Rent the Runway(US:RENT)2025-04-15 12:06Financial Performance - Revenue for fiscal year 2024 was $306.2 million, a 2.7% increase year-over-year from $298.2 million in fiscal year 2023[15]. - Net loss for fiscal year 2024 was $(69.9) million, compared to $(113.2) million in fiscal year 2023, representing a net loss as a percentage of revenue of (22.8)%, down from (38.0)%[15]. - Adjusted EBITDA for fiscal year 2024 was $46.9 million, compared to $26.9 million in fiscal year 2023, with an adjusted EBITDA margin of 15.3%[15]. - For fiscal year 2025, the company expects revenue between $68 million and $70 million and free cash flow between $(30) million and $(40) million[15]. - The net loss for the year ended January 31, 2025, was $69.9 million, compared to a net loss of $113.2 million for the year ended January 31, 2024, indicating an improvement of 38.2%[34]. - Total revenue for the three months ended January 31, 2025, was $76.4 million, a slight increase from $75.8 million in the same period of 2024, representing a growth of 0.8%[32]. - Subscription and Reserve rental revenue decreased to $64.6 million in Q1 2025 from $65.4 million in Q1 2024, a decline of 1.2%[32]. - Adjusted EBITDA for the three months ended January 31, 2025, was $17.4 million, representing an Adjusted EBITDA margin of 22.8%, compared to $11.2 million and 14.8% in the prior year[38]. - Free Cash Flow for the three months ended January 31, 2025, was $2.1 million, with a Free Cash Flow Margin of 2.7%, contrasting with a Free Cash Flow of $(3.4) million and a margin of (4.5)% in the previous quarter[40]. Subscriber Metrics - Active subscribers at the end of fiscal year 2024 were 119,778, a decrease of 5% from 125,954 at the end of fiscal year 2023[11]. - The company aims to return to subscriber growth in fiscal year 2025, focusing on customer loyalty and inventory reinvestment[2][6]. Cash and Liquidity - Cash and cash equivalents at the end of fiscal year 2024 were $77.4 million, with a decline in cash consumption from $(70.5) million in fiscal year 2023 to $(6.6) million[4][15]. - The company reported a cash and cash equivalents balance of $77.4 million as of January 31, 2025, down from $84.0 million as of January 31, 2024, a decrease of 7.9%[30]. - The company experienced a total net cash used in operating activities of $12.9 million for the year ended January 31, 2025, compared to $(15.7) million in the previous year[40]. - The company reported net cash provided by operating activities of $1.4 million for the three months ended January 31, 2025, compared to $4.7 million for the three months ended October 31, 2024[40]. Inventory and Customer Retention - The company announced the largest inventory acquisition in its history, expecting to approximately double the new inventory in fiscal year 2025[2][7]. - Customer retention improved by 8% in fiscal year 2024 compared to fiscal year 2023, attributed to increased inventory depth[15]. - The company plans to increase units from the Share by RTR program to approximately 62% of total units in fiscal year 2025, a 2.5x increase versus fiscal year 2024[10]. Debt and Liabilities - Long-term debt increased to $333.7 million as of January 31, 2025, from $306.7 million as of January 31, 2024, an increase of 8.8%[30]. - Total liabilities rose to $422.5 million as of January 31, 2025, compared to $400.8 million as of January 31, 2024, reflecting a growth of 5.4%[30]. - Total assets decreased from $278.5 million as of January 31, 2024, to $240.0 million as of January 31, 2025, a reduction of 13.8%[30]. Other Financial Metrics - The weighted-average shares used in computing net loss per share increased to 3,897,238 for the three months ended January 31, 2025, compared to 3,530,973 for the same period in 2024, an increase of 10.4%[32]. - For the three months ended January 31, 2025, the net loss was $13.4 million, an improvement from a net loss of $24.8 million for the same period in 2024[38]. - The company reported a total of $24.2 million in interest expense for the year ended January 31, 2025, down from $33.7 million in the previous year[38]. - The write-off of liquidated assets was $2.7 million for the three months ended January 31, 2025, compared to $0.8 million in the same period of 2024[38]. - The company incurred restructuring charges related to severance and related costs, amounting to $2.0 million for the three months ended January 31, 2024[38]. - Total depreciation for rental products was $17.0 million for the three months ended January 31, 2025, up from $16.7 million in the same period of 2024[38]. - Proceeds from the sale of rental products amounted to $8.0 million for the three months ended January 31, 2025, compared to $6.5 million in the previous quarter[40].