ThredUp (NASDAQ: TDUP) posts Q1 2026 growth and lifts full-year 2026 outlook
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
ThredUp Inc. reported first quarter 2026 revenue of $81.7 million, up 15% year-over-year, with gross margin of 79.2%. Gross profit reached $64.7 million, also up 15%.
The company posted a net loss of $6.5 million (7.9% of revenue), compared with a $5.2 million loss a year earlier. Non-GAAP Adjusted EBITDA was $2.7 million, or 3.4% of revenue, down from $3.8 million, or 5.3%, last year.
Customer metrics continued to expand, with 1.71 million Active Buyers and 1.64 million orders, increases of 25% and 19% year-over-year. ThredUp ended the quarter with $54.4 million in cash, cash equivalents, restricted cash, and marketable securities.
For the second quarter 2026, ThredUp expects revenue of $89.0–$91.0 million, gross margin of 78.5–79.5%, and Adjusted EBITDA margin of about 5.2%. For full-year 2026, it projects revenue of $351.2–$356.2 million, gross margin of 78.5–79.5%, and Adjusted EBITDA margin of about 6.1%.
Positive
- None.
Negative
- None.
Insights
ThredUp is growing revenue and users quickly, but profitability progress remains uneven despite higher 2026 guidance.
ThredUp delivered Q1 2026 revenue of $81.7 million, up 15% year-over-year, with a strong gross margin of 79.2%. Active Buyers grew 25% to 1.71 million and orders rose 19%, showing solid demand and engagement across its resale marketplace.
Profitability metrics were more mixed. Net loss widened to $6.5 million, or 7.9% of revenue, versus a $5.2 million loss last year, and $2.7 million of Adjusted EBITDA was below the prior-period $3.8 million. Free cash flow was modestly positive at $0.6 million, and quarter-end liquidity of $54.4 million in cash and securities provides a financial cushion.
The company issued guidance for Q2 2026 revenue of $89.0–$91.0 million and full-year 2026 revenue of $351.2–$356.2 million, with targeted Adjusted EBITDA margins of 5.2% in Q2 and 6.1% for the year. Subsequent filings and earnings updates will show whether it can sustain double-digit growth while expanding margins toward those targets.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q1 2026 Revenue: $81.7 million
Q1 2026 Gross Margin: 79.2%
Q1 2026 Net Loss: $6.5 million
+5 more
8 metrics
Q1 2026 Revenue
$81.7 million
Quarter ended March 31, 2026; up 15% year-over-year
Q1 2026 Gross Margin
79.2%
Quarter ended March 31, 2026; 79.1% in prior-year quarter
Q1 2026 Net Loss
$6.5 million
7.9% of revenue; compared with $5.2 million loss in Q1 2025
Q1 2026 Adjusted EBITDA
$2.7 million (3.4% margin)
Versus $3.8 million and 5.3% margin in Q1 2025
Active Buyers
1.71 million
Q1 2026; up 25% year-over-year
Orders
1.64 million
Q1 2026; up 19% year-over-year
Liquidity
$54.4 million
Cash, cash equivalents, restricted cash, and marketable securities at March 31, 2026
2026 Revenue Guidance
$351.2–$356.2 million
Full-year 2026 outlook provided in the release
Key Terms
Adjusted EBITDA, free cash flow, Non-GAAP financial measures, Resale-as-a-Service, +1 more
5 terms
Adjusted EBITDA financial
"Adjusted EBITDA1 was $2.7 million, or 3.4% of revenue, for the first quarter 2026"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
free cash flow financial
"Non-GAAP free cash flow was $643 for the three months ended March 31, 2026"
Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.
Non-GAAP financial measures financial
"This press release and the accompanying tables contain non-GAAP financial measures"
Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.
Resale-as-a-Service financial
"With ThredUp’s Resale-as-a-Service, some of the world's leading brands and retailers are leveraging our platform"
Active Buyers financial
"Active Buyers of 1.71 million and Orders of 1.64 million for the first quarter 2026"
Earnings Snapshot
Revenue: $81.7 million · Guidance included
Q1 2026
Revenue
$81.7 million
+15% YoY
Gross margin
79.2%
+0.1 percentage points YoY (79.1% prior)
Net loss
$6.5 million
More negative than $5.2 million loss in Q1 2025
Adjusted EBITDA
$2.7 million (3.4% margin)
Down from $3.8 million (5.3% margin) in Q1 2025
Active Buyers
1.71 million
+25% YoY
Guidance
For Q2 2026, ThredUp expects revenue of $89.0–$91.0 million, gross margin of 78.5–79.5%, and Adjusted EBITDA margin of about 5.2%. For full-year 2026, it projects revenue of $351.2–$356.2 million, gross margin of 78.5–79.5%, and Adjusted EBITDA margin of about 6.1%.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): May 4, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||
| (Address of principal executive offices) | (Zip Code) | ||||
(415 ) 402-5202
(Registrant’s telephone number, including area code)
Not applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
Long-Term Stock Exchange | ||||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☒
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition
On May 4, 2026, ThredUp Inc. (the “Company”) issued a press release announcing its financial results for the quarter ended March 31, 2026. A copy of the press release is attached hereto as Exhibit 99.1. In addition, a copy of the supplemental financial information is attached hereto as Exhibit 99.2. The press release and supplemental financial information are incorporated herein by reference.
The information in this Current Report on Form 8-K and the exhibits attached hereto is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.
Item 9.01. Financial Statements and Exhibits
(d)Exhibits.
| Exhibit Number | Description | |||||||
| 99.1 | Press Release dated May 4, 2026 | |||||||
| 99.2 | Supplemental Financial Information dated May 4, 2026 | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| THREDUP INC. | ||||||||
| By: | /s/ SEAN SOBERS | |||||||
| Sean Sobers | ||||||||
| Chief Financial Officer | ||||||||
| (Principal Financial and Accounting Officer) | ||||||||
Date: May 4, 2026
3
Exhibit 99.1
ThredUp Announces First Quarter 2026 Results
•Quarterly revenue of $81.7 million, representing an increase of 15% year-over-year
•Quarterly gross margin of 79.2% and an increase in gross profit of 15% year-over-year
•Record Active Buyers of 1.71 million, representing an increase of 25% year-over-year
•Ended the quarter with cash and cash equivalents, restricted cash, and marketable securities of $54.4 million, up 1.3 million from the previous quarter
•Issued a revised full year 2026 financial outlook, raising expectations for Revenue, Gross Margin and Adjusted EBITDA margin
Oakland, CA — May 4, 2026 — 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 first quarter ended March 31, 2026 and updated full year 2026 financial outlook.
“We are proud to deliver Q1 out-performance, including a record month for new buyer acquisition,” said ThredUp CEO and co-founder James Reinhart. “As we look ahead, we remain focused on executing our growth plan amidst an ever-changing consumer environment, and building a marketplace that delivers clear value to buyers and convenience for sellers.”
First Quarter 2026 Financial Highlights
•Revenue totaled $81.7 million, an increase of 15% year-over-year.
•Gross Profit and Gross Margin: Gross profit totaled $64.7 million, an increase of 15% year-over-year. Gross margin was 79.2% as compared to 79.1% in the first quarter last year.
•Net loss was $6.5 million, or a negative 7.9% of revenue, for the first quarter 2026, compared to a loss of $5.2 million, or a negative 7.3% of revenue, for the first quarter last year.
•Adjusted EBITDA1 was $2.7 million, or 3.4% of revenue, for the first quarter 2026, compared to $3.8 million, or 5.3% of revenue, for the first quarter last year.
•Active Buyers and Orders: Active Buyers of 1.71 million and Orders of 1.64 million for the first quarter 2026, representing increases of 25% and 19%, respectively, over the first quarter last year.
2
Financial Outlook1
For the second quarter 2026, ThredUp expects:
•Revenue in the range of $89.0 million to $91.0 million, +16% year-over-year at the midpoint
•Gross margin in the range of 78.5% to 79.5%
•Adjusted EBITDA margin of approximately 5.2%
For the full fiscal year 2026, ThredUp expects:
•Revenue in the range of $351.2 million to $356.2 million, +14% year-over-year at the midpoint
•Gross margin in the range of 78.5% to 79.5%
•Adjusted EBITDA margin of approximately 6.1%
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 second quarter of 2026 and full year 2026, Depreciation and amortization is expected to be $3.4 million and $13.4 million, respectively. In addition, for the second quarter of 2026 and full year 2026, Stock-based compensation expense is expected to be $4.5 million and $19.2 million, respectively. These items are uncertain, depend on various factors, and could result in projected net loss being materially greater than is indicated by the currently estimated Adjusted EBITDA margin.
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.
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.
3
ThredUp Inc.
Condensed Consolidated Balance Sheets
(unaudited)
| March 31, 2026 | December 31, 2025 | |||||||||||||
| (in thousands) | ||||||||||||||
| ASSETS | ||||||||||||||
| Current assets: | ||||||||||||||
| Cash and cash equivalents | $ | 38,996 | $ | 38,629 | ||||||||||
| Marketable securities | 10,457 | 9,498 | ||||||||||||
| Accounts receivable, net | 4,316 | 2,437 | ||||||||||||
| Other current assets | 6,616 | 6,112 | ||||||||||||
| Total current assets | 60,385 | 56,676 | ||||||||||||
| Operating lease right-of-use assets | 26,353 | 25,376 | ||||||||||||
| Property and equipment, net | 67,704 | 67,243 | ||||||||||||
| Goodwill | 10,746 | 10,746 | ||||||||||||
| Other assets | 7,185 | 7,204 | ||||||||||||
| Total assets | $ | 172,373 | $ | 167,245 | ||||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||
| Current liabilities: | ||||||||||||||
| Accounts payable | $ | 11,864 | $ | 10,329 | ||||||||||
| Accrued and other current liabilities | 27,112 | 24,511 | ||||||||||||
| Seller payable | 18,947 | 18,264 | ||||||||||||
| Operating lease liabilities, current | 5,776 | 5,401 | ||||||||||||
| Current portion of long-term debt | — | 3,875 | ||||||||||||
| Total current liabilities | 63,699 | 62,380 | ||||||||||||
| Operating lease liabilities, non-current | 28,672 | 28,580 | ||||||||||||
| Long-term debt, net of current portion | 17,740 | 14,276 | ||||||||||||
| Other non-current liabilities | 2,871 | 2,816 | ||||||||||||
| Total liabilities | 112,982 | 108,052 | ||||||||||||
| Commitments and contingencies | ||||||||||||||
| Stockholders’ equity: | ||||||||||||||
Class A and B common stock, $0.0001 par value; 1,120,000 shares authorized as of March 31, 2026 and December 31, 2025; 129,004 and 127,027 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively | 12 | 12 | ||||||||||||
| Additional paid-in capital | 641,945 | 635,253 | ||||||||||||
| Accumulated other comprehensive income (loss) | (19) | 3 | ||||||||||||
| Accumulated deficit | (582,547) | (576,075) | ||||||||||||
| Total stockholders’ equity | 59,391 | 59,193 | ||||||||||||
| Total liabilities and stockholders’ equity | $ | 172,373 | $ | 167,245 | ||||||||||
4
ThredUp Inc.
Condensed Consolidated Statements of Operations
(unaudited)
| Three Months Ended | ||||||||||||||
| March 31, 2026 | March 31, 2025 | |||||||||||||
| (in thousands, except per share amounts) | ||||||||||||||
| Revenue | $ | 81,671 | $ | 71,291 | ||||||||||
| Cost of revenue | 17,011 | 14,920 | ||||||||||||
| Gross profit | 64,660 | 56,371 | ||||||||||||
| Operating expenses: | ||||||||||||||
| Operations, product, and technology | 41,075 | 35,126 | ||||||||||||
| Marketing | 14,941 | 13,143 | ||||||||||||
| Sales, general, and administrative | 15,233 | 13,536 | ||||||||||||
| Total operating expenses | 71,249 | 61,805 | ||||||||||||
| Operating loss | (6,589) | (5,434) | ||||||||||||
| Interest expense | (384) | (514) | ||||||||||||
| Other income, net | 525 | 790 | ||||||||||||
| Loss before provision for income taxes | (6,448) | (5,158) | ||||||||||||
| Provision for income taxes | 24 | 57 | ||||||||||||
| Net loss | $ | (6,472) | $ | (5,215) | ||||||||||
| Loss per share, basic and diluted | $ | (0.05) | $ | (0.04) | ||||||||||
| Weighted-average shares used to compute loss per share, basic and diluted | 127,691 | 116,698 | ||||||||||||
5
ThredUp Inc.
Condensed Consolidated Statements of Comprehensive Loss
(unaudited)
| Three Months Ended | ||||||||||||||
| March 31, 2026 | March 31, 2025 | |||||||||||||
| (in thousands) | ||||||||||||||
| Net loss | $ | (6,472) | $ | (5,215) | ||||||||||
| Other comprehensive loss, net of tax: | ||||||||||||||
| Unrealized loss on available-for-sale securities | (22) | (5) | ||||||||||||
| Total other comprehensive loss | (22) | (5) | ||||||||||||
| Total comprehensive loss | $ | (6,494) | $ | (5,220) | ||||||||||
6
ThredUp Inc.
Condensed Consolidated Statements of Cash Flows
(unaudited)
| Three Months Ended | ||||||||||||||
| March 31, 2026 | March 31, 2025 | |||||||||||||
| (in thousands) | ||||||||||||||
| Cash flows from operating activities: | ||||||||||||||
| Net loss | $ | (6,472) | $ | (5,215) | ||||||||||
| Adjustments to reconcile net loss to net cash provided by operating activities: | ||||||||||||||
| Stock-based compensation expense | 5,503 | 5,520 | ||||||||||||
| Depreciation and amortization | 3,306 | 3,169 | ||||||||||||
| Reduction in carrying amount of right-of-use assets | 1,144 | 1,080 | ||||||||||||
| Other | 17 | (183) | ||||||||||||
| Changes in operating assets and liabilities: | ||||||||||||||
| Accounts receivable, net | (1,880) | (667) | ||||||||||||
| Other current and non-current assets | (465) | (29) | ||||||||||||
| Accounts payable | 2,510 | 4,719 | ||||||||||||
| Accrued and other current liabilities | 2,061 | (1,863) | ||||||||||||
| Seller payable | 683 | 617 | ||||||||||||
| Operating lease liabilities | (1,653) | (1,088) | ||||||||||||
| Other non-current liabilities | — | (317) | ||||||||||||
| Net cash provided by operating activities | 4,754 | 5,743 | ||||||||||||
| Cash flows from investing activities: | ||||||||||||||
| Purchases of marketable securities | (4,579) | (3,214) | ||||||||||||
| Sale and maturities of marketable securities | 3,675 | 10,104 | ||||||||||||
| Purchases of property and equipment | (4,111) | (1,815) | ||||||||||||
| Net cash provided by (used in) investing activities | (5,015) | 5,075 | ||||||||||||
| Cash flows from financing activities: | ||||||||||||||
Payments on debt | (433) | (1,000) | ||||||||||||
| Proceeds from issuance of stock-based awards | 4,445 | 1,151 | ||||||||||||
| Payments of withholding taxes on stock-based awards | (3,384) | (1,740) | ||||||||||||
| Net cash provided by (used in) financing activities | 628 | (1,589) | ||||||||||||
| Net change in cash, cash equivalents and restricted cash | 367 | 9,229 | ||||||||||||
| Cash, cash equivalents, and restricted cash, beginning of period | 43,577 | 40,488 | ||||||||||||
| Cash, cash equivalents, and restricted cash, end of period | $ | 43,944 | $ | 49,717 | ||||||||||
7
ThredUp Inc.
Reconciliation of GAAP to Non-GAAP Financial Measures
(unaudited)
Adjusted EBITDA Reconciliation | ||||||||||||||
| Three Months Ended | ||||||||||||||
| March 31, 2026 | March 31, 2025 | |||||||||||||
| (in thousands) | ||||||||||||||
| Net loss | $ | (6,472) | $ | (5,215) | ||||||||||
| Stock-based compensation expense | 5,503 | 5,520 | ||||||||||||
| Depreciation and amortization | 3,306 | 3,169 | ||||||||||||
| Interest expense | 384 | 514 | ||||||||||||
| Provision for income taxes | 24 | 57 | ||||||||||||
| Severance and other reorganization costs | — | (3) | ||||||||||||
| Gains related to non-marketable equity investments | — | (234) | ||||||||||||
| Non-GAAP Adjusted EBITDA | $ | 2,745 | $ | 3,808 | ||||||||||
| Revenue | $ | 81,671 | $ | 71,291 | ||||||||||
| Non-GAAP Adjusted EBITDA margin | 3.4 | % | 5.3 | % | ||||||||||
Free Cash Flow Reconciliation | ||||||||||||||
| Three Months Ended | ||||||||||||||
| March 31, 2026 | March 31, 2025 | |||||||||||||
| (in thousands) | ||||||||||||||
| Net cash provided by operating activities | $ | 4,754 | $ | 5,743 | ||||||||||
Purchases of property and equipment | (4,111) | (1,815) | ||||||||||||
Non-GAAP free cash flow | $ | 643 | $ | 3,928 | ||||||||||
8
Investors
ir@thredup.com
Media
media@thredup.com
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 90% off estimated retail price. Our proprietary operating platform is the foundation for our managed marketplace and consists of distributed processing infrastructure, proprietary software and systems and data science expertise. With ThredUp’s Resale-as-a-Service, some of the world's leading brands and retailers are leveraging our platform to deliver customizable, scalable resale experiences to their customers. ThredUp has processed over 200 million unique secondhand items from 60,000 brands across 100 categories. By extending the life cycle of clothing, ThredUp is changing the way consumers shop and ushering in a more sustainable future for the fashion industry.
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 second quarter 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.
9
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
10
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.
11
Exhibit 99.2
ThredUp Inc.
First Quarter 2026 Supplemental Financials
All results reported are for continuing operations, unless otherwise noted.
Key Financial Metrics for the Quarter
•Revenue of $81.7 million
◦vs. $71.3 million in 1Q25
◦an increase of 14.6% YoY
•Gross profit of $64.7 million
◦vs. $56.4 million in 1Q25
◦an increase of 14.7% YoY
•Gross margin of 79.2%
◦vs. 79.1% in 1Q25
•Net loss of $6.5 million
◦vs. loss of $5.2 million in 1Q25
•Adjusted EBITDA of $2.7 million
◦vs. $3.8 million in 1Q25
•Adjusted EBITDA margin of 3.4%
◦vs. 5.3% in 1Q25
•Cash, cash equivalents, restricted cash and short-term marketable securities were $54.4 million at the quarter end
•Total quarter Active Buyers of 1,713 thousand
◦vs. 1,370 thousand in 1Q25
◦an increase of 25.0% YoY
•Orders of 1,635 thousand
◦vs. 1,371 thousand in 1Q25
◦an increase of 19.3% YoY
Financial Outlook
For second quarter 2026, ThredUp expects:
•Revenue in the range of $89.0 million to $91.0 million
•Gross margin in the range of 78.5% to 79.5%
•Adjusted EBITDA margin of approximately 5.2%
•Depreciation and amortization of approximately $3.4 million
•Stock-based compensation of approximately $4.5 million
•Weighted-average shares of approximately 130 million
For fiscal year 2026, ThredUp expects:
•Revenue in the range $351.2 million to $356.2 million
•Gross margin in the range of 78.5% to 79.5%
•Adjusted EBITDA margin of approximately 6.1%
•Depreciation and amortization of approximately $13.4 million
•Stock-based compensation of approximately $19.2 million
•Weighted-average shares of approximately 131 million
Conference Call and Webcast
•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.
1
| ThredUp Inc. | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Condensed Consolidated Statements of Operations | ||||||||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, except percentages, unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended | June 30, 2024 | September 30, 2024 | December 31, 2024 | March 31, 2025 | June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | ||||||||||||||||||||||||||||||||||||||||||
| Revenue | $ | 66,717 | $ | 61,514 | $ | 67,267 | $ | 71,291 | $ | 77,657 | $ | 82,161 | $ | 79,704 | $ | 81,671 | ||||||||||||||||||||||||||||||||||
| Cost of revenue | 14,159 | 12,760 | 13,167 | 14,920 | 15,921 | 16,949 | 16,270 | 17,011 | ||||||||||||||||||||||||||||||||||||||||||
| Gross profit | 52,558 | 48,754 | 54,100 | 56,371 | 61,736 | 65,212 | 63,434 | 64,660 | ||||||||||||||||||||||||||||||||||||||||||
Gross margin | 78.8 | % | 79.3 | % | 80.4 | % | 79.1 | % | 79.5 | % | 79.4 | % | 79.6 | % | 79.2 | % | ||||||||||||||||||||||||||||||||||
| Operating expenses: | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Operations, product and technology | 34,975 | 33,296 | 36,814 | 35,126 | 37,525 | 38,545 | 41,663 | 41,075 | ||||||||||||||||||||||||||||||||||||||||||
| Marketing | 13,258 | 12,912 | 11,618 | 13,143 | 16,206 | 16,186 | 13,447 | 14,941 | ||||||||||||||||||||||||||||||||||||||||||
| Sales, general and administrative | 13,930 | 13,010 | 13,823 | 13,536 | 13,250 | 14,869 | 15,003 | 15,233 | ||||||||||||||||||||||||||||||||||||||||||
| Total operating expenses | 62,163 | 59,218 | 62,255 | 61,805 | 66,981 | 69,600 | 70,113 | 71,249 | ||||||||||||||||||||||||||||||||||||||||||
Operating expenses as a % of revenue | 93.2 | % | 96.3 | % | 92.5 | % | 86.7 | % | 86.3 | % | 84.7 | % | 88.0 | % | 87.2 | % | ||||||||||||||||||||||||||||||||||
| Operating loss | (9,605) | (10,464) | (8,155) | (5,434) | (5,245) | (4,388) | (6,679) | (6,589) | ||||||||||||||||||||||||||||||||||||||||||
| Operating loss % of revenue | (14.4) | % | (17.0) | % | (12.1) | % | (7.6) | % | (6.8) | % | (5.3) | % | (8.4) | % | (8.1) | % | ||||||||||||||||||||||||||||||||||
| Interest expense | (652) | (629) | (567) | (514) | (496) | (477) | (432) | (384) | ||||||||||||||||||||||||||||||||||||||||||
| Other income, net | 871 | 739 | 671 | 790 | 596 | 583 | 1,541 | 525 | ||||||||||||||||||||||||||||||||||||||||||
| Loss before income taxes | (9,386) | (10,354) | (8,051) | (5,158) | (5,145) | (4,282) | (5,570) | (6,448) | ||||||||||||||||||||||||||||||||||||||||||
Provision (benefit) for income taxes | 6 | 4 | 8 | 57 | 31 | (34) | 5 | 24 | ||||||||||||||||||||||||||||||||||||||||||
| Loss from continuing operations | (9,392) | (10,358) | (8,059) | (5,215) | (5,176) | (4,248) | (5,575) | (6,472) | ||||||||||||||||||||||||||||||||||||||||||
| Loss from continuing operations margin | (14.1) | % | (16.8) | % | (12.0) | % | (7.3) | % | (6.7) | % | (5.2) | % | (7.0) | % | (7.9) | % | ||||||||||||||||||||||||||||||||||
Loss from discontinued operations | (4,562) | (14,413) | (13,648) | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
| Net loss | $ | (13,954) | $ | (24,771) | $ | (21,707) | $ | (5,215) | $ | (5,176) | $ | (4,248) | $ | (5,575) | $ | (6,472) | ||||||||||||||||||||||||||||||||||
2
| ThredUp Inc. | ||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of Loss from Continuing Operations to Adjusted EBITDA | ||||||||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, except percentages, unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended | June 30, 2024 | September 30, 2024 | December 31, 2024 | March 31, 2025 | June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | ||||||||||||||||||||||||||||||||||||||||||
| Loss from continuing operations | $ | (9,392) | $ | (10,358) | $ | (8,059) | $ | (5,215) | $ | (5,176) | $ | (4,248) | $ | (5,575) | $ | (6,472) | ||||||||||||||||||||||||||||||||||
| Stock-based compensation expense | 6,719 | 6,162 | 6,055 | 5,520 | 4,500 | 4,439 | 4,544 | 5,503 | ||||||||||||||||||||||||||||||||||||||||||
| Depreciation and amortization | 3,622 | 3,526 | 6,432 | 3,169 | 3,166 | 3,138 | 3,451 | 3,306 | ||||||||||||||||||||||||||||||||||||||||||
| Interest expense | 652 | 629 | 567 | 514 | 496 | 477 | 432 | 384 | ||||||||||||||||||||||||||||||||||||||||||
Provision (benefit) for income taxes | 6 | 4 | 8 | 57 | 31 | (34) | 5 | 24 | ||||||||||||||||||||||||||||||||||||||||||
| Impairment of long-lived assets | — | — | — | — | — | — | 1,070 | — | ||||||||||||||||||||||||||||||||||||||||||
| Legal settlement and fees | — | — | — | — | — | — | 250 | — | ||||||||||||||||||||||||||||||||||||||||||
Severance and other reorganization costs | (119) | 351 | (14) | (3) | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
| Gain on sale of non-marketable equity investment | — | — | — | (234) | — | — | (1,250) | — | ||||||||||||||||||||||||||||||||||||||||||
| Adjusted EBITDA | $ | 1,488 | $ | 314 | $ | 4,989 | $ | 3,808 | $ | 3,017 | $ | 3,772 | $ | 2,927 | $ | 2,745 | ||||||||||||||||||||||||||||||||||
| Adjusted EBITDA margin | 2.2 | % | 0.5 | % | 7.4 | % | 5.3 | % | 3.9 | % | 4.6 | % | 3.7 | % | 3.4 | % | ||||||||||||||||||||||||||||||||||
| ThredUp Inc. | ||||||||||||||||||||||||||||||||||||||||||||||||||
Active Buyers and Orders | ||||||||||||||||||||||||||||||||||||||||||||||||||
(in thousands, unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended | June 30, 2024 | September 30, 2024 | December 31, 2024 | March 31, 2025 | June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | ||||||||||||||||||||||||||||||||||||||||||
Active Buyers | 1,257 | 1,248 | 1,274 | 1,370 | 1,465 | 1,568 | 1,650 | 1,713 | ||||||||||||||||||||||||||||||||||||||||||
Orders | 1,271 | 1,172 | 1,226 | 1,371 | 1,535 | 1,608 | 1,561 | 1,635 | ||||||||||||||||||||||||||||||||||||||||||
3
| ThredUp Inc. | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Reconciliation of GAAP Operating Expenses to Non-GAAP Operating Expenses | ||||||||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, except percentages, unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended | June 30, 2024 | September 30, 2024 | December 31, 2024 | March 31, 2025 | June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | ||||||||||||||||||||||||||||||||||||||||||
| Operations, product, and technology | $ | 34,975 | $ | 33,296 | $ | 36,814 | $ | 35,126 | $ | 37,525 | $ | 38,545 | $ | 41,663 | $ | 41,075 | ||||||||||||||||||||||||||||||||||
| Marketing | 13,258 | 12,912 | 11,618 | 13,143 | 16,206 | 16,186 | 13,447 | 14,941 | ||||||||||||||||||||||||||||||||||||||||||
| Sales, general, and administrative | 13,930 | 13,010 | 13,823 | 13,536 | 13,250 | 14,869 | 15,003 | 15,233 | ||||||||||||||||||||||||||||||||||||||||||
| Total operating expenses | 62,163 | 59,218 | 62,255 | 61,805 | 66,981 | 69,600 | 70,113 | 71,249 | ||||||||||||||||||||||||||||||||||||||||||
| Less: Stock-based compensation expense | (6,719) | (6,162) | (6,055) | (5,520) | (4,500) | (4,439) | (4,544) | (5,503) | ||||||||||||||||||||||||||||||||||||||||||
| Less: Severance and other reorganization costs | 119 | (351) | 14 | 3 | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
| Total non-GAAP operating expenses | $ | 55,563 | $ | 52,705 | $ | 56,214 | $ | 56,288 | $ | 62,481 | $ | 65,161 | $ | 65,569 | $ | 65,746 | ||||||||||||||||||||||||||||||||||
| Non-GAAP operating expenses % of revenue | 83.3 | % | 85.7 | % | 83.6 | % | 79.0 | % | 80.5 | % | 79.3 | % | 82.3 | % | 80.5 | % | ||||||||||||||||||||||||||||||||||
| ThredUp Inc. | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Stock-Based Compensation Expense Details | ||||||||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended | June 30, 2024 | September 30, 2024 | December 31, 2024 | March 31, 2025 | June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | ||||||||||||||||||||||||||||||||||||||||||
| Operations, product, and technology | $ | 2,821 | $ | 3,046 | $ | 3,002 | $ | 2,645 | $ | 2,306 | $ | 1,982 | $ | 2,135 | $ | 2,434 | ||||||||||||||||||||||||||||||||||
| Marketing | 107 | 112 | 116 | 114 | 112 | 99 | 155 | 219 | ||||||||||||||||||||||||||||||||||||||||||
| Sales, general, and administrative | 3,791 | 3,004 | 2,937 | 2,761 | 2,082 | 2,358 | 2,255 | 2,850 | ||||||||||||||||||||||||||||||||||||||||||
| Total stock-based compensation expense | $ | 6,719 | $ | 6,162 | $ | 6,055 | $ | 5,520 | $ | 4,500 | $ | 4,439 | $ | 4,544 | $ | 5,503 | ||||||||||||||||||||||||||||||||||
4
| ThredUp Inc. | ||||||||||||||||||||||||||||||||||||||||||||||||||
Severance and Other Reorganization Costs Details | ||||||||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, unaudited) | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended | June 30, 2024 | September 30, 2024 | December 31, 2024 | March 31, 2025 | June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | ||||||||||||||||||||||||||||||||||||||||||
| Operations, product, and technology | $ | (94) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||||||||||||||||
| Marketing | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
| Sales, general, and administrative | (25) | 351 | (14) | (3) | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
Total severance and other reorganization costs | $ | (119) | $ | 351 | $ | (14) | $ | (3) | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||||||||||||||||
5
| ThredUp Inc. | ||||||||||||||||||||||||||
| Condensed Consolidated Balance Sheets | ||||||||||||||||||||||||||
| (in thousands, unaudited) | ||||||||||||||||||||||||||
| June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | |||||||||||||||||||||||
| Assets: | ||||||||||||||||||||||||||
| Current assets: | ||||||||||||||||||||||||||
| Cash and cash equivalents | $ | 40,969 | $ | 46,218 | $ | 38,629 | $ | 38,996 | ||||||||||||||||||
| Marketable securities | 6,606 | 4,893 | 9,498 | 10,457 | ||||||||||||||||||||||
| Accounts receivable, net | 3,799 | 3,725 | 2,437 | 4,316 | ||||||||||||||||||||||
| Other current assets | 9,368 | 5,665 | 6,112 | 6,616 | ||||||||||||||||||||||
| Total current assets | 60,742 | 60,501 | 56,676 | 60,385 | ||||||||||||||||||||||
| Operating lease right-of-use assets | 28,496 | 27,337 | 25,376 | 26,353 | ||||||||||||||||||||||
| Property and equipment, net | 67,654 | 67,901 | 67,243 | 67,704 | ||||||||||||||||||||||
| Goodwill | 10,746 | 10,746 | 10,746 | 10,746 | ||||||||||||||||||||||
| Other assets | 5,965 | 5,984 | 7,204 | 7,185 | ||||||||||||||||||||||
| Total assets | $ | 173,603 | $ | 172,469 | $ | 167,245 | $ | 172,373 | ||||||||||||||||||
| Liabilities and Stockholders’ Equity: | ||||||||||||||||||||||||||
| Current liabilities: | ||||||||||||||||||||||||||
| Accounts payable | $ | 11,159 | $ | 12,328 | $ | 10,329 | $ | 11,864 | ||||||||||||||||||
| Accrued and other current liabilities | 26,934 | 26,279 | 24,511 | 27,112 | ||||||||||||||||||||||
| Seller payable | 16,345 | 17,934 | 18,264 | 18,947 | ||||||||||||||||||||||
| Operating lease liabilities, current | 4,870 | 5,123 | 5,401 | 5,776 | ||||||||||||||||||||||
| Current portion of long-term debt | 3,865 | 3,870 | 3,875 | — | ||||||||||||||||||||||
| Total current liabilities | 63,173 | 65,534 | 62,380 | 63,699 | ||||||||||||||||||||||
| Operating lease liabilities, non-current | 31,500 | 30,058 | 28,580 | 28,672 | ||||||||||||||||||||||
| Long-term debt, net of current portion | 16,216 | 15,247 | 14,276 | 17,740 | ||||||||||||||||||||||
| Other non-current liabilities | 2,507 | 2,558 | 2,816 | 2,871 | ||||||||||||||||||||||
| Total liabilities | 113,396 | 113,397 | 108,052 | 112,982 | ||||||||||||||||||||||
| Commitments and contingencies | ||||||||||||||||||||||||||
| Stockholders’ equity: | ||||||||||||||||||||||||||
| Common stock | 12 | 12 | 12 | 12 | ||||||||||||||||||||||
| Additional paid-in capital | 626,449 | 629,560 | 635,253 | 641,945 | ||||||||||||||||||||||
| Accumulated other comprehensive income (loss) | (2) | — | 3 | (19) | ||||||||||||||||||||||
| Accumulated deficit | (566,252) | (570,500) | (576,075) | (582,547) | ||||||||||||||||||||||
| Total stockholders’ equity | 60,207 | 59,072 | 59,193 | 59,391 | ||||||||||||||||||||||
| Total liabilities and stockholders’ equity | $ | 173,603 | $ | 172,469 | $ | 167,245 | $ | 172,373 | ||||||||||||||||||
6
| ThredUp Inc. | ||||||||||||||||||||||||||
| Condensed Consolidated Statements of Cash Flows | ||||||||||||||||||||||||||
| (in thousands, unaudited) | ||||||||||||||||||||||||||
| Three Months Ended | June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | ||||||||||||||||||||||
| Cash flows from operating activities: | ||||||||||||||||||||||||||
| Net loss | $ | (5,176) | $ | (4,248) | $ | (5,575) | $ | (6,472) | ||||||||||||||||||
| Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||||||||||||||||||||||||||
| Stock-based compensation expense | 4,500 | 4,439 | 4,544 | 5,503 | ||||||||||||||||||||||
| Depreciation and amortization | 3,166 | 3,138 | 3,451 | 3,306 | ||||||||||||||||||||||
| Reduction in carrying amount of right-of-use assets | 1,144 | 1,205 | 1,212 | 1,144 | ||||||||||||||||||||||
| Impairment of long-lived assets | — | — | 1,070 | — | ||||||||||||||||||||||
| Other | 34 | 66 | (750) | 17 | ||||||||||||||||||||||
| Changes in operating assets and liabilities: | ||||||||||||||||||||||||||
| Accounts receivable, net | 435 | 74 | 1,288 | (1,880) | ||||||||||||||||||||||
| Other current and non-current assets | 125 | 58 | (520) | (465) | ||||||||||||||||||||||
| Accounts payable | (1,965) | 1,622 | (2,955) | 2,510 | ||||||||||||||||||||||
| Accrued and other current liabilities | (1,079) | (680) | (2,357) | 2,061 | ||||||||||||||||||||||
| Seller payable | 586 | 1,589 | 330 | 683 | ||||||||||||||||||||||
| Operating lease liabilities | (1,243) | (1,235) | (1,201) | (1,653) | ||||||||||||||||||||||
| Other non-current liabilities | (183) | — | — | — | ||||||||||||||||||||||
| Net cash provided by (used in) operating activities | 344 | 6,028 | (1,463) | 4,754 | ||||||||||||||||||||||
| Cash flows from investing activities: | ||||||||||||||||||||||||||
| Purchases of marketable securities | (5,875) | (3,872) | (7,762) | (4,579) | ||||||||||||||||||||||
| Sale and maturities of marketable securities | 5,050 | 5,650 | 3,225 | 3,675 | ||||||||||||||||||||||
| Purchases of property and equipment | (3,279) | (3,651) | (1,727) | (4,111) | ||||||||||||||||||||||
| Net cash used in investing activities | (4,104) | (1,873) | (6,264) | (5,015) | ||||||||||||||||||||||
| Cash flows from financing activities: | ||||||||||||||||||||||||||
| Payments on debt | (1,000) | (1,000) | (1,000) | (433) | ||||||||||||||||||||||
| Proceeds from issuance of stock-based awards | 13,701 | 6,915 | 6,164 | 4,445 | ||||||||||||||||||||||
| Payment of withholding taxes on stock-based awards | (9,029) | (8,446) | (5,113) | (3,384) | ||||||||||||||||||||||
| Net cash provided by (used in) financing activities | 3,672 | (2,531) | 51 | 628 | ||||||||||||||||||||||
| Net change in cash, cash equivalents, and restricted cash | (88) | 1,624 | (7,676) | 367 | ||||||||||||||||||||||
| Cash, cash equivalents, and restricted cash, beginning of period | 49,717 | 49,629 | 51,253 | 43,577 | ||||||||||||||||||||||
| Cash, cash equivalents, and restricted cash, end of period | $ | 49,629 | $ | 51,253 | $ | 43,577 | $ | 43,944 | ||||||||||||||||||
| ThredUp Inc. | ||||||||||||||||||||||||||
| Reconciliation of Net Cash Provided By (Used In) Operating Activities to Non-GAAP Free Cash Flow | ||||||||||||||||||||||||||
| (in thousands, unaudited) | ||||||||||||||||||||||||||
| Three Months Ended | June 30, 2025 | September 30, 2025 | December 31, 2025 | March 31, 2026 | ||||||||||||||||||||||
| Net cash provided by (used in) operating activities | $ | 344 | $ | 6,028 | $ | (1,463) | $ | 4,754 | ||||||||||||||||||
Purchases of property and equipment | (3,279) | (3,651) | (1,727) | (4,111) | ||||||||||||||||||||||
| Non-GAAP free cash flow | $ | (2,935) | $ | 2,377 | $ | (3,190) | $ | 643 | ||||||||||||||||||
7
Investors
ir@thredup.com
Media
media@thredup.com
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 90% off estimated retail price. Our proprietary operating platform is the foundation for our managed marketplace and consists of distributed processing infrastructure, proprietary software and systems and data science expertise. With ThredUp’s Resale-as-a-Service, some of the world's leading brands and retailers are leveraging our platform to deliver customizable, scalable resale experiences to their customers. ThredUp has processed over 200 million unique secondhand items from 60,000 brands across 100 categories. By extending the life cycle of clothing, ThredUp is changing the way consumers shop and ushering in a more sustainable future for the fashion industry.
Forward-Looking Statements
This financial supplement 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 financial supplement include, but are not limited to, guidance on financial results for the second quarter 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.
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 financial supplement 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 financial supplement.
8
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.
Non-GAAP Financial Measures and Other Operating and Business Metrics
This financial supplement and the accompanying tables contain non-GAAP financial measures: Adjusted EBITDA from continuing operations, Adjusted EBITDA from continuing operations margin, Non-GAAP operating expenses, and Non-GAAP free cash flow. In addition to our results determined in accordance with GAAP, we believe that these non-GAAP financial measures, are useful in evaluating our operating performance. We use these non-GAAP financial measures to evaluate and assess our operating performance and the operating leverage in our business, 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. These non-GAAP financial measures 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 used by other companies.
A reconciliation is provided above for Non-GAAP Adjusted EBITDA from continuing operations to Loss from continuing operations, the most directly comparable financial measures stated in accordance with GAAP. We calculate Adjusted EBITDA from continuing operations as Loss from continuing operations adjusted to exclude, where applicable in a given period, stock-based compensation expense, depreciation and amortization, interest expense, provision (benefit) for income taxes, impairment of long-lived assets, legal settlement and fees, severance and other reorganization costs, and gains related to non-marketable equity investment.
A reconciliation is provided above for Non-GAAP operating expenses to Total operating expenses, the most directly comparable financial measures stated in accordance with GAAP. Non-GAAP operating expenses are Total operating expenses adjusted to exclude stock-based compensation expense and severance and other reorganization costs.
A reconciliation is provided above for Non-GAAP free cash flow to Net cash provided by (used in) 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 (used in) operating activities reduced by Purchases of property and equipment.
ThredUp is not providing a quantitative reconciliation of forward-looking guidance of the non-GAAP measures above, including Adjusted EBITDA margin to net loss margin, the most directly comparable financial measure 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 (benefit) for income taxes, impairment of long-lived assets, legal settlement and fees, 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. These items are uncertain, depend on various factors, and could result in projected net loss margin being materially greater than is indicated by the currently estimated Adjusted EBITDA margin.
9
We encourage investors to review our results determined in accordance with GAAP and the accompanying reconciliations for more information.
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.
10
FAQ
How did ThredUp (TDUP) perform financially in Q1 2026?
ThredUp reported Q1 2026 revenue of $81.7 million, up 15% year-over-year, with gross profit of $64.7 million and gross margin of 79.2%. Net loss was $6.5 million, compared with a $5.2 million loss in Q1 2025.
What were ThredUp (TDUP) profitability metrics and Adjusted EBITDA in Q1 2026?
In Q1 2026, ThredUp posted a net loss of $6.5 million, or 7.9% of revenue. Adjusted EBITDA was $2.7 million, representing a 3.4% margin, compared with $3.8 million and a 5.3% margin in the prior-year quarter.
How are ThredUp (TDUP) Active Buyers and orders trending?
ThredUp ended Q1 2026 with 1.71 million Active Buyers, up 25% year-over-year, and 1.64 million orders, up 19%. These increases suggest growing customer adoption and transaction activity on its online resale platform compared with Q1 2025.
What guidance did ThredUp (TDUP) give for Q2 2026?
For Q2 2026, ThredUp expects revenue of $89.0–$91.0 million, gross margin between 78.5% and 79.5%, and an Adjusted EBITDA margin of about 5.2%. It also anticipates depreciation and amortization of $3.4 million and stock-based compensation of $4.5 million.
What is ThredUp (TDUP) full-year 2026 financial outlook?
For full-year 2026, ThredUp projects revenue of $351.2–$356.2 million, gross margin of 78.5–79.5%, and an Adjusted EBITDA margin around 6.1%. Expected depreciation and amortization are $13.4 million, with stock-based compensation of about $19.2 million.
What is ThredUp’s cash position and free cash flow for Q1 2026?
At Q1 2026 quarter-end, ThredUp held $54.4 million in cash, cash equivalents, restricted cash, and short-term marketable securities. Non-GAAP free cash flow was $0.6 million, calculated as $4.8 million of operating cash flow minus $4.1 million of capital expenditures.