The Economics of Resale, From Investment Jewelry to Nostalgic Comebacks SAN FRANCISCO, Sept. 04, 2025 (GLOBE NEWSWIRE) -- The RealReal (Nasdaq: REAL) – the world’s largest online marketplace for authenticated resale luxury goods – today released its annual Resale Report. For the past 14 years, The RealReal has been at the forefront of a cultural shift, redefining luxury resale as both desirable and accessible. With a community of more than 40 million members, the company enables people to discover pieces th ...

SAN FRANCISCO, Aug. 21, 2025 (GLOBE NEWSWIRE) -- The RealReal (Nasdaq: REAL) (the "Company") —the world's largest online marketplace for authenticated, resale luxury goods—today announced its entry into additional strategic debt exchange transactions with certain holders of its 1.00% Convertible Senior Notes due 2028 (the "2028 Notes") for additional 4.00% Convertible Senior Notes due 2031 (the "Additional Notes"), reducing its total indebtedness by over $6 million and extending a significant portion of its ...

Core Insights - The RealReal is the largest online marketplace for authenticated, resale luxury goods, boasting over 40 million members [2] - The company emphasizes a rigorous authentication process managed by experts, ensuring a safe platform for buying and selling luxury items [2] - The RealReal supports the circular economy by giving new life to luxury items across various categories, including fashion, jewelry, art, and home goods [2] Company Overview - The RealReal employs hundreds of in-house gemologists, horologists, and brand authenticators who inspect thousands of items daily [2] - The company offers a seamless selling experience with services such as free virtual appointments, in-home pickup, drop-off, and direct shipping [2] - The RealReal utilizes AI and machine learning to determine optimal pricing for items, handling all aspects of the consignment process, including authentication, photography, listing, shipping, and customer service [2] Investor Engagement - The RealReal will participate in the B. Riley 8th Annual Consumer & TMT Conference on September 10, 2025, and the Wells Fargo 8th Annual Consumer Conference on September 16-17, 2025 [3]

As the Q2 earnings season progresses, investors are waking up to the fact that the sky-high stock market (concentrated in the rally around large-cap tech stocks) isn't necessarily in sync with a challenged macroeconomy, especially when it comes to companies that have exposure toWith combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the i ...

分组1 - The RealReal reported a quarterly loss of $0.13 per share, which was better than the Zacks Consensus Estimate of a loss of $0.15, representing an earnings surprise of +13.33% [1] - The company posted revenues of $165.19 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 3.13% and showing an increase from $144.93 million year-over-year [2] - The RealReal has surpassed consensus EPS estimates two times over the last four quarters [2] 分组2 - The stock has underperformed, losing about 47.4% since the beginning of the year, while the S&P 500 gained 7.9% [3] - The current consensus EPS estimate for the coming quarter is -$0.13 on revenues of $161.63 million, and for the current fiscal year, it is -$0.15 on revenues of $663.37 million [7] - The Zacks Industry Rank for Consumer Products - Discretionary is in the top 28% of over 250 Zacks industries, indicating a favorable outlook for the industry [8]

Financial Data and Key Metrics Changes - The company reported a record GMV of $5.04 billion and record revenue of $165 million, both up 14% year over year [8][20] - Adjusted EBITDA was $6.8 million, representing a 4.1% margin, which was a substantial beat versus expectations [9][23] - Gross profit for Q2 was $123 million, with a gross margin of 74.3%, an increase of 20 basis points year over year [21][22] - Operating expenses were $133 million, improved by 690 basis points year over year as a percentage of revenue [22][23] - The company ended the quarter with $109 million in cash and cash equivalents, and reduced total debt by $27 million [24][25] Business Line Data and Key Metrics Changes - Consignment revenue grew 14%, while direct revenue increased 23% compared to the previous year, representing 12% of total revenue [20][21] - The consignment gross margin was 89.3%, an improvement of 93 basis points year over year [21][22] - Direct gross margin was 16.2%, fluctuating based on the category mix of products sold [21] Market Data and Key Metrics Changes - The active buyer base increased by 6% on a trailing twelve-month basis, exceeding 1 million active buyers [20] - The company noted that 53% of its customers are millennials and Gen Z, indicating a strong generational appeal [7] Company Strategy and Development Direction - The company is focused on a growth playbook centered on sales, marketing, and stores, with a new sales team compensation plan emphasizing retail value [10] - The strategy includes leveraging AI for operational efficiency and enhancing customer engagement through innovative features [13][16] - The company is expanding its dropship initiative to include jewelry, aiming to partner with larger luxury good aggregators [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the momentum of the business, with expectations for continued growth in Q3 and Q4 [32][30] - The company raised its full-year guidance, expecting GMV in the range of $2.03 billion to $2.045 billion, and revenue between $667 million and $674 million [26][27] - Management highlighted the favorable cash dynamics of the business model, anticipating strong positive free cash flows in the second half of the year [25][29] Other Important Information - The company is actively addressing counterfeiting issues in luxury goods through collaboration with law enforcement and proprietary technology [14] - The introduction of the reconsigned program has strengthened supply and created a circular loop for luxury assets [11] Q&A Session Summary Question: Can you comment on the cadence seen over the past couple of months? - Management noted that momentum has kept pace in Q3, with double-digit new seller growth continuing [32] Question: How should we think about the take rate and gross margin going forward? - Management explained that the take rate is influenced by the average order value, which was up 8%, and that consignment gross margins remain strong [36][37] Question: Can you elaborate on the expansion to luxury vendors and international consignors? - Management indicated that the dropship channel is still in early stages but has potential for growth, especially with international partners [42] Question: What drove the increase in new consignors? - Management attributed the growth to marketing reinvestment and the effectiveness of the growth playbook, including the reconsign feature [51][52] Question: How is Athena impacting operational efficiency? - Management stated that Athena is currently processing 20% of items, with plans to increase to 30-40% by year-end, aiming to reduce costs per unit [55][88]

Core Insights - RealReal reported Q2 2025 earnings with GAAP revenue of $165 million, exceeding analyst expectations of $159.7 million, and showing a 14% year-over-year increase from $144.9 million in Q2 2024 [1][5] - Adjusted EPS (Non-GAAP) improved to $(0.06), better than the $(0.09) consensus estimate and the $(0.13) in Q2 2024, reflecting operational progress [1][2] - The company raised its full-year guidance, projecting GMV of $2.030–$2.045 billion and GAAP revenue of $667–$674 million, indicating strong momentum [11] Financial Performance - Q2 2025 GAAP revenue was $165 million, a 14% increase from Q2 2024's $144.9 million [2][5] - Non-GAAP EPS improved by 53.8% year-over-year from $(0.13) to $(0.06) [2] - Adjusted EBITDA reached $6.8 million, a significant turnaround from a loss of $(1.8) million in Q2 2024 [2][6] Operational Highlights - Active buyers increased by 6% year-over-year to 1,001,000, with total orders reaching 868,000 [2][5] - Gross margin improved to 74.3%, up 0.2 percentage points from Q2 2024, attributed to automation and AI tools [2][6] - Consignment revenue grew by 14% to $128.6 million, while direct revenue rose 23% to $20.5 million [5] Business Model and Strategy - RealReal operates an online marketplace for luxury goods, focusing on authentication to build trust and combat counterfeits [3][4] - The company's network effect encourages more consignors and buyers, creating a virtuous cycle [4] - Key initiatives like "Get Paid Now" and referral programs have contributed to supply growth and operational efficiency [7][8] Future Outlook - Management raised guidance for Q3 2025, projecting GMV between $495 and $502 million and adjusted EBITDA of $6.1–$7.1 million [11] - For the full fiscal year, the updated outlook calls for adjusted EBITDA of $29.0–$32.0 million, a significant increase from prior guidance [11] - Investors are advised to monitor cash flow trends, as free cash flow remained negative at $(15) million [12]

Q2 2025 FINANCIAL RESULTS Safe Harbor/Disclosure Statement These materials contain forward-looking statements relating to, among other things, the future performance of The RealReal that are based on the company's current expectations, forecasts and assumptions and involve risks and uncertainties. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "could," "expect," "plan," "anticipate," "target," "contemplate," "project," "believe," "estimate," "predi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 ___________________________________________________ FORM 10-Q ___________________________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission File Number: 001-38953 __________ ...

Exhibit 99.1 We have not reconciled forward-looking Adjusted EBITDA to net income (loss), the most directly comparable GAAP measure, because we cannot predict with reasonable certainty the ultimate outcome of certain components of 1 • GMV was $504 million, an increase of 14% compared to the same period in 2024 • Total Revenue was $165 million, an increase of 14% compared to the same period in 2024 • Gross Profit was $123 million, an increase of $15 million compared to the same period in 2024 • Gross Margin ...