Earnings ·
Revolve reports Q3 net sales up 20% to $356M but net income falls 27% to $15.5M
RVLVRevolve Group, Inc.
Revolve Group reported third-quarter net sales of $356 million, a 20% increase year-over-year, driven by a 19% rise in total orders placed and improved return rates. Net income declined 27% to $15.5 million from $21.2 million in the prior-year period, primarily due to higher fulfillment, selling, distribution, and marketing expenses as well as lower other income. Adjusted EBITDA decreased 7% to $23.5 million, while diluted earnings per share fell to $0.20 from $0.29. The company reported trailing twelve-month active customers of 3.24 million, up 18%, and provided updated full-year gross margin guidance of 53.9% to 54.0%. Revolve Group operates as an online fashion retailer targeting Millennial and Generation Z consumers through its REVOLVE and FWRD platforms.