What drove RSKD's earnings beat in Q3?

Riskified's (RSKD) earnings beat in Q3 can be attributed to several key factors:

1. **Revenue Growth**: Riskified posted a 10% growth in full-year revenue, reaching $327.5 million. This increase was primarily driven by a 12% year-over-year growth in Gross Merchandise Volume (GMV), which rose to $39.5 billion. The company's focus on expanding its merchant base and strengthening its position in key verticals such as Fashion & Luxury Goods and Tickets & Travel contributed to this growth.
2. **Adjusted EBITDA Improvement**: Riskified achieved a positive adjusted EBITDA of $17.2 million in Q4 2024, marking a 300% year-over-year increase. This significant improvement in profitability reflects enhanced cost management and operational efficiency.
3. **Gross Profit Margin Increase**: The company's gross profit margin improved to 53%, up from 52% in 2023. This indicates better cost management and increased profitability.
4. **New Product Revenue Growth**: Riskified reported a 90% year-over-year growth in new product revenue. This suggests that the company's innovation in e-commerce risk intelligence solutions is well-received by the market and contributes to its revenue growth.

In summary, Riskified's earnings beat in Q3 can be attributed to strong revenue growth, improved profitability, and effective cost management.