Freight Technologies, Inc. (FRGT) Earnings History

Freight Technologies, Inc. - Q2 2025 Earnings

Filed at: Aug 20, 2025, 8:00 PM EDT|Read from source

EXECUTIVE SUMMARY

Freight Technologies, Inc. is transitioning to a SaaS provider, focusing on technology-driven solutions like Fleet Rocket and Fr8App. While facing headwinds in its brokerage business due to tariffs and trade policy uncertainty, the company achieved profitability in Q2 2025 driven by cryptocurrency investments and operational improvements. Management is lowering its revenue and operating margin outlook for the full year 2025.

POSITIVE HIGHLIGHTS

  • •

    Completed initial enterprise sales of Fleet Rocket, a Transportation Management System (TMS) software solution.

    positive
  • •

    Released several new features and capabilities to Fr8App and Fr8Fleet, including deeper integration and EDI connections.

    positive
  • •

    Created initial prototypes of AI Logistics Worker agents to enhance dispatch coordination and efficiency.

    positive
  • •

    Achieved net profit of $649 thousand with a 21.7% net profit margin for the three months ended June 30, 2025, attributed to cryptocurrency investments.

    positive
  • •

    Operating loss improved year-over-year from -$1.7 million in Q2 2024 to -$1.5 million in Q2 2025.

    positive

CONCERNS & RISKS

  • •

    Revenue for Q2 2025 was $3.0 million, a decrease of 21.6% compared to $3.8 million in Q2 2024.

    negative
  • •

    For the six months ended June 30, 2025, revenue decreased by 12.7% to $7.1 million compared to $8.1 million in the prior year period.

    negative
  • •

    The company is lowering its revenue outlook for the full year 2025 to $13 million to $16 million.

    attention
  • •

    The company is lowering its operating loss outlook for the full year 2025 to -$4.5 million to -$6.3 million.

    attention
  • •

    Higher tariffs and trade policy uncertainty impacted the brokerage business in the second quarter.

    attention
  • •

    Net loss for Q2 2025 was $1.95 million, compared to a net loss of $0.65 million in Q2 2024.

    negative

FINANCIAL METRICS

Revenue
Quarterly
$2.99M
-21.6%
Prior year: $3.84M
Annual (YTD)
$7.09M
N/A
Prior year: $8.13M
Net Income
Quarterly
$649.24K
-133.2%
Prior year: $-1.95M
Annual (YTD)
$-952.81K
N/A
Prior year: $-4.21M
EPS (Diluted)
Quarterly
$0.02
-100.0%
Prior year: $-63.75
Operating Income
Quarterly
$-1.47M
+13.7%
Prior year: $-1.70M
Annual (YTD)
$-2.94M
N/A
Prior year: $-3.79M
EPS (Basic)
Quarterly
N/A
N/A

MARGIN ANALYSIS

Operating Margin
Current Quarter
-49.2%
Prior Year
-44.4%
YoY Change
-478 bps
Net Margin
Current Quarter
21.7%
Prior Year
-50.9%
YoY Change
+7264 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

MANAGEMENT GUIDANCE

FY2025

revenue
$13000.0B—$16000.0B
Mid-point: $14500.0B
operating_loss
-6,300,000—-4,500,000
Mid-point: -5,400,000

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

SPECIAL ITEMS & ADJUSTMENTS

Q2 2025
Change in fair value of convertible note
+$0.023M
Q2 2025
Realized gain (loss) in value of sold cryptocurrency
$0.08M
Q2 2025
Unrealized gain (loss) in fair value of cryptocurrency
+$2.428M
Total Impact
+$2.371M

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

We made further progress on the technological elements of our offerings and continued our transition to a SaaS provider in the logistics space.

— Freight Technologies, Inc., Q2 2025 2025 Earnings Call

Fr8Tech completed initial sales of Fleet Rocket, a Transportation Management System (TMS) software solution, released several new features to Fr8App, and improved the operating margins on its brokerage business.

— Freight Technologies, Inc., Q2 2025 2025 Earnings Call

Although higher tariffs and trade policy uncertainty impacted the brokerage business in the second quarter, we achieved profitability during the quarter through our crypto investments and through ongoing operational improvements.

— Freight Technologies, Inc., Q2 2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Basic Weighted Average Shares Outstanding
79.3K
+20.0% YoY
Prior year: 66.1K
shares
Diluted Weighted Average Shares Outstanding
79.3K
+20.0% YoY
Prior year: 66.1K
shares

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.