“It is time for decisive action,” James Reinhart, founder and chief executive officer of ThredUp, said in a press statement. “Companies have punted too many promises to their stakeholders on the environment, social causes and who they are building for. By dual listing on LTSE, we are codifying the critical relationship between ThredUp and our long-term stakeholders and ensuring our success is their success.
The news preceded the company’s first-quarter earnings, where ThredUp exceeded guidance and reported revenue of $75.9 million for the first quarter ending March 31, or a 4 percent year-over-year increase .for the first quarter of 2022. ThredUp’s plan is to reach an adjusted earnings before interest, taxes, depreciation and amortization loss breakeven in Q4 2023. To do so, the company looks to lower technology costs, evolve its customer acquisition, improve its clean-out service and lean into its “thrift guarantee,” or reshaped returns that favor credits for low-cost items, Reinhart said during an earnings call Tuesday.
For the full fiscal year ending Dec. 31, the company reported total revenues of $288.4 million, an increase of 15 percent year-over-year with an adjusted EBITDA loss of $43.4 million in 2022. For the second quarter 2023, ThredUp expects revenue in the range of $80 million to $82 million and an adjusted EBITDA loss margin in the range of 9.5 percent to 7.5 percent. For 2023, the company expects revenue in the range of $320 million to $330 million and EBITDA loss in the range of 7.5 percent to 5.5 percent.