Company: RSKD
Filing Date: 2025-03-06
Form Type: 20-F
Source: 0001851112-25-000006
Chunk: 221

Company: RISKIFIED LTD.
Filing Date: 2025-03-06
Form: 20-F
Item: Item 19
Chunk 221
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.1 12.7

We are relieved from our guarantee obligation at the earlier of (a) paying a chargeback or (b) expiration of the guarantee which is generally six months six-month

Our provision for chargebacks includes amounts associated with chargebacks that have been submitted and accepted but not yet paid by us as of the balance sheet date as well as estimates of chargebacks that have not yet been submitted and accepted relating to approved transactions that are accounted for underASC 450, Contingencies. While no individual transaction is probable of a

F-27

RISKIFIED LTD.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

chargeback occurring, when we analyze a portfolio of transactions, if we believe a future chargeback is probable and reasonably estimated, we accrue a liability and an associated expense through cost of revenue. Inputs and assumptions used by management to calculate the provision are based on the transactions approved and the features of those transactions as well as historical information about chargebacks. It is possible that the estimate may change in the near term, and the effect of the change could be material. Provision for chargebacks, net on the consolidated balance sheets were $ 9.4 12.1

As of December 31, 2024, our portfolio of potential chargeback liabilities was diversified across numerous industries, hundreds of merchants, and millions of individual transactions. The maximum potential payment to our merchants for these guarantees at a point in time, if every order we approved was fraudulent, is generally the aggregate approved transaction amount excluding cancelled orders, orders that have expired guarantees, and orders for which guarantees have already been paid. As of December 31, 2024, there was $ 46.7

Historically, we have had to pay approximately 0.1 131.7 121.8 103.2

Non-Cancelable Purchase Obligations

In the normal course of business, we enter into non-cancelable purchase commitments with various parties primarily for hosting and software services. As of December 31, 2024, we had outstanding non-cancelable purchase obligations with a remaining term of 12 months or longer as follows:

                                Amount                      
                                (in thousands)              
  Year Ending December 31,                                  
  2025                          $                   14,011  
  2026                                              13,819  
  2027                                              12,453  
  Total                         $                   40,283  

Other Indemnifications and Contingencies

In the