ThredUp, the resale platform, raised its sales and earnings targets for the year after reporting first-quarter results that topped estimates. Sales grew 10 percent in the first quarter ended March 31.

“We are proud to deliver Q1 out-performance, including a record quarter for new buyer acquisition,” said ThredUp CEO and co-founder James Reinhart. “With momentum in our marketplace, we are pleased to be raising our full year outlook while we continue to improve the product experience for both buyers and sellers.”

 First Quarter 2025 Financial Highlights

  • Revenue totaled $71.3 million, an increase of 10 percent year-over-year. ThredUp had forecasted revenues that would come in the range of $67.5 million to $69.5 million.
  • Gross Profit totaled $56.4 million, an increase of 9 percent year-over-year. Gross margin was 79.1 percent compared to 80.1 percent in the first quarter last year.
  • Loss from continuing operations was $5.2 million, or a negative 7.3 percent of revenue, for the first quarter 2025 compared to a loss from continuing operations of $12.2 million, or a negative 18.9 percent of revenue, for the first quarter last year.
  • Adjusted EBITDA from continuing operations was $3.8 million, or 5.3 percent of revenue, for the first quarter 2025 compared to $1.9 million, or 2.9 percent of revenue, for the first quarter last year. ThredUp had estimated adjusted EBITDA margin from 2.5 percent to 3.5 percent.
  • Active Buyers of 1.37 million and Orders of 1.37 million for the first quarter 2025, represented increases of 6 percent and 16 percent, respectively, over the first quarter last year.

Financial Outlook
For the second quarter 2025 ThredUp expects:

  • Revenue in the range of $72.5 million to $74.5 million, +10 percent year-over-year at the midpoint.
  • Gross margin in the range of 77.0 percent to 79.0 percent.
  • Adjusted EBITDA margin of approximately 3.3 percent.

For the full fiscal year 2025, ThredUp expects:

  • Revenue in the range of $281.0 million to $291.0 million, +10 percent year-over-year at the midpoint.
  • Gross margin in the range of 77.0 percent to 79.0 percent.
  • Adjusted EBITDA margin of approximately 4.0 percent.

Previously, the company called for revenue guidance for the year in the range of $270.0 million to $280.0 million, +6 percent year-over-year at the midpoint; gross margin in the range of 77.0 percent to 79.0 percent and adjusted EBITDA margin of 3.3 percent.

Image courtesy ThredUp