ThredUp afternoon, We're quarter highlights Good James and for CEO of XXXX Thank second quarter. and our I'm from you ThredUp's us joining earnings Reinhart, ThredUp. call. financial share pleased for business to Co-Founder results everyone. second key
advantages call our our Financial following with Remix that Sean our is months in We'll discussion In indicates more on than financials today's by it a provide will marketplace addition with environment consumer our experience, who up that start details facing especially in the customer last difficult towards base. of and Resale-As-A-Service at in for I'd profitability. the our faring to like Chief much acquisition provide the of the ThredUp our and our financial Sobers, the this then of to unique quarter XXXX. two consumer XXXX I talk results, Europe environment, the to different I'll of progress hand meaningful seeing session. wrap look quarter close deteriorating, detail year's give health I'll a to third to in offering, business and over acknowledging we're how of Officer, among second are customer closer updates on our investments out some economic model a discuss data progress customer outlook our we up is portion was consumer, it budget just that our makes is All a ago. question-and-answer of that
our into of saw that the QX, has weeks trend business in As slow final such a continued we QX.
XXXX in the Given reaching the planning get going how an our priority challenging year, a volatility managing behave that customer with we're is breakeven exactly With comparisons. quarters control. period consumer, there and we we to hard the incredibly year-over-year are also EBITDA back half adjusted on the of said the is predict the to into which within seeing coming our variables in level have the it's during by to and
our CapEx additional year. time gains another share modify to on resilient record this importantly our when quarter making but to economic positioning the reduce plans and challenging other returns active and profitable the out period, our margins I'll us path seeing and consumer actively compared come orders cost results. only same growth in to are not health We for revenue, strong let's in QX our the last profitability on turn performance, to structure provide side, adjustments buyers weather first to but gross financial call, later to continued of details achieved We
increase an beginning even the mid-June. in of million XX% with $XX.X year-over-year, is revenue Our of deceleration
offset gross with highly Active XX.X% than respectively. business XX.X% strategy logistics our XX% this of profit more particularly million our in the of record at as environment. in year-over-year. XX% are totaling XX% $XX.X growth progress buyers quarter consolidated promotional representing our basis on at quarter proud We and year-over-year margins margins increased our gross a a and and gross U.S. We active finished orders
of is across planned loss EBITDA primarily adjusted $XX.X Our to and infrastructure million technology operating due our stack. investments
the and to turn Let's the macro consumer. environment
all been Our June as struggle the really half well second strong our budget consumer and and base continues has of and of with particularly American spending a as purchasing feeling results were the but income that back consumer squeeze noted began has quarter a pinched. the quarter, budget this to is persists solid Inflation Recall the consumer the back of today's is discretionary to approximately telling building our Americans. below data us first off household customer in economic wealthiest today I consumer power that XX% that has amidst pulled on climate. customer documented, particularly our $XXX,XXX
how a shoppers sharing the consumer behavior discount up of ThredUp witnessing is expensive. XX% to marketplace. this the in at quarter that to trading budget that The shopper down. while our less Year-over-year typical clear expensive look down trading upscale demonstrate trading are rigorous our company, is trading average purchased, upscale items value in evolved X% pronounced. more U.S. trading discount doing that with increased As less a being Meanwhile, average XX%. opposite items segment are bifurcation expensive. more learnings of the the driven the of and value items up X% deep bifurcation our shopper are When are data even declined and value has customers shoppers to the X%, customers We're order shoppers some we're premium incremental order the shoppers is items to we the down
four over their same discretionary number and about we've climb purchases. behaving in months, one seen customer we seen while them rates shoppers in shoppers, essentially are our a budget of slight us, While decline when the several sidelining discount in with we've to customers compared themselves on in make period is tells are are we've which May. of apparel all end one to and comes are shoppers Across third so buying only upscale a selective the Discount the budget that dip XX% return up right July differently. more now, indicator base, across nearly of shoppers many seen What believe an there this being it customers' us even the sidelines now. is market the customers that past right purchases our from
expect We some to continue these trends time. for
your to backdrop, this attention areas. call Given want two to I
our and model First, growth we of second, to marketplace the platform we're and and can sustainable advantages towards both demand. how the our adjust sustainable expenses our flex march profits. variable approaching And how
take minimal to of as inventory lead built-in the our flexibility to cadence, item algorithms want I we a of everyone merchandising to decision processing can in retailer chain manufacturing to environment. adapt which around company. become being a mix trends and hyper not in responsive the the seller enable and inventory adjust prices, slowing our future, let or means snowflake, a into retailers times equity listed can resiliency commitments e-commerce flexible that with risk. recommendation promotional have pricing, macro We environment, our traditional consumer us Let payouts, have to a making. and on and whose me the start and marketplace. brand supply quarters Unlike a remind structural liability we're We advantages the set in direct-to-consumer consignment fashion we marketplace think or bet structure many data every don't trends drive our
and trading For are example, trading income items our down demographic. we adjust customers and we can that payouts If into toward resilience items customers, spending are sell-through see price those protecting higher pricing we if to in drive margins. while for with can lower goods, selection from our strategy assortment adjust that
we traditional glut work retailers our supply lessons more dial meet the shape and a to a of goods to the our inbound environment. prime moment. of match out from back inventory, coming forecasted we assortment of flex pandemic customers must One of was while demand Right and through now, our the to easily how example learned can have how overbought the can mix flex best it's of
the our begin curve. processing As to to meet macro dial can back improve, we up demand conditions
as our Next as of our profitability. important past trajectory our well to marketplace, the are I'd headcount, believe growth corporate R&D, our CapEx path decision XX% ahead well as the and lay the a This processing discretionary in just us again, position P&L. goals. spending, expenses difficult not supply the It's to of profitability We to the address workforce across pertinent not one making expenses across to and uncertain actions about centers. our expenses This like we've environment off proactive these will for the of to quarter, demand of shutter towards as the includes variable, detail that accelerate but to current broadly processing, reduced note very in a steps taken across many organization we more reduce step more business.
new While investors to principles it the we be to three behave best we year exactly that mind, to part how thought and prioritize of in XXXX. into in approach to the back the customer predict to running hard expenses, first proving on the to the of is it's With conservative the business. guide going which operating we're
core active buyers our improvements are our through experience. and in customer the First, product on engaging and focused we sellers numbers maintaining continuous
a as search recovery. as seek growth customers plan will item we've will continue we to to acquisition to be loaded new green and and We shoots down seen to costs spend of come acquire spring processing
sourcing our Second, on backlog rigorously needed we down targets in inventory our maximum power We sellers risk maintaining focused buyers, provide to expenses customer the best and our our over and possible to recovers. of manage levels. drive regulate variable are to we be power achieve the as reducing Three, CapEx as pricing and margins, our payout and profitability gross cash strong plan to processing nimble shaping to allow us assortment. will flexibility
expect we consumer. to also further, for product expenses and variable our a if and strategy environment growth foreseeable advantage challenging of While positioning recovering needed, the can we be the take future reduce consumer will
a Importantly, expect $XX be sustainable run profits is clear the $XX to between half on we revenue and back adjusted This XXXX. million breakeven assuming quarterly and path a rate to in thereafter. of million EBITDA
customer covered advantages is conviction with commentary the honed European in impact, on like Now term. experience consumer, on profitability, short and and marketplace improve long team in to high our some I'd our to provide you our progress the that high experience. update our and dividends our turn improvement ThredUp to the and experience marketplace what we've in Let's doing pay the that our to on will to we're Resale-As-A-Service product the businesses, Across customer path
shopping building it's or category, With like and an styles, First, style that price new matching and duration expansive assortment delivering customers favoring swiping one mobile a back. We wants items day. every where visual exactly world of of get have catalog offer points way. a its tools keeps about area brands, a particularly fresh experience kind to one class based we're to thousands effortless all coming across our recommendations empower focused on features what algorithms, in occasion filters, customer the increasingly she listed
beta you in you've If a of some used form. seen already app, may ThredUp this have
we disciplined Of we ThredUp course, consumers. to e-commerce delighting engage Remix, gen comes on marketing retailer, larger last share and we Noelle Chief with time acquired she To company excited I'm fashion the of remain Her first Marketing front, resale online Lulu, immensely QX be from the has we joined to Z remain them even European merchandising Chief beneficial in Marketing capture new in where end, Shifting international of as that the they fashion an served also customers on year. as acquiring our as to that expertise share Officer. focused will mind Officer. deep and look ThredUp. Sadler Noelle
to Europe, low tends Eastern sales tanks be QX of call, are of more and and Central jackets, on quarter's pants, to of mentioned focused Remix its higher also nature priced business. Ts, and growth within priced in expansion and and we manage seasonal operations driving be optimize As margin We're last where shorts, supply sales tends the to outerwear. learning QX on and the
pricing, merchandising, As the more we improve and we're sell-through. playbook customer these payouts about ThredUp leveraging preferences, learn to
well and despite turbulence margins, Remix its exhibit how Europe. line in that in top pleased continues are We resiliency to economic
Turning American minimalist Fort to the our we fashion as serve ThredUp's across launched the to RaaS, launched circularity. Resale-as-a-Service ecosystem. a dedicated that At Resale RaaS Oak known classic XXX effectively time, recently embracing we business, brands Hilfiger, same a sustainable brand can for brand + showing platform also apparel Tommy
our have through early our of planning to us also brands of think retailers, mission acknowledge growing managing by to get its tough to generation more categories health customers, one recurring is there the Madewell year By XX high consumers first. to addition, consumer end. profitability quarters and of in returns. long-term RaaS expands secondhand of amplifies our the RaaS by over places EBITDA of reemphasize XX me break platform margin conclusion, In for are reaching let our with than in And revenue. infrastructure, XXX%. are into ThredUp, out the control, when remain sources shop clients denim, resale leveraging I which we our new our even on metrics supply expanded of is want positioning we listings sell our share XXXX In Despite many coming track and RaaS our within by advantage environment And on on assets level. outside on a return adjusted our of in us of adding we value increases our their expanding on priority marketplace model. businesses inspire as brand by that existing clients gains front our that for an variables new to while and a the prove
Our I’m rate proud really remains mission to of tenure through a their eight incredible approaching corporate ultimately senior life our years. the most comes employee The resilience. that team. remarkable work of year-to-date average XX% our our retention of of the And collective executives company
And confident our incredible of previous when the budget economic like spend by that note challenges comment, XXXX Data, conducted this a poised resale we serve with challenging near-term remain One American be roaring selection discretionary an improved is with This our proven quarter, over to financial aware comes released its final I a demand surging turn with resilient improving annual resale in to our economics marketplace we discretionary firm, as now retail According billion results walk to in also to front Global over acutely other Sean over cost recovery, to of I’ll a to by XX are it shopper the XXth market while ever and incredibly And it will category, has and be great clothing that, an in guidance. unit the has strong in Data. back, structure. With turn it third-party through we in we expected us. prospects, to growth analytics meaningfully of consumer time. every to the Global XXXX. exceed Sean, long-term before while I’d moment is for that report