Company: RSKD
Filing Date: 2025-03-06
Form Type: 20-F
Source: 0001851112-25-000006
Chunk: 6

Company: RISKIFIED LTD.
Filing Date: 2025-03-06
Form: 20-F
Item: Item 3
Chunk 6
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 and services. Even in the absence of macroeconomic factors, the performance of our merchants directly impacts our business, and, as a result, if the sales volume and financial performance of a merchant is negatively impacted for reasons specific to such merchant, our revenues will be negatively impacted. In addition, a reduction in online engagement generally or for any of our individual merchants, including due to a general decrease in online spending or a decreased demand for any of our merchants’ products or services for any reason could lead to a decrease in our merchants’ ecommerce revenues, which, in turn, would harm our revenues or reduce the attractiveness of our products.

Our estimates of market opportunity and forecasts of market growth may prove to be inaccurate, and even if the market in which we compete achieves the forecasted growth, our business could fail to grow at similar rates, if at all.

Our market opportunity estimates and expectations about market growth that we use to manage our business and allocate resources are subject to significant uncertainty and are based on assumptions and estimates that may not prove to be accurate. Even if the markets in which we compete meet those size estimates and growth expectations, our business could fail to grow for a variety of reasons, which could adversely affect our results of operations.

We operate in a highly competitive industry. Competition presents an ongoing challenge to the success of our business.

We operate in a highly competitive industry, and we expect competition to continue to increase with the introduction of new technologies and the entry of new competitors into the market, including risk scoring vendors that provide non-guaranteed decisions, typically at a lower price point. This could harm our ability to attract new merchants, increase sales, maintain or increase renewals, and maintain or increase our prices. We believe that our ability to compete depends upon many factors both within and beyond our control, including the following:

• the size of our merchant base;

• the timing and market acceptance of products, including the developments and enhancements to those products, offered by us or our competitors;

• the quality of our products, accuracy of our machine learning models, and our merchant service and support efforts;

• our selling and marketing efforts;

• our continued ability to develop technology to support our business model;

• our continued ability to develop and implement new products to meet evolving merchant needs, use-cases and regulatory requirements;

• our continued ability to expand into and localize our products in new geographies and new industry verticals in a timely manner;

• the pricing structures and pricing practices employed by our competitors;

• our ability to refine our pricing and product bundling