The RealReal said gross merchandise value (GMV) and revenue both climbed at double-digit rates year over year in its fiscal fourth quarter and full year as the luxury resale platform sharply narrowed losses and generated more cash from its core business. Those gains were helped by increased customer activity and new technology tools as the company sought to tap into online shoppers’ growing interest in resale.
Fourth quarter revenue rose 18% to $194.1 million, from $164.0 million a year earlier. Meanwhile, GMV — the total value of goods sold on the platform — increased 22% to $615.7 million.
“We delivered $616 million in GMV for the quarter, representing 22% growth,” CEO Rati Levesque said on the company’s earnings call. “During the fourth quarter, we surpassed the $2 billion mark in GMV for the year, a milestone for The RealReal.”
The RealReal ranks No. 36 in the Global Online Marketplaces Database. The database is Digital Commerce 360’s ranking of the 100 largest marketplaces by third-party GMV.
What was behind The RealReal’s GMV growth in Q4?
The company reported a net loss of $38.8 million in the fourth quarter, compared with a loss of $68.5 million a year earlier. The RealReal said results included a $39 million noncash adjustment tied to changes in the value of warrant liabilities.
Customer activity strengthened late in the year. Trailing 12-month active buyers totaled 1.06 million, up 9% from a year earlier. Fourth-quarter orders rose 10%, while average order value increased 11% to $641, reflecting stronger demand for higher-priced items such as fine jewelry and watches.
Ajay Gopal, the chief financial officer at The RealReal, said that fourth-quarter growth was balanced.
“GMV growth was driven roughly evenly by unit volume and higher average selling prices,” he said.
Gopal added that demand was strongest in higher-value categories.
Cash generation improved sharply. The RealReal produced $49.5 million in cash from operations during the quarter, up from $28.0 million a year earlier.
For the full year, revenue increased 15% to $692.8 million, from $600.5 million in 2024. GMV rose 16% to $2.13 billion.
The full-year net loss narrowed to $41.8 million, compared with $134.2 million a year earlier.
Levesque called 2025 “a transformative year,” saying the company delivered “our first year of positive adjusted results in every quarter,” a sign that growth and day-to-day operations are becoming more stable as the business scales.
How The RealReal is investing in technology and AI
Executives pointed to technology investments as a key contributor. Levesque said the company ended the year with 35% of items processed through “Athena,” its technology-assisted intake system designed to speed listings and reduce manual work.
“When our experts have an item in hand, we can verify details that can’t be captured digitally,” Levesque said, adding that Athena allows staff to focus on higher-value work while technology handles repetitive tasks.
Gopal said reaching that level was “the primary driver” behind improved efficiency and said Athena would expand to additional categories in 2026. “We expect this to take place over multiple quarters, and it will continue to be a source of leverage for us,” he said.
Looking ahead, The RealReal forecast for the first-quarter 2026 GMV of $585 million to $600 million and revenue of $185 million to $189 million. For the full year, the company projected GMV of $2.39 billion to $2.45 billion and revenue of $765 million to $780 million.
Asked whether business has cooled down since the holiday season, executives said activity remains steady.
“We’re seeing our buyer and seller be quite resilient,” Levesque said. Gopal added, “No slowdown.”
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