Riskified (RSKD) Achieves First GAAP Profit in Q4 With Record $99.3M Revenue

Riskified Ltd. (NYSE:RSKD) is one of the best new penny stocks to buy. On March 5, Riskified delivered its 2025 financial report, surpassing earnings expectations with a reported EPS of $0.12 against the anticipated $0.10. The company achieved a milestone by posting its first-ever quarter of GAAP profitability in Q4, supported by quarterly revenues of ~$100 million. Key performance metrics showed marked improvement, with annual dollar retention reaching 100% and net dollar retention climbing to 105%. This momentum was fueled by a record volume of new business wins since the company’s IPO, including partnerships with major global brands like Nintendo, Temu, and Ace Hardware.

A central theme of the report was the escalating complexity of the fraud landscape, particularly the rise of AI-driven ‘agentic commerce.’ The CEO detailed how Riskified is using its decade-old AI ecosystem to protect merchants from sophisticated synthetic identity fraud and automated refund abuse. The company’s data moat, built on over $750 billion in processed GMV and 1 billion unique interactions, allows it to provide real-time risk signals that general-purpose LLMs cannot replicate.

Photo from The Trade Desk website

Beyond core fraud protection, the company’s ‘Policy Protect’ and ‘Account Secure’ products generated ~$10 million in 2025 revenue, reflecting a successful transition into a multi-product platform. For 2026, Riskified Ltd. (NYSE:RSKD) issued a revenue guidance of $372 million to $384 million, representing 8% to 11% growth, and expects to generate ~$40 million in free cash flow.

Riskified Ltd. (NYSE:RSKD), together with its subsidiaries, develops and offers an e-commerce risk intelligence platform that allows online merchants to create trusted relationships with consumers in the US, Europe, the Middle East, Africa, the Asia-Pacific, and the Americas.