Core Insights - Global-e Online Ltd. filed its annual report on Form 20-F for the fiscal year ended December 31, 2024, with the SEC [1] - The company is a leading platform for global direct-to-consumer e-commerce, partnering with over 1,400 brands and retailers [3] Company Overview - Global-e enables international sales by providing a seamless, localized shopping experience for online shoppers in over 200 destinations [3] - The company offers end-to-end e-commerce solutions that include localization capabilities, business intelligence models, and international logistics [3] Investor Relations - Shareholders can request a hard copy of the annual report containing audited financial statements free of charge [2] - Contact information for investor relations is provided for further inquiries [4]

Revenue and Growth - Revenue for the fiscal years ended December 31, 2022, 2023, and 2024 was $409.0 million, $569.9 million, and $752.8 million, representing annual growth rates of 66.8%, 39.3%, and 32.1% respectively[49]. - Gross Merchandise Value (GMV) processed through the platforms for the same years was $2,450 million, $3,557 million, and $4,858 million, with annual growth rates of 69.1%, 45.2%, and 36.6% respectively[49]. - The company anticipates challenges in sustaining revenue or GMV growth consistent with recent history in future periods[49]. - Future revenue growth is expected to be partially driven by increases in GMV generated by existing merchants, which is closely correlated with overall revenue[52]. - The platforms generated a total Gross Merchandise Volume (GMV) of $4,858 million for the year ended December 31, 2024, representing a 36.6% increase compared to the previous year[89]. Financial Performance and Losses - The company has experienced a history of net losses, which may impact future operations and growth[41]. - The company incurred net losses of $133.8 million and $75.5 million for the years ended December 31, 2023 and 2024, respectively[88]. - The company anticipates increasing operating expenses due to hiring additional personnel, expanding into new geographies, and enhancing platform features[88]. - The company expects revenue and operating results to be adversely affected by disruptions in processing and shipping orders, especially during peak seasons[100]. Market and Competitive Environment - The company operates in a competitive environment and faces risks related to rapid growth, merchant retention, and technological integration[40]. - The company faces competition in the global e-commerce market, which could lead to a decrease in GMV processed through its platforms and negatively impact revenue or margins[77]. - High-quality support is critical for retaining and attracting merchants, and the company expects to incur additional costs to meet support requirements as it expands[141]. - The company emphasizes the importance of brand awareness and reputation in attracting new merchants and increasing gross merchandise volume (GMV)[142]. Regulatory and Compliance Risks - The company is subject to various regulatory requirements that could impose additional costs and operational challenges[41]. - The company’s ability to adapt to emerging regulatory developments and technological changes is critical for its future success[41]. - The company is subject to increasing scrutiny regarding environmental, social, and governance (ESG) practices, which may lead to higher compliance costs[91]. - The company expects to incur significant additional costs to comply with evolving ESG regulations, particularly in the U.S. and EU[93]. - Compliance with payment card network operating rules, including PCI DSS, is mandatory, and violations could lead to additional costs and operational changes[117]. Operational Risks - The company relies on third-party services and partnerships, which may affect its operational efficiency and reputation[41]. - The reliance on third-party services for shipping and payment processing poses risks that could disrupt operations and affect financial results[109][111]. - The company relies on a single third-party cloud services provider for its operations, which poses risks of service disruption and data loss due to various potential events[135]. - Interruptions in services provided by third-party data centers could impair the company's operations, affecting overall business performance[134]. Economic and Market Conditions - Economic uncertainties, including inflation and recessionary pressures, may lead to decreased consumer spending, negatively impacting merchants and the company's results[194]. - Smaller merchants may be more vulnerable to economic conditions, potentially leading to increased refunds and chargebacks, affecting overall business performance[195]. - Changes in personal importation rules by countries could adversely affect the cross-border e-commerce market and reduce demand for the company's services[128]. Intellectual Property and Legal Risks - Failure to protect intellectual property rights could result in reduced revenue and costly litigation[159]. - The use of open source software poses risks of litigation and could require re-engineering of platforms if licenses are breached[165]. - The company may face increased vulnerability to intellectual property infringement claims as competition grows in the industry[163]. - Significant resources may be required to monitor and protect intellectual property rights, with potential litigation costs impacting business operations[162]. Shareholder and Corporate Governance - The concentration of share ownership among insiders (approximately 47.69%) may limit the influence of other shareholders on corporate matters[201]. - The company's share price has been volatile, influenced by various factors including market conditions and analyst expectations[200]. - The company has never declared or paid any dividends on its ordinary shares and does not anticipate paying any in the foreseeable future[214]. - The board of directors has sole discretion over dividend payments, which will depend on future operations, earnings, and other factors[215].

Core Viewpoint - The current market conditions have led to a significant sell-off in tech stocks, including Global-e Online, which has seen its shares drop 42% from their 2025 highs, presenting a potential buying opportunity for investors [2][7]. Group 1: Market Position and Growth Potential - Global-e Online is a leading player in the global e-commerce market, providing an end-to-end platform that enables merchants in 30 countries to sell to over 200 countries [3][4]. - Merchants using Global-e's platform have experienced an average uplift of 40% in international traffic conversion, with gross merchandise volume growth outpacing the global e-commerce growth rate of 8% in 2024 [5]. - The company is projected to increase revenue by 32% in 2024 and is guiding for 25% growth in 2025, targeting a market worth $3 trillion [6]. Group 2: Impact of Tariffs - Concerns regarding potential tariffs in the U.S. have negatively impacted Global-e's stock, despite the company's guidance for future growth [7]. - The co-founder and president of Global-e downplayed the potential negative effects of tariffs, suggesting they could lead to long-term demand for the company's services, similar to the impact of Brexit [8][9]. Group 3: Financial Performance and Valuation - Global-e achieved break-even profitability for the first time in Q4 and expects to maintain profitability moving forward, indicating improving margins and a strong competitive position [10]. - The company's net dollar retention rate has consistently been above 123% over the last four years, indicating strong customer satisfaction and increasing sales from existing clients [11]. - Despite its leadership position and improving financial metrics, Global-e is currently trading at an all-time low valuation of 37 times free cash flow, which is attractive compared to the S&P 500 average of 32 [12].

Group 1 - Global-e will host its 2025 Investor Day on March 11, 2025, at 9:30 a.m. ET [1] - A live webcast of the event will be available on Global-e's Investor Relations website, with a replay accessible after the event [1] Group 2 - Global-e is the leading platform for global Direct-To-Consumer e-commerce, partnering with over 1,000 brands and retailers [2] - The company facilitates international sales by providing a seamless, localized shopping experience for online shoppers in over 200 destinations [2] - Global-e's solutions include localization capabilities, big-data business intelligence models, and streamlined international logistics [2]

Core Viewpoint - Global-e Online Ltd. (GLBE) is experiencing significant selling pressure, with a 17.4% decline over the past four weeks, but is now positioned for a potential trend reversal as it enters oversold territory, supported by positive earnings forecasts from Wall Street analysts [1]. Group 1: Technical Indicators - The Relative Strength Index (RSI) is utilized to identify oversold stocks, with a reading below 30 typically indicating oversold conditions [2]. - GLBE's current RSI reading is 26.62, suggesting that the heavy selling may be exhausting itself and a trend reversal could be imminent [5]. Group 2: Fundamental Analysis - There is a consensus among sell-side analysts that earnings estimates for GLBE have increased by 4.2% over the last 30 days, indicating a potential for price appreciation [6]. - GLBE holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, further supporting the likelihood of a turnaround [7].

Global-E Online Limited (NASDAQ:GLBE) Q4 2024 Earnings Conference Call February 19, 2025 8:00 AM ET Company Participants Amir Schlachet - Chief Executive Officer Nir Debbi - President Ofer Koren - Chief Financial Officer Erica Mannion - Sapphire Investor Relations Conference Call Participants Andrew Bauch - Wells Fargo Samad Samana - Jefferies James Faucette - Morgan Stanley Chris Zhang - UBS Brian Peterson - Raymond James Brent Bracelin - Piper Sandler Koji Ikeda - Bank of America Patrick Walravens - Citi ...

Group 1 - Global-e Online Ltd. reported $262.91 million in revenue for the quarter ended December 2024, a year-over-year increase of 41.8% [1] - The EPS for the same period was $0.01, compared to -$0.13 a year ago, indicating a significant improvement [1] - The reported revenue exceeded the Zacks Consensus Estimate of $249.06 million by 5.56%, and the EPS surprise was 200.00% compared to the consensus estimate of -$0.01 [1] Group 2 - Key metrics indicate that Global-e Online has returned +8.3% over the past month, outperforming the Zacks S&P 500 composite's +4.7% change [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance in the near term [3] Group 3 - Gross Merchandise Value was reported at $1.71 billion, surpassing the average estimate of $1.64 billion based on three analysts [4] - Revenue from Fulfillment services was $145.64 million, exceeding the average estimate of $129.07 million based on four analysts, representing a year-over-year change of +52.6% [4] - Revenue from Service fees was $117.27 million, slightly below the average estimate of $120 million, with a year-over-year change of +30.4% [4]

[Global-E Q4 and Full Year 2024 Results](index=1&type=section&id=Global-E%20Reports%20Fourth%20Quarter%20and%20Full%20Year%202024%20Results) [CEO Commentary](index=1&type=section&id=CEO%20Commentary) The CEO highlighted 2024 as a record year, with Q4 achieving over 20% Adjusted EBITDA Margin and GAAP profitability, setting goals for full-year 2025 to exceed 20% Adjusted EBITDA Margin, achieve annual GAAP profitability, and surpass $1 billion in annual revenue - 2024 was a **record year**, with Q4 being the **strongest quarter ever**[3](index=3&type=chunk) - Achieved two key financial milestones in Q4 2024: exceeded the **20% Adjusted EBITDA Margin** target and reached **GAAP profitability** for the first time as a public company[3](index=3&type=chunk) - Key financial goals for 2025 include surpassing **20% Adjusted EBITDA Margin** on a full-year basis, achieving **annual GAAP profitability**, and crossing a **$1 billion annual revenue run-rate**[3](index=3&type=chunk) [Financial & Business Performance](index=1&type=section&id=Financial%20%26%20Business%20Performance) [Q4 2024 Financial Results](index=1&type=section&id=Q4%202024%20Financial%20Results) In the fourth quarter of 2024, Global-e demonstrated robust growth with a 44% year-over-year increase in GMV to $1,713 million and a 42% rise in revenue to $262.9 million, achieving its first-ever GAAP net profit of $1.5 million and a 62% Adjusted EBITDA growth to $57.1 million with a 21.7% margin Q4 2024 Key Financial Metrics (in millions) | Metric | Q4 2024 | Q4 2023 | % Change | | :--- | :--- | :--- | :--- | | GMV | $1,713M | $1,190M | +44% | | Revenue | $262.9M | $185.4M | +42% | | Non-GAAP Gross Profit | $120.9M | $79.1M | +53% | | Adjusted EBITDA | $57.1M | $35.2M | +62% | | Net Profit (Loss) | $1.5M | $(22.1)M | N/A | | Free Cash Flow | $128.8M | $92.5M | +39% | - Revenue was composed of **$117.3 million** from service fees and **$145.6 million** from fulfillment services[6](index=6&type=chunk) - Non-GAAP gross margin increased by **330 basis points** to **46.0%** from 42.7% in Q4 2023[6](index=6&type=chunk) [Full Year 2024 Financial Results](index=1&type=section&id=FY%202024%20Financial%20Results) For the full year 2024, Global-e reported a 37% increase in GMV to $4,858 million and a 32% increase in revenue to $752.8 million, with Adjusted EBITDA growing 51.8% to $140.8 million, a significant reduction in net loss to $75.5 million, and strong free cash flow of $167.1 million Full Year 2024 Key Financial Metrics (in millions) | Metric | FY 2024 | FY 2023 | % Change | | :--- | :--- | :--- | :--- | | GMV | $4,858M | $3,557M | +37% | | Revenue | $752.8M | $570.0M | +32% | | Non-GAAP Gross Profit | $349.4M | $244.8M | +43% | | Adjusted EBITDA | $140.8M | $92.7M | +51.8% | | Net Loss | $(75.5)M | $(133.8)M | +43.5% | | Free Cash Flow | $167.1M | $106.5M | +57% | - Non-GAAP gross margin for the full year increased by **350 basis points** to **46.4%** from 42.9% in 2023[8](index=8&type=chunk) [Recent Business Highlights](index=2&type=section&id=Recent%20Business%20Highlights) Global-e continued to expand its merchant base and services throughout 2024, launching with major brands like Logitech, Spanx, and Tom Ford, onboarding numerous new merchants across North America, Europe, and APAC, and expanding services for existing clients like Adidas, achieving an annual enterprise Net Dollar Retention (NDR) rate of 119% - Maintained strong growth from existing merchants, with an annual enterprise **NDR rate of 119%** and **GDR rate of 93.5%**[8](index=8&type=chunk) - Launched with major new brands including **Logitech**, **Spanx**, **Tom Ford**, and **Tous**[8](index=8&type=chunk) - Expanded global reach by onboarding new merchants from North America, UK, Europe, and APAC, including brands like **Phoebe Philo**, **Triumph**, and **Komehyo**[8](index=8&type=chunk) - Continued joint work with Shopify to enhance features and functionalities for the Managed Markets offering[8](index=8&type=chunk) [Q1 2025 and Full Year 2025 Outlook](index=3&type=section&id=Q1%202025%20and%20Full%20Year%20Outlook) Global-e has issued guidance for the first quarter and full year of 2025, projecting full-year GMV between $6,190 million and $6,490 million, revenue between $917 million and $967 million, and Adjusted EBITDA between $179 million and $199 million Q1 2025 and Full Year 2025 Guidance (in millions) | Metric | Q1 2025 Guidance | FY 2025 Guidance | | :--- | :--- | :--- | | GMV | $1,210 - $1,250 | $6,190 - $6,490 | | Revenue | $184.5 - $191.5 | $917 - $967 | | Adjusted EBITDA | $29.5 - $33.5 | $179 - $199 | [Financial Statements](index=8&type=section&id=Financial%20Statements) [Consolidated Balance Sheets](index=8&type=section&id=CONSOLIDATED%20BALANCE%20SHEETS) As of December 31, 2024, Global-e's balance sheet showed total assets of $1.26 billion, an increase from $1.20 billion in 2023, with cash, cash equivalents, and short-term deposits rising to $438.1 million, while total liabilities increased to $370.0 million from $300.4 million year-over-year Balance Sheet Summary (in thousands) | Account | Dec 31, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | **Total Assets** | **$1,263,482** | **$1,202,360** | | Cash and cash equivalents | $250,773 | $200,081 | | **Total Liabilities** | **$370,049** | **$300,381** | | **Total Shareholders' Equity** | **$893,433** | **$901,979** | [Consolidated Statements of Operations](index=9&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) For the full year 2024, Global-e's revenue increased by 32% to $752.8 million, significantly narrowing its operating loss to $(67.9) million from $(137.1) million in 2023, reducing net loss by 43.5% to $(75.5) million, and achieving a net profit of $1.5 million in Q4 Statement of Operations Summary (in thousands) | Account | Year Ended 2024 | Year Ended 2023 | | :--- | :--- | :--- | | Revenue | $752,764 | $569,946 | | Gross Profit | $339,433 | $233,603 | | Operating Loss | $(67,928) | $(137,059) | | Net Loss | $(75,548) | $(133,805) | | Net Loss Per Share, basic | $(0.45) | $(0.81) | [Consolidated Statements of Cash Flows](index=10&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) For the full year 2024, net cash provided by operating activities was $169.4 million, a significant increase from $108.2 million in 2023, driven by improved profitability and efficient working capital management, resulting in a strong free cash flow of $167.1 million after capital expenditures Cash Flow Summary (in thousands) | Account | Year Ended 2024 | Year Ended 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $169,393 | $108,222 | | Net cash used in investing activities | $(108,963) | $(55,039) | | Net cash provided by financing activities | $3,276 | $1,991 | | Free Cash Flow | $167,058 | $106,481 | [Supplementary Information](index=3&type=section&id=Supplementary%20Information) [Non-GAAP Financial Measures and Key Operating Metrics](index=4&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Key%20Operating%20Metrics) Global-e utilizes several non-GAAP financial measures, including Non-GAAP gross profit, Adjusted EBITDA, and Free Cash Flow, along with Gross Merchandise Value (GMV) as a key operating metric, to assess performance, forecast, and make strategic decisions by excluding certain non-core operational impacts - The company uses Non-GAAP measures (**Non-GAAP gross profit**, **Adjusted EBITDA**, **Free cash flow**) and a key operating metric (**GMV**) to assess performance[13](index=13&type=chunk)[14](index=14&type=chunk) - GMV is defined as the combined amount collected from the shopper and the merchant for all components of a transaction, including products, duties, taxes, and shipping[13](index=13&type=chunk) - Adjusted EBITDA is defined as operating profit (loss) adjusted for stock-based compensation, depreciation and amortization, commercial agreements amortization, amortization of acquired intangibles, and merger-related contingent consideration[17](index=17&type=chunk) [Reconciliation of Non-GAAP Financial Measures](index=11&type=section&id=Reconciliation%20of%20Non-GAAP%20Financial%20Measures) This section provides detailed reconciliations of GAAP to non-GAAP financial measures, showing how GAAP Gross Profit of $339.4 million is reconciled to Non-GAAP Gross Profit of $349.4 million, GAAP Operating Loss of $(67.9) million to Adjusted EBITDA of $140.8 million, and Net cash from operations of $169.4 million to Free Cash Flow of $167.1 million [Reconciliation to Non-GAAP Gross Profit](index=11&type=section&id=RECONCILIATION%20TO%20Non-GAAP%20GROSS%20PROFIT) For the full year 2024, GAAP gross profit of $339.4 million was adjusted by adding back $10.0 million in amortization of acquired intangibles, resulting in a Non-GAAP gross profit of $349.4 million FY 2024 Reconciliation to Non-GAAP Gross Profit (in thousands) | Description | Amount | | :--- | :--- | | Gross Profit (GAAP) | $339,433 | | Amortization of acquired intangibles | $9,994 | | **Non-GAAP gross profit** | **$349,427** | [Reconciliation to Adjusted EBITDA](index=12&type=section&id=RECONCILIATION%20TO%20ADJUSTED%20EBITDA) For the full year 2024, the GAAP operating loss of $(67.9) million was reconciled to an Adjusted EBITDA of $140.8 million, primarily by adding back $148.6 million for commercial agreement asset amortization, $39.2 million for stock-based compensation, and $18.8 million for amortization of acquired intangibles FY 2024 Reconciliation to Adjusted EBITDA (in thousands) | Description | Amount | | :--- | :--- | | Operating loss (GAAP) | $(67,928) | | Stock-based compensation | $39,158 | | Depreciation and amortization | $2,131 | | Commercial agreement asset amortization | $148,594 | | Amortization of acquired intangibles | $18,812 | | **Adjusted EBITDA** | **$140,767** | [Reconciliation to Free Cash Flow](index=12&type=section&id=RECONCILIATION%20TO%20FREE%20CASH%20FLOW) For the full year 2024, free cash flow was calculated by taking the net cash provided by operating activities of $169.4 million and subtracting the purchase of property and equipment of $2.3 million, resulting in a free cash flow of $167.1 million FY 2024 Reconciliation to Free Cash Flow (in thousands) | Description | Amount | | :--- | :--- | | Net cash provided by operating activities | $169,393 | | Purchase of property and equipment | $(2,335) | | **Free cash flow** | **$167,058** | [Selected Other Data](index=11&type=section&id=SELECTED%20OTHER%20DATA) This section provides a breakdown of revenue by category and merchant outbound region, showing that for FY 2024, fulfillment services constituted 53% of revenue ($402.5 million) and service fees made up 47% ($350.3 million), with the United States being the largest contributor at 53% of total revenue FY 2024 Revenue by Category (in thousands) | Category | Revenue (in thousands) | % of Total | | :--- | :--- | :--- | | Service fees | $350,311 | 47% | | Fulfillment services | $402,453 | 53% | | **Total revenue** | **$752,764** | **100%** | FY 2024 Revenue by Merchant Outbound Region (in thousands) | Region | Revenue (in thousands) | % of Total | | :--- | :--- | :--- | | United States | $399,596 | 53% | | United Kingdom | $182,904 | 24% | | European Union | $125,547 | 17% | | Other | $44,717 | 6% |

PETAH-TIKVA, Israel, Feb. 19, 2025 (GLOBE NEWSWIRE) -- Global-e Online Ltd. (Nasdaq: GLBE) the platform powering global direct-to-consumer e-commerce, today reported financial results for the fourth quarter of 2024 and full year 2024. “2024 was yet another record-breaking year for Global-e, and it came to a great close with a fourth quarter which was our strongest quarter ever, as we continued to execute on our strategy and further solidify Global-e’s leadership position in the global e-commerce space,” sai ...

Wall Street analysts expect Global-e Online Ltd. (GLBE) to post quarterly loss of $0.01 per share in its upcoming report, which indicates a year-over-year increase of 92.3%. Revenues are expected to be $249.06 million, up 34.3% from the year-ago quarter.Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.Prior to a company's earnings annou ...