Riskified (RSKD) Q2 2024 earnings summary

Executive summary

• Achieved profitable growth with positive Adjusted EBITDA for the third consecutive quarter, driven by go-to-market execution, new merchant activity, and product innovation, including new AI-powered capabilities and successful pilots.

• Repurchased 6.8 million shares for $39 million in Q2, with $50 million remaining in buyback authorization.

• Expanded global merchant network with key wins in ticketing, live events, and a major fashion account in Japan, supporting strong APAC growth.

• Hosted annual Ascend Merchant Summit, debuting new AI-powered solutions and enhancing merchant engagement.

• Named to CNBC's 2024 Top Fintech Companies, underscoring market leadership.

Financial highlights

• Q2 2024 revenue was $78.7 million, up 8% year-over-year; H1 2024 revenue reached $155.1 million, up 10%.

• Q2 GMV reached $35 billion, up 13% year-over-year; six-month GMV up 15%.

• Non-GAAP gross profit margin was 53% in Q2 and 54% for the first half, the highest since IPO.

• Adjusted EBITDA was $2.3 million in Q2 (vs. -$4.6 million in Q2 2023); Free Cash Flow was $4.1 million in Q2.

• Ended Q2 with $422 million in cash and investments, and zero debt.

Outlook and guidance

• Full-year 2024 revenue guidance updated to $320–$325 million; Adjusted EBITDA guidance raised to $13–$19 million.

• Gross profit margin guidance increased to 52.5%–53.5% for the year.

• Q3 gross profit margin expected at ~50%, with Q4 margin above the annual range.

• 2024 Free Cash Flow outlook of approximately $30 million.