5 - $
175.0
|
$ 647.5 - $
659.0
|
Year over Year
Growth
|
(4)% -
3%
|
6% -
8%
|
Revenue ($m)
|
$ 5.1 - $
5.3
|
$ 20.1 - $
20.3
|
Year over Year
Growth
|
4% -
10%
|
5% -
7%
|
Adjusted EBITDA
($m)
|
$ (4.7) - $
(4.4)
|
$ (19.9) - $
(19.6)
|
This outlook assumes currency exchange rates, freight price
levels and freight volumes as of November
15, 2023.
Earnings Webcast
Freightos' management will host a webcast and conference call to
discuss the results today, November 21,
2023 at 8:30 a.m. EST.
To participate in the call, please register at the following
link:
https://freightos.zoom.us/webinar/register/WN_vt-BkyB0Qw6Qhj0g32vKUg#/registration
Following registration, you will be sent the link to the
conference call which is accessible either via the Zoom app, or
alternatively from a dial-in telephone number.
Questions may be submitted in advance to ir@freightos.com or via
Zoom during the call.
A replay of the webcast will be available on Freightos' Investor
Relations website following the call, as well as the call's
transcript.
Forward-Looking Statements
This press release includes "forward-looking statements" within
the meaning of the "safe harbor" provisions of the United States
Private Securities Litigation Reform Act of 1995. Forward-looking
statements may be identified by the use of words such as
"estimate," "plan," "project," "forecast," "intend," "will,"
"expect," "anticipate," "believe," "seek," "target" or other
similar expressions that predict or indicate future events or
trends or that are not statements of historical matters. These
statements, which include the financial outlook of Freightos, are
based on various assumptions, whether or not identified in this
press release, and on the current expectations of Freightos and are
not predictions of actual performance. These forward-looking
statements are not intended to serve as, and must not be relied on
by any investor as, a guarantee, an assurance, a prediction or a
definitive statement of fact or probability. Actual events and
circumstances are difficult or impossible to predict and will
differ from assumptions. Many actual events and circumstances are
beyond the control of Freightos. These forward-looking statements
are subject to a number of risks and uncertainties, including the
ongoing military conflict in the Middle
East; Freightos' ability to effectively execute the
previously announced operational efficiency and cost reduction plan
without undue disruption to its business; competition and the
ability of Freightos to build and maintain relationships with
carriers, freight forwarders and importers/exporters and retain its
management and key employees; changes in applicable laws or
regulations; any downturn or volatility in economic conditions
whether related to inflation, armed conflict or otherwise; changes
in the competitive environment affecting Freightos or its users,
including Freightos' inability to introduce new products or
technologies; risks to Freightos' ability to protect its
intellectual property and avoid infringement by others, or claims
of infringement against Freightos; and those factors discussed in
Freightos' annual report on Form 20-F filed with the SEC on
March 30, 2023, under the heading
"Risk Factors," and any other risk factors Freightos includes in
any subsequent reports on Form 6-K furnished to the SEC. If any of
these risks materialize or our assumptions prove incorrect, actual
results could differ materially from the results implied by these
forward-looking statements. There may be additional risks that
Freightos does not presently know or that Freightos currently
believes are immaterial that could also cause actual results to
differ from those contained in the forward-looking statements. In
addition, forward-looking statements reflect Freightos'
expectations, plans or forecasts of future events and views as of
the date of this press release. Freightos anticipates that
subsequent events and developments will cause Freightos'
assessments to change. However, while Freightos may elect to update
these forward-looking statements at some point in the future,
Freightos specifically disclaims any obligation to do so. These
forward-looking statements should not be relied upon as
representing Freightos' assessments as of any date subsequent to
the date of this press release. Accordingly, undue reliance should
not be placed upon the forward-looking statements.
Financial Information; Non-IFRS Financial Measures
While certain financial figures included in this press release
have been computed in accordance with International Financial
Reporting Standards ("IFRS") as issued by the International
Accounting Standards Board, this press release does not contain
sufficient information to constitute an interim financial report as
defined in International Accounting Standards 34, "Interim
Financial Reporting" nor a financial statement as defined by
International Accounting Standards 1 "Presentation of Financial
Statements". Not all of the financial information in this press
release has been audited.
This press release includes certain financial measures not
presented in accordance with generally accepted accounting
principles ("IFRS") including, but not limited to, Adjusted EBITDA.
These non-IFRS measures differ from the most directly comparable
measures determined under IFRS, but we have not presented a
reconciliation to the most directly comparable IFRS measures,
because the non-IFRS measures are forward-looking and a
reconciliation cannot be prepared without unreasonable effort.
These measures should not be considered in isolation or as an
alternative to revenue, net income, cash flows from operations or
other measures of profitability, liquidity or performance under
IFRS. You should be aware that the presentation of these measures
may not be comparable to similarly-titled measures used by other
companies. In addition, this press release discloses revenue on a
constant currency basis, which is not presented in accordance with
IFRS. Freightos believes that revenue on a constant currency basis,
Adjusted EBITDA and other non-IFRS measures provide useful
information to investors and others in understanding and evaluating
Freightos' operating results because they provide supplemental
measures of our core operating performance and offers consistency
and comparability with both past financial performance and with
financial information of peer companies. Certain monetary amounts,
percentages and other figures included in this press release have
been subject to rounding adjustments. Certain other amounts that
appear in this press release may not sum due to rounding.
Definitions
- Carriers: Number of unique air and ocean carriers who
have been sellers of transactions. For airlines, we count booking
carriers, which include separate airlines within the same carrier
group. We do not count dozens of other airlines that operate
individual segments of air cargo transactions as we do not have a
direct booking relationship with them. Carriers include ocean
less-than-container load (LCL) consolidators. In addition, we only
count carriers when more than five bookings were placed with them
over the course of a quarter.
- Unique buyer users: Unique buyer users represent the
number of individual users placing bookings, typically counted
based on unique email logins. The number of buyers, which counts
unique customer businesses, does not reflect the fact that some
buyers are large multinational organizations while others are small
or midsize businesses. Therefore, we find it more useful to monitor
the number of unique buyer users than the number of buyer
businesses.
- Constant Currency: Comparative information calculated by
translating Freightos' current period financial results using the
prior period's monthly exchange rates (or other applicable rates,
as indicated).
- GBV: Total value of transactions on the Freightos
platform, which is the monetary value of freight and related
services contracted between buyers and sellers on the Freightos
platform, plus related fees charged to buyers and sellers, and
pass-through payments such as duties. GBV is converted to U.S.
dollars at the time of each transaction on the Freightos platform.
This metric may be similar to what others call gross merchandise
value (GMV) or gross services volume (GSV). We believe that this
metric reflects the scale of the Freightos platform and our
opportunities to generate platform revenue.
- #Transactions: Number of bookings for freight services,
and related services, placed by buyers across the Freightos
platform with third-party sellers and with Clearit. Beginning in
the third quarter of 2022, #Transactions include trucking bookings,
which were added to the Freightos platform following the
acquisition of 7LFreight. The number of transactions booked on the
Freightos platform in any given time period is net of transactions
canceled during the same time period.
- Adjusted EBITDA: Adjusted EBITDA represents net loss
before income taxes, finance income, finance expense, share-based
compensation expense, depreciation and amortization, changes in the
fair value of contingent consideration, operating expense settled
by issuance of shares, redomicile costs, share listing expense,
change in fair value of warrants, transaction-related costs,
non-recurring expenses associated with the business combination
with Gesher I Acquisition Corp and reorganization expenses.
- Platform Revenue: Platform revenue reflects fees charged
to buyers and sellers in relation to transactions executed on the
Freightos platform. For bookings conducted by importers/exporters,
our fees are typically structured as a percentage of booking value,
depending on the mode and nature of the service. When freight
forwarders book with carriers, the sellers often pay a
pre-negotiated flat fee per transaction. When sellers transact with
a buyer who is a new customer to the seller, we may charge a
percentage of the booking value as a fee.
- Solutions Revenue: Solutions revenue is primarily
subscription-based SaaS and data. It is typically priced per user
or per site, per time period, with larger customers such as
multinational freight forwarders often negotiating flat all-
inclusive subscriptions. Revenue from our Solutions segment
includes certain non-recurring revenue from services ancillary to
our SaaS products, such as engineering, customization,
configuration and go-live fees, and data services for digitizing
offline data.
Contacts
Media:
Tali Aronsky
press@freightos.com
Investors:
Anat Earon-Heilborn
ir@freightos.com
About Freightos Limited
Freightos® (NASDAQ: CRGO) operates a leading,
vendor-neutral booking and payment platform for international
freight. Freightos' platform supports supply chain efficiency and
agility by enabling real-time procurement of ocean and air shipping
across more than ten thousand importers/exporters, thousands of
forwarders, and dozens of airlines and ocean carriers.
Freightos.com is a premier digital international freight
marketplace for importers and exporters for instant pricing,
booking, and shipment management. Thousands of SMBs and enterprises
have sourced shipping services via Freightos across dozens of
logistics service providers.
WebCargo® by Freightos is a leading global freight
platform connecting carriers and forwarders. In particular, it is
the largest air cargo eBooking platform, enabling simple and
efficient freight pricing and booking between thousands of freight
forwarders, including the top twenty global freight forwarders, and
hundreds of airlines, ocean liners and trucking carriers. Airlines
on the platform represent over a third of global air cargo
capacity. WebCargo also offers software as a service for forwarders
to facilitate digital freight rate management, quoting, and online
sales.
Freightos Data calculates the Freightos Baltic Index, the
industry's key daily benchmark of container shipping prices, the
Freightos Air Index, as well as other market intelligence products
that improve supply chain decision-making, planning, and pricing
transparency.
Freightos is a widely recognized logistics technology leader
with a worldwide presence and a broad customer network.
Incorporated in the Cayman Islands
with offices around the world, Freightos is a Nasdaq-listed company
trading under Nasdaq:CRGO. More information is available at
freightos.com/investors.
CONSOLIDATED BALANCE
SHEETS
|
(In
thousands)
|
|
September 30,
2023
|
|
December 31,
2022
|
|
(unaudited)
|
|
(audited)
|
Assets
|
|
|
|
Current
Assets:
|
|
|
|
Cash and cash
equivalents
|
$
5,076
|
|
$
6,492
|
User funds
|
4,722
|
|
3,328
|
Trade receivables,
net
|
2,258
|
|
1,936
|
Short-term bank
deposit
|
20,000
|
|
-
|
Short-term
investments
|
30,097
|
|
-
|
Other receivables and
prepaid expenses
|
2,524
|
|
1,215
|
|
64,677
|
|
12,971
|
|
|
|
|
Non-current
Assets:
|
|
|
|
Property and equipment,
net
|
643
|
|
767
|
Right-of-use assets,
net
|
1,115
|
|
1,384
|
Intangible assets,
net
|
8,088
|
|
9,465
|
Goodwill
|
15,628
|
|
15,628
|
Deferred
taxes
|
618
|
|
573
|
Other long-term
assets
|
1,585
|
|
1,018
|
|
27,677
|
|
28,835
|
|
|
|
|
Total assets
|
$
92,354
|
|
$
41,806
|
|
|
|
|
Liabilities and
Equity
|
|
|
|
Current
liabilities:
|
|
|
|
Short-term bank loan
and credit
|
$ -
|
|
$
2,505
|
Trade
payables
|
3,248
|
|
3,234
|
User
accounts
|
4,722
|
|
3,328
|
Current maturity of
lease liabilities
|
652
|
|
613
|
Accrued expenses and
other payables
|
5,876
|
|
7,400
|
|
14,498
|
|
17,080
|
|
|
|
|
Long Term
Liabilities:
|
|
|
|
Lease
liabilities
|
193
|
|
395
|
Employee benefit
liabilities, net
|
1,064
|
|
1,294
|
Warrants
liability
|
1,944
|
|
-
|
Other long-term
liabilities
|
440
|
|
1,377
|
|
3,641
|
|
3,066
|
|
|
|
|
Equity:
|
|
|
|
Share
capital
|
*)
|
|
*)
|
Share
premium
|
254,942
|
|
140,229
|
Reserve from
remeasurement of defined benefit plans
|
137
|
|
137
|
Accumulated
deficit
|
(180,864)
|
|
(118,706)
|
Total equity
|
74,215
|
|
21,660
|
|
|
|
|
Total liabilities and
equity
|
$
92,354
|
|
$
41,806
|
|
*) Represents an amount
lower than $1.
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
(in thousands, except
share and per share data)
|
|
|
Three Months
Ended
|
|
Nine Months
Ended
|
|
September
30,
|
|
September
30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
|
(unaudited)
|
|
(unaudited)
|
Revenue
|
$
5,107
|
|
$
4,688
|
|
$
15,023
|
|
$
14,236
|
Cost of
revenue
|
2,305
|
|
2,113
|
|
6,493
|
|
5,881
|
Gross profit
|
2,802
|
|
2,575
|
|
8,530
|
|
8,355
|
Operating
expenses:
|
|
|
|
|
|
|
|
Research and
development
|
2,992
|
|
2,526
|
|
9,006
|
|
7,645
|
Selling and
marketing
|
3,944
|
|
2,437
|
|
11,025
|
|
7,338
|
General and
administrative
|
4,274
|
|
2,200
|
|
10,353
|
|
7,197
|
Reorganization
|
884
|
|
-
|
|
884
|
|
-
|
Transaction-related
costs
|
-
|
|
741
|
|
3,703
|
|
1,553
|
Share listing
expense (1)
|
-
|
|
-
|
|
46,717
|
|
-
|
Total operating
expenses
|
12,094
|
|
7,904
|
|
81,688
|
|
23,733
|
Operating
loss
|
(9,292)
|
|
(5,329)
|
|
(73,158)
|
|
(15,378)
|
Change in fair value of
warrants
|
1,577
|
|
-
|
|
8,981
|
|
-
|
Finance
income
|
677
|
|
91
|
|
2,367
|
|
262
|
Finance
expenses
|
(64)
|
|
(95)
|
|
(287)
|
|
(401)
|
Financing income
(expenses), net
|
613
|
|
(4)
|
|
2,080
|
|
(139)
|
Loss before taxes on
income
|
(7,102)
|
|
(5,333)
|
|
(62,097)
|
|
(15,517)
|
Income taxes
|
58
|
|
53
|
|
61
|
|
91
|
Loss
|
$
(7,160)
|
|
$
(5,386)
|
|
$
(62,158)
|
|
$
(15,608)
|
Other comprehensive
income (net of tax effect):
|
|
|
|
|
|
|
|
Remeasurement gain from
defined benefit plans
|
-
|
|
-
|
|
-
|
|
225
|
Total components that
will not be reclassified
subsequently to profit or loss
|
-
|
|
-
|
|
-
|
|
225
|
Total comprehensive
loss
|
$
(7,160)
|
|
$
(5,386)
|
|
$
(62,158)
|
|
$
(15,383)
|
Basic and diluted loss
per Ordinary share
|
$
(0.15)
|
|
$
(0.95)
|
|
$
(1.43)
|
|
$
(2.84)
|
Weighted average number
of shares outstanding
used to compute basic and diluted loss per share
|
47,591,775
|
|
8,112,059
|
|
43,839,445
|
|
7,844,521
|
|
(1) Represents
non-recurring, non-cash share-based listing expense incurred in
connection with the business
combination with Gesher I Acquisition
Corp.
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
(in
thousands)
|
|
|
|
Three Months
Ended
|
Nine Months
Ended
|
|
September
30,
|
September
30,
|
|
2023
|
2022
|
2023
|
2022
|
|
(unaudited)
|
(unaudited)
|
Cash flows from
operating activities:
|
|
|
|
|
Loss
|
$ (7,160)
|
$ (5,386)
|
$ (62,158)
|
$ (15,608)
|
Adjustments to
reconcile net loss to net cash used in operating
activities:
|
|
|
|
|
Adjustments to profit
or loss items:
|
|
|
|
|
Depreciation and
amortization
|
719
|
640
|
2,081
|
1,769
|
Operating expense
settled by issuance of shares
|
184
|
-
|
184
|
-
|
Share listing
expense
|
-
|
-
|
46,717
|
-
|
Change in fair value of
warrants
|
(1,577)
|
-
|
(8,981)
|
-
|
Changes in the fair
value of contingent consideration
|
109
|
(96)
|
(794)
|
(225)
|
Share-based
compensation
|
3,375
|
635
|
4,503
|
1,367
|
Finance expenses
(income), net
|
(722)
|
99
|
(1,928)
|
363
|
Income taxes
|
58
|
53
|
61
|
91
|
|
2,146
|
1,331
|
41,843
|
3,365
|
Changes in asset and
liability items:
|
|
|
|
|
Decrease (increase) in
user funds
|
(1,207)
|
546
|
(1,396)
|
3,237
|
Increase (decrease) in
user accounts
|
1,207
|
(546)
|
1,396
|
(3,237)
|
Decrease (increase) in
other receivables and prepaid expenses
|
749
|
(128)
|
(336)
|
(292)
|
Decrease (increase) in
trade receivables
|
(98)
|
69
|
(337)
|
(259)
|
Increase (decrease) in
trade payables
|
(245)
|
906
|
64
|
1,679
|
Increase (decrease) in
accrued severance pay, net
|
(204)
|
(7)
|
(216)
|
78
|
Increase (decrease) in
accrued expenses and other payables
|
(494)
|
530
|
(3,396)
|
1,554
|
|
(292)
|
1,370
|
(4,221)
|
2,760
|
Cash received (paid)
during the year for:
|
|
|
|
|
Interest received,
net
|
48
|
17
|
523
|
(144)
|
Taxes paid
|
(37)
|
(65)
|
(91)
|
(109)
|
|
11
|
(48)
|
432
|
(253)
|
Net cash used in
operating activities
|
(5,295)
|
(2,733)
|
(24,104)
|
(9,736)
|
Cash flows from
investing activities:
|
|
|
|
|
Purchase of property
and equipment
|
(6)
|
(44)
|
(74)
|
(213)
|
Proceeds from sale of
property and equipment
|
7
|
1
|
8
|
1
|
Acquisition of a
subsidiary, net of cash acquired (a)
|
-
|
-
|
-
|
(4,183)
|
Payment of payables for
previous acquisition of a subsidiary
|
-
|
-
|
(136)
|
(156)
|
Investment in long-term
assets
|
(29)
|
(13)
|
(376)
|
(494)
|
Withdrawal of a
deposit
|
3
|
-
|
3
|
-
|
Withdrawal of
(investment in) short term investments, net
|
1,250
|
-
|
(29,670)
|
-
|
Investment in
short-term bank deposit
|
-
|
-
|
(20,000)
|
-
|
Net cash provided by
(used in) investing activities
|
1,225
|
(56)
|
(50,245)
|
(5,045)
|
Cash flows from
financing activities:
|
|
|
|
|
Proceeds from the
issuance of share capital and warrants
net of transaction costs
|
-
|
-
|
76,044
|
-
|
Repayment of lease
liabilities
|
(86)
|
(136)
|
(373)
|
(448)
|
Repayment of short-term
bank loan and credit
|
-
|
-
|
(2,504)
|
-
|
Exercise of
options
|
32
|
22
|
51
|
53
|
Net cash provided by
(used in) financing activities
|
(54)
|
(114)
|
73,218
|
(395)
|
Exchange differences on
balances of cash and cash equivalents
|
(94)
|
(179)
|
(285)
|
(550)
|
Decrease in cash and
cash equivalents
|
(4,218)
|
(3,082)
|
(1,416)
|
(15,726)
|
Cash and cash
equivalents at the beginning of the period
|
9,294
|
12,435
|
6,492
|
25,079
|
Cash and cash
equivalents at the end of the period
|
$
5,076
|
$
9,353
|
$
5,076
|
$
9,353
|
(a) Acquisition of an
initially consolidated subsidiary:
|
|
|
|
|
Working capital
(excluding cash and cash equivalents)
|
$ -
|
$ -
|
$ -
|
$
(992)
|
Other
receivables
|
-
|
-
|
-
|
163.00
|
Property and
equipment
|
-
|
-
|
-
|
12
|
Intangible
assets
|
-
|
-
|
-
|
5,734
|
Goodwill
|
-
|
-
|
-
|
7,607
|
Shares
issued
|
-
|
-
|
-
|
(6,573)
|
Contingent
consideration
|
-
|
-
|
-
|
(1,768)
|
Acquisition of a
subsidiary, net of cash acquired
|
$ -
|
$ -
|
$ -
|
$
4,183
|
(b) Significant
non-cash transactions:
|
|
|
|
|
Right-of-use asset
recognized with corresponding lease liability
|
$ 78
|
$ -
|
$ 239
|
$ 74
|
Issuance of shares for
previous acquisition of a subsidiary
|
$ -
|
$ -
|
$ 113
|
$ -
|
RECONCILIATION OF
IFRS TO NON-IFRS GROSS PROFIT AND
|
GROSS
MARGIN
|
|
(in thousands, except
gross margin data)
|
|
|
Three Months
Ended
|
|
Nine Months
Ended
|
|
September
30,
|
|
September
30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
|
(unaudited)
|
|
(unaudited)
|
IFRS gross
profit
|
$ 2,802
|
|
$ 2,575
|
|
$ 8,530
|
|
$ 8,355
|
Add:
|
|
|
|
|
|
|
|
Share-based
compensation
|
432
|
|
144
|
|
591
|
|
209
|
Depreciation &
Amortization
|
315
|
|
256
|
|
871
|
|
683
|
Non-IFRS gross
profit
|
$ 3,549
|
|
$ 2,975
|
|
$ 9,992
|
|
$ 9,247
|
IFRS gross
margin
|
54.9 %
|
|
54.9 %
|
|
56.8 %
|
|
58.7 %
|
Non-IFRS gross
margin
|
69.5 %
|
|
63.5 %
|
|
66.5 %
|
|
65.0 %
|
RECONCILIATION OF
IFRS OPERATING LOSS TO ADJUSTED EBITDA
|
(in
thousands)
|
|
|
|
|
Three Months
Ended
|
|
Nine Months
Ended
|
|
September
30,
|
|
September
30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
|
(unaudited)
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
Operating
loss
|
$ (9,292)
|
|
$ (5,329)
|
|
$ (73,158)
|
|
$ (15,378)
|
Add:
|
|
|
|
|
|
|
|
Share-based
compensation
|
3,375
|
|
635
|
|
4,503
|
|
1,367
|
Depreciation &
Amortization
|
719
|
|
640
|
|
2,081
|
|
1,769
|
Share listing
expense
|
-
|
|
-
|
|
46,717
|
|
-
|
Non-recurring
expenses
|
-
|
|
-
|
|
499
|
|
-
|
Redomicile
costs
|
-
|
|
109
|
|
-
|
|
625
|
Transaction-related
costs
|
-
|
|
741
|
|
3,703
|
|
1,553
|
Changes in the fair
value of contingent consideration
|
-
|
|
(225)
|
|
(642)
|
|
(225)
|
Reorganization
|
884
|
|
-
|
|
884
|
|
-
|
Operating expense
settled by issuance of shares
|
184
|
|
-
|
|
184
|
|
-
|
Adjusted
EBITDA
|
$ (4,130)
|
|
$ (3,429)
|
|
$ (15,229)
|
|
$ (10,289)
|
Adjusted EBITDA
margins
|
-81 %
|
|
-73 %
|
|
-101 %
|
|
-72 %
|
RECONCILIATION OF
IFRS LOSS TO NON-IFRS LOSS AND LOSS PER SHARE
|
(in thousands, except
share and per share data)
|
|
|
|
|
|
Three Months
Ended
|
|
Nine Months
Ended
|
|
September
30,
|
|
September
30,
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
|
(unaudited)
|
|
(unaudited)
|
IFRS loss attributable
to ordinary shareholders
|
$
(7,160)
|
|
$
(5,386)
|
|
$
(62,158)
|
|
$ (15,608)
|
Add:
|
|
|
|
|
|
|
|
Share-based
compensation
|
3,375
|
|
635
|
|
4,503
|
|
1,367
|
Depreciation &
Amortization
|
719
|
|
640
|
|
2,081
|
|
1,769
|
Share listing
expense
|
-
|
|
-
|
|
46,717
|
|
-
|
Non-recurring
expenses
|
-
|
|
-
|
|
499
|
|
-
|
Redomicile
costs
|
-
|
|
109
|
|
-
|
|
625
|
Transaction-related
costs
|
-
|
|
741
|
|
3,703
|
|
1,553
|
Changes in the fair
value of contingent consideration
|
109
|
|
(96)
|
|
(794)
|
|
(225)
|
Reorganization
|
884
|
|
-
|
|
884
|
|
-
|
Operating expense
settled by issuance of shares
|
184
|
|
-
|
|
184
|
|
-
|
Change in fair value of
warrants
|
(1,577)
|
|
-
|
|
(8,981)
|
|
-
|
Non IFRS
loss
|
$
(3,466)
|
|
$
(3,357)
|
|
$
(13,362)
|
|
$ (10,519)
|
Non IFRS basic and
diluted loss per Ordinary share
|
$
(0.07)
|
|
$
(0.70)
|
|
$
(0.32)
|
|
$
(2.20)
|
Weighted average number
of shares outstanding used to
compute basic and diluted loss per share
|
47,591,775
|
|
8,112,059
|
|
43,839,445
|
|
7,844,521
|
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SOURCE Freightos