ThredUp Slashes 2025 H2 Guidance Amid Consumer Slowdown

ThredUp Inc., the online resale platform, reported second-quarter 2025 results at the Wells Fargo Consumer Conference in Laguna Beach, California, highlighting sustained revenue growth despite a widening gap between expectations and actual consumer demand. The company’s stock, trading at $2.29, remains near its 52-week low of $2.36, reflecting a 62% year-to-date decline. Despite these challenges, ThredUp’s Q2 2025 revenue grew by 17% year-over-year, with buyers and orders rising by over 20%, marking its seventh consecutive quarter of record top-line growth and expanding EBITDA. Net revenue stands at approximately $350 million, with a gross profit margin of 79.5%. The company maintains $60 million in cash reserves and operates with positive free cash flow, though it holds less cash than debt on its balance sheet. In late 2024, ThredUp completed the divestiture of its European business, Remix, which had struggled under high interest rates and inflation since 2022, and was acquired in late 2021 upon its IPO.