ThredUp Announces Second Quarter 2026 Results
Rhea-AI Summary
ThredUp (Nasdaq: TDUP) reported second quarter 2026 revenue of $90.8 million, up 17% year-over-year, with gross profit of $72.5 million and a 79.9% gross margin. Net loss was $5.9 million (–6.5% margin), while Adjusted EBITDA improved to $4.8 million (5.3% margin) from $3.0 million a year earlier.
Active Buyers reached a record 1.77 million and Orders 1.87 million, rising 21% and 22% year-over-year. ThredUp ended the quarter with $57.4 million in cash, cash equivalents, restricted cash and marketable securities, up $3.0 million sequentially. Operating cash flow for the first half was $9.2 million and free cash flow $2.4 million.
For the second half of 2026, ThredUp guides to Q3 revenue of $87–$89 million and Q4 revenue of $85–$87 million, implying 7–8% year-over-year growth, gross margins around 78%, and Adjusted EBITDA margins of about 4% in Q3 and 6% in Q4. Full-year 2026 revenue is expected at $344.4–$348.4 million, with a gross margin of 78.7–79.1% and an Adjusted EBITDA margin of about 4.7%.
Positive
- Revenue +17% YoY to $90.8 million in Q2 2026
- Gross profit +17% YoY to $72.5 million; margin 79.9%
- Adjusted EBITDA up to $4.8 million vs. $3.0 million last year
- Record Active Buyers 1.77 million, +21% YoY; Orders +22% YoY
- Liquidity $57.4 million in cash and securities, up $3.0 million QoQ
- Positive free cash flow of $2.4 million in first half 2026
Negative
- Net loss of $5.9 million in Q2 2026 vs. $5.2 million YoY
- Operating expenses rose to $78.6 million from $67.0 million YoY
- Slower guided growth: Q3–Q4 2026 revenue growth 7–8% YoY vs. Q2’s 17%
- Guided gross margin of ~78% in Q3–Q4 below Q2’s 79.9%
News Explained
ThredUp reported 131,296 shares issued and outstanding at June 30, 2026, versus 127,027 at December 31, 2025; under the supplied definition, that increase can reduce an existing holder’s percentage ownership absent offsetting changes.
Market Reaction – TDUP
Following this news, TDUP has declined 27.87%, reflecting a significant negative market reaction. Our momentum scanner has triggered 21 alerts so far, indicating elevated trading interest and price volatility. The stock is currently trading at $4.53. Trading volume is above average at 1.8x the average, suggesting increased trading activity.
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Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 04 | Q1 earnings report | Positive | +14.7% | Revenue growth, raised guidance, and improved operating metrics preceded a positive reaction. |
| Mar 02 | Q4 earnings report | Positive | -23.4% | Revenue growth, improved cash flow, and buyer expansion preceded a negative reaction. |
| Nov 03 | Q3 earnings report | Positive | -7.5% | Revenue growth, buyer expansion, and raised outlook preceded a negative reaction. |
| Aug 04 | Q2 earnings report | Positive | +5.7% | Record revenue, improved EBITDA, and raised outlook preceded a positive reaction. |
| May 05 | Q1 earnings report | Positive | +47.8% | Revenue growth, lower operating loss, and raised outlook preceded a positive reaction. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Tag-matched earnings reactions were mixed, with three positive reactions and two negative reactions; the average move was 7.44%.
Key Terms
adjusted ebitda financial
non-gaap financial measures financial
free cash flow financial
stock-based compensation expense financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
- Record quarterly revenue of
$90.8 million , representing an increase of17% year-over-year - Quarterly gross margin of
79.9% and an increase in gross profit of17% year-over-year - Record Active Buyers of 1.77 million, representing an increase of
21% year-over-year - Ended the quarter with cash and cash equivalents, restricted cash, and marketable securities of
$57.4 million , up$3.0 million from the previous quarter
OAKLAND, Calif., Aug. 05, 2026 (GLOBE NEWSWIRE) -- ThredUp Inc. (Nasdaq: TDUP, LTSE: TDUP), one of the largest online resale platforms for apparel, shoes, and accessories, announced today its financial results for the second quarter ended June 30, 2026, and updated its financial outlook for the third quarter, fourth quarter, and full year 2026.
“We're pleased with our Q2 results, which exceeded our expectations across the board," said ThredUp CEO and co-founder James Reinhart. "Our fundamentals remain strong, active buyers are growing, supply quality is improving, and we're methodically expanding Adjusted EBITDA. Despite strong execution in Q2, we are updating our guidance for the second half of the year to reflect ongoing economic uncertainty affecting the most price-sensitive buyers in our marketplace.”
Second Quarter 2026 Financial Highlights
- Revenue totaled
$90.8 million , an increase of17% year-over-year. - Gross Profit and Gross Margin: Gross profit totaled
$72.5 million , an increase of17% year-over-year. Gross margin was79.9% as compared to79.5% in the second quarter last year. - Net loss was
$5.9 million , or a negative6.5% of revenue, for the second quarter 2026, compared to a loss of$5.2 million , or a negative6.7% of revenue, for the second quarter last year. - Adjusted EBITDA1 was
$4.8 million , or5.3% of revenue, for the second quarter 2026, compared to$3.0 million , or3.9% of revenue, for the second quarter last year. - Active Buyers and Orders: Active Buyers of 1.77 million and Orders of 1.87 million for the second quarter 2026, representing increases of
21% and22% , respectively, over the second quarter last year.
Financial Outlook1
For the third quarter 2026, ThredUp expects:
- Revenue in the range of
$87.0 million to$89.0 million , +7% year-over-year growth at the midpoint, and a20.3% two-year average growth rate - Gross margin in the range of
78.0% to79.0% - Adjusted EBITDA margin of approximately
4.0%
For the fourth quarter 2026, ThredUp expects:
- Revenue in the range of
$85.0 million to$87.0 million , +8% year-over-year growth at the midpoint, and a13.2% two-year average growth rate - Gross margin in the range of
77.5% to78.5% - Adjusted EBITDA margin of approximately
6.0%
For the full fiscal year 2026, ThredUp expects:
- Revenue in the range of
$344.4 million to$348.4 million , +11% year-over-year growth at the midpoint, and a15.5% two-year average growth rate - Gross margin in the range of
78.7% to79.1% - Adjusted EBITDA margin of approximately
4.7%
ThredUp is not providing a quantitative reconciliation of forward-looking guidance of the Non-GAAP measure Adjusted EBITDA margin to net loss margin, the most directly comparable financial measures under GAAP because certain items are out of ThredUp’s control or cannot be reasonably predicted. We calculate Adjusted EBITDA as net loss adjusted to exclude, where applicable in a given period, stock-based compensation expense, depreciation and amortization, interest expense, provision for income taxes, severance and other reorganization costs, and gains related to non-marketable equity investment. Adjusted EBITDA margin represents Adjusted EBITDA divided by Revenue for the same period. Accordingly, a reconciliation for Adjusted EBITDA in order to calculate forward-looking Adjusted EBITDA margin is not available without unreasonable effort. However, for the third and fourth quarters of 2026 and full year 2026, Depreciation and amortization is expected to be
ThredUp is not providing a quantitative reconciliation for free cash flow estimates on a forward-looking basis because it is unable, without making unreasonable efforts, to provide a meaningful or reasonably accurate calculation or estimation of Net cash provided by operating activities and certain reconciling items on a forward-looking basis, which could be significant to the Company's results.
Conference Call and Webcast Information
- The live and archived webcast and all related earnings materials will be available at ThredUp’s investor relations website: ir.thredup.com/news-events/events-and-presentations.
| ThredUp Inc. Condensed Consolidated Balance Sheets (unaudited) | |||||||
| June 30, 2026 | December 31, 2025 | ||||||
| (in thousands) | |||||||
| ASSETS | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ | 42,169 | $ | 38,629 | |||
| Marketable securities | 10,261 | 9,498 | |||||
| Accounts receivable, net | 2,619 | 2,437 | |||||
| Other current assets | 6,159 | 6,112 | |||||
| Total current assets | 61,208 | 56,676 | |||||
| Operating lease right-of-use assets | 25,182 | 25,376 | |||||
| Property and equipment, net | 65,901 | 67,243 | |||||
| Goodwill | 10,746 | 10,746 | |||||
| Other assets | 7,105 | 7,204 | |||||
| Total assets | $ | 170,142 | $ | 167,245 | |||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 13,474 | $ | 10,329 | |||
| Accrued and other current liabilities | 22,920 | 24,511 | |||||
| Seller payable | 19,463 | 18,264 | |||||
| Operating lease liabilities, current | 5,767 | 5,401 | |||||
| Current portion of long-term debt | — | 3,875 | |||||
| Total current liabilities | 61,624 | 62,380 | |||||
| Operating lease liabilities, non-current | 27,120 | 28,580 | |||||
| Long-term debt, net of current portion | 17,722 | 14,276 | |||||
| Other non-current liabilities | 2,928 | 2,816 | |||||
| Total liabilities | 109,394 | 108,052 | |||||
| Commitments and contingencies | |||||||
| Stockholders’ equity: | |||||||
| Class A and B common stock, | 13 | 12 | |||||
| Additional paid-in capital | 649,257 | 635,253 | |||||
| Accumulated other comprehensive income (loss) | (40 | ) | 3 | ||||
| Accumulated deficit | (588,482 | ) | (576,075 | ) | |||
| Total stockholders’ equity | 60,748 | 59,193 | |||||
| Total liabilities and stockholders’ equity | $ | 170,142 | $ | 167,245 | |||
| ThredUp Inc. Condensed Consolidated Statements of Operations (unaudited) | |||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||
| June 30, 2026 | June 30, 2025 | June 30, 2026 | June 30, 2025 | ||||||||||||
| (in thousands, except per share amounts) | |||||||||||||||
| Revenue | $ | 90,767 | $ | 77,657 | $ | 172,438 | $ | 148,948 | |||||||
| Cost of revenue | 18,243 | 15,921 | 35,254 | 30,841 | |||||||||||
| Gross profit | 72,524 | 61,736 | 137,184 | 118,107 | |||||||||||
| Operating expenses: | |||||||||||||||
| Operations, product, and technology | 45,115 | 37,525 | 86,190 | 72,651 | |||||||||||
| Marketing | 17,761 | 16,206 | 32,702 | 29,349 | |||||||||||
| Sales, general, and administrative | 15,761 | 13,250 | 30,994 | 26,786 | |||||||||||
| Total operating expenses | 78,637 | 66,981 | 149,886 | 128,786 | |||||||||||
| Operating loss | (6,113 | ) | (5,245 | ) | (12,702 | ) | (10,679 | ) | |||||||
| Interest expense | (299 | ) | (496 | ) | (683 | ) | (1,010 | ) | |||||||
| Other income, net | 504 | 596 | 1,029 | 1,386 | |||||||||||
| Loss before provision for income taxes | (5,908 | ) | (5,145 | ) | (12,356 | ) | (10,303 | ) | |||||||
| Provision for income taxes | 27 | 31 | 51 | 88 | |||||||||||
| Net loss | $ | (5,935 | ) | $ | (5,176 | ) | $ | (12,407 | ) | $ | (10,391 | ) | |||
| Loss per share, basic and diluted | $ | (0.05 | ) | $ | (0.04 | ) | $ | (0.10 | ) | $ | (0.09 | ) | |||
| Weighted-average shares used to compute loss per share, basic and diluted | 129,854 | 120,275 | 128,779 | 118,496 | |||||||||||
| ThredUp Inc. Condensed Consolidated Statements of Comprehensive Loss (unaudited) | |||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||
| June 30, 2026 | June 30, 2025 | June 30, 2026 | June 30, 2025 | ||||||||||||
| (in thousands) | |||||||||||||||
| Net loss | $ | (5,935 | ) | $ | (5,176 | ) | $ | (12,407 | ) | $ | (10,391 | ) | |||
| Other comprehensive loss, net of tax: | |||||||||||||||
| Unrealized loss on available-for-sale securities | (21 | ) | — | (43 | ) | (5 | ) | ||||||||
| Total other comprehensive loss | (21 | ) | — | (43 | ) | (5 | ) | ||||||||
| Total comprehensive loss | $ | (5,956 | ) | $ | (5,176 | ) | $ | (12,450 | ) | $ | (10,396 | ) | |||
| ThredUp Inc. Condensed Consolidated Statements of Cash Flows (unaudited) | |||||||
| Six Months Ended | |||||||
| June 30, 2026 | June 30, 2025 | ||||||
| (in thousands) | |||||||
| Cash flows from operating activities: | |||||||
| Net loss | $ | (12,407 | ) | $ | (10,391 | ) | |
| Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||
| Stock-based compensation expense | 11,428 | 10,020 | |||||
| Depreciation and amortization | 7,407 | 6,335 | |||||
| Reduction in carrying amount of right-of-use assets | 2,316 | 2,224 | |||||
| Other | 65 | (149 | ) | ||||
| Changes in operating assets and liabilities: | |||||||
| Accounts receivable, net | (183 | ) | (232 | ) | |||
| Other current and non-current assets | (61 | ) | 96 | ||||
| Accounts payable | 2,822 | 2,754 | |||||
| Accrued and other current liabilities | (168 | ) | (2,942 | ) | |||
| Seller payable | 1,199 | 1,203 | |||||
| Operating lease liabilities | (3,214 | ) | (2,331 | ) | |||
| Other non-current liabilities | — | (500 | ) | ||||
| Net cash provided by operating activities | 9,204 | 6,087 | |||||
| Cash flows from investing activities: | |||||||
| Purchases of marketable securities | (10,245 | ) | (9,089 | ) | |||
| Sale and maturities of marketable securities | 9,553 | 15,154 | |||||
| Purchases of property and equipment | (6,778 | ) | (5,094 | ) | |||
| Net cash provided by (used in) investing activities | (7,470 | ) | 971 | ||||
| Cash flows from financing activities: | |||||||
| Payments on debt | (469 | ) | (2,000 | ) | |||
| Proceeds from issuance of stock-based awards | 8,392 | 14,852 | |||||
| Payments of withholding taxes on stock-based awards | (6,117 | ) | (10,769 | ) | |||
| Net cash provided by financing activities | 1,806 | 2,083 | |||||
| Net change in cash, cash equivalents and restricted cash | 3,540 | 9,141 | |||||
| Cash, cash equivalents, and restricted cash, beginning of period | 43,577 | 40,488 | |||||
| Cash, cash equivalents, and restricted cash, end of period | $ | 47,117 | $ | 49,629 | |||
| ThredUp Inc. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) | |||||||||||||||
| Adjusted EBITDA Reconciliation | |||||||||||||||
| Three Months Ended | Six Months Ended | ||||||||||||||
| June 30, 2026 | June 30, 2025 | June 30, 2026 | June 30, 2025 | ||||||||||||
| (in thousands) | |||||||||||||||
| Net loss | $ | (5,935 | ) | $ | (5,176 | ) | $ | (12,407 | ) | $ | (10,391 | ) | |||
| Stock-based compensation expense | 5,925 | 4,500 | 11,428 | 10,020 | |||||||||||
| Depreciation and amortization | 4,101 | 3,166 | 7,407 | 6,335 | |||||||||||
| Interest expense | 299 | 496 | 683 | 1,010 | |||||||||||
| Provision for income taxes | 27 | 31 | 51 | 88 | |||||||||||
| Severance and other reorganization costs | 362 | — | 362 | (3 | ) | ||||||||||
| Gains related to non-marketable equity investments | — | — | — | (234 | ) | ||||||||||
| Non-GAAP Adjusted EBITDA | $ | 4,779 | $ | 3,017 | $ | 7,524 | $ | 6,825 | |||||||
| Revenue | $ | 90,767 | $ | 77,657 | $ | 172,438 | $ | 148,948 | |||||||
| Non-GAAP Adjusted EBITDA margin | 5.3 | % | 3.9 | % | 4.4 | % | 4.6 | % | |||||||
| Free Cash Flow Reconciliation | |||||||
| Six Months Ended | |||||||
| June 30, 2026 | June 30, 2025 | ||||||
| (in thousands) | |||||||
| Net cash provided by operating activities | $ | 9,204 | $ | 6,087 | |||
| Purchases of property and equipment | (6,778 | ) | (5,094 | ) | |||
| Non-GAAP free cash flow | $ | 2,426 | $ | 993 | |||
Investors
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Media
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About ThredUp
ThredUp is transforming resale with technology and a mission to inspire the world to think secondhand first. By making it easy to buy and sell secondhand, ThredUp has become one of the world's largest online resale platforms for apparel, shoes and accessories. Sellers enjoy ThredUp because we make it easy to clean out their closets and unlock value for themselves or for the charity of their choice while doing good for the planet. Buyers enjoy shopping value, premium and luxury brands all in one place, at up to
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws, which are statements that involve substantial risks and uncertainties. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as “may,” “will,” “shall,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “target,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential”, “looking ahead”, “looking forward,” “seeking” or “continue” or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans or intentions. Forward-looking statements in this release include, but are not limited to, guidance on financial results for the third and fourth quarters and full year of 2026; statements about future free cash flow, operating results, capital expenditures and other developments in our business and our long term growth; trends, consumer demand and growth in the online resale markets; the momentum of our business; our investments in technology and infrastructure, including with respect to AI technologies; the impact of tariffs and other changes to global trade on our business; the success and expansion of our RaaS® model and the timing and plans for future RaaS® clients; the implementation and success of direct selling and premium listings on ThredUp; our ability to attract new Active Buyers, including our efforts to make resale more engaging and accessible to a wider audience through innovative shopping experiences, such as the launch of our rebrand; and legal and regulatory developments.
Forward-looking statements are neither historical facts nor assurances of future performance. Forward-looking statements involve substantial risks and uncertainties that may cause actual results to differ materially from those that we expect. These risks and uncertainties include, but are not limited to: our ability to attract new users and convert users into buyers, Active Buyers, and sellers; our ability to achieve and maintain profitability; the sufficiency of our cash, cash equivalents and capital resources to meet our liquidity needs; our ability to effectively manage or sustain our growth and to effectively expand our operations; risks from an intensely competitive market; our ability to effectively deploy new and evolving technologies, such as artificial intelligence and machine learning, in our offerings; risks arising from economic and industry trends, including tariffs, inflationary pressures, interest rate volatility, changing consumer habits, climate change and general global economic uncertainty; our ability to comply with applicable laws and regulations; and our ability to successfully integrate and realize the benefits of our past or future strategic acquisitions or investments. More information on these risks and other potential factors that could affect the Company’s business, reputation, results of operations, financial condition, and stock price is included in the Company’s filings with the Securities and Exchange Commission (“SEC”), including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings. The forward-looking statements in this release are based on information available to us as of the date hereof, and we disclaim any obligation to update any forward-looking statements, except as required by law. These forward-looking statements should not be relied upon as representing ThredUp’s views as of any date subsequent to the date of this press release.
Additional information regarding these and other factors that could affect ThredUp's results is included in ThredUp’s SEC filings, which may be obtained by visiting our Investor Relations website at ir.thredup.com or the SEC's website at www.sec.gov.
Channels for Disclosure of Information
ThredUp intends to announce material information to the public through the ThredUp Investor Relations website ir.thredup.com, SEC filings, press releases, public conference calls, and public webcasts. ThredUp uses these channels, as well as social media, to communicate with its investors, customers, and the public about the company, its offerings, and other issues. It is possible that the information ThredUp posts on social media could be deemed to be material information. As such, ThredUp encourages investors, the media, and others to follow the channels listed above, including the social media channels listed on ThredUp’s investor relations website, and to review the information disclosed through such channels.
Non-GAAP Financial Measures and Other Operating and Business Metrics
This press release and the accompanying tables contain non-GAAP financial measures, including: Adjusted EBITDA, Adjusted EBITDA margin, free cash flow, and other operating and business metrics. In addition to our results determined in accordance with GAAP, we believe that these non-GAAP financial measures and other operating and business metrics, are useful in evaluating our operating performance and enhancing an overall understanding of our financial position. We use these measures and metrics to evaluate and assess our operating performance, and for internal planning and forecasting purposes. We believe that these non-GAAP financial measures, when taken collectively with our GAAP results, may be helpful to investors because they provide consistency and comparability with past financial performance and assist in comparisons with other companies, some of which use similar non-GAAP financial information to supplement their GAAP results. Our non-GAAP financial measures and other operating and business metrics are presented for supplemental informational purposes only, should not be considered a substitute for financial information presented in accordance with GAAP and may be different from similarly-titled non-GAAP financial measures and other operating and business metrics used by other companies.
We encourage investors to review our results determined in accordance with GAAP and the accompanying reconciliations for more information.
A reconciliation is provided above for Non-GAAP Adjusted EBITDA to Net loss, the most directly comparable financial measure stated in accordance with GAAP. We calculate Non-GAAP Adjusted EBITDA as Net loss adjusted to exclude, where applicable in a given period, stock-based compensation expense, depreciation and amortization, interest expense, provision for income taxes, severance and other reorganization costs, and gains related to non-marketable equity investment. Non-GAAP Adjusted EBITDA margin represents Non-GAAP Adjusted EBITDA divided by Revenue for the same period.
A reconciliation is provided above for Non-GAAP free cash flow to Net cash provided by operating activities, the most directly comparable financial measure stated in accordance with GAAP. We calculate Non-GAAP free cash flow as Net cash provided by operating activities reduced by Purchases of property and equipment.
An Active Buyer is a ThredUp buyer who has made at least one purchase in the last twelve months. A ThredUp buyer is a customer who has created an account and purchased in our marketplaces, including through our RaaS® clients, and is identified by a unique email address. A single person could have multiple ThredUp accounts and count as multiple Active Buyers.
Orders are defined as the total number of orders placed by buyers across our marketplaces, including through our RaaS® clients, in a given period, net of cancellations.
1 Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP measures. See “Reconciliation of GAAP to Non-GAAP Financial Measures” for a detailed reconciliation of these non-GAAP measures to the most directly comparable GAAP measures and “Non-GAAP Financial Measures and Other Operating and Business Metrics” for a discussion of why we believe these non-GAAP measures are useful.
