Core Insights - Riskified has formed a strategic partnership with Radial to enhance payment fraud and refund/return protection for Radial's merchant clients [1] - The integration of Riskified's AI-powered platform aims to help merchants approve more legitimate orders while minimizing losses from payment fraud [1] - Radial, which will rebrand as Paxon, operates a global ecommerce fulfillment network with over 20 centers in North America [1] Group 1: Partnership Details - The partnership allows Radial to utilize Riskified's advanced fraud decisioning capabilities, enabling merchants to calibrate the checkout experience based on risk without delaying fulfillment [1] - Riskified's platform provides real-time fraud decisions at checkout, approving or declining transactions while assuming full financial liability for fraud chargebacks [1] - The collaboration also includes Riskified's Policy Protect solution, which helps merchants identify abuse patterns and implement effective policies against fraudulent claims [1] Group 2: Operational Benefits - Radial's teams can leverage Riskified's Dispute Resolve platform to streamline chargeback management, centralizing data and reducing manual efforts [1] - This partnership is expected to enhance the efficiency of Radial's operations, allowing brands to protect revenue and improve customer experiences across the ecommerce lifecycle [1] - The integration of Riskified's fraud intelligence is positioned to strengthen Radial's service offerings to sophisticated retailers [1]

Financial Performance - Riskified Ltd. reported an EPS of $0.12 for Q4 2025, exceeding the expected $0.10, marking its first-ever quarter of GAAP profitability with revenues of approximately $100 million [1] - The company achieved an annual dollar retention rate of 100% and a net dollar retention rate of 105%, indicating strong customer loyalty and growth [1] Business Development - Riskified has secured a record volume of new business wins since its IPO, including partnerships with major brands such as Nintendo, Temu, and Ace Hardware [1] - The company's 'Policy Protect' and 'Account Secure' products generated around $10 million in revenue for 2025, showcasing a successful transition into a multi-product platform [3] Future Outlook - For 2026, Riskified has provided revenue guidance of $372 million to $384 million, reflecting an expected growth of 8% to 11%, along with an anticipated generation of approximately $40 million in free cash flow [3] Industry Context - The report highlights the increasing complexity of the fraud landscape, particularly with the rise of AI-driven 'agentic commerce,' which Riskified addresses using its decade-old AI ecosystem [2] - The company has processed over $750 billion in GMV and 1 billion unique interactions, creating a data moat that enables it to provide real-time risk signals [2] Company Overview - Riskified Ltd. develops and offers an e-commerce risk intelligence platform that helps online merchants build trusted relationships with consumers across various regions, including the US, Europe, and Asia-Pacific [4]

Core Insights - Riskified reported record quarterly revenue and its first-ever quarter of GAAP profitability in Q4 2025, driven by improved retention metrics and new business wins [4][3][6] Financial Performance - Fourth-quarter revenue reached $99.3 million, a 6% increase year-over-year, while full-year revenue was $344.6 million, up 5% [2] - Fourth-quarter gross profit was $57.3 million, reflecting a 16% year-over-year increase, with adjusted EBITDA of $17.7 million, representing an 18% margin [3] - The company ended 2025 with approximately $298 million in cash and zero debt, achieving a net profit of $5.8 million in Q4 [7][17] Retention and Growth Metrics - Annual dollar retention (ADR) improved to approximately 100%, and net dollar retention (NDR) rose to 105% [1][6] - Q4 2025 saw the strongest new business wins since the IPO, accounting for about 55% of total new business for the year, with win rates exceeding 75% [6][8] Product and Geographic Expansion - Revenue from payments and money transfer grew 75% year-over-year, with APAC revenue increasing by approximately 53% [5][10] - Non-U.S. merchants contributed 46% of total revenue in 2025, up from 39% in 2024 [12] Future Outlook - For 2026, the company projects revenue between $372 million and $384 million, representing an 8% to 11% year-over-year increase, and adjusted EBITDA of $26 million to $34 million [19] - The company anticipates a 20% increase in free cash flow, targeting approximately $40 million in 2026 [17]

Financial Data and Key Metrics Changes - The company reported a fourth quarter non-GAAP gross profit of $57.3 million, reflecting a year-over-year growth of 16% [5] - Adjusted EBITDA for the fourth quarter was $17.7 million, translating to a margin of 18%, which exceeded the full-year adjusted EBITDA of $17.2 million in 2024 [5][6] - Fourth quarter revenues reached nearly $100 million, marking a record since inception and contributing to the first-ever quarter of GAAP profitability [6] - Annual revenue for 2025 was $344.6 million, up 5% year-over-year, while fourth quarter billings grew 9% year-over-year to $103.3 million [24][25] - Full year gross profit was $180.3 million, representing a year-over-year growth of 4% [29] Business Line Data and Key Metrics Changes - The money transfer and payments category grew 75% year-over-year, driven by new business wins and upsell activity [25] - The fashion, cosmetics, and luxury vertical grew 8% year-over-year, primarily due to new business and upsell activity [25] - The travel subvertical showed strong performance, while the tickets and live events subvertical experienced a decline year-over-year [25] - The company achieved a year-over-year improvement in annual dollar retention (ADR) to approximately 100% and net dollar retention (NDR) to 105% [7] Market Data and Key Metrics Changes - Non-U.S. regions collectively grew 22% year-over-year, with APAC growing approximately 53% and other Americas (Canada and Latin America) growing approximately 13% [8][28] - Revenue derived from merchants headquartered outside of the U.S. increased to 46% in 2025, up from 39% in 2024 [28] Company Strategy and Development Direction - The company aims to deepen its geographic presence and grow faster in newer verticals while identifying additional verticals for market share gains [8] - There is a focus on driving gross profit growth rather than solely optimizing for revenue growth, with expectations of non-GAAP gross profit growth accelerating to double digits in 2026 [12][13] - The company plans to expand its offerings in response to the increasing complexity of fraud schemes and the evolving needs of merchants [10][11] Management's Comments on Operating Environment and Future Outlook - Management highlighted the increasing complexity of fraud schemes and the need for enhanced platform features to address these challenges [10][11] - The company anticipates generating approximately $40 million in free cash flow in 2026, reflecting a free cash flow yield of about 10% relative to its current enterprise value [22] - Management expressed confidence in the company's long-term trajectory and announced an additional $75 million share repurchase program [22][23] Other Important Information - The company ended 2025 with approximately $298 million in cash deposits and investments, maintaining a debt-free balance sheet [34] - Share-based compensation expense declined to $51.6 million from $57.8 million in the prior year, with expectations of continued decline in 2026 [37] Q&A Session Summary Question: Can you quantify any early GMV from agentic commerce scenarios? - Management indicated they are in discussions with over 50 publicly traded companies regarding their agentic commerce strategies, but specific GMV figures were not provided [42][44] Question: Do you see outsized growth continuing in money transfer and payments for 2026? - Management expects continued growth in the money transfer and payments category but anticipates it will normalize compared to the exceptional growth seen in 2025 [47][48] Question: How do you view the potential for rising adoption of agentic commerce impacting fraud levels? - Management noted that the complexity of agentic commerce could lead to increased fraud, particularly in newer channels, but this complexity also benefits the company as it positions them as a key partner for merchants [51][53] Question: Can you provide an update on integrating with the latest agentic protocols? - Management acknowledged the fragmented nature of current protocols but emphasized their commitment to supporting a wide range of protocols to enhance fraud detection capabilities [59][61] Question: What are the FX headwinds impacting margins? - Management quantified the FX headwind as approximately 400 basis points or $14 million to adjusted EBITDA, attributing it to the appreciation of the Israeli shekel against the U.S. dollar [63][64]

Financial Data and Key Metrics Changes - The company reported fourth quarter non-GAAP gross profit of $57.3 million, a year-over-year growth of 16% [5] - Adjusted EBITDA for the fourth quarter was $17.7 million, translating to a margin of 18%, exceeding the full-year Adjusted EBITDA of $17.2 million in 2024 [6] - Fourth quarter revenues reached nearly $100 million, marking a record since inception and contributing to the first-ever quarter of GAAP profitability [6][29] - Annual revenue for 2025 was $344.6 million, up 5% year-over-year, while fourth quarter billings grew 9% year-over-year to $103.3 million [24][25] - The company achieved a net profit of $5.8 million in the fourth quarter, compared to a loss of $4.1 million in the prior year [33] Business Line Data and Key Metrics Changes - The money transfer and payments category grew 75% year-over-year, driven by new business wins and upsell activity [25] - The travel subvertical showed strong performance, while the tickets and live events subvertical experienced a decline year-over-year [25] - The fashion, cosmetics, and luxury vertical grew 8% year-over-year, primarily driven by new business and upsell activity [25] - The company processed approximately $750 billion in GMV since inception, with fourth quarter GMV of $46.7 billion, an 18% increase year-over-year [8][24] Market Data and Key Metrics Changes - Revenue from non-U.S. regions grew 22% year-over-year, with APAC growing approximately 53% and other Americas growing approximately 13% [8][28] - Revenue derived from merchants headquartered outside of the U.S. increased to 46% in 2025, up from 39% in 2024 [28] Company Strategy and Development Direction - The company aims to deepen geographic presence and grow faster in newer verticals while identifying additional verticals for market share gains [8] - Focus on driving gross profit growth rather than solely optimizing for revenue growth in 2026 [12] - Plans to expand further in APAC and LATAM by developing localized products and features [8] Management's Comments on Operating Environment and Future Outlook - Management noted an increase in fraud losses related to online transactions, with expectations that total losses attributed to fraud will more than double over the next five years [9][10] - The company anticipates generating free cash flow of approximately $40 million in 2026, with a free cash flow yield of about 10% relative to current enterprise value [22] - Management expressed confidence in the long-term trajectory of the company, supported by strong fundamentals and a disciplined capital allocation strategy [23] Other Important Information - The company repurchased approximately 22 million shares for a total price of $105.9 million in 2025, contributing to an 8% reduction in shares outstanding [34] - Share-based compensation expense declined from $57.8 million in the prior year to $51.6 million [37] Q&A Session Summary Question: Can you quantify any early GMV from agentic commerce scenarios? - Management indicated they are in discussions with over 50 publicly traded companies regarding their agentic commerce strategies, but specific GMV figures were not disclosed [42][44] Question: Do you see outsized growth continuing in money transfer and payments for 2026? - Management expects continued growth in the money transfer and payments category but anticipates it will normalize compared to the exceptional growth seen in 2025 [47][48] Question: How do you view the potential for rising adoption of agentic commerce impacting fraud levels? - Management noted that the complexity of fraud is increasing, and while agentic channels currently see higher fraud rates, this complexity may benefit Riskified as a fraud prevention partner [51][54] Question: Can you provide an update on mid-market expansion strategy? - Management stated that while targeting enterprises, they are also looking to refine their model for mid-market opportunities, which could present upside to current guidance [55][56] Question: What is the status on integrating into the latest agentic protocols? - Management acknowledged the fragmented nature of current protocols but emphasized their commitment to supporting various protocols to enhance fraud detection capabilities [59][61]

Financial Data and Key Metrics Changes - The company reported fourth quarter revenue of $99.3 million, a 6% year-over-year increase, and full year revenue of $344.6 million, up 5% year-over-year [21] - Fourth quarter non-GAAP gross profit reached $57.3 million, reflecting a 16% year-over-year growth, while full year gross profit was $180.3 million, a 4% increase [25][30] - Adjusted EBITDA for the fourth quarter was $70.7 million, the highest quarterly amount in history, translating to an 18% margin, with full year Adjusted EBITDA at $26.7 million, a 55% year-over-year increase [30][31] - The company achieved GAAP profitability in the fourth quarter with a net profit of $5.8 million, compared to a loss of $4.1 million in the prior year [30] Business Line Data and Key Metrics Changes - The money transfer and payments category grew 75% year-over-year, driven by new business wins and upsell activity [22] - The fashion, cosmetics, and luxury vertical grew 8% year-over-year, supported by new business and upsell activity [22] - The travel subvertical showed strong performance, contributing positively to revenue growth, while the tickets and live events subvertical experienced a decline [22] Market Data and Key Metrics Changes - Revenue from non-U.S. regions grew significantly, with APAC growing approximately 53% year-over-year and other Americas (Canada and Latin America) growing about 13% [24] - EMEA regions grew approximately 18% year-over-year, with strong performance in money transfer and payments, tickets and travel, and fashion and luxury verticals [24] - Revenue derived from merchants headquartered outside of the U.S. increased to 46% in 2025, up from 39% in 2024 [25] Company Strategy and Development Direction - The company aims to deepen its geographic presence and grow faster in newer verticals while identifying additional verticals for market share gains [7] - There is a focus on expanding localized products and features in high-growth regions, particularly APAC and LATAM [7] - The company plans to drive gross profit growth rather than primarily optimizing for revenue growth, with expectations of non-GAAP gross profit growth accelerating to double digits in 2026 [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's long-term trajectory, supported by strong free cash flow and a debt-free balance sheet [19] - The company anticipates generating approximately $40 million in free cash flow in 2026, reflecting a 20% increase [31] - Management highlighted the increasing complexity of fraud schemes and the need for robust fraud prevention solutions, positioning the company as a key partner for merchants [9][10] Other Important Information - The company repurchased approximately 22 million shares for a total price of $105.9 million in 2025, contributing to an 8% reduction in shares outstanding [31][32] - Share-based compensation expense declined to $51.6 million from $57.8 million in the prior year, with expectations for further declines in 2026 [33] Q&A Session Summary Question: Can you quantify any early GMV from agentic commerce scenarios? - The company is in discussions with over 50 publicly traded companies regarding their agentic commerce strategies, indicating promise in merchant-native AI agents [40][41] Question: Will the growth in money transfer and payments continue in 2026? - The company expects continued growth in the money transfer and payments category but anticipates a normalization of growth rates [44] Question: How does the adoption of agentic commerce impact fraud levels? - The company noted that the complexity of fraud is increasing, particularly in agentic channels, which may lead to higher fraud levels initially [51] Question: What is the status of integrating with new agentic protocols? - The company is actively supporting various protocols but anticipates a fragmented approach in the market [58] Question: How do Riskified's services compare to those from card networks? - The company believes its offerings are distinct and provide unique value that is not directly comparable to services from card networks [72]

Financial Data and Key Metrics Changes - The company's GMV for Q2 was $36.4 billion, with a first half GMV of $70.6 billion, reflecting a 45% year-over-year increase [15] - Q2 revenue reached a record $81.1 million, up 3% year-over-year, while first half revenue was $163.4 million, up 5% year-over-year [15] - Non-GAAP gross profit margin for 2025 was approximately 50%, down from 53% in the prior year [19] - Positive adjusted EBITDA of $2.1 million in Q2 and $3.5 million for the first half of 2025, marking the seventh consecutive quarter of positive adjusted EBITDA [21] Business Line Data and Key Metrics Changes - The two largest categories, tickets and travel, and fashion and luxury, grew 1510% year-over-year, driven by strong new business wins and upsell activity [15] - The home category saw a year-over-year decline of 74%, while the money transfer and payments category achieved approximately 90% year-over-year growth in Q2 [17] - Fashion and luxury category growth was partially offset by same-store sales pressure, particularly in high-end fashion and sneakers [16] Market Data and Key Metrics Changes - The United States market declined 11% year-over-year, primarily due to the contraction in the home category, while APAC grew approximately 40% year-over-year [18] - Other Americas (Canada and Latin America) grew approximately 16% year-over-year, and EMEA grew approximately 23% year-over-year, with strong performance in fashion and luxury, tickets and travel, and money transfer and payments [18] Company Strategy and Development Direction - The company aims to gain market share in existing categories and geographies while expanding into new verticals to diversify its merchant base [7] - A partnership with Human Security was announced to enhance fraud prevention capabilities in the evolving landscape of AI commerce [10] - The board authorized an additional $75 million share repurchase program, reflecting confidence in the company's long-term trajectory [13] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the solid first half performance and the potential for improvement in the second half, supported by a robust new business pipeline [6] - The company anticipates delivering an annual non-GAAP gross profit margin of approximately 52% for 2025, with expectations for higher margins in the second half [20] - Management highlighted the increasing complexity of fraud and the need for advanced solutions, positioning the company as a leader in the market [89] Other Important Information - The company ended Q2 with $339 million in cash, deposits, and investments, maintaining a debt-free balance sheet [22] - Quarterly free cash flows were $5.3 million, up from $4.1 million in the prior year, with an expectation of approximately $30 million of positive free cash flow for 2025 [22] Q&A Session Summary Question: Expectations for the second half of the year and same-store sales in fashion and luxury - Management is optimistic about the sales pipeline and expects win rates to be similar to historical levels, but same-store sales in fashion and luxury may be flat or down [27][30] Question: Impact of AgenTek Commerce on pipeline conversations - The evolving space of AgenTek Commerce is generating new conversations and budget opportunities as merchants seek to address AI-related challenges [32][34] Question: Trends in performance by vertical and same-store sales commentary - Travel and payments performed well, while ticket sales showed some softness, particularly in June, with expectations for a challenging comparison to the previous year's strong performance [39][41] Question: Management of operating expenses - Operating expenses were managed well, with expectations for similar levels in the second half of the year [43][45] Question: Adoption trends for adaptive checkout and its impact on new logos - Adaptive checkout has seen double-digit percentage adoption, contributing positively to the overall value proposition [47][49] Question: Proportion of fraud from large coordinated attacks - There has been an increase in professional, coordinated fraud attacks, primarily through remote desktop hacking and data breaches [72] Question: Renewal rates and upsell strategies - The company achieved a 100% renewal success rate and continues to focus on creating unmatched value for merchants [80][81]

Summary of Riskified (RSKD) FY Conference June 04, 2025 Company Overview - **Company Name**: Riskified - **Founded**: 2013 - **Public Listing**: 2021 - **Core Business**: Provides fraud management solutions for e-commerce, focusing on chargeback guarantee products and expanding into new areas [2][6] Industry Insights - **E-commerce Market Size**: The total addressable market (TAM) for e-commerce is approximately $6 trillion, with Riskified managing over $140 billion in gross merchandise volume (GMV) [17][40] - **Fraud Management Challenge**: E-commerce merchants face significant costs due to chargebacks, averaging around 25 basis points (bps) of revenue, which can be substantial [9][11] Core Product Offerings - **Chargeback Guarantee**: Riskified offers a chargeback guarantee that reduces the cost structure for merchants from an average of 30 bps to 20-25 bps, while also guaranteeing transaction approval rates [14][40] - **Adaptive Checkout**: A product that enhances bank payment authorization rates by sending enriched data to issuing banks, improving overall transaction success [19] - **Policy Protect**: The fastest-growing product with 90% year-over-year growth, aimed at identifying and blocking fraudulent refund requests [20][21][26] - **Chargeback Management Software**: A tool for managing chargebacks, allowing fraud teams to handle disputes efficiently [27] Financial Performance - **Cost Structure**: The cost of chargebacks is the largest component affecting gross margins, which hover around 50% [44] - **Operational Efficiency**: The company has focused on reducing operational expenses (OpEx) while improving profitability, with a flat OpEx forecast for the current year [41] - **Cash Flow**: Strong cash flow generation, with guidance over $30 million for the year [44] Growth Opportunities - **Market Expansion**: Riskified is targeting geographic expansion in regions like APAC and LATAM, with a focus on diversifying into non-discretionary categories [42][49] - **Upselling Potential**: There is significant white space for upselling within existing clients, with 80% of the top 30 clients having at least one upsell [49] - **New Product Development**: Continuous innovation in machine learning and data analytics to enhance product offerings and improve fraud detection capabilities [35][39] Key Metrics and Results - **ROI for Merchants**: On average, top clients experience a 30% reduction in costs and a high single-digit increase in approval rates [17][40] - **Data Capture Advantage**: Riskified's ability to capture extensive data per transaction allows for more accurate fraud detection and tailored solutions for enterprise clients [33] Conclusion Riskified is positioned as a leading player in the e-commerce fraud management space, leveraging machine learning and extensive data capture to provide value to merchants while addressing the significant challenges posed by fraud and chargebacks. The company is focused on expanding its product offerings and geographic reach, aiming for sustained growth and improved profitability in the coming years.

Summary of Riskified Conference Call Company Overview - **Company**: Riskified - **Industry**: E-commerce fraud prevention and management - **Core Offering**: AI solutions for managing online payments fraud, policy abuse, chargeback management, and account security [4][5] Core Value Proposition - **Merchant Challenges**: Merchants face liability for fraudulent transactions, requiring robust systems to differentiate between legitimate and fraudulent transactions [5] - **Fraud Types**: Includes chargebacks from "liar buyer friendly fraud," where customers falsely claim fraud to return items [6][7] - **Impact on Business**: Riskified's solutions have led to a cost reduction of over 30% and an average increase in approval rates of about 8% for top customers [9][10] Market Strategy - **Target Market**: Focus on enterprise clients, particularly those with revenues from $50 million to over $1 billion, with a growing presence in Latin America and Asia-Pacific [12] - **Sales Approach**: Direct sales targeting large enterprises, with plans to expand into mid-market and SMB segments [12] Industry Dynamics - **Fraud Evolution**: Increased sophistication in fraud tactics, including the use of AI by fraudsters, necessitating advanced solutions [14][21] - **Market Opportunity**: The growth of e-commerce (projected at $6.5 trillion) presents a significant opportunity for fraud, driving demand for Riskified's services [18][19] Financial Performance - **Net Dollar Retention**: Declined to 96% in 2024, attributed to large merchant churn and macroeconomic factors affecting discretionary spending [31][32] - **Growth in Non-Discretionary Categories**: Shift towards non-discretionary spending categories like food delivery and groceries has diversified the revenue base [30] Competitive Landscape - **Competitors**: Traditional legacy players and newer fintech solutions, with Riskified positioned as a more advanced, AI-driven alternative [35][36] - **Data Advantage**: Riskified captures extensive data across the transaction lifecycle, enhancing modeling performance compared to competitors [37][38] Product Development - **New Products**: Introduction of adaptive checkout, policy protect, and dispute resolve tools aimed at improving merchant conversion rates and managing fraud [55][61] - **Chargeback Guarantee**: Offers merchants a guaranteed approval rate and cost of fraud, enhancing value and accountability [49][50] Customer Engagement - **Cross-Selling Opportunities**: Increased focus on cross-selling additional products to existing clients, with significant growth in new product revenue [44][46] - **Customer Experience**: Emphasis on improving customer experience through faster refunds for loyal customers and managing abusive refund requests [62][63] Macro Environment - **Economic Resilience**: Despite uncertainties, consumer spending has remained resilient, with minimal impact from tariffs on overall business [27][28] - **Future Outlook**: Anticipated recovery in discretionary spending and continued growth in non-discretionary categories expected to stabilize net dollar retention [34] Conclusion - Riskified is well-positioned in the e-commerce fraud prevention market, leveraging advanced AI technology to address evolving fraud challenges while expanding its product offerings and market reach. The company is focused on enhancing customer experience and driving growth through strategic diversification and innovation.

Financial Data and Key Metrics Changes - The company reported a GMV of $34.2 billion for Q1 2025, reflecting a 7% year-over-year increase [13] - Revenue for the first quarter was $82.4 million, also up 8% year-over-year [13] - The non-GAAP gross profit margin for Q1 2025 was approximately 50%, with a year-over-year decline attributed to ramping up new merchants in newer categories [17] - Positive adjusted EBITDA of $1.3 million was achieved in Q1, marking the sixth consecutive quarter of positive adjusted EBITDA [19] - The company ended the quarter with approximately $357 million in cash, deposits, and investments, carrying zero debt [19][20] Business Line Data and Key Metrics Changes - The two largest categories, Tickets and Travel and Fashion and Luxury, each grew in the mid-teens range year-over-year, driven by strong new business wins and upsell activity [13] - The money transfer and payments category saw approximately 90% year-over-year growth, primarily driven by new merchant activity [14] - The home category contracted by 74%, contributing to a 5% year-over-year decline in the U.S. market [15] - Growth accelerated across all regions outside the U.S., with APAC growing approximately 70% and Outer Americas growing approximately 13% [16] Market Data and Key Metrics Changes - Eight of the top ten new logos won during Q1 were headquartered outside the U.S., indicating a continued expansion of the company's geographic footprint [12] - The company noted that the overall consumer remained resilient, with April trends stable compared to March [11] Company Strategy and Development Direction - The company is focused on expanding its top-of-funnel efforts to generate more pipeline, converting that pipeline into new business, and retaining and growing with merchants once onboarded [7] - The strategic investment in machine learning capabilities is aimed at enhancing performance for merchants and addressing evolving fraud challenges [10] - The company aims to maintain a non-GAAP gross profit margin between 52% to 53.5% for the full year [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong start to 2025 and the opportunities surrounding the pipeline and anticipated new business activity [21] - The company is maintaining its revenue guidance of between $333 million and $346 million and adjusted EBITDA guidance of between $18 million and $26 million for the year [22] - Management acknowledged the uncertainty around potential impacts of tariffs on merchants and overall spending activity [21] Other Important Information - The company repurchased 4.1 million shares for approximately $20.7 million during the first quarter, contributing to a decrease in share count [20] - The company continues to expect approximately $30 million of positive free cash flow in 2025, with the majority expected in the second half of the year [20] Q&A Session Summary Question: Impact of product roadmap execution on growth confidence - Management expressed satisfaction with the strong start to the year, attributing pipeline growth to the platform's value proposition and increased touchpoints within organizations [26][27] Question: Timeline for gross margin stabilization - Management encouraged looking at gross margins on an annual basis, reiterating expectations set in the previous call [30] Question: Update on mid-tier market strategy - Management indicated that while there is potential in the mid-tier market, the current strength of the pipeline remains focused on enterprise-level clients [35] Question: Long-term potential of the money transfer and payments category - Management highlighted the broad range of use cases in the money transfer category and the opportunity to expand market share [37] Question: Comparison with competitors, specifically Stripe - Management noted that Riskify's data capabilities are significantly greater than those of gateway solutions like Stripe, allowing for more effective fraud prevention [41][43] Question: Industry growth rates compared to company performance - Management acknowledged that their categories do not always align with external e-commerce growth metrics, with some categories performing better than industry averages [45][46] Question: Growth mix between new logos and existing base - Management indicated that new logo growth is slightly higher than expected, while dollar retention rates remain close to 100% [63][64]