ThredUp Inc. Earnings Recaps
Q3 2025
Nov 6, 2025
ThredUp achieved record performance in Q3 2025, with revenue growth accelerating to 34% year-over-year, bolstered by a strong surge in customer acquisition and engagement.
Key takeaways
- New customer acquisition rose by 54% year-over-year, marking the highest quarterly increase in company history.
- Gross margin improved to 79.4%, while adjusted EBITDA reached 4.6%, both exceeding initial expectations.
- The company launched a rebranded experience and innovative AI-driven features, enhancing personalization and customer engagement.
- Tariff impacts are expected to serve as a structural tailwind, potentially boosting customer acquisition as prices rise in the apparel market.
- ThredUp's new supply growth vectors, including Resale-as-a-Service and direct selling, are anticipated to strengthen market competitiveness and expand offerings.