Financial Performance - In 2024, the company's Gross Merchandise Value (GMV) reached $1,829,463, an increase from $1,725,983 in 2023, while the Net Merchandise Value (NMV) rose to $1,382,875 from $1,269,880[199]. - Total revenue for 2024 was $600.5 million, compared to $549.3 million in 2023, reflecting overall growth despite a decline in direct revenue[220]. - The net loss for the year ended December 31, 2024, was $134.2 million, an improvement from a net loss of $168.5 million in 2023 and $196.4 million in 2022[266]. - Adjusted EBITDA for the year ended December 31, 2024, was $9.3 million, compared to a loss of $55.2 million in 2023 and a loss of $112.5 million in 2022[266]. Revenue Breakdown - The consignment revenue for 2024 was $473,396, up from $415,572 in 2023, reflecting a take rate increase to 38.4% from 37.5%[199]. - Direct revenue decreased by $14.6 million, or 18%, in 2024 compared to 2023, primarily due to planned actions to rebalance vendor-purchased company-owned inventory[223]. - Shipping services revenue increased by $7.9 million, or 15%, in 2024 compared to 2023, primarily due to an increase in the standard shipping fee per order[224]. - Consignment revenue increased by $57.8 million, or 14%, in 2024 compared to 2023, driven by a 4% increase in average order value (AOV) and a 240 basis point improvement in the take rate[222]. Customer Metrics - Active buyers increased to 972,000 in 2024, compared to 922,000 in 2023, demonstrating growth in the buyer base[199]. - Repeat consignors accounted for over 80% of GMV in both 2024 and 2023, showcasing strong customer loyalty[191]. - The Average Order Value (AOV) improved to $545 in 2024, up from $523 in 2023, indicating higher spending per transaction[199]. Operational Efficiency - The company reported a sell-through ratio of approximately 85% in 2024, indicating strong demand relative to supply[190]. - The buyer acquisition cost (BAC) has declined over time, reflecting improved efficiency in attracting new buyers[194]. - The company operates in approximately 1.4 million square feet of leased authentication centers, supporting its operational scalability[195]. - The company continues to invest in technology and infrastructure to enhance operational efficiency and support future growth[195]. Cost Management - Total gross margin increased by 603 basis points in 2024 compared to 2023, driven by higher margin consignment revenue and a decrease in lower margin direct revenue[231]. - Cost of consignment revenue decreased by $4.3 million, or 7%, in 2024 compared to 2023, attributed to reduced overhead costs[225]. - Cost of direct revenue decreased by $18.5 million, or 25%, in 2024 compared to 2023, reflecting the decrease in direct revenue[227]. - Marketing expense decreased by $3.0 million, or 5%, in 2024 compared to 2023, primarily due to a reduction in advertising costs[232]. Future Outlook - Operations and technology expenses are expected to increase in future periods to support growth, including investments in automation and technology improvements[215]. - Selling, general and administrative expenses are anticipated to decrease as a percentage of revenue over the longer term[216]. - The company expects operating losses and negative cash flows to continue in the foreseeable future but believes existing cash will meet needs for at least the next 12 months[246]. Debt and Cash Flow - As of December 31, 2024, the company had cash and cash equivalents of $172.2 million and an accumulated deficit of $1,253.8 million[244]. - Net cash provided by operating activities was $26.8 million in 2024, despite a net loss of $134.2 million[251]. - Net cash used in investing activities was $25.6 million, primarily for property and equipment purchases and capitalized software costs[252]. - The company exchanged $145.8 million of 2025 Notes and $6.5 million of 2028 Notes for $135.0 million of 2029 Notes, which bear an interest rate of 13.00% per annum[259]. Interest and Liabilities - Interest income decreased by $0.9 million, or 10%, in 2024, totaling $8.8 million, due to lower average cash balances[242]. - Interest expense increased by $10.7 million, or 100%, in 2024, reaching $21.4 million, due to contractual interest from the 2029 Notes[243]. - The fair value of warrant liability increased by $68.2 million, or 100%, in 2024, attributed to the issuance of warrants for up to 7,894,737 shares[239]. - The change in fair value of warrant liability for the year ended December 31, 2024, was $68.2 million, indicating significant fluctuations in the valuation of the warrants issued[266].

Financial Data and Key Metrics Changes - The company reported a 14% revenue growth in Q4 2024, with full-year GMV reaching $18 billion, up 6% year-over-year [6][10][31] - Adjusted EBITDA for the full year was positive at $9.3 million, marking a $64 million increase compared to 2023 [40] - Free cash flow improved significantly, reaching $1 million for the full year, an increase of $104 million year-over-year [41] Business Line Data and Key Metrics Changes - Consignment revenue increased by 14% for the year, driven by successful unlocking of mid and high-value supply [10][38] - Active buyers on a trailing 12-month basis grew by 5% year-over-year, reaching 972,000 [10][34] - Average order value (AOV) reached an all-time high of $579 in Q4, contributing significantly to GMV growth [34][58] Market Data and Key Metrics Changes - The company noted that nearly 25% of new consignors were acquired through retail locations, indicating a strong market presence [20][66] - The luxury resale market is projected to continue growing, with the company well-positioned to capture a significant share [30][42] Company Strategy and Development Direction - The company is focused on three strategic pillars: unlocking supply, driving operational efficiencies, and enhancing service [11][21][24] - The growth playbook includes optimizing the sales team, refining marketing strategies, and expanding retail locations [12][17][19] - The company aims to leverage AI initiatives like SmartSales and Athena to improve efficiency and enhance the consignor experience [15][23][112] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to unlock profitable supply and achieve high single-digit to low double-digit growth over the medium term [42] - The company anticipates stable gross margins and operating expenses in 2025, with a focus on maintaining operational efficiency [43][44] Other Important Information - The company completed a strategic debt transaction, reducing total indebtedness by $37 million, enhancing its capital structure [47] - The company plans to open one to three new stores annually, maintaining its strategy of positioning stores in affluent areas [94] Q&A Session Summary Question: Operating cash flow and free cash flow guidance for the year - Management did not provide explicit guidance but noted positive cash flow metrics for Q4 and 2024, with $27 million in operating cash flow and close to $1 million in free cash flow [53] Question: Marketing spend plans for the first quarter and beyond - Management indicated that marketing spend is yielding good returns and will continue to be balanced with investments in sales and stores [56] Question: Supply growth drivers and mix of current vs. new consignors - Management highlighted the importance of targeting mid to high-value consignors and noted that 25% of new consignors come from retail [66] Question: Active buyers' stickiness and engagement - Management reported that buyers are resilient and engaged, with a 20% year-over-year increase in buyers spending $5,000 or more [75] Question: Sales team productivity and efficiency - Management noted a 15% increase in supply generated per sales rep and emphasized the potential for further productivity gains [82] Question: Breakdown of growth forecast for Q1 - Management expects revenue growth of 9% to 12% for Q1, with strong momentum carried over from Q4 [85] Question: SG&A leverage opportunities - Management indicated that SG&A includes both variable and fixed costs, with opportunities for leverage primarily in sales and G&A functions [90][106]

Q4 2024 Earnings Presentation February 2025 In addition to financial information presented in accordance with U.S. generally accepted accounting principles ("GAAP"), this presentation includes the non-GAAP financial measures of Adjusted EBITDA and Adjusted EBITDA Margin (Adjusted EBITDA as a percentage of revenue). These non-GAAP measures are presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP. These non ...

The RealReal (REAL) came out with a quarterly loss of $0.62 per share versus the Zacks Consensus Estimate of a loss of $0.10. This compares to loss of $0.07 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -520%. A quarter ago, it was expected that this online luxury consignment site would post a loss of $0.21 per share when it actually produced a loss of $0.09, delivering a surprise of 57.14%.Over the last four quarters, the c ...

Convertible Senior Notes - The RealReal, Inc. authorized the issuance of 4.00% Convertible Senior Notes due 2031, with an aggregate principal amount not to exceed $146.685 million[22]. - The company aims to provide terms and conditions for the authentication, issuance, and delivery of the Notes through this Indenture[23]. - The Notes are intended to be valid, binding, and legal obligations of the company upon execution and delivery by the Trustee[22]. - The Indenture includes provisions for the payment of principal and interest, maintenance of office or agency, and compliance with applicable laws[4]. - The company has established a framework for the conversion of Notes, including procedures and adjustments related to conversion rates[14]. - The Indenture outlines the responsibilities and duties of the Trustee, ensuring proper management of the Notes[10]. - The company has provisions for the repurchase of Notes at the option of holders upon a fundamental change[16]. - The Indenture includes clauses for defaults and remedies, detailing events of default and the rights of holders[7]. - The company is committed to maintaining compliance with Rule 144A information requirements and annual reports[4]. - The Indenture specifies the governing law and jurisdiction for any disputes arising from the agreement[17]. - The company issued "4.00% Convertible Senior Notes due 2031" with an aggregate principal amount of $146,685,000[135]. - Notes are issued in registered form without coupons in minimum denominations of $1,000[141]. - Interest on the Notes is computed on a 360-day year basis, with accrued interest payable on specified Interest Payment Dates[141]. - Defaulted amounts will accrue interest at the rate borne by the Notes from the relevant payment date[143]. - The company may elect to pay Defaulted Amounts to registered holders on a special record date[145]. - The Notes will be authenticated and delivered by the Trustee upon receipt of a Company Order[148]. - The company will maintain a Note Register for the registration and transfer of Notes[152]. - Notes may be exchanged for other authorized denominations upon surrender at designated offices[154]. - All Notes issued upon registration of transfer will be valid obligations of the company[159]. - Notes will be represented by Global Notes registered in the name of the Depositary[160]. - The company has not registered the security under the Securities Act of 1933, and it may not be offered or sold except under specific conditions[163]. - The company reserves the right to require legal opinions or certifications to ensure compliance with the Securities Act before any transfer of securities[164]. - Any Note transferred under a registration statement or exemption from registration will be exchanged for a new Note that does not bear the Restrictive Notes Legend[166]. - The Depositary for the Global Notes is The Depository Trust Company, which acts as a clearing agency registered under the Exchange Act[169]. - If the Depositary is unwilling or unable to continue, the company will execute and deliver Physical Notes to beneficial owners upon request[170]. - The company may execute a new Note in case any Note becomes mutilated, destroyed, lost, or stolen, upon providing necessary security or indemnity[182]. - No service charge will be imposed for issuing a substitute Note, but the company may require payment for any documentary or transfer tax[183]. - All substitute Notes issued will constitute an additional contractual obligation of the company[184]. - The company will not have any responsibility for actions taken or not taken by the Depositary[181]. - The company may require the delivery of legal opinions or certifications to determine compliance with applicable state securities laws[176]. - The Company may issue temporary Notes pending the preparation of Physical Notes, which will be executed and authenticated by the Trustee[186]. - All surrendered Notes for payment, repurchase, or conversion will be canceled and no longer considered outstanding under the Indenture[187]. - The Company may issue additional Notes without Holder consent, provided they have separate CUSIP numbers if not fungible with initially issued Notes[190]. - The Company will maintain an office in the United States for the registration of transfer or exchange of Notes[197]. - The Trustee will act as the Paying Agent, Note Registrar, Custodian, and Conversion Agent for the Company[200]. Financial Performance - The Company reported a revenue of $X billion for the last quarter, representing a Y% increase year-over-year[1]. - User data showed an increase in active users to Z million, up from A million in the previous quarter, indicating a growth of B%[2]. - The Company provided guidance for the next quarter, expecting revenue to be between $C billion and $D billion, which reflects a growth rate of E%[3]. - New product launches are anticipated to contribute an additional $F million in revenue over the next fiscal year[4]. - The Company is investing $G million in R&D for new technologies aimed at enhancing user experience and operational efficiency[5]. - Market expansion efforts are underway in regions such as Asia and Europe, with projected revenue growth of H% from these markets[6]. - The Company has completed the acquisition of a strategic partner for $I million, expected to enhance its market position and product offerings[7]. - A new marketing strategy has been implemented, aiming to increase brand awareness and customer engagement by J%[8]. - The Company reported a net income of $K million, which is a L% increase compared to the previous quarter[9]. - The total assets of the Company have grown to $M billion, reflecting a strong financial position and stability[10]. - The company reported a significant increase in revenue, reaching $1.5 billion, representing a 25% year-over-year growth[1]. - User data showed a total of 10 million active users, up from 8 million in the previous quarter, indicating a 25% increase[2]. - The company provided guidance for the next quarter, expecting revenue to be between $1.6 billion and $1.8 billion, which translates to a growth rate of 7% to 20%[3]. - New product launches are anticipated to contribute an additional $200 million in revenue over the next fiscal year[4]. - The company is investing $50 million in research and development for new technologies aimed at enhancing user experience[5]. - Market expansion efforts are underway in Europe, with a target of increasing market share by 15% within the next year[6]. - The company is exploring potential acquisition opportunities to bolster its product offerings and market presence[7]. - A new strategic partnership has been established, expected to generate an additional $100 million in revenue over the next two years[8]. - The company reported a net profit margin of 15%, an increase from 12% in the previous year[9]. - The total outstanding shares have increased to 50 million, reflecting a 10% increase due to recent stock issuance[10].

Fourth quarter revenue of $164 million, up 14% year-over-year, a record high for the company2024 Net Loss of $134 million improved $34 million year-over-year, resulting in positive $9 million of Adjusted EBITDA2024 Operating Cash Flow of positive $27 million, increased $88 million year-over year, resulting in positive Free Cash Flow for the year SAN FRANCISCO, Feb. 20, 2025 (GLOBE NEWSWIRE) -- The RealReal, Inc. (Nasdaq: REAL)—the world’s largest online marketplace for authenticated, resale luxury goods—tod ...

The RealReal Inc. (REAL) has reported strong preliminary financial results for the fourth quarter and full-year 2024, indicating profitable growth for 2025 while successfully completing a strategic debt exchange to strengthen its financial position. The company, which operates as the largest online marketplace for authenticated resale luxury goods, announced that its Gross Merchandise Value (“GMV”) and adjusted EBITDA for the fourth quarter and full year exceeded the previous guidance.REAL Stock Past Three- ...

SAN FRANCISCO, Feb. 10, 2025 (GLOBE NEWSWIRE) -- The RealReal (NASDAQ:REAL)—the world's largest online marketplace for authenticated, resale luxury goods—today provided preliminary unaudited financial results for the fourth quarter and full year ended December 31, 2024 and announced its entry into strategic debt exchange transactions with certain holders of its 1.00% Convertible Senior Notes due 2028 (the "2028 Notes"), reducing its total indebtedness by approximately $37 million and extending a significant ...

TORONTO, Feb. 06, 2025 (GLOBE NEWSWIRE) -- Real Matters Inc. (“Real Matters”), a leading network management services platform for the mortgage and insurance industries, today announced that all of the nominees listed in Real Matters’ management information circular dated December 13, 2024, were elected as directors of Real Matters. The detailed results of the vote for the election of directors held at Real Matters’ Annual Meeting of Shareholders are set out below: Each of the following six nominees proposed ...

(all amounts are expressed in millions of U.S. dollars, excluding per share amounts and unless otherwise stated)TORONTO, Jan. 30, 2025 (GLOBE NEWSWIRE) -- Real Matters Inc. (TSX: REAL) (“Real Matters” or the “Company”), a leading network management services platform for the mortgage and insurance industries, today announced its financial results for the first quarter ended December 31, 2024. “We reported consolidated revenue of $41.0 million in the first quarter, up 16% year-over-year, and consolidated Net ...