The following is a summary of the ThredUp Inc. (TDUP) Q3 2024 Earnings Call Transcript:
Financial Performance:
ThredUp reported a consolidated revenue of $73 million in Q3 2024, a decrease of 11% year over year.
U.S. net revenue was $61.5 million, down 9.6% compared to last year, with gross margin improving by 70 basis points year over year to 79.3%.
Consolidated GAAP net loss was $25 million, while adjusted EBITDA loss was $2.5 million. In the U.S., adjusted EBITDA was positive at $700,000 in Q3.
Business Progress:
ThredUp is making significant moves in AI integration in its marketplace to enhance customer experience and plans continued investment to drive conversion and retention.
The company has made significant progress in the divestiture of its European business, aiming to close the transaction by year-end.
Opportunities:
Focus on U.S. market with substantial customer acquisition and retention improvements reported in Q3, which is the strongest quarter in over two years.
Plans to enhance the shopping experience with AI-driven tools such as AI search functionality, Style Chat, and Image Search.
Risks:
Despite improvements, ThredUp faces challenges in a competitive and uncertain economic environment, which influences consumer behavior and may impact future profitability.
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.
