Revolve Group Q4 earnings surge

Apparel retailer Revolve Group announced a strong fourth quarter, with net sales climbing 14 percent year-over-year to 293.7 million dollars and net income surging 237 percent to 11.8 million dollars.

Adjusted EBITDA more than doubled, increasing 114 percent to 18.3 million dollars, while diluted EPS reached 0.17 dollars.

"We finished the year with an outstanding fourth quarter, highlighted by double-digit top-line growth year-over-year and a more than doubling of net income and adjusted EBITDA year-over-year," said co-founder and co-CEO Mike Karanikolas.

The company saw double-digit growth across its Revolve and FWRD segments, as well as in domestic and international sales. Revolve also expanded its active customer base by 40,000, reaching a total of 2,668,000. Gross margins improved to 52.5 percent, primarily due to growth in the FWRD segment.

Looking forward, the company reported a robust start to 2025, with net sales up by a high single-digit percentage in the first seven weeks. Revolve emphasised its commitment to long-term growth through strategic investments in owned brands, AI technology, and potential physical retail expansion.

Co-founder and co-CEO Michael Mente highlighted that these key initiatives are designed to drive profitable growth and expand market share.