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LOS ANGELES - Revolve Group , Inc. (NYSE:RVLV) reported fourth-quarter earnings that surpassed analyst expectations, with revenue rising 14% year-over-year. The fashion retailer’s stock saw minimal movement, edging down 0.25% following the announcement.
The company posted adjusted earnings per share of $0.17, beating the analyst estimate of $0.10. Revenue for the quarter came in at $293.73 million, exceeding the consensus estimate of $282.67 million and marking a 14% increase from $257.78 million in the same quarter last year.
Revolve Group’s net income more than tripled to $11.77 million, up from $3.49 million in the fourth quarter of 2023. Adjusted EBITDA also saw significant growth, more than doubling to $18.27 million from $8.54 million in the prior-year period.
"We finished the year with an outstanding fourth quarter, highlighted by double-digit top-line growth year-over-year and a more than doubling of net income and Adjusted EBITDA year-over-year," said Mike Karanikolas, co-founder and co-CEO of Revolve Group.
The company reported strong performance across its segments, with both Revolve and FWRD experiencing double-digit growth. Domestic net sales increased by 11% to $236.6 million, while international net sales surged 29% to $57.1 million.
Gross margin improved to 52.5%, up from 52.0% in the same quarter last year, primarily driven by margin expansion in the FWRD segment.
Looking ahead, Revolve Group provided guidance for the first quarter of 2025, projecting gross margin between 52.2% and 52.7%. For the full year 2025, the company expects gross margin to range from 52.4% to 52.9%.
The company’s active customer base grew 5% YoY to 2.67 million, while total orders placed increased by 7% to 2.17 million for the quarter.
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