BARCELONA, Spain - Freightos Limited (NASDAQ: CRGO), a notable booking and payment platform for international freight, has officially launched its integration with e2open (NYSE: ETWO), a prominent connected supply chain software provider. This collaboration brings Freightos' WebCargo air cargo eBooking capabilities into e2open's Transportation Management System (TMS), allowing for real-time access to dynamic air freight rates and bookings.
The integration, which has moved past its beta phase, aims to enhance the efficiency of freight forwarders by enabling them to compare rates, secure air cargo space, and manage shipments directly within the e2open TMS. According to Megan Kelley, VP of Enterprise Applications at Crane Worldwide Logistics, the integration is a significant improvement, reducing manual entry and providing real-time rate and booking information, which streamlines response to client needs.
Pawan Joshi, EVP of Products and Strategy at e2open, emphasized the benefits of the integration, highlighting the ability for forwarders to work more effectively with instant access to crucial booking information. Zvi Schreiber, founder and CEO of Freightos, echoed this sentiment, expressing pride in the partnership's contribution to Freightos' mission of modernizing international shipping.
The partnership is expected to yield increased productivity and simpler freight management processes for e2open's global customer base, now equipped with Freightos' real-time booking and visibility tools.
Freightos operates as a vendor-neutral global freight booking platform, connecting airlines, ocean carriers, and thousands of freight forwarders with importers and exporters. The platform is part of a suite of software solutions that address various aspects of the international freight industry, including pricing, quoting, booking, shipment management, and payments.
The information for this article is based on a press release statement.
In other recent news, Freightos announced a strong second quarter, with a 32% rise in transactions and a 31% increase in gross booking value. The company's revenue also saw an 11% increase, reaching $5.7 million. Freightos further expanded its operations by integrating Hainan Airlines (HNA Cargo) into its digital booking and payment platform, WebCargo, enhancing its capacity in the Asia Pacific and Europe regions.
The company also acquired Shipsta, a freight-tender procurement platform, which is expected to add $800,000 in revenue in the second half of 2024 and between $4 million to $5 million in 2025. Despite a decrease in transactions for the second half, Freightos aims to achieve positive EBITDA by the end of 2026.
Analyst firm Oppenheimer revised its price target for Freightos to $3.50 from the previous $4.50, maintaining an Outperform rating. This adjustment followed the company's second-quarter results and a 1% reduction in the forecast for full-year 2024 gross booking volume, attributed to economic challenges in Europe and delays in airline partnerships.
These are the recent developments highlighting Freightos' commitment to growth and operational efficiency, including the addition of 14 carriers to its platform, bringing the total to 51, and a 16% increase in buyer users.
InvestingPro Insights
As Freightos Limited (NASDAQ: CRGO) advances its technological integration with e2open, investors may find additional context in the company's financial metrics. According to InvestingPro data, Freightos has a market capitalization of $92.3 million USD, reflecting its position in the freight technology sector. The company's revenue for the last twelve months as of Q2 2024 stood at $21.38 million USD, with a notable revenue growth of 9.9% over the same period.
One of the InvestingPro Tips highlights that Freightos "holds more cash than debt on its balance sheet," which could be seen as a positive factor for a technology company in the growth phase, potentially providing financial flexibility to support initiatives like the e2open integration. Additionally, the company boasts "impressive gross profit margins," with InvestingPro data showing a gross profit margin of 61.27% for the last twelve months as of Q2 2024. This strong margin could indicate pricing power and efficiency in Freightos' core business model.
However, investors should note that despite these strengths, Freightos is "not profitable over the last twelve months," as pointed out by another InvestingPro Tip. This is reflected in the negative operating income of -$24.04 million USD for the same period. As the company continues to invest in growth and partnerships like the one with e2open, profitability remains a key area for investors to monitor.
For those seeking a more comprehensive analysis, InvestingPro offers additional tips and insights, with 7 more tips available for Freightos Limited on the platform.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.