HOUSTON, Nov. 14, 2023 (GLOBE NEWSWIRE) -- Freight Technologies, Inc. (Nasdaq: FRGT), a technology company offering its custom-developed Fr8App, an industry-leading freight-matching platform powered by AI and machine-learning that offers a real-time portal for B2B cross-border and domestic shipping within the USMCA region, today unveils its preliminary financial results for Q3 2023.
Key Financial Highlights:
27% Quarter-over-Quarter Annualized Revenue Growth: Based on preliminary numbers, the company achieved strong revenue growth in the third quarter of 2023, with a noteworthy 27.2% annualized increase (6.8% sequential) compared to the previous quarter and 55.4% annualized growth compared to the first quarter of 2023. This growth highlights the company's strong performance in its target cross-border and Fr8Fleet segments.
27% Year-over-Year Margin Increase: Based on preliminary numbers, the company's year-to-date margin continued its significant improvement trend, recording a 26.8% increase compared to the year to date third quarter of 2022. This year-over-year improvement reflects the success of the tactical decision to minimize U.S. traffic where competition in the early part of 2023 has been fierce and focusing on its core cross-border and Fr8Fleet segments.
Steadfast Commitment to Innovation: The company remains dedicated to driving innovation within the supply chain technology landscape with a recent focus on improvements with the carrier environment. The company's relentless pursuit of improvements in its operations has contributed to stickier existing relationships with its shipper clients and improved financial performance.
Rock-Solid Financial Foundation: The company's financial position continues to provide a solid foundation for future growth initiatives and strategic investments. It continues to focus on generating value for its shareholders.
Paul Freudenthaler, CFO of Fr8Tech, commented on the results, "We had another quarter of strong growth and improved profitability at a time when a number of large players in the freight market are facing severe strain and difficulties. There were a number of large, legacy companies with bankruptcies and or restructurings during the quarter which reinforces what has been a fundamental tenet to our company. That is, that this market is ripe for digitalization and disruption and those that do not adapt will fall aside. These results underscore the dedication and hard work of our exceptional team, as we continue to focus on segments with demonstrated strength and an openness to new technology. As we move forward, we remain committed to being a pioneer in the digitalization of the largest commercial border on the planet."
About Freight Technologies Inc.
Freight Technologies (Nasdaq: FRGT) (“Fr8Tech") is a technology company developing solutions to optimize and automate the supply chain process. Its wholly owned subsidiary, Freight App, Inc. (Fr8App), is a B2B cross-border shipping marketplace in the USMCA region powered by AI and machine learning. Focused on making shipping transparent and efficient, Fr8App provides carriers with increased growth opportunities and shippers with flexibility, visibility and simplicity for the once-complex process of international over-the-road (OTR) shipping. Fr8App uses its proprietary technology platform to connect carriers and shippers and significantly improve matching and operation efficiency via innovative technologies such as live pricing and real-time tracking, digital freight marketplace, broker, transportation management, fleet management, and committed capacity solutions. The company is headquartered in Houston, Texas. For more information, please visit fr8technologies.com.
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. Freight Technologies' and Fr8App’s actual results may differ from their expectations, estimates, and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions (or the negative versions of such words or expressions) are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, Freight Technologies’ and Fr8App’s expectations with respect to future performance and anticipated financial impacts of its acquisition of Fr8App.
These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from those discussed in the forward-looking statements. Most of these factors are outside Freight Technologies’ and Fr8App’s control and are difficult to predict. Factors that may cause such differences include, but are not limited to: (1) the impact of the COVID-19 pandemic on Fr8App’s business; (2) the inability to obtain or maintain the listing of Freight Technologies’ ordinary shares on Nasdaq; (3) the ability to recognize the anticipated benefits of the merger, which may be affected by, among other things, competition and the ability of Fr8App to grow, manage growth profitably and retain its key employees; (4) costs related to the merger; (5) changes in applicable laws or regulations; (6) the possibility that Freight Technologies or Fr8App may be adversely affected by other economic, business and/or competitive factors; (7) risks relating to the uncertainty of the projected financial information with respect to Fr8App; (8) risks related to the organic and inorganic growth of Fr8App’s business and the timing of expected business milestones; and (9) other risks and uncertainties identified, including those under “Risk Factors,” to be filed in Freight Technologies' other filings with the SEC. Freight Technologies cautions that the foregoing list of factors is not exclusive. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. Freight Technologies and Fr8App caution readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Freight Technologies and Fr8App do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in their expectations or any change in events, conditions or circumstances on which any such statement is based.
