Good morning. Welcome to the Global-e second quarter 2025 earnings conference call. This call is being simultaneously webcast on the Company's website in the Investor Relations section under News and Events for opening remarks and introduction. I will now turn the call over to Alan Katz, Head of Investor Relations. Please go ahead. Thank you and good morning everyone. With me on the call today are Amir Schlachet, Co-Founder and Chief Executive Officer, Ofer Koren, Chief Financial Officer, and Nir Debbi, Co-Founder and President. Amir will begin with a review of the business results for the second quarter 2025. Ofer will then review the financial results for the second quarter, followed by the company's outlook for the third quarter and full year 2025. We'll then open the call for questions. Certain statements we make today may constitute forward-looking statements and information within the meaning of safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact, including and without limitation to statements regarding our future results of operations and financial position, growth strategy and plan and objectives of management for future operations, including onboarding new merchants, expanding our offerings, and introducing and integrating new solutions, are forward-looking. These forward-looking statements reflect our current views with respect to future events and are not a guarantee of future performance, outlook, or results. Actual outcomes may differ materially from the information contained in the forward-looking statements as a result of a number of factors, including those set forth in the section titled Risk Factors in our Annual Report on Form 20-F filed with the SEC on March 27th, 2025, and other documents filed with or furnished to the SEC. These statements reflect management's current expectations regarding future events and operating performance and speak only as of the date of this call. You should not put undue reliance on any forward-looking statement except as required by applicable law. We undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events, or otherwise after the date on which statements are made or to reflect the occurrence of unanticipated events. Please refer to our press release issued today, August 13th, 2025, for additional information. In addition, certain metrics we will discuss today are non-GAAP metrics. The presentation of this financial information is not intended to be considered in isolation from or as a substitute for or superior to the financial information prepared and presented in accordance with GAAP. We will use these non-GAAP financial measures for financial and operational decision making and as a means to evaluate period-to-period comparisons. We believe that these measures provide useful information about operating results, enhance the overall understanding of past financial performance and future prospects, and allow for greater transparency with respect to key metrics used by management and in its financial and operational decision making. For more information on these non-GAAP financial measures, please see the reconciliation tables provided in our press release issued today. Throughout this call, we brought a number of key performance indicators used by our management and often used by competitors in our industry. These and other key performance indicators are discussed in more detail in our press release issued today. I will now turn the call over to Amir, Co-Founder and CEO. Amir, please go ahead. Thanks, Alan. I would like to start by welcoming everyone to our second quarterly earnings call of 2025. We achieved another quarter of strong results, coming in above the high end of our GMV and revenue guidance ranges and at the top end of our EBITDA guidance range. We are proud of the entire Global-e team for their continued great execution throughout the quarter, which enabled these strong results. While we continue to see some uncertainty around duty tariffs and their potential adverse impact on global trade in the back half of the year, we nevertheless believe that our strong GMV and top line growth to date, together with our raised guidance for the year, demonstrate the resilience of our business model and the great value that merchants see in our services. We finished Q2 with GMV of $1.45 billion, up 34% year- over- year, and with revenues of almost $215 million, up 28% year- over- year. In terms of profit, our adjusted gross profit for Q2 was just shy of $100 million, up 24% from last year, and quarterly adjusted EBITDA was $38.5 million, up 23% compared to the same quarter last year, resulting in a 17.9% margin. In terms of our financial performance, I also want to highlight that this quarter we achieved another important milestone in our journey as a company, that of sustainable GAAP profitability, with the net profit in the quarter coming in at $10.5 million compared to a net loss of $22.4 million in the same quarter of last year. The amortization of the majority of the Shopify warrants is now done, with the rest expected to be fully amortized by early 2026. As such, we expect to be GAAP profitable moving forward in subsequent quarters and for 2025 to be our first full year of GAAP profitability, a testament to the strength and durability of our business model as well as our relentless focus on execution and operational efficiency. Looking at the broader business performance metrics, we have seen the positive trend trading patterns from Q2 continue through the beginning of Q3 to date. While there is some level of uncertainty for the back half of the year, given the expected upcoming changes to the U.S. De minimis exemption later in the month, we anticipate it will not have a major impact on our trading volumes. This is based on the trading patterns we have seen in the last month, last few months during tariff changes, the limited impact of the suspension of the De minimis exemption for products with country of origin China and Hong Kong that already took place this May, and our 3B 2C mitigation which is available for merchants trading large volumes into the U.S. In terms of our business growth during Q2, we continue to see strong growth across many geographies and cores of merchants. As always, our growth was underpinned by our focus on bringing strategic solutions to an increasingly complex and fast-changing global e-commerce environment. Serving as a recent example, Global-e merchants trading to and from the U.S. enjoy invaluable peace of mind. They know that irrespective of how frequently tariffs and trade limitations are updated, Global-e not only makes sure they remain 100% up to date and compliant, but also helps them to navigate complex business decisions, lowering as much as possible the impact of these tariff changes on their sales. Moreover, in the face of higher tariffs, either due to the upcoming change to the De minimis exemption or other tariffs, our 3B2 C solution and the ability to provide Duty drawback further increase the attractiveness of our solution. We are seeing these resulting in increased interest within our new merchant pipeline and within our conversations with existing brands. Before we move on to our Q2 results and forward guidance in more detail, I would first like to go through a few recent exciting business developments. First, we extended our long-term strategic partnership with DHL, entering into an additional three-year agreement. This is our second renewal with DHL since our IPO and our partnership with them remains very strong and fruitful. This new agreement enables us to provide excellent service to merchants and shoppers alike while creating value for both Global-e and DHL. Second, as we announced two weeks ago, we acquired ReturnGo, a leading provider of AI-driven return and exchange solutions. This acquisition is designed to elevate our native post-purchase solutions for our merchants in parallel to our partnership with industry leaders, leading return solutions such as Loop. As we integrate ReturnGo's advanced technology for automating returns, exchanges, and other post-purchase flows into our tech stack, we believe this will enable Global-e merchants to provide more flexible, best-in-class return experiences to their customers worldwide. ReturnGo is the third acquisition that we have made since our IPO and is an exciting addition to our offering. Third, I wanted to provide an update on our 3B 2C offering. As discussed on the last call, we developed this innovative new offering in record time to enable global brands to leverage their international footprint in order to partially offset costs due to rising tariffs. Given the addition of recent changes to tariffs and most notably the suspension of the De minimis exemption, we have seen growing traction for this offering with interest from both existing and new merchants worldwide. I also wanted to quickly note that we remain on track in terms of updating our managed market solution, working in close collaboration with our partners at Shopify according to our joint plan. Lastly, an update on borderfree.com, our demand generation platform. We continue to onboard new merchants onto borderfree.com in Q2 and now have more than 250 merchants using this platform. We continue to see encouraging results with an increase in the contribution of sales for merchants utilizing borderfree.com in Q2, reaching over 4% of sales that originated from this channel. In terms of enterprise sales progress in the quarter, we experienced continued strong demand for our services across different markets as a large number of brands went live with Global-e during Q2. A few notable examples of brands that launched with us in Q2 are SteelSeries, a gaming consumer technology company, and Ganni, a well-respected fashion brand, both from Denmark; JAKI, a fashion brand from the U.K. known for its beautifully created, curated, affordable collections; and the U.K. beauty retailer Essential; Stadium Goods, one of the premier global resellers of sneakers and streetwear out of the U.S. that also has its own in-house apparel line; Bandai Namco, a Japanese gaming and media conglomerate with whom we launched in EMEA in Q2; Nanushka, a fashion brand which is our first merchant based out of Hungary; Almada Label, a rising star in luxury fashion out of Finland; Skims, the new fashion brand from Justin and Hailey Bieber, which we launched within one week of engagement; and lastly, Blythe 360, an exciting consumer tech merchant and our first subscription brand. We also expanded with a number of current merchants entering into new geographies. For example, with the OE, we added multiple countries in Europe as well as Australia and Japan. We launched in Hong Kong with Bang & Olufsen, Onitsuka Tiger, and Diesel. We added Central and Eastern Europe for Jones Road Beauty, the fast-growing makeup brand, and Bennett Winch, the luxury luggage brand, used our services to enter into Taiwan. With the traction we are seeing in the business and the pipeline, the launch of new brands, and expansions with existing ones across our various geographies, we believe we are well positioned to continue on our path towards our long-term targets of continued durable and profitable growth well into the future. I will now hand it over to Ofer to take us through the quarterly numbers in more depth as well as our increased 2025 guidance and Q3 outlook. Thank you, Amir, and thanks everyone for joining us today for the earnings call. As Amir mentioned, Q2 was another strong quarter for Global-e. We continued to deliver results well above the Rule of 40, driven by the growth of volumes processed through our platform and healthy margins. Before I go into the details of the quarter, I'd like to remind everyone again that in addition to our GAAP results, I'll also be discussing certain non-GAAP results. Our GAAP financial results, along with the reconciliation between GAAP and non-GAAP results, can be found in our earnings release issued today. GMV in Q2 was $1.454 billion, up 34% year- over- year, 3.3% above the midpoint of our range for Q2. Despite the continuous high level of uncertainty, mainly due to the tariff dynamics, trading volumes remained resilient in the second quarter. We continue to see solid trade volume through the first weeks of Q3, and as Amir discussed, a more complicated environment in this regard tends to lead to increased opportunities for us. In Q2, we generated total revenue of $214.9 million, up 28% year- over- year, 3.6% above the midpoint of our guidance range. Service fee revenue for the quarter was $102.9 million, and fulfillment services revenue for the quarter was $112 million. Service fee take rate increased compared to Q1 2025, mainly due to a positive mix, while fulfillment take rate decreased as expected, mainly due to seasonal higher average order value and the partial planned shift of volumes to Multilocal. Progressing through the income statement, non-GAAP gross profit was $99.9 million, up 34% year- over- year, representing a gross margin of 46.5% compared to 47.8% in the same period last year. Gross margin has expanded compared to Q1 2025 due to the higher share of service fee revenue in the mix. GAAP gross profit was $97.7 million, representing a margin of 45.5%. Moving on to operational expenses, we continue to invest in the development of our platform to further enhance our offerings and add value to the merchants. R&D expense in Q2, excluding stock-based compensation, was $26.2 million or 12.2% of revenue, compared to $21.2 million or 12.6% in the same period last year. Total R&D spend in Q2 was $30.7 million. We are investing for growth within our sales and marketing spend while at the same time remaining focused on driving efficiency throughout the organization. As such, sales and marketing expense excluding Shopify-related amortization expenses, stock-based compensation, and acquisition-related intangible amortization was $27.2 million or 12.7% of revenue, compared to $19 million or 11.3% of revenue in the same period last year. Shopify warrant-related amortization expense was $12.9 million in the quarter, down from $37.4 million in Q2 2024. As a reminder, we expect this expense to continue to decrease for the remainder of the year and to be completely gone at the beginning of 2026. Total sales and marketing expenses for the quarter were $44 million, down from over $60 million last year. General and administrative expenses excluding stock-based compensation were $8.8 million or 4.1% of revenue, compared to $9.4 million or 5.6% of revenue in Q2 of last year. The year-on-year decline was primarily due to one-off cost recorded in Q2 of the previous year as well as improved operational efficiencies. Total G&A spend in the quarter was $12.5 million. Adjusted EBITDA was $38.5 million, up 23% from Q2 2024 and 4.1% above the midpoint of our guidance range. Adjusted EBITDA margin was 17.9% versus an 18.7% margin in Q2 2024. Impacted by the lower gross margins in Q2, we turned GAAP profitable. The net profit in the quarter was $10.5 million compared to a net loss of $22.4 million in the year-ago period. The net profit was driven mainly by the reduced amortization expenses related to the Shopify warrants as well as from the growth of the business. As Amir mentioned, given the amortization of the majority of the Shopify warrants-related asset is now done, with the rest expected to be fully amortized by early 2026, we expect to be GAAP profitable moving forward and for the full year of 2025. Moving on to the balance sheet and cash flow statements, we ended the quarter with $516 million in cash and cash equivalents, including short-term deposits and marketable securities. Q2 was a strong quarter of cash generation with free cash flow of $63.5 million in the quarter. Now let's go through the Q3 and the updated full-year guidance. For Q3 2025, we're expecting GMV to be in the range of $1.45 billion- $1.495 billion. At the midpoint of the range, this represents a growth rate of 30% versus Q3 of 2024. We expect Q3 revenue to be in the range of $214 million- $221 million, representing a year-over-year growth rate of 24% at the midpoint. For adjusted EBITDA, we are expecting a profit in the range of $37.5 million- $41.5 million, or a margin of 18.2% at the midpoint. For the full year of 2025, we anticipate GMV to be in the range of $6.22 billion- $6.52 billion, representing a 31% annual growth rate at the midpoint of the range. Revenue is expected to be in the range of $921.5 million- $971.5 million, representing a growth rate of 26% at the midpoint of the range. For adjusted EBITDA, we expect a profit of $180 million- $200 million. As Amir mentioned, we are very excited about the acquisition of ReturnGo, which we believe will enable us to elevate our post-purchase solutions, experience, and functionality. We expect the deal to have a slight positive contribution to revenue and a limited negative impact on adjusted EBITDA in 2025. However, we expect the impact on profit to be close to neutral by 2026 once we are able to realize all the planned cost synergies. To summarize, as the results we present to you today reflect, we remain on track on our growth trajectory as per our long-term targets. We believe the current environment represents exciting opportunities for Global-e to add value and continue growing. Given the increasingly complicated global e-commerce environment, our services are becoming more integral to merchants every day. The market opportunity in front of us remains massive, and we continue on our path to support merchants worldwide in expanding their direct-to-consumer business. With that, Amir, Nir, Alan, and I are happy to answer questions you may have. Operator. Thank you, ladies and gentlemen. We will now begin the question and answer session. To ask a question, you may press STAR followed by the number one on your telephone keypad. If you're using a speakerphone, please pick up your handset before pressing the keys. To withdraw your question, please press STAR two. With that, our first question comes from the line of Will Nance with Goldman Sachs. Please go ahead. Hey guys, appreciate you taking the questions this morning. I wanted to maybe ask about a couple of your comments around the De minimis exemption and your expectations around that in the back half of the year. I take from the comments that you guys are not expecting a significant impact. If you could just talk a little bit about some of the ins and outs of your expectations in the back half of the year. I guess I'll just ask, are you seeing the removal of the De minimis and the continued trade uncertainty, has that driven any upside to the back half of the year and is that maybe offsetting any kind of headwinds associated with some of the changes? Yeah, I wouldn't. I don't know. Hi. First of all, Amir, thank you for the question. I'm not sure I would consider it as a tailwind, but definitely as we commented, the trading looks resilient. We were already past a few months of trading post the recent changes to the De minimis exemption, and as we said, we haven't seen any material impact. The same store sales are within the multi-year trend. Yes, there is still some uncertainty we are faced and our merchants are faced with an ever-changing landscape. We do believe that at the end of August, the change that is coming will happen. Exemption. We took all of that into consideration when we provided the guidance. Despite all of that uncertainty, we did see trade deals coming in. We believe that generally speaking the risk of more tariffs or reciprocal tariffs has been reduced. It's also important to remember that when you look at the inbound volumes that we have into the U.S., which is about 12% of the trade, about a third of that is coming from. Country of origin: China and Hong Kong. The remainder will have some impact on when the De minimis exemption is removed for the rest of the country. Again, we do expect to see an offset of that in terms of the pricing of the product, and overall we don't expect a meaningful impact on our trade volumes. Got it. Super helpful. Maybe just a housekeeping item here on the acquisition. Is there any way you could lay out what the expectation of what's assumed in the back half of the year guidelines on the top line, and then similarly on the OpEx side? I think you mentioned investing in sales and marketing this quarter. Should we take that as sort of your direct sales force, or is that continued strength in Shopify, and just how you're thinking about OpEx trends and sell the market in the back half? Thanks. Sure. In terms of ReturnGo for 2025, it will have a slight positive impact to revenue of just over $1 million. In terms of adjusted EBITDA, it could be slightly dilutive. We expect it to have a negative impact of approximately $1 million on the adjusted EBITDA. By the way, for 2026, once we achieve the expected synergies, which should be relatively simple to achieve, it should be very close to EBITDA neutral. In terms of sales and marketing, we have seen a certain increase of sales and marketing as a percentage of revenue. Some of it is attributed to the higher volumes of GMV and the rev share we pay to Shopify, which is expected to reduce in the last few months of the year. The remaining, yes, is a certain additional investment that we will put in or are already putting into sales and marketing, a few more people. That's very helpful. I appreciate you taking the questions. Thanks, Will. Will your next question comes from the line of Samad Samana with Jefferies. Please go ahead. Hey, good morning and good to see the strong quarter. Maybe first just the 3B 2C product. You guys mentioned that there's good uptake there, and especially given the policy environment now that you've had customers adopt it and go live with it and utilize it. What type of take rate are you seeing from that cohort of customers, and how should we think about maybe the impact to the take rate going forward as you see more adoption of 3B 2C? I have one follow up question. Hi Samad, it's Nir. We are very excited with the 3B 2C solution. We are seeing growing interest from both new and existing merchants, especially with the abolishment of the De minimis exemption expected to come in end of August. We have a couple of merchants already live and trading with the solutions, and we have others that are expected to launch within the quarter and a few new ones already in the funnel. In terms of the take rate dynamics, it's kind of close to the regular dynamics that we see on a regular D2C transaction because our fees are calculated out of the consumer transaction, which is actually the same between a 3B 2C model and our regular model. There might be a minimal impact in terms of the clearance fees, but this is, I would say, miscellaneous in terms of our take rate. Great. Maybe on the acquisition, I'm curious if that was a company that you were already partnering with. If I look at ReturnGo's website, there are some pretty notable logos that they have that Global-e may not have. Is there an opportunity to maybe go and cross sell or acquire their customers, and what's maybe the overlap in your base today and how much of a cross sell opportunity is there? Maybe more details on what the opportunity there is given that it's relatively small in size. Sure. Thank you. It's Nir again. We believe that this acquisition will further position us with a best-in-class solution in the market for post purchase. Today, mainly our solution was built on our internal capabilities that weren't best-in-class, and now we have, I would say, an in-house solution that will be best-in-class for our merchants with additional services built into it, such as exchanges and more. More than that, yes, they do have within the client base a certain level of clients that can be a relevant fit to become a Global-e merchant that aren't currently our merchants. As part of the synergies we are looking to have, we will also, of course, offer these merchants to utilize the rest of Global-e services. Yet to be proven what would be the success rate on that, but this was an add-on to the rationale. The main rationale, just to be clear, was to improve the post service solution and increase shopper satisfaction for all our brand. Great. Thanks again, gennts. Thanks again, gents. Have a great day. Thank you. Thanks a lot. Your next question comes from the line of James Faucette with Morgan Stanley. Please go ahead. Hey, good morning. Thanks for the time this morning. Wanted to chat on a couple of things or ask a couple questions. First, on the back half of the year, there's pretty good implied acceleration there. It'd be great if you could provide. Some insight into the growth and composition. Of the pipeline as you see it today, and if there's been any change since Liberation Day, in particular, do you still expect to grow net new merchant GMV on a dollar basis this year, even though you had such a strong benefit from enterprise ads last year? Hey James, thank you for the question. It's Ofer. I think that regarding the back half of the year, generally speaking, as we've mentioned, we see very solid trading patterns. We see solid same store sales numbers, and we see that continuing into July and the beginning of August. This is definitely a positive. Also, on top of that, we have been adding merchants throughout the year. We don't have this year the two very large ones, but when you look at the overall numbers, they are very similar to what we have seen last year, just much less concentrated. We will continue onboarding merchants until peak period, and we expect in terms of GMV from new merchants, to see similar contribution to last year, so pretty similar numbers. Hopefully, if it goes well, might be even above those numbers. Got it, got it. I know you already touched. On take rate, obviously good to see the recovery and the sequential improvement in service take rate. How should we think about the drivers of take rate on a go forward basis? I'm just wondering how to think. About that on the services side. As what kind of trajectory we. Should be expecting on fulfillment, especially with Multilocal adoption, and trying to think about that on a more medium-term basis. Thanks. Yes. In terms of service fee take rates, as we've mentioned when we guided for the year after the certain drop we had as a result of the loss of Ted Baker, we expected it to be more or less stable. There is some volatility between quarters, mainly due to mix, but our expectations still remain the same. We expect it to be close to H1 levels. Q2 was a very good quarter in that sense; we had a positive mix contributing. We do see more, and we are also gradually building more propositions around value added services, mainly due to drawback, and we expect that going into next year this might contribute. It's still early to say, but we see, due to the changes in tariffs in the tariff environment, we do see an opportunity there. That might potentially provide us an upside opportunity. It's a bit early to say if that will come through. That's great. Thanks, Ofer. Just in terms of the fulfillment take rate, we expect them to remain for the remaining of the year to be again close to Q2 levels, because on the one hand we will see higher share of multi local. As we commented in the beginning of the year, there are two or three large merchants that are shifting some of their volumes to multi local and we will see this happen. Some of it has already happened and some will happen in the remaining of the year. On the other hand, Q2 has some AOV seasonality. It's typically a high AOV quarter, average order value, and this has been the case also in this Q2. We expect that to have a positive impact that will offset the multi local impact for the remaining of the year. We expect it to stay close to the current levels. Great. Appreciate that, Ofer. Have a good day, everybody. Thank you. James, your next question comes from the line of Chris Zhang with UBS. Please go ahead. Hi, thanks for taking my question. I wanted to ask about the new arrangement with Shopify and mainly related to the 3P side. First, on the rate reduction, can you confirm the timing of the rate reduction on the 3B2C side and how you have baked that into the EBITDA guide? It seems that from the implied Q4 EBITDA margin it shows a slightly higher than typical sequential step up. How much of that is reflecting the new agreement? I'll follow up on the pricing. Hi Chris, thank you for the question. It's Ofer. In terms of the timing, it will come in late in Q3, so there will be a limited impact in Q3, and the new arrangement will be in place obviously for Q4. We definitely took that into account in our guidance as we mentioned, I think, in the previous quarter. Over time, we expect the new situation to have to weigh a bit on our gross margin as we do expect to see some more competition. Although for now, I would say we haven't seen a significant change in the environment. However, the reduction in the rev share will enable us over time. We believe that it will enable us over time to get overall improved economics and improve our adjusted EBITDA. Thank you so much for the color. I think you pretty much answered the question on the prices, so maybe I'll just ask more about a specific product. Just from your new agreement, there's a mention of Shop Pay to be made available on the 3P side. Maybe can you talk about your thoughts on the impact on the payments portion of the revenue in 3P, and if there's any potential for Shopify payments in general to take over a bigger responsibility on the 3P side, considering the variable parts including the conversion of Shopify payments, but also some of the potential economic changes there? Just wanted to hear your thoughts. Okay, thank you. It's Nir. Just on the market dynamics, as we expected, we have seen some increase in the competitive landscape. However, if you take into account our high win rate on other platforms as well as our vast experience on the Shopify platform and the preferred status that we have with exclusive features and capabilities, we believe we will have even more than that on the Shopify platform. On the competitive side, we feel quite strong with the recent changes. In terms of Shop Pay, w e are expecting it to be launched sometime late Q3, early Q4, and we expect it will be heavily used and adopted by our merchants as it is used on Shopify in terms of utilizing the Shopify payments for our services. For 1P, of course, it's going to be embedded in the model Shopify within the managed markets. For 3P, it's not planned. All right, thank you very much for the details. Appreciate it. Thanks Chris. Your next question comes from the line of Scott Berg with Needham. Please go ahead. Hi everyone. Really nice quarter. Two questions for me. I wanted to start with some detail on the new Blythe 360, I guess deal and contract consumer tech. Is not necessarily new for you all. Subscription based product seems I don't. Know, a little strange to me because there's no cross-border shipping really within. There's no shipping charges necessarily. How does that opportunity kind of. Fit into the broader Global-e portfolio here going forward? Oh hi Scott. It's Nir, thank you for the question. We started this journey when we targeted the consumer electronics and once we started to gain traction in the vertical and we have today multiple clients within the vertical. I think Amir spoke about SteelSeries, very nice consumer electronics brand that just launched with us. We came into an evolution that also subscription was needed. We don't see a straightforward play for digital goods subscription a large opportunity for Global-e. However, we do see it supporting merchants that are selling physical goods and want a subscription on top of it, whether it's plans to use as extra plans to sell on top of the physical goods or a standalone product that is a digital subscription good but for a merchant that sells also physical goods. We believe this would be our sweet spot. There might be some pure players but this is not the core for our strategy and for those merchants that have a combination of physical, virtual and subscription we are best positioned to take advantage of it because it does require our clearance capabilities, our know how in duty management and physical good movement. Very helpful, Nir. Appreciate that. From a follow up perspective, the growth in your U.S. business has actually accelerated year- over- year, which is kind of interesting given what's going on with all the different tariff dynamics there. Can you help understand what's maybe specifically going on with the U.S. side of your business? Maybe it's just more focus there to drive more, you know, more vendors from the U.S., but any color there will be opportunity. The U.S. business continues to outperform. A lot of this outperformance is from very strong growth of some of the U.S. brands. Our U.S. brands, a lot of them are much more digitally native than what we see in other parts of the geographies we serve, and these clients typically grow faster. In average, they have a faster same store sales growth, which is actually growing the U.S. even faster than other parts of the world. In terms of the new booking contribution, the U.S. isn't doing better than our other developed markets, and I can say that the emerging markets are growing even faster, but their share in our overall mix is still relatively low. Wonderful. Thanks for taking my questions. Thank you. Your next question comes from the line of Mark Zgutowicz with Benchmark. Please go ahead. Thank you. Just on the Borderfree comment. Can you repeat? We just got cut off. Can you hear me okay? Yeah, now I can hear. Sorry. Okay. Sorry about that. I just was hoping you could comment further on the Borderfree 4% revenue contribution and whether that was in line with your expectations or above. If we think about the 250 merchants that you've onboarded there, how core are they to driving that contribution level higher and what would you expect to see in terms of total merchants exiting this year? Just roughly, just trying to get a sense of the pace of that merchant growth that we should look for. Thanks. Oh, just to clarify, it's Nir. Thank you. Just to clarify the metrics, the 4% growth for those merchants, it's merchants that actually joined the Borderfree platform. It's not our entire base of merchants, it's those that actually adopted the platform for them. Borderfree is equal today to 4% of the business. 4% of the traffic is actually end sales are coming out of our demand generation solution on borderfree.com. We are happy with the development of it. The product was launched in Q4 last year. It's just early days, still early days for the product. When we met you all at the investor day, we had already seen traction with around 2.6% already coming of the traffic for the participating sites coming from Borderfree. We're currently over 4%. It's in line with our expectation, and over time we expect that with maturity we can hit over 5% and even up to 10% on average, with some of the brands, or I would say the high contribution brands, even enjoying a two-digit contribution from our demand generation, which is a great driver for native growth as we take percent of their growth and of course increases the stickiness of our model. Now we're not only converting better for you and simplifying your global operations, we're also driving new revenue. That's helpful, and maybe a separate question just around NDR trends in the first half versus what is implied in your second half revenue guidance, and also if you could perhaps qualify your same store merchant GMV growth relative to new year to date and how that sort of compares to last year. Thank you. Generally speaking, there is some, of course, as always, some volatility between periods. When we look at the year-to-date figures, they're, as we mentioned, in line with our historical average and pretty close to the numbers we had in our planning. This has been also continuing in the beginning of Q3. For the remainder of the year, we expect that to stay more or less in that environment. In terms of contribution from new merchants, as we mentioned previously, we expect that contribution to be pretty close to what we've seen last year. Last year, we had a lot of contribution in the last part of the year from new merchants. This time it's much less concentrated, both in terms of timing and also the volume contribution of each merchant. We expect the numbers to be pretty close. Excellent. Thanks, guys. Thank you. Your next question comes from the line of Patrick Walravens with Citizens. Please go ahead. Oh, great. Thank you. Let me add my congratulations. Amir, maybe if you. Probably Nir, just stepping back, if you look at the last five years of your relationship with Shopify, what. Do you think are sort of the. Key lessons that you've learned? Wow, how much time do we have? It's probably not on the Q&A script. No, actually it is. No, I think what we've learned along the years, and I think it's reflected in the fact that the relationship is continuing to grow, continuing to flourish, and we continue to renew our vows every so often, is that it has, I think, all the basis for a good, mutually beneficial partnership because each side brings to the table its strength and its unique contributions. I think to me, that is the basis of every good long-term strategic relationship. We're seeing the benefits of that both on our enterprise side, and as you've all seen, that led to an even deeper relationship on what has now become managed markets. And. We're working ever so closely with Shopify to make it an even deeper and more synergetic integration. To me, the main lesson is that if it makes sense to both sides, then it can be a very successful mutually beneficial partnership. Great. My follow up is what specifically is, what are you specifically working on now with Shopify in terms of the additional functionality? When do we expect that to come out? What are the top two or three things? I think we should divide it between the two solutions. On the managed markets front, we are working on, as we guided, together with Shopify on aligning the domestic experience to the global experience, using managed markets, serving much more of the functionality through the Shopify platform, utilizing Shopify payments, and making, I would say, the entire reconciliation process seamless between the domestic and the global experience. For the 3P solution, I think the main thing coming up soon is. Shop Pay, which we believe would be a great tool to continue and upgrade the conversion to our merchant, offering them even a better experience on their global partnership with Global-e on Shopify. Good to mention here that this feature is also exclusive for Global-e for the next 12 months. It's also a good edge versus competition as part of it. Also, Shopify has integrated us into the new market solution that allows more flexibility to our merchant utilizing the theme Customization Team Editor and other functionalities that is now available with a combination of Global-e and Shopify. Okay, thank you both. Thanks. Your next question comes from the line of Brent Raiston with Piper Sandler. Please go ahead. This is Hannah Rudolph on for Brent today. Thanks for taking my question. I didn't hear much about Multilocal in the prepared remarks. It sounds like you are seeing some of that volume shift over to Multilocal, but was there anything else to call out for the quarter? Do you still expect Multilocal to hit around 15% of GMV this year? I think the reason we didn't give it much emphasis is that we don't see a change from the dynamic we already highlighted in our guidance for the year and in our Q1 results. We continue to see gradual shift towards it in line with what we indicated around the 15% that we expected to hit. It's all baked into our guidance. That's why we gave it less emphasis in our discussion. The trend continues and we continue to build services in order to support better trading within Multilocal and make our service and solution more appealing to Multilocal merchants. Got it. Makes sense. Is ReturnGo bringing any AI capabilities or functionality that you can apply to other areas of your business? They have some AI capabilities related to prediction models around the returns, the reasoning behind it, the ability to sell to the client instead of a refund alternative solution such as wallets or gift card loyalty points or an exchange. It's less relevant for outbound experience, but it is an enhancement that I'm sure that our merchants would be happy to utilize once we complete the integration and make it our internal tool. Helpfull. Thank you. Your next question comes from the line of Maddie Schrage with KeyBanc Capital Markets. Please go ahead. Hey guys, thanks for taking my question. My first one was just on kind of the international split. It seems like the U.K. still kind of sees some weakness. Is this expected to continue for the rest of 2025? I was wondering if you guys could talk about where you're seeing the greatest strength in rest of world and maybe where you see the most opportunity going into 2026. Thanks. Oh, related to the weakness in outbound U.K., I think this is coming out of two reasons. One is mix that is driven from seasonality. We have huge merchants such as Harrods that are much more, I would say, stronger in the back half of the year, mainly in Q4, and the rest of the year they are lower. This is a seasonality effect. The other part is M&S. M&S was a significant merchant of us within the U.K. merchant base, and they are, at least in this quarter in Q2 and going also into Q3, at least for a significant part of it, currently not trading due to the cyber attack. This contributes to the overall weakness that you do see in the U.K. We do expect it to change trend late Q3, but mainly in Q4 once M&S is trading back in full speed. Harrods is going into its peak selling. We do expect the U.K. to grow again in share, and as we have also a good pipeline coming out of the U.K., we do expect it to continue going into 2026. Thank you. My second part of that question was just I'm curious about kind of the other geos that you guys don't necessarily break out for outbound regions, specifically in parts of Asia where you're seeing the greatest inbound interest and kind of where you see the greatest opportunity to further penetrate those markets. Thanks. Yeah, I think that, and I'll connect it also to Ofer mentioning the slight increase in sales and marketing expense. We do see a lot of potential in APAC. We have recruited additional individuals into sales and account management roles within the region. We have seen very nice traction coming out of Korea. We have seen new growth now in funnel coming out of Taiwan, a new region for us. Australia continues to pick up as we assume the market leadership in global commerce out of Australia, and Japan continues to work as well. We mentioned Bandai Namco as it launched with us out of Japan. We are expecting in Q2 to have additional growth with significant Japanese merchants coming also in Q3. All in all, we continue to see the share of APAC growing within our pipeline, and hopefully we will see that within a few years it will take its share, the same as the e-commerce share that it has on a global scale within our sales charts. Awesome. Thank you, guys. Your next question comes from the line of Bryan Peterson with Raymond James. Please go ahead. Hi, thanks for taking the question. This is John Messina for Brian. On the land sizes and expansion versus expectations, can you maybe help frame for us what you're seeing from merchants, noticing any changes in initial land sizes or number of countries that merchants are launching with? Regarding the expansion motion with legacy merchants. Has the pace of new geo expansion been tracking in line with expectations this year? Thanks. By far with the new GMV, most of it is new brands and new logos that are actually launching. Some of them are launches that were signed at the back half of last year, some of them and many of them are launches that are happening now. For merchants signed within this year, we do have some land and expand cost. Of course, some of our larger merchants, such as Adidas, we launched Hong Kong, Significant Lane and a few others. In the Pareto, we see more contribution coming out of new logos. Okay, thanks. Helpful color there. Just one quick follow-up if I may. On the Shopify partnership, we're 90 days after the extension and changes there. Just curious what you're specifically seeing on the funnel side. Realize you called out some increased competition, but also wanted to ask on the funnel and then on the second derivative, are you seeing any elongation and maybe launch timing there? Thank you so much. As indicated previously, as expected, once Shopify removed the exclusivity in the new model and moved into a preferred model, we have seen some increase in the competitive landscape. However, as we have a robust solution that was built over the last five years, it has unparalleled scale, experience working with Shopify, connecting to Shopify through different APIs. Some of them are exclusive APIs to us. We do see our win rates continue to be super high and a very low impact on our pipeline, especially on the enterprise side. Thank you so much. Our last question comes from the line of Koji Ikeda with Bank of America. Please go ahead. Hi, this is George McGreehan on for Koji today. Thank you. Thank you guys for taking our question. I wanted to ask just another one on Shopify progress. I know that you've been. Working on some Shopify managed markets enhancements this year. How has that been progressing, and do you anticipate you will be pushing harder with this partnership for the remainder of this year and into 2026? Hi, thank you. It's Nir. We are tracking according to the milestones agreed with Shopify, firing on all cylinders towards launching the new solution of managed market, which would be much more seamless for the merchants versus the domestic experience. We work very closely with the Shopify product and development team, and so far we believe that we are, as indicated previously, in line to launch, I would say, the new solution within 2026 with a rollout plan that will be decided by Shopify according to the schedule. Okay, thank you. Thanks a lot. We have no further questions at this time. I would like to turn it back to the Global-e CEO and Co-Founder, Amir. Please go ahead. Thank you. On behalf of the entire Global-e team, I would like to thank all of you for joining us today and for your ongoing support. We continue to see tremendous opportunity to add value for our merchants, drive growth, and increase free cash flow. As we expand our global offerings b y integrating new capabilities such as ReturnGo or by launching homegrown offerings such as our 3B 2C solution, we see a long runway for significant innovation and growth at Global-e to support the growing needs of our merchants in ever more complex waters of global online trade. We look forward to speaking with many of you during the quarter and updating you on our future earnings goals. Till then, goodbye and take care. Thank you, presenters and ladies and gentlemen, this concludes today's conference call. Thank you all for joining. You may now disconnect.