Global-e Online Ltd. Q2 FY2025 earnings call

Business Developments - Extended long-term strategic partnership with DHL for an additional 3-year agreement. - Acquired ReturnGo, a leading provider of AI-enabled return and exchange solutions, to enhance native post-purchase solutions. - Progressed with the 3 B2C offering, seeing growing traction due to tariff changes. - Continued strong growth across geographies and merchant cohorts, with new brands like SteelSeries, GANNI, Bandai Namco, etc., launching and existing merchants expanding into new regions.

In the second quarter of 2025, Global-E achieved GMV of $1.454 billion, representing a year-over-year increase of 34%. Revenue reached $214.9 million, up 28% year-over-year. Non-GAAP gross profit was $99.9 million, a 24% year-over-year increase, with a gross margin of 46.5%. Adjusted EBITDA was $38.5 million, up 23% from the same quarter in 2024, resulting in a 17.9% margin.

Q3 2025 - GMV expected to be in the range of $1.455 billion to $1.495 billion. - Revenue expected to be in the range of $214 million to $221 million. - Adjusted EBITDA expected to be in the range of $37.5 million to $41.5 million. ### Full Year 2025 - GMV anticipated to be in the range of $6.22 billion to $6.52 billion. - Revenue expected to be in the range of $921.5 million to $971.5 million. - Adjusted EBITDA projected to be $180 million to $200 million. - ReturnGo acquisition to have a slight positive impact on 2025 revenue (+$1M+) and slightly dilutive to adjusted EBITDA (-$1M+), expected to be EBITDA neutral by 2026 once synergies are realized.

Uncertainties - Uncertainty around duty tariffs and their potential adverse impact on global trade, including the upcoming change to the U.S. de minimis exemption. However, Global-E expects trading to remain resilient with offsets through product pricing and doesn't anticipate a meaningful impact on trade volumes.

Q: About the impact of the de minimis exemption in the back half of the year, Amir Schlachet said trading has been resilient post recent changes, with no material impact seen and same-store sales within multiyear trends.

Q: On the ReturnGo acquisition's impact on revenue and adjusted EBITDA, Ofer Koren said it will have a slight positive revenue impact (> $1M) in 2025 and be slightly dilutive to adjusted EBITDA (~ -$1M), expected to be EBITDA neutral by 2026.

Q: On the 3 B2C product take rate, Nir Debbi said it's close to regular transaction take rate dynamics with minimal impact from clearance fees.

Q: On the Shopify partnership progress, Nir Debbi discussed work on managed markets to align domestic and global experiences and upcoming Shop Pay integration exclusive for Global-E for 12 months.