Riskified .(US:RSKD)2024-03-05 11:46Financial Performance - Riskified achieved a record adjusted EBITDA of $9.7 million in Q4 2023, marking a significant improvement from a loss of $0.3 million in Q4 2022, representing a margin increase of 1,100 basis points year-over-year[6]. - Revenue for Q4 2023 was $84.1 million, a 6% increase compared to $79.3 million in Q4 2022, with full-year revenue of $297.6 million, reflecting a 14% growth from $261.2 million in 2022[6]. - Full-year revenue for 2023 reached $297,610,000, up 13.9% from $261,247,000 in 2022[28]. - The company reported a net loss of $3,265,000 for Q4 2023, an improvement from a net loss of $12,052,000 in Q4 2022[28]. - Non-GAAP net profit for Q4 2023 was $13.012 million, up from $4.869 million in Q4 2022[36]. - Non-GAAP net profit for the year 2023 was $9.324 million, a significant improvement from a loss of $32.433 million in 2022[36]. Cash Flow and Assets - The company generated positive free cash flow of $5.9 million for the full year 2023 and ended the year with $474.8 million in cash, deposits, and investments, with zero debt[5]. - Cash provided by operating activities for Q4 2023 was $7,423 million, compared to $(4,098) million in Q4 2022[35]. - Free Cash Flow for Q4 2023 was $7,142 million, a significant recovery from $(7,162) million in Q4 2022[35]. - Total cash, cash equivalents, and restricted cash at the end of Q4 2023 was $440,838 million, up from $191,017 million at the end of Q4 2022[31]. - Total current assets as of December 31, 2023, were $532,299,000, slightly up from $529,935,000 in 2022[26]. Growth Metrics - Gross merchandise volume (GMV) for Q4 2023 was $35.2 billion, a 9% increase from $32.2 billion in Q4 2022, and full-year GMV reached $123.1 billion, up 17% from $105.6 billion in 2022[6]. - Riskified expects revenue for the year ending December 31, 2024, to be between $323 million and $335 million, with anticipated adjusted EBITDA between $10 million and $17 million[7]. - The fourth quarter was the strongest ever for the Policy Protect product, with over 50% of deals going live during the quarter, reflecting increased merchant acceptance[5]. Profitability and Expenses - Riskified's gross profit for Q4 2023 was $48.5 million, with a gross profit margin of 58%, compared to 52% in Q4 2022[6]. - Operating expenses for the year 2023 were $229,368,000, down from $244,445,000 in 2022[28]. - Research and development expenses for Q4 2023 were $17,122 million, slightly down from $18,502 million in Q4 2022[35]. - Share-based compensation expense for Q4 2023 was $14.925 million, slightly down from $15.233 million in Q4 2022[36]. Shareholder Actions - The company has repurchased approximately 7.6 million shares at a total cost of approximately $34 million as part of its $75 million share repurchase program[5]. - The company issued ordinary share warrants to customers totaling $384 million in Q4 2023, consistent with Q4 2022[31]. Liabilities and Deficits - Total liabilities decreased to $110,211,000 as of December 31, 2023, from $112,548,000 in 2022[26]. - The company’s accumulated deficit increased to $411,569,000 as of December 31, 2023, compared to $352,534,000 in 2022[26]. Future Outlook - The company aims to enhance its machine learning models and expand its product offerings to mitigate risks and improve customer retention[23]. - Riskified expanded its Dispute Resolve platform to enhance chargeback operations, leveraging AI integrations to streamline processes for merchants[5].