[Financial Highlights and Business Outlook](index=1&type=section&id=Financial%20Highlights%20and%20Business%20Outlook) The RealReal returned to top-line growth in Q1 2024, significantly improving profitability and raising its full-year Adjusted EBITDA outlook [First Quarter 2024 Financial Highlights](index=1&type=section&id=First%20Quarter%202024%20Financial%20Highlights) Q1 2024 delivered 2% GMV growth, 13% consignment revenue increase, 74.6% gross margin, and a substantial reduction in net loss - Revenue growth: **2% GMV increase** and **13% consignment revenue increase** year-over-year[1](index=1&type=chunk) Q1 2024 Key Financial Results (vs. Q1 2023) | Metric | Q1 2024 | Q1 2023 | YoY Change | | :--- | :--- | :--- | :--- | | GMV | $452 million | - | +2% | | Total Revenue | $144 million | - | +1% | | Gross Profit | $107 million | $90 million | +$17 million | | Gross Margin | 74.6% | 63.6% | +1,100 bps | | Net Loss | $(31.1) million | $(82.5) million | +$51.4 million | | Adjusted EBITDA | $(2.3) million | $(27.3) million | +$25 million | | GAAP EPS | $(0.30) | $(0.83) | +$0.53 | Q1 2024 Key Operating Metrics (vs. Q1 2023) | Metric | Q1 2024 | YoY Change | | :--- | :--- | :--- | | TTM Active Buyers | 922,000 | -9% | | Orders | 840,000 | -6% | | Average Order Value (AOV) | $538 | +8% | - Focus on core consignment business and efficiencies resulted in **profitable supply growth** and an **all-time high gross margin rate**[2](index=2&type=chunk) [Q2 and Full Year 2024 Guidance](index=1&type=section&id=Q2%20and%20Full%20Year%202024%20Guidance) The company issued Q2 2024 guidance and raised its full-year Adjusted EBITDA outlook, reflecting increased confidence in its profitability trajectory Q2 and Full Year 2024 Financial Guidance | Metric | Q2 2024 Guidance | Full Year 2024 Guidance | | :--- | :--- | :--- | | GMV | $420 - $450 million | $1.81 - $1.87 billion | | Total Revenue | $135 - $145 million | $580 - $605 million | | Adjusted EBITDA | $(6) - $(3) million | $(5) - $8 million | - Full-year 2024 Adjusted EBITDA outlook midpoint was **raised**, indicating strong momentum in the core business[3](index=3&type=chunk)[6](index=6&type=chunk) [Financial Statements](index=5&type=section&id=Financial%20Statements) Q1 2024 financial statements show a significant reduction in net loss and improved operating cash flow, alongside a shift in debt structure [Statements of Operations](index=5&type=section&id=Statements%20of%20Operations) Q1 2024 operations show stable total revenue, 13% consignment revenue growth, increased gross profit, and a significantly reduced net loss Q1 2024 Statement of Operations Highlights (in thousands) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Consignment revenue | $115,648 | $102,643 | | Direct revenue | $12,709 | $24,953 | | **Total revenue** | **$143,800** | **$141,904** | | Gross profit | $107,279 | $89,983 | | Total operating expenses | $125,221 | $171,783 | | Loss from operations | $(17,942) | $(81,800) | | **Net loss** | **$(31,101)** | **$(82,500)** | [Condensed Balance Sheets](index=6&type=section&id=Condensed%20Balance%20Sheets) As of March 31, 2024, total assets were $431.6 million, with a shift in debt structure from convertible to non-convertible notes Balance Sheet Summary (in thousands) | Account | March 31, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $165,996 | $175,709 | | Total current assets | $225,322 | $235,947 | | **Total assets** | **$431,579** | **$446,923** | | Convertible senior notes, net | $302,324 | $452,421 | | Non-convertible notes, net | $131,199 | $— | | **Total liabilities** | **$758,632** | **$750,222** | | Total stockholders' deficit | $(327,053) | $(303,299) | [Condensed Statements of Cash Flows](index=7&type=section&id=Condensed%20Statements%20of%20Cash%20Flows) Q1 2024 saw a significant reduction in net cash used in operating activities to $(3.5) million, driven by a lower net loss Q1 2024 Statement of Cash Flows Highlights (in thousands) | Cash Flow Activity | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net cash used in operating activities | $(3,467) | $(30,433) | | Net cash used in investing activities | $(5,321) | $(15,920) | | Net cash used in financing activities | $(929) | $(295) | | **Net decrease in cash** | **$(9,717)** | **$(46,648)** | | Cash at end of period | $180,906 | $247,145 | [Non-GAAP Financial Measures and Reconciliations](index=3&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) Q1 2024 non-GAAP metrics show Adjusted EBITDA loss significantly reduced, non-GAAP net loss per share improved, and free cash flow outflow cut - Non-GAAP measures like Adjusted EBITDA, Free Cash Flow, and non-GAAP net loss per share supplement GAAP statements for internal performance comparison[12](index=12&type=chunk)[14](index=14&type=chunk) [Reconciliation of Net Loss to Adjusted EBITDA](index=8&type=section&id=Reconciliation%20of%20Net%20Loss%20to%20Adjusted%20EBITDA) Q1 2024 GAAP net loss of $(31.1) million reconciled to an Adjusted EBITDA loss of $(2.3) million, a significant improvement year-over-year Reconciliation of Net Loss to Adjusted EBITDA (in thousands) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net loss | $(31,101) | $(82,500) | | Adjustments (D&A, Interest, Taxes, etc.) | $10,062 | $(66,682) | | Stock-based compensation | $7,120 | $8,991 | | Restructuring charges | $196 | $36,388 | | Gain on extinguishment of debt | $(4,177) | $— | | Change in fair value of warrant liability | $15,583 | $— | | **Adjusted EBITDA** | **$(2,261)** | **$(27,297)** | [Reconciliation to Non-GAAP Net Loss](index=8&type=section&id=Reconciliation%20to%20Non-GAAP%20Net%20Loss) Q1 2024 non-GAAP net loss improved to $(12.3) million, or $(0.12) per share, from $(35.7) million year-over-year Reconciliation to Non-GAAP Net Loss (in thousands, except per share data) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net loss | $(31,101) | $(82,500) | | Total Adjustments | $18,849 | $46,768 | | **Non-GAAP net loss** | **$(12,252)** | **$(35,732)** | | Non-GAAP net loss per share | $(0.12) per share | $(0.36) per share | [Reconciliation to Free Cash Flow](index=9&type=section&id=Reconciliation%20to%20Free%20Cash%20Flow) Q1 2024 free cash flow outflow significantly improved to $(8.8) million from $(46.4) million, driven by reduced operating cash use Free Cash Flow Reconciliation (in thousands) | Line Item | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net cash used in operating activities | $(3,467) | $(30,433) | | Purchase of property, equipment & software | $(5,321) | $(15,920) | | **Free Cash Flow** | **$(8,788)** | **$(46,353)** | [Key Financial and Operating Metrics](index=9&type=section&id=Key%20Financial%20and%20Operating%20Metrics) Key metrics show stabilizing GMV with year-over-year growth, improved take rate to 38.4%, and increased AOV despite fewer active buyers Quarterly Operating Metrics Trend | Metric | Q1 2023 | Q4 2023 | Q1 2024 | | :--- | :--- | :--- | :--- | | GMV (in thousands) | $444,366 | $450,668 | $451,941 | | Take Rate | 37.4% | 37.7% | 38.4% | | Active Buyers (in thousands) | 1,014 | 922 | 922 | | AOV | $499 | $545 | $538 | - Take rate consistently improved over the past year, rising from **37.4% in Q1 2023** to **38.4% in Q1 2024**[31](index=31&type=chunk) - Despite a year-over-year decline in active buyers, **Average Order Value (AOV) increased**, signaling a strategic shift towards higher-value transactions[5](index=5&type=chunk)[31](index=31&type=chunk)

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ___________________________________ FORM 10-K ___________________________________ (Mark One) x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(ad) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR o 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 The RealReal, Inc. (Exact name of Re ...

The RealReal, Inc. (NASDAQ:REAL) Q4 2023 Earnings Conference Call February 29, 2024 5:00 PM ET Company Participants Caitlin Howe - Senior Vice President of Investor Relations John Koryl - Chief Executive Officer Rati Levesque - President & Chief Operating Officer Todd Suko - Chief Legal Officer Conference Call Participants Mark Altschwager - Baird Anna Andreeva - Needham Rick Patel - Raymond James Jason Napier - UBS Marvin Fong - BTIG Ike Boruchow - Wells Fargo Ashley Owens - KeyBanc Capital Markets Tom Nik ...

[Financial Highlights and Business Update](index=1&type=section&id=Financial%20Highlights%20and%20Business%20Update) The company achieved significant profitability milestones in Q4 2023, including positive Adjusted EBITDA and free cash flow, and improved full-year financial performance despite revenue declines, further strengthening its capital structure through strategic debt exchanges [Fourth Quarter 2023 Financial Highlights](index=1&type=section&id=Fourth%20Quarter%202023%20Financial%20Highlights) The company achieved positive Adjusted EBITDA and free cash flow in Q4 2023, significantly improving profitability despite a 9% GMV and 10% revenue decrease - The company achieved **positive Adjusted EBITDA** and **positive free cash flow** for the first time since its IPO in 2019, driven by a strategic shift to focus on the consignment business[2](index=2&type=chunk) Q4 2023 Financial Performance vs. Q4 2022 | Metric | Q4 2023 | Q4 2022 | Change | | :--- | :--- | :--- | :--- | | GMV | $451 million | $493 million | -9% | | Total Revenue | $143 million | $160 million | -10% | | Net Loss | $22 million | $39 million | +$17M | | Adjusted EBITDA | $1.4 million | $(20.2) million | +$21.6M | | GAAP Net Loss per Share | $(0.21) | $(0.39) | Improved | | Non-GAAP Net Loss per Share | $(0.07) | $(0.29) | Improved | - Key operating metrics showed mixed results in Q4 2023 compared to the prior year period: Trailing 12-months active buyers **decreased by 8% to 922,000**, and orders **decreased by 17% to 826,000**. However, Average Order Value (AOV) **increased by 10% to $545**[6](index=6&type=chunk)[13](index=13&type=chunk) [Full Year 2023 Financial Highlights](index=1&type=section&id=Full%20Year%202023%20Financial%20Highlights) Full-year 2023 saw a 9% revenue and 5% GMV decrease, yet the company significantly improved profitability, reducing net loss and halving its Adjusted EBITDA loss Full Year 2023 Financial Performance vs. Full Year 2022 | Metric | Full Year 2023 | Full Year 2022 | Change | | :--- | :--- | :--- | :--- | | GMV | $1.73 billion | $1.81 billion (approx) | -5% | | Total Revenue | $549 million | $603 million | -9% | | Net Loss | $168 million | $196 million | +$28M | | Adjusted EBITDA | $(55.2) million | $(112.4) million | +$57.2M | | GAAP Net Loss per Share | $(1.65) | $(2.05) | Improved | | Non-GAAP Net Loss per Share | $(0.87) | $(1.53) | Improved | - The company ended 2023 with cash, cash equivalents, and restricted cash **totaling $191 million**[13](index=13&type=chunk) [Debt Exchange Transactions](index=1&type=section&id=Debt%20Exchange%20Transactions) Strategic debt exchange transactions reduced total indebtedness by over $17 million and extended 2025 maturities to 2029, enhancing capital structure flexibility - The company exchanged a portion of its **3.00% Convertible Senior Notes due 2025** and **1.00% Convertible Senior Notes due 2028**[3](index=3&type=chunk) - The exchange was for **$135 million of new 4.25%/8.75% PIK/Cash Senior Secured Notes due 2029** and warrants to purchase up to **7,894,737 shares of common stock**[3](index=3&type=chunk) - The transactions resulted in a **reduction of total debt by more than $17 million** and **extended a significant portion of 2025 maturities**, creating substantial runway and capital structure flexibility[3](index=3&type=chunk)[5](index=5&type=chunk) [Financial Guidance](index=2&type=section&id=Financial%20Guidance) The company issued Q1 and full-year 2024 guidance, projecting GMV and revenue ranges, with Adjusted EBITDA expected to approach breakeven or profitability [Q1 and Full Year 2024 Guidance](index=2&type=section&id=Q1%20and%20Full%20Year%202024%20Guidance) The company provided Q1 and full-year 2024 guidance, projecting GMV between $415M-$445M for Q1 and $1.80B-$1.88B for full year, with Adjusted EBITDA nearing breakeven Q1 and Full Year 2024 Guidance | Metric | Q1 2024 Guidance | Full Year 2024 Guidance | | :--- | :--- | :--- | | GMV | $415M - $445M | $1.80B - $1.88B | | Total Revenue | $135M - $145M | $580M - $605M | | Adjusted EBITDA | $(8)M - $(4)M | $(8)M - $8M | - The company has not reconciled its **forward-looking Adjusted EBITDA guidance** to the most comparable GAAP measure, net income (loss), due to the inability to predict certain components with reasonable certainty[9](index=9&type=chunk) [Consolidated Financial Statements](index=5&type=section&id=Consolidated%20Financial%20Statements) This section presents the company's consolidated financial statements, detailing revenue and profitability trends, balance sheet changes, and cash flow activities for the period [Statements of Operations](index=5&type=section&id=Statements%20of%20Operations) Full-year 2023 total revenue decreased to $549.3 million, yet gross profit increased to $376.3 million, and net loss improved to $(168.5) million Full Year Income Statement Highlights (in thousands) | Line Item | 2023 | 2022 | | :--- | :--- | :--- | | Total Revenue | $549,304 | $603,493 | | Gross Profit | $376,278 | $348,691 | | Loss from Operations | $(166,293) | $(189,163) | | Net Loss | $(168,472) | $(196,445) | | Net Loss per Share | $(1.65) | $(2.05) | - **Consignment revenue**, the core business, **grew from $385.0M in 2022 to $415.6M in 2023**, while **direct revenue was more than halved, falling from $158.7M to $79.2M**[25](index=25&type=chunk) [Balance Sheets](index=6&type=section&id=Balance%20Sheets) As of December 31, 2023, total assets decreased to $446.9 million, total liabilities decreased to $750.2 million, and stockholders' deficit increased to $(303.3) million Balance Sheet Highlights (in thousands) | Line Item | Dec 31, 2023 | Dec 31, 2022 | | :--- | :--- | :--- | | Cash and cash equivalents | $175,709 | $293,793 | | Total Assets | $446,923 | $615,641 | | Total Liabilities | $750,222 | $785,733 | | Total Stockholders' Deficit | $(303,299) | $(170,092) | [Statements of Cash Flows](index=7&type=section&id=Statements%20of%20Cash%20Flows) Full-year 2023 net cash used in operating activities improved to $(61.3) million, resulting in a $103.2 million net decrease in cash, ending at $190.6 million Full Year Cash Flow Highlights (in thousands) | Cash Flow Activity | 2023 | 2022 | | :--- | :--- | :--- | | Net cash used in operating activities | $(61,268) | $(91,557) | | Net cash used in investing activities | $(42,128) | $(36,922) | | Net cash provided by financing activities | $226 | $4,101 | | Net decrease in cash | $(103,170) | $(124,378) | | Cash at end of period | $190,623 | $293,793 | [Non-GAAP Financial Measures and Reconciliations](index=3&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) This section provides reconciliations of GAAP net loss to non-GAAP measures, including Adjusted EBITDA, non-GAAP net loss, and free cash flow, highlighting key adjustments and performance improvements [Reconciliation of Net Loss to Adjusted EBITDA](index=8&type=section&id=Reconciliation%20of%20Net%20Loss%20to%20Adjusted%20EBITDA) This section reconciles GAAP Net Loss to Adjusted EBITDA, showing a positive $1.4 million Adjusted EBITDA in Q4 2023 and a significant full-year improvement to $(55.2) million Adjusted EBITDA Reconciliation Highlights (in thousands) | Metric | Q4 2023 | Q4 2022 | FY 2023 | FY 2022 | | :--- | :--- | :--- | :--- | :--- | | Net Loss | $(21,693) | $(38,610) | $(168,472) | $(196,445) | | Adjusted EBITDA | $1,442 | $(20,174) | $(55,169) | $(112,454) | [Reconciliation of GAAP Net Loss to Non-GAAP Net Loss](index=9&type=section&id=Reconciliation%20of%20GAAP%20Net%20Loss%20to%20Non-GAAP%20Net%20Loss) This table reconciles GAAP Net Loss to Non-GAAP Net Loss, showing a Q4 2023 Non-GAAP net loss of $(7.3) million and a full-year improvement to $(88.8) million Non-GAAP Net Loss Reconciliation (in thousands, except per share data) | Metric | Q4 2023 | Q4 2022 | FY 2023 | FY 2022 | | :--- | :--- | :--- | :--- | :--- | | GAAP Net Loss | $(21,693) | $(38,610) | $(168,472) | $(196,445) | | Non-GAAP Net Loss | $(7,318) | $(28,177) | $(88,760) | $(147,233) | | Non-GAAP Net Loss per Share | $(0.07) | $(0.29) | $(0.87) | $(1.53) | [Reconciliation of Net Cash Used in Operating Activities to Free Cash Flow](index=9&type=section&id=Reconciliation%20of%20Net%20Cash%20Used%20in%20Operating%20Activities%20to%20Free%20Cash%20Flow) The company achieved positive free cash flow of $3.8 million in Q4 2023, a significant turnaround, and improved full-year free cash flow to $(103.4) million Free Cash Flow Reconciliation (in thousands) | Metric | Q4 2023 | Q4 2022 | FY 2023 | FY 2022 | | :--- | :--- | :--- | :--- | :--- | | Net cash from (used in) operating activities | $10,523 | $3,698 | $(61,268) | $(91,557) | | Free Cash Flow | $3,793 | $(6,969) | $(103,396) | $(128,479) | [Key Financial and Operating Metrics](index=9&type=section&id=Key%20Financial%20and%20Operating%20Metrics) This section presents a quarterly breakdown of key financial and operating metrics, including GMV, orders, active buyers, AOV, and Take Rate [Quarterly Key Metrics](index=9&type=section&id=Quarterly%20Key%20Metrics) This section details quarterly operating metrics, showing Q4 2023 GMV at $450.7 million, AOV increasing to $545, and Take Rate improving to 37.7%, despite a decline in active buyers Key Metrics Comparison: Q4 2023 vs Q4 2022 | Metric | Q4 2023 | Q4 2022 | | :--- | :--- | :--- | | GMV (in thousands) | $450,668 | $492,955 | | Number of Orders (in thousands) | 826 | 993 | | Active Buyers (in thousands) | 922 | 998 | | AOV | $545 | $496 | | Take Rate | 37.7% | 35.7% |

The RealReal, Inc. (NASDAQ:REAL) Q3 2023 Earnings Conference Call November 7, 2023 5:00 PM ET Company Participants Caitlin Howe - Senior Vice President of Investor Relations John Koryl - Chief Executive Officer Robert Julian - Chief Financial Officer Rati Levesque - President & Chief Operating Officer Conference Call Participants Mark Altschwager - Baird Marvin Fong - BTIG Ike Boruchow - Wells Fargo Tom Nikic - Wedbush Securities Edward Yruma - Piper Sandler Ashley Owens - KeyBanc Capital Markets Rick Patel ...

The following table reflects the reconciliation of net loss to Adjusted EBITDA for each of the periods indicated (in thousands): | --- | --- | --- | --- | --- | --- | --- | --- | --- | |------------------------------------------------------|-------|-------------------------------------|-------|----------|-------|------------------------------------|-------|-----------| | Adjusted EBITDA Reconciliation: | | Three Months Ended September \n2023 | 30, | 2022 | | Nine Months Ended September \n2023 | 30, | 2022 | ...

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 September 30, 2023 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 _____ ...

The RealReal, Inc. (NASDAQ:REAL) Q2 2023 Earnings Conference Call August 8, 2023 5:30 PM ET Company Participants Caitlin Howe - Senior Vice President of Investor Relations John Koryl - Chief Executive Officer Robert Julian - Chief Financial Officer Rati Levesque - President & Chief Operating Officer Conference Call Participants Jason Napier - UBS Rick Patel - Raymond James Ike Boruchow - Wells Fargo Anna Andreeva - Needham Austin Ferner - Wedbush Securities Marvin Fong - BTIG Nathaniel Feather - Morgan Stan ...

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, 2023 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 __________ ...

The RealReal, Inc. (NASDAQ:REAL) Q1 2023 Earnings Conference Call May 9, 2023 5:30 PM ET Company Participants Caitlin Howe - Senior Vice President of Investor Relations John Koryl - Chief Executive Officer Rati Levesque - President and Chief Operating Officer Robert Julian - Chief Financial Officer Conference Call Participants Kunal Madhukar - UBS Ike Boruchow - Wells Fargo Rick Patel - Raymond James Anna Andreeva - Needham Marvin Fong - BTIG Edward Yruma - Piper Sandler Tom Nikic - Wedbush Securities Laure ...