Riskified (RSKD) Q2 2024 earnings summary

Executive summary

• Achieved consecutive quarters of positive Adjusted EBITDA and Free Cash Flow in Q2 2024, with $2.3M Adjusted EBITDA and $4.1M Free Cash Flow, reflecting strong execution and financial discipline.

• 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.

• Introduced new AI-powered capabilities and hosted the annual Ascend Merchant Summit, debuting innovative solutions.

• 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% year-over-year.

• Q2 GMV reached $35 billion, up 13% year-over-year; H1 GMV up 15% year-over-year.

• Non-GAAP gross profit margin was 53% in Q2, with H1 margin at 54%, the highest since IPO.

• Adjusted EBITDA was $2.3 million in Q2 2024, compared to negative $4.6 million in Q2 2023.

• Ended Q2 with $422 million in cash, deposits, and investments, and no debt.

Outlook and guidance

• Full-year 2024 revenue guidance updated to $320–$325 million, reflecting macro headwinds and removal of recovery assumptions.

• Full-year Adjusted EBITDA guidance raised to $13–$19 million, midpoint $16 million, representing significant margin expansion year-over-year.

• Gross profit margin guidance raised to 52.5%–53.5% for 2024; Q3 margin expected at ~50%, Q4 above the range.

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

• Confident in achieving 2026 EBITDA margin target of 15–20%.