10-Q · May 4, 2026
ThredUp Inc. reported a strong year-over-year revenue increase of 14.6% for Q1 2026, reaching $81.7 million. Despite this growth, net losses widened to $6.5 million, highlighting ongoing operational challenges.…
Earnings analysis · 10-Q
TDUP earnings analysis
Filed November 4, 2026 · Our reading of the company's report
The latest report
ThredUp delivered Q3 revenue of $88.23 million, up from $82 million a year earlier, while diluted EPS of $(0.04) matched estimates. The key negative trend was margin deterioration: gross margin fell to 78.2% from 79.4%…
Read full summary
ThredUp delivered Q3 revenue of $88.23 million, up from $82 million a year earlier, while diluted EPS of $(0.04) matched estimates. The key negative trend was margin deterioration: gross margin fell to 78.2% from 79.4% in the prior-year quarter, and the Q4 outlook implies further margin pressure at 76.5%-77.5%. Liquidity was $54.9 million across cash, cash equivalents and marketable securities, but inflation-related cost and demand risks remain material. No material changes to the risk factors from the Fiscal 2025 10-K were reported.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.04
- Gross margin
- 78.2%
What stood out
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Revenue Grew and EPS Met Estimates
Q3 revenue was $88.23 million, up from $82 million in Q3 2025 and above the $88.08 million consensus estimate. Diluted EPS was $(0.04), matching the estimate.
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$54.9 Million of Cash and Securities
The company held $42.7 million of unrestricted cash and cash equivalents plus $12.2 million of marketable securities as of September 30, 2026, providing $54.9 million of reported liquidity before other sources and uses.
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Investment Rate Risk Viewed as Limited
Management stated that investments are short- to intermediate-term and that it has not been exposed to, and does not anticipate being exposed to, material interest-rate risk from those investments.
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Controls Remained Effective
Management concluded that disclosure controls and procedures were effective as of September 30, 2026, and reported no changes in internal control over financial reporting that materially affected, or were reasonably likely to materially affect, controls during the quarter.
What to watch
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Margin Compression
Gross margin declined to 78.2% in Q3 from 79.4% in Q3 2025, while the Q4 outlook calls for a further reduction to 76.5%-77.5%.
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Inflation Could Pressure Demand and Costs
Inflation has increased fuel, labor, processing, freight and other costs, and management stated these increases have negatively impacted the business. Management also warned that customer purchasing and Order growth could slow if inflation remains elevated.
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Variable-Rate Term Loan Exposure
The Term Loan bears variable interest tied to SOFR with a 2.50% floor and a 3.25% margin. Although management said a 1% annual rate change would not materially affect interest expense, higher rates remain a financing risk.
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CEO Trading Plan Terminated
The CEO terminated a Rule 10b5-1 plan on August 24, 2026 that provided for sales of up to 803,152 Class A shares through March 8, 2027, creating a notable change in planned insider-share-sale activity.
Management's outlook
The 10-Q does not provide a prior quantitative outlook against which to determine whether guidance was raised, maintained, or lowered. The reported Q4 2026 outlook was revenue of $77.0 million-$79.0 million, gross margin of 76.5%-77.5%, and adjusted EBITDA margin of (4.0)% to (2.0)%; full-year 2026 revenue outlook was $337.7 million-$339.7 million with adjusted EBITDA margin of 2.4%-2.8%.
Earlier filings 4
10-K · March 2, 2026
ThredUp positions itself as a scaled, tech-enabled U.S. resale marketplace with a proprietary operating platform (distributed processing, software and data science) and a growing RaaS offering. Revenue expanded…
10-K · March 3, 2025
ThredUp positions itself as a scaled, tech-enabled resale marketplace focused on U.S. apparel, shoes and accessories, leveraging a proprietary operating platform (distributed processing, proprietary software and data…
10-Q · May 6, 2024
ThredUp reported quarterly revenue of $79,588,000 (up $3,666,000 vs. $75,922,000 in Q1 2023) and a gross profit of $55,326,000. Operating loss narrowed to $(16,711,000) from $(20,183,000) a year ago and net loss…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.