Riskified Q1 2026 Earnings Call Summary

1Key Financial Results and Metrics

Revenue: $88.3 million, up 7% year-over-year.

Non-GAAP Gross Profit: $46.3 million, a 13% increase year-over-year.

Adjusted EBITDA: $6.2 million, representing a 370% increase from $1.7 million in Q1 2025.

Net Loss: $4.4 million, improved from a loss of $13.9 million in Q1 2025.

Gross Merchandise Volume (GMV): $37.2 billion, reflecting a 9% increase year-over-year.

Free Cash Flow: $9 million, with expectations of approximately $40 million for the full year.

Cash Position: $276 million with no debt.

2Strategic Updates and Business Highlights

Significant growth in the sales pipeline, particularly in the U.S. and international markets like Japan and Latin America.

Strong performance in the travel sector, supported by a partnership with Outpayce from Amadeus.

Competitive win rates above 75%, with notable new clients in various verticals.

Expansion into ACH fraud intelligence and nonpayment fraud products, with a 50% increase in merchants using multiple products.

Introduction of Riskified ARIA, an AI-driven risk intelligence tool, and a new identity data product aimed at enhancing customer service workflows.

Partnerships with Shopify and Radial to broaden market access and improve service delivery.

3Forward Guidance and Outlook

Revenue Guidance: Increased to a range of $376 million to $384 million for the full year.

Adjusted EBITDA Guidance: Raised to a range of $28 million to $34 million.

Anticipated growth in gross profit for 2026 is expected to be between 8% to 12%.

Continued focus on expanding into new verticals and payment methods, with expectations of sustained growth in the Tickets & Travel and Money Transfer categories.

4Bad News, Challenges, or Points of Concern

Softness in the fashion and luxury vertical, particularly in the APAC region, which may impact overall performance.

The gap between billings growth (11%) and revenue growth (7%) is the widest seen in several years, indicating potential timing issues in revenue recognition.

The competitive landscape is becoming more complex as merchants seek comprehensive solutions across multiple payment methods, which may increase pressure on pricing and margins.

5Notable Q&A Insights

Management highlighted the expanding addressable market due to the adoption of ACH and alternative payment methods, which could enhance long-term growth.

The partnership with Shopify is expected to deepen, potentially driving customer acquisition and multiproduct adoption.

There is a focus on expanding beyond traditional fraud departments into customer experience and support, indicating a broader application of Riskified's solutions.

The monetization strategy for new products like ARIA and the identity database is still being developed, with expectations for significant contributions to revenue in the future. Overall, Riskified reported a strong start to 2026 with positive financial metrics and strategic initiatives, although challenges in specific verticals and the competitive landscape remain areas to monitor.