Slide 1: Q3 2024 Financial Highlights
Q3 2024 Financial Highlights November 5, 2024
Slide 2: Note on Forward-Looking Statements
PAGE 2 Note on Forward-Looking Statements This presentation contains “forward-looking statements” within the meaning of U.S. federal securities laws. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as “anticipate,” “believe,” “conte
Slide 3: Q3 2024 Summary
PAGE Q3 2024 SUMMARY 3 NET SALES GROSS MARGIN ($MM) $268.7 $257.6 $283.1 $244.1 55.3% 55.1% 53.6% 53.0% 51.7% 51.2% $154.2 $151.0 10% YoY (56) BPs YoY 13% 5-Year Gross profit $ CAGR +9% YoY Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 Q3 24 Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 Q3 24 NET INCOME ADJUSTED EBITDA(1) ($MM) ($
Slide 4: Net Sales by Segment and Geography
PAGE NET SALES BY SEGMENT AND GEOGRAPHY 4 NET SALES NET SALES NET SALES MIX BY SEGMENT AND BY SEGMENT BY GEOGRAPHY GEOGRAPHY IN Q3 2024 ($MM) ($MM) + 12% YoY + 7% YoY $243.4 86% 14% $217.7 $222.7 $207.2 REVOLVE FWRD (0%) YoY +20% YoY $39.9 $39.7 $50.4 $60.5 79% 21% REVOLVE FWRD U.S. INTERNATIONAL U.
Slide 5: Segment Results Over Time
PAGE SEGMENT RESULTS OVER TIME 5 SEGMENT NET SALES SEGMENT GROSS PROFIT ($MM) ($MM) +12% YoY (0%) YoY +10% YoY (6%) YoY 12% 5-Year CAGR vs Q3 19 16% 5-Year CAGR vs Q3 19 $250 80% $150 90.00% $240 $230 $140 70% $243.4 $220 % of segment net sales $130 80.00% $210 $222.1 $217.7 $200 $120 56% 55% 57% 56
Slide 6: Operating Metrics Highlights
PAGE OPERATING METRICS HIGHLIGHTS 6 ACTIVE CUSTOMERS(1) TOTAL ORDERS PLACED(1) AVERAGE ORDER VALUE(1) (TRAILING 12 MONTHS, in 000s) (000s) 2,510 2,628 2,249 $320 $303 $299 2,133 2,200 $275 $276 1,678 1,830 1,951 1,438 1,504 $232 1,194 1,141 Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 Q3 24 Q3 19 Q3 20 Q3 21 Q3 22
Slide 7: Cost and Margin Structure
PAGE COST AND MARGIN STRUCTURE 7 GAAP OPERATING INCOME MARGIN ADJUSTED EBITDA MARGIN(1) 15.9% 14.4% 9.4% 8.9% 8.3% 7.9% 5.5% 6.6% 6.2% 5.0% 3.7% 0.1% Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 Q3 24 Q3 19 Q3 20 Q3 21 Q3 22 Q3 23 Q3 24 AS A % OF NET SALES Q3 24 Q3 23 CHANGE OBSERVATIONS The decrease primarily ref
Slide 8: Earnings Per Share
PAGE EARNINGS PER SHARE 8 THE EPS MATH Q3 DILUTED EPS (000s, except per share figures and percentages) Q3 24 Q3 23(1) YoY Income before income taxes $14,445 $4,308 +235% Provision for income taxes (3,694) (1,130) +227% Effective tax rate 26% 26% -- $0.27 $0.22 Net income (GAAP) $10,751 $3,178 +238%
Slide 9: Cash Flow Highlights
PAGE CASH FLOW HIGHLIGHTS 9 NET CASH PROVIDED BY FREE CASH FLOW(1) OPERATING ACTIVITIES ($MM) ($MM) (52%) YoY (63%) YoY $74.4 $76.2 $66.6 $68.4 $47.2 $44.1 $34.5 $30.5 $31.8 $22.8 $20.4 $16.2 9 MOS 9 MOS 9 MOS 9 MOS 9 MOS 9 MOS 9 MOS 9 MOS 9 MOS 9 MOS 9 MOS 9 MOS 2019 2020 2021 2022 2023 2024 2019 2
Slide 10: Build Up of Free Cash Flow in YTD 2024
PAGE BUILD UP OF FREE CASH FLOW IN 9 MONTHS YTD 2024 10 + $19.5 $37.0 $ Millions ($33.7) $16.2 ($6.6 ) Net Income Other Working Capital Increase in Inventory Capital Expenditures and Free Cash Flow and Other Items Purchases of Rental Product
Slide 11: Stock Repurchase and Balance Sheet Highlights
PAGE STOCK REPURCHASE AND BALANCE SHEET HIGHLIGHTS 11 STOCK REPURCHASE ACTIVITY UPDATE(1) CASH & CASH EQUIVALENTS, NET(2) ($MM) ($MM) ($14.1 M) or (5%) YoY + $8.1 M, $29.8M in stock repurchases in last 4 quarters or +3% QoQ ~5X in Past 4 Years Repurchased 118,193 shares of Class A common stock durin
Slide 12: Balance Sheet Highlights: Inventory
PAGE BALANCE SHEET HIGHLIGHTS 12 INVENTORY TREND OVER LAST THREE YEARS INVENTORY COMPARISONS ($MM) ($MM) +2% QoQ +18% YoY $234.3 $240.0 $208.5 $213.3 $215.2 $205.3 $202.9 $203.6 $201.8 $234.3 $240.0 $240.0 $190.2 $179.2 $202.9 $171.3 $141.8 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23 Q3 23 Q4 23
Slide 13: Appendix: Definitions and Reconciliations
PAGE PAGE 13 13 1 APPENDIX: DEFINITIONS AND RECONCILIATIONS
Slide 14: Upcoming Investor Conferences
PAGE UPCOMING INVESTOR CONFERENCES 14 RAYMOND JAMES TMT & CONSUMER CONFERENCE • DECEMBER 10, 2024 ROTH DEER VALLEY EVENT • DECEMBER 12, 2024 KEYBANC DECEMBER CONSUMER SPOTLIGHT • DECEMBER 13, 2024
Slide 15: GAAP to Non-GAAP Reconciliation
PAGE GAAP TO NON-GAAP RECONCILIATION 15 ADJUSTED EBITDA ($MM) (1) Q3 2019 Q3 2020 Q3 2021 Q3 2022 Q3 2023 Q3 2024 NET INCOME $9.6 $19.4 $16.7 $12.0 $3.2 $10.7 (+) OTHER EXPENSE (INCOME), NET 0.0 0.3 (0.2) (1.4) (4.0) (0.2) (+) PROVISION FOR INCOME TAXES 3.3 2.1 2.7 4.2 1.1 3.7 (+) DEPRECIATION AND A
Slide 16: Metrics Definitions
PAGE METRICS DEFINITIONS 16 Non-GAAP Financial Measures Adjusted EBITDA is a non-GAAP financial measure that we calculate as net income before other (income) expense, net; taxes; and depreciation and amortization; adjusted to exclude the effects of equity-based compensation expense, certain transact