fourth call. strong financial Good share Reinhart, thredUP. and afternoon, of you of We're another I'm fiscal quarter business and Co-Founder CEO James year XXXX XXXX excited quarter and for to earnings for highlights. everyone. thredUP's results Thank joining us
some performance last European In will offering. financial results, our we offer well as year company the perspective our resale progress as addition Resale-as-a-Service, on in RaaS the Remix, we to of acquired
more question-and-answer out XXXX in Financial We'll talk through first XXXX. call will financials Officer, our investments sustainable today's to advantages, the in given useful and and To our market. the remind in it Chief strategy, outlook X of year would full public and Sean position making we're to our a today's year with widen conclude fiscal moat quarter our our results, and our I Beyond retail also a quarter provide company, close for year the Sobers, call, we're fourth be and to leadership being investors thought session. our competitive strengthen still nascent detail
since we you know world that get earnings by start sentiment have November, it. we last the reported want changed to me I significantly. Let acknowledging and investor in that
great the companies increased context. committed operating difficult. times believe strong with are can teams a thredUP to transparency. predictability company changes with team when public young in high-growth build We volatility shops on to I that welcome are mission can And shopping. world on the we for this being way sustainable different count like are generation-defining era make to strategies while new offers kind it [scrutiny]. also at We we markets company, that this and a a macro in the and of management in clear outperform I a stress want always winning of you are a
value aim the with near-term will to commitment creation. balance of demands scrutiny for investing our We long-term always to
the to results. Now
we and achieved profit, record record the active revenue, consecutive quarter, record For buyers gross fourth record orders.
of revenue XX% accelerating year-over-year, active buyers is is respectively. This $XX.X finished of revenue and XX% Our million We quarter and our the increase quarter growth. of fourth increasing consecutive XX% with an orders year-over-year.
in by margin shrinking in quarter loss year-over-year EBITDA included our X,XXX basis We that also points minus XX% minus EBITDA from expanded QX, heavy a record investments. a operations XX% still to
thredUP's emerging alongside reported Resale-as-a-Service to and formerly and business consolidate in to helped first Remix's Now companies. who Officer, who swiftly while of let processing beyond facility next we Western Oman, Remix’s new and Remix's countries, building $XX of incubate and Engineering broader are To storage margin billion to acquisition, plans fashion growth In in leads and the closed new of to resale one expand expansion. agreement capture thredUP market, confident growth estimates about will support by EU acquire and X Eastern Remix, department Rebecca in our SVP earnings growth. XXXX. Lyubo expand one the CEO. we capacity us year. Europe or in global all have QX, Chief international enable remain grow the market our of me U.S., data ventures to Europe's our acquisition and Dan to as and Product operations Dan the resale is European and European and with employees supply now Remix of share accelerate Since of supporting sustain Remix. a drive thredUP’s Founder European current Remix thredUP's European DeMeyere, effort me our Central we our into We leading growth early talk leading we moved a here Klenov, in further will that the
launched us or brands making leading Clean Kit of of number Resale-as-a-Service resale recently clients U.S. the the thredUP's business, provider in to RaaS Turning programs, resale brand new Out shops to number by our of a far and to RaaS bringing XX, we total services
RaaS free, is modules, main Marketplace, our new now drive resale within in called XX begun to We as offering flywheel cases, heritage and label like allows Resale get started suite over shops. enterprise year-end brands RaaS, drive deliver to Clean brands the were across Cash service, to This solutions service our Michael for time. of effect with dozen a network global possible. like large empowered some experiences brands RaaS resale for X platform. customers our Out power in and well Out moving core clients lightweight that more not With Keep have and Walmart solutions mind, by platform exhibit XXX in to to that and would our on enables ways and visibility as days. brands retailers growth seamless brands prominent RaaS has Stars. enables and Madewell to our white full-service brand expected as for brands revenue, adding quality offerings to and and in like come smaller very customer their also our previously resale Adidas us to we as are brands circularity some many
to resale say other gain This which RaaS threat the RaaS varied cleanup from sources the more used supply closet clients, because our of supply in more not each America. it that and power but shop. the sell-through is only then a to larger of increases across of access can because be potential to As sorted join branded RaaS we comes benefits share ongoing from greater clients, brands platform, happening the our supply of growth of our the growth and clients on or return advantage, and wider amplifies Recall it assets. also our client's resale the our that shops
In a platform and expansion profitability solutions the metrics revenue enterprise our stream. addition, recurring by designed our premium long-term to support are creating of high-margin
advantage industry. will brand to the a believe of will to every the thredUP resale next retail resale topic continue X our brings me leading leadership review, we're making investments end-to-end ongoing industry. We our extend problems the solved. The that the resale comes of of be to sources thredUP to advantage and compounding the is like competitive we and of hard strategy, This competitive I'd for the effects from solutions provider in which have power
advantage a supply have market. never massive created and has marketplace. dollars yet acquiring in the direct supply in reverse logistics thredUP built that Remember, seemingly has endless still supply we sellers, a our chain we've First, resale spent any marketing
have SKU Second, in have up our unique we facility XX.X Texas hold built software at thredUP single and items complete, technology is Dallas, to to million alone. capacity will to network apparel world-class the U.S. When scale. infrastructure, process
buyers sellers marketplace that Third, our managed connects platform. a on data-driven, we and have built
orders and grow managed number the to place. to serve Our buyers and number time of the between of removes sellers, over customers increase they marketplace friction enabling significantly we us
the forth. our of the reject, built resale vast photography, that over capabilities process, of combined of acceptance and past consistently we've success the we margins sell proprietary pricing that It's and marketing the are or data, ingest trove sit with from our data buyers, top millions goal decade. and with on the data the this so driving on Importantly, is merchandising, selected added sell-through. items marketplace of of removed items help the the algorithms and carts that We increased foundation of points the and data, on growing active rate, that expanding improve our our us models that
little economic Of secret, that inventory think our so have misunderstood our is boasted I is means that we measured working and model risk capital consignment. course, listed underlies in of weeks. on not most the clothing negative cycle engine months, This we not often but
has first widens moat and competitive calculated over takes our our that deeply sustain from advantage every said As effects infrastructure strategy a with I and developed our day, about the build believe to We it have of our very time. what been approach increases, public our network filing, grow. advantage supply marketplace
specifically about allocation I Given of regarding this remarks in the in to want earlier out companies investments profitability, call young the context we're greater my strategy. to and our scrutiny service on task capital making
investments. infrastructure U.S. X our First,
and discussed of Dallas, later this remarks, As south center flagship in just our my we online is coming Texas distribution year. last quarter earlier
nearly increase XXX,XXX and total live distribution feet, fully expect more XXX%. steady build-out making been scaled, in 'XX. be QX The is When the our our since most We by commencing have X-level facility capacity than our will progress automated facility will center. we network largest square
expect or items the in begin QX. begin demand of QX, end QX to year sometime this early We towards processing fulfillment to with
and feeders distribution these and and Both will on immediate processing X processing Atlanta. as of to Lebanon, in flagship we Clean our one Dallas center, serve Kit in opened one Beyond in larger Texas centers, facilities Out our Grapevine, facilities Tennessee. exclusively focus
in As hitting we facing exiting the after a targets earlier some result QX headwinds Omicron increased processing capacity, internal our of this are from quarter.
a now trending ago. at sits weeks is quarter XX and Our just bag backlog X down weeks nicely from
We percentage all beyond Note this our X million infrastructure XXXX. XXXX Lebanon, revenue of U.S. will EBITDA a impact and in year. of negatively these these will by investments expect that in small service and Texas flow Grapevine approximately Dallas, through in growth investments, Dallas, only $X facility as our are
to total new XXXX. do improvements our until expectations our add given for distribution centers we Importantly, and not capacity, expect to throughput network automation any in
Second, in Remix's in we Europe. invest growth will to continue
processing Europe. the addition to broader online our include in European these expenses opportunity. year, believe Sofia, we are facility European to thredUP's as scale Bulgaria investments larger growing We later business in that a Our essential grow new this in comes headcount
across added these We investments data systems, Third, investing benefits. research, our believe headcount yield and will we new capabilities in new development several are network. and in science technologies
costs. be our able per unit processing will we to First, lower
from Second, growth be that And finally, such and new merchandising to a concentrated public response headcount in we our increasing like to direct pricing XXXX able lifetime while further areas at support legal, to capabilities improve can accounting. expand can customers same margins. systems payout the and we'll lower Fourth being and HR, that highly at we acquire our upgrade and costs, value. company, marketing, is XXXX anticipated finance time, third,
expect $X.X incremental costs these million XXXX. in to We total
major let months, few the retailers meaningful accountable over core, to At as time. hold up, New conclusion, social we the a impact. SG&A bill I environmental Fashion wrap In leverage their its last in expect these as speak for and York We of aims me Act. spot digest this costs to bright
standards Consider I the play that an I'll focused industry's fashion and well results data leveraging brand RaaS will guidance. time. platform it milestone. governments serve serve by base and buyers, important to unlocking meantime, best, likely emission Sean over to policymakers evolve impact stay In to Whether understand and me, these think is doing emerging the sellers for infrastructure salvo their look turn technology, it will to in is to the a supply, do are through role our fashion this what to what on now software building environmental and the pushed reducing impact. automated increasingly thredUp's To this drive over our every starting we walk our consumers, way high-quality or that, financial environment reduce into pulled our to clients. believe we're indicates to circularity. on government interests as Sean? and by to positioned they critical I With fashion. be opening going growing to the in and resale of
