NASDAQ$REAL

RealReal Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

The RealReal's Q3 2020 financial results were announced, showing improvements in GMV and revenue compared to the previous quarter but decreases compared to the same quarter last year.

The RealReal reported a 3% year-over-year decrease in GMV to $245.4 million and a 4% year-over-year decrease in total revenue to $78.1 million for Q3 2020. Despite these decreases, there was a significant improvement in both GMV and revenue compared to Q2 2020. The company's partnership with Gucci and focus on operational changes are expected to position them for future growth.

  • GMV decreased 3% year-over-year to $245.4 million, but improved 17% quarter-over-quarter.
  • Total revenue decreased 4% year-over-year to $78.1 million, but improved 16% quarter-over-quarter.
  • Gross profit decreased 5% year-over-year to $49.8 million, but improved 18% quarter-over-quarter.
  • The company partnered with Gucci to launch an online shop featuring pre-loved Gucci items.

Headline financials

Total Revenue

$78.1M

Previous: $80.5M-3.0%
EPS (adj)

-$0.41

Previous: -$0.27-51.9%
Gross Merchandise Value

$245M

Previous: $253M-2.9%
Active Buyers

617.3K

No prior period
Average Order Value

$446.00

Previous: $438.00+1.8%
Number of Orders

550.1K

Previous: 577.0K-4.7%
Take Rate

35.4%

Previous: 36.8%-3.8%
Capital Expenditures

-$15.7M

Previous: -$16.1M+2.6%
Free Cash Flow

-$59M

Previous: -$41.4M-42.5%
Net Income

-$43.3M

Previous: -$25.3M-71.3%
Operating Income

-$41.4M

Previous: -$27M-53.2%
Gross Profit

$49.8M

Previous: $52.2M-4.7%
Cash & Equivalents

$343M

Previous: $365M-6.0%
Total Assets

$616M

Previous: $453M+35.9%
Stock-Based Comp

$7.37M

No prior period

Revenue & EPS history

RealReal · Revenue · Quarterly

$78.1M

Q3 2020-3%vs Q3 2019
Beat estimate in 6 of 11 quarters(55%)
ActualEstimate

Revenue by segment

RealReal · $78.1M total across 2 segments · Q3 2020

  • Consignment
    $64.4M-7.0%
  • Direct
    $13.6M+11.2%

Forward guidance

Given limited near-term visibility, the company elects to not provide a financial outlook.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

-2.0%

Avg return

Earnings day

+2.3%

Avg return

5 days after

-0.3%

Avg return

30 days after

33%

9 / 27 earnings

Positive

+61.4%

Q4 2023

Best reaction

-30.6%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.1%-28.2%-31.8%
Q4 2025-1.5%-2.1%-30.8%
Q3 2025+37.7%+23.6%+27.2%
Q1 2025-30.6%-21.8%-21.7%
Q4 2024-18.8%-0.5%-31.5%
Q3 2024+22.4%+25.8%+105.7%
Q2 2024-23.2%-21.0%-26.5%
Q1 2024-3.1%-1.9%-10.0%
Q4 2023+61.4%+118.1%+128.7%
Q3 2023+25.8%+30.8%+43.4%
Q2 2023+12.1%+17.0%+19.3%
Q1 2023-10.6%-18.2%+24.1%
Q4 2022+11.2%+21.6%-11.9%
Q3 2022-15.8%+18.0%+9.4%
Q2 2022-14.1%-19.4%-40.7%
Q1 2022-25.4%-18.7%-33.4%
Q4 2021-0.9%+11.7%-1.6%
Q3 2021+19.4%+21.1%+3.4%
Q2 2021-18.6%-18.4%-27.5%
Q1 2021-27.9%-36.6%-17.2%
Q4 2020-12.0%-9.5%-25.4%
Q3 2020-9.1%-14.9%-4.5%
Q2 2020+1.9%+12.3%+3.8%
Q1 2020+5.7%+5.7%+19.1%
Q4 2019+0.0%-6.4%-48.8%
Q3 2019-15.5%-23.0%-24.4%
Q2 2019-20.1%-3.6%-5.4%
Q1 2019
Q4 2018
Q3 2018
Q2 2018
Q1 2018

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