Revolve Group, Inc. reported total net sales of 283.5 million dollars, an increase of 58 percent year-over-year.
The company attributed the strong sales growth to quarterly growth of 201,000 active customers. Total active customers grew to 2 million, an increase of 38 percent.
“We’ve had an exceptional start to the year, highlighted by 58 percent net sales growth, record quarterly growth in active customers, and record levels of net income and operating cash flow for any first quarter,” said the company’s co-founder and co-CEO Mike Karanikolas.
“Our customer engagement is stronger than ever, driving incredible momentum in the business, and the return of our impactful, in-person events – such as Revolve Festival – is further strengthening our connection with the next-generation consumer,” added co-founder and co-CEO Michael Mente.
The company’s gross margin for the quarter was 54.5 percent, an increase of 44 basis points, income before taxes was 29 million dollars, an increase of 38 percent, net income was 22.6 million dollars, up 1 percent, adjusted EBITDA was 31.5 million dollars, an increase of 35 percent and diluted EPS was 30 cents, consistent with the prior-year comparable period.
The company added that net sales in April 2022 grew more than 30 percent. The company continues to expect the second quarter to be its largest sales quarter of the year as core customers gear up for a busy travel and event calendar in the warm summer months ahead.
For the full year 2022, the company expects year-over-year growth rate to be highest in the first quarter of 2022 and lowest in the fourth quarter of 2022, considering that the growth rate meaningfully accelerated throughout 2021.