NASDAQ$TDUP

Thredup Inc - Class A · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

ThredUp announced its Q4 2022 earnings, with revenue declining 2% year-over-year and a gross margin of 63.1%.

ThredUp's Q4 2022 financial results revealed a slight decrease in revenue compared to the previous year, alongside a decline in gross profit. The company reported a net loss, but also highlighted the expansion of its Resale-as-a-Service program and the opening of a new distribution center.

  • Q4 revenue totaled $71.3 million, a 2% decrease year-over-year.
  • Gross profit was $45.0 million, down 7% year-over-year, with a gross margin of 63.1%.
  • Active Buyers reached 1.7 million, and Orders totaled 1.5 million, both declining by 2% and 8% respectively.
  • Adjusted EBITDA loss was $5.8 million, an improvement compared to the previous year's loss of $10.5 million.

Headline financials

Total Revenue

$71.3M

Previous: $72.9M-2.1%
EPS (adj)

-$0.19

Previous: -$0.18-5.6%
Gross Margin

63.1%

Previous: 66.1%-4.5%
Active Buyers

1.7M

Previous: 1.7M+0.0%
Orders

1.5M

Previous: 1.5M+0.0%
Adjusted EBITDA

-$5.8M

No prior period
Capital Expenditures

$3.94M

Previous: $4.62M-14.8%
Free Cash Flow

-$19.1M

Previous: -$25.5M+25.1%
Net Income

-$19.5M

Previous: -$17.9M-8.9%
Operating Income

-$16.4M

Previous: -$18.3M+10.6%
Gross Profit

$45M

Previous: $48.2M-6.7%
Cash & Equivalents

$38M

Previous: $84.6M-55.0%
Total Assets

$302M

Previous: $361M-16.3%
Stock-Based Comp

$6.06M

Previous: $3.57M+69.7%

Revenue & EPS history

ThredUp · Revenue · Quarterly

$71.3M

Q4 2022-2.1%vs Q4 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Forward guidance

For the first quarter 2023, thredUP expects revenue in the range of $71 million to $73 million, gross margin in the range of 66.0% to 68.0%, and Adjusted EBITDA loss margin in the range of 12.0% to 10.0%. For the full fiscal year 2023, thredUP expects revenue in the range of $310 million to $320 million, gross margin in the range of 66.0% to 68.0%, and Adjusted EBITDA loss margin in the range of 8.0% to 6.0%.

Tailwinds

  • Revenue in the range of $71 million to $73 million for Q1 2023.
  • Gross margin in the range of 66.0% to 68.0% for Q1 2023.
  • Adjusted EBITDA loss margin in the range of 12.0% to 10.0% for Q1 2023.
  • Revenue in the range of $310 million to $320 million for FY 2023.
  • Gross margin in the range of 66.0% to 68.0% for FY 2023.

Headwinds

  • Adjusted EBITDA loss margin in the range of 8.0% to 6.0% for FY 2023.
  • Uncertainty in predicting certain items such as depreciation and amortization.
  • Uncertainty in predicting stock-based compensation expense.
  • Dependence on various factors that could affect projected net loss.
  • Potential for projected net loss to be materially less than indicated by the estimated Adjusted EBITDA margin.

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 Q4 2022

Historical avgQ4 2022

+2.3%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+11.8%

Avg return

30 days after

48%

12 / 25 earnings

Positive

+53.1%

Q4 2022

Best reaction

-64.9%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.5%+7.8%+2.2%
Q4 2025-23.7%-27.1%-32.9%
Q3 2025-7.5%-6.9%-6.6%
Q1 2025+48.2%+40.3%+69.1%
Q4 2024+7.2%+5.8%+13.0%
Q3 2024+51.3%+68.7%+198.4%
Q2 2024-64.9%-65.9%-51.5%
Q1 2024+8.3%+12.8%+7.2%
Q4 2023-6.6%-15.6%-11.8%
Q3 2023-38.1%-46.2%-39.7%
Q2 2023+14.7%+18.6%-3.8%
Q1 2023+4.4%-11.1%-24.4%
Q4 2022+53.1%+33.8%+36.3%
Q3 2022+30.4%+29.3%+117.4%
Q2 2022+11.5%-15.6%-5.0%
Q1 2022-16.6%-22.5%-31.8%
Q4 2019-1.0%-2.1%+5.5%
Q4 2021+6.7%+7.1%+8.4%
Q3 2020-0.6%+7.1%-21.0%
Q3 2021+3.2%+6.2%-15.9%
Q2 2020+7.1%+6.3%-14.3%
Q2 2021-4.7%+4.3%-17.8%
Q4 2020-9.3%-2.5%+36.1%
Q1 2020-9.3%-2.5%+36.1%
Q1 2021-4.2%-2.1%+41.2%

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