NYSE$RVLV
Revolve Group Inc · Q1 2021 earnings
Q1 2021 earnings · · Investor relations
Briefing
Announced first quarter 2021 financial results, highlighted by record net sales and net income.
Revolve Group reported record quarterly net sales of $178.9 million, a 22% year-over-year increase, and a record net income of $22.3 million. The company saw significant growth in March, driven by a return to social outing styles and continued strength in at-home products.
- Delivered record quarterly net sales, up 22% year-over-year and 30% over Q1 2019.
- Achieved record net income, a 435% increase over the prior year.
- Generated $33 million in cash flow from operating activities, a 300% increase year-over-year.
- Experienced strong recovery in March with growth in social outing styles and continued growth in at-home related products.
Headline financials
Revenue & EPS history
Revolve · Revenue · Quarterly
$179M
Revenue by segment
Revolve · $179M total across 2 segments · Q1 2021
- REVOLVE Segment$152M+22.2%85.0%
- FWRD Segment$26.7M+23.8%15.0%
Forward guidance
Results for April 2021 continued the momentum from Q1, with year-over-year net sales growth outpacing the 22% reported in Q1. The company is encouraged by vaccine uptake and economic recovery, and plans to invest further in marketing events.
Tailwinds
- Year-over-year growth in net sales in April meaningfully outpacing the 22% year-over-year growth reported for the first quarter of 2021.
- Encouraged by the pace of vaccine uptake and signs of healthy economic recovery across the United States and in many of key markets around the world.
- Recently resumed in-person marketing events with appropriate safety protocols, successfully hosting impactful marketing events in Australia and Los Angeles.
- Plan to invest even further in additional marketing events and programs in the near term to capitalize on the reopening opportunity with newly vaccinated consumers excited to socialize in person, travel and enjoy the active lifestyle they have come to associate with REVOLVE.
- Strong cash flow further strengthened our balance sheet and liquidity.
Headwinds
- COVID-19 has continued to have a negative impact on REVOLVE’s operations and on net sales in certain regions.
- Expect return rate tailwinds to reverse beginning in the second quarter of 2021.
- Expect this dynamic to cause selling and distribution expenses, where the majority of costs are shipping related, to increase year over year as a percentage of net sales.
- Expect more difficult year-over-year comparisons for fulfillment expenses expressed as a percentage of net sales in upcoming quarters.
- Absent such discrete tax items in future quarters, we expect our effective tax rate to be around 25%.
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 Q1 2021
-0.5%
Avg return
Earnings day
-2.1%
Avg return
5 days after
-4.7%
Avg return
30 days after
38%
12 / 32 earnings
Positive
+31.7%
Q3 2024
Best reaction
-19.3%
Q4 2017
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.0% | -11.0% | -17.6% | |
| Q4 2025 | -5.4% | -7.0% | -15.4% | |
| Q3 2025 | +12.2% | +10.9% | +30.0% | |
| Q1 2025 | -9.6% | +4.5% | +17.6% | |
| Q4 2024 | -5.0% | -11.7% | -21.4% | |
| Q3 2024 | +31.7% | +24.5% | +43.1% | |
| Q2 2024 | +30.8% | +26.2% | +21.2% | |
| Q1 2024 | +4.6% | +2.9% | -13.5% | |
| Q4 2023 | +25.8% | +33.9% | +24.7% | |
| Q3 2023 | -2.9% | -3.1% | +5.9% | |
| Q2 2023 | -7.5% | -6.7% | -21.3% | |
| Q1 2023 | -7.8% | -8.1% | -17.6% | |
| Q4 2022 | +1.1% | +6.3% | -1.2% | |
| Q3 2022 | -3.4% | -11.3% | +20.5% | |
| Q2 2022 | -8.2% | +2.7% | -19.1% | |
| Q1 2022 | -16.0% | -25.0% | -29.6% | |
| Q4 2021 | -1.6% | -9.7% | +3.4% | |
| Q3 2021 | +6.2% | +12.5% | -9.0% | |
| Q2 2021 | -17.4% | -11.1% | -17.8% | |
| Q1 2021 | +9.8% | -5.3% | +6.7% | |
| Q4 2020 | +8.3% | +25.8% | +20.4% | |
| Q3 2020 | -3.8% | -4.5% | +10.2% | |
| Q2 2020 | +27.6% | +17.2% | -4.8% | |
| Q1 2019 | -8.4% | -6.9% | +3.2% | |
| Q1 2020 | +3.0% | -6.8% | +4.3% | |
| Q4 2017 | -19.3% | -18.4% | -57.0% | |
| Q4 2019 | -11.0% | -13.6% | -51.3% | |
| Q3 2019 | -16.9% | -21.1% | -14.9% | |
| Q3 2018 | -16.9% | -21.1% | -14.9% | |
| Q4 2018 | -1.4% | -9.3% | -4.1% | |
| Q2 2018 | -1.4% | -9.3% | -4.1% | |
| Q2 2019 | -12.9% | -14.1% | -25.9% | |
| Q1 2018 | — | — | — | |
| Q3 2017 | — | — | — | |
| Q2 2017 | — | — | — | |
| Q1 2017 | — | — | — |
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