TradeWindow reported a 20% rise in FY26 revenue to NZ$9.6 million with annual recurring revenue surpassing NZ$10 million. The company narrowed its EBITDA loss and is targeting breakeven in FY27 while advancing its AI-driven FreightAI platform.
- FY26 revenue up 20% to NZ$9.6 million
- Annual Recurring Revenue exceeds NZ$10 million
- EBITDA loss narrows by 19% to NZ$1.2 million
- FreightAI platform development on track for 2027 launch
- FY27 guidance targets 13-18% revenue growth and breakeven EBITDA
Revenue Growth Driven by Australian Expansion and Customer Upgrades
TradeWindow Holdings Limited (NZX/ASX:TWL) has posted a solid 20% increase in trading revenue for the year ended 31 March 2026, reaching NZ$9.6 million. Annual Recurring Revenue (ARR) also crossed the NZ$10 million threshold for the first time, finishing at NZ$10.1 million. This growth was fuelled largely by the company’s Australian business, which saw revenue surge 34% year-on-year, outpacing New Zealand’s 11% growth. The company’s focus on higher-value mid-market and enterprise customers has paid off, with average revenue per customer rising sharply; 27% for freight forwarders to NZ$13,907 and 22% for shippers to NZ$30,352.
Despite a slight dip in total customers to 547 from 554, this was a deliberate move to rationalise lower-value legacy accounts as TradeWindow refreshed pricing plans. Customer retention improved to 89%, up 2 percentage points from FY25, underscoring the stickiness of its platform.
EBITDA Loss Narrows Amid Increased Investment in FreightAI
The company’s EBITDA loss narrowed by 19% to NZ$1.2 million, reflecting disciplined cost management alongside revenue growth. Net loss after tax improved 26% to NZ$2.6 million. Operating expenses rose, notably with a 32% increase in research and development spend to NZ$2.2 million, driven by the development of the next-generation FreightAI platform. Capitalised development costs for FreightAI reached NZ$661,000 as of 31 March 2026, up 47% quarter-on-quarter, signalling a ramp-up in investment ahead of its planned commercial release in September 2027.
TradeWindow ended FY26 with a robust cash position of NZ$4.2 million, bolstered by a NZ$7 million capital raise during the year. The company has no bank debt following repayment of its ASB loan facility, providing a clean balance sheet to support ongoing development and growth initiatives.
FreightAI to Redefine Trade Workflow Automation
FreightAI represents a significant strategic pivot for TradeWindow, aiming to embed artificial intelligence directly into trade workflows. The platform promises to automate document ingestion, job creation, customs preparation, and exception handling, reducing manual effort and increasing throughput. The company expects FreightAI to underpin its long-term intelligent trade ecosystem strategy, moving beyond a simple product upgrade to a scalable platform combining workflow automation, data, and AI.
As FreightAI development progresses on schedule, FY27 will see a material acceleration in capitalised costs, with an expected NZ$1.5 million investment. However, no revenue contribution from FreightAI is assumed in FY27 guidance, reflecting prudent forecasting amid ongoing macroeconomic uncertainties.
FY27 Guidance Reflects Cautious Optimism
For FY27, TradeWindow projects trading revenue growth between 13% and 18%, with EBITDA expected to approach breakeven. The company’s board considers this guidance prudent given the uncertain global trade environment and potential disruptions impacting customer activity. TradeWindow’s Australian operations remain the fastest-growing region, and the company plans to continue expanding its product features and functionality.
TradeWindow’s management team, led by acting CEO Dewald van Rensburg following the recent resignation of founding CEO AJ Smith, is focused on executing the revenue plan while advancing FreightAI development. The company’s strategic progress, including its recent ASX listing, broadens its investor base and enhances market visibility.
TradeWindow’s FY26 results and FY27 outlook highlight a company balancing growth with investment in innovation, positioning itself at the forefront of digital trade solutions. Yet, the FreightAI platform remains in its build phase, and the timing and cost of its rollout carry execution risks that could influence the company’s financial trajectory.
Investors will be watching how FreightAI’s rollout unfolds and whether TradeWindow can sustain its momentum amid evolving market conditions and competitive pressures. The company’s ability to convert its technology leadership into tangible revenue gains beyond FY27 remains an open question, especially given the cautious assumptions underpinning its forecasts.
TradeWindow’s recent leadership change adds another layer of uncertainty, with acting CEO Dewald van Rensburg steering the company through this critical phase as it aims to capitalise on its strong foundation and emerging AI capabilities. This leadership transition, combined with the company’s strategic investments, sets the stage for a pivotal year ahead.
These developments come after the company’s Trade Window CEO AJ Smith Steps Down announcement in April, marking a significant management shift during a key growth period.
Bottom Line?
TradeWindow’s FY26 results show solid progress, but FreightAI’s successful rollout and leadership stability will be critical to sustaining growth beyond FY27.
Questions in the middle?
- How will FreightAI’s AI-driven automation translate into revenue growth post-2027?
- Can TradeWindow maintain customer retention and ARPC gains amid macroeconomic headwinds?
- What impact will the recent CEO transition have on execution of the company’s strategic roadmap?