Additionally, the company’s effective income tax rate in FY22 increased significantly from 5 per cent in FY21 to 23 per cent in FY22. Net income was $58.7 million, a YoY decrease of 41 per cent, while Adjusted EBITDA was $90.2 million, a YoY decrease of 21 per cent.
US-based next-generation fashion retailer for millennial and generation Z consumers Revolve Group has reported net sales of record $1.1 billion in FY22, representing a YoY increase of 24 per cent. This is the first year the company has surpassed the $1 billion milestone in net sales. Gross margin decreased by 117 basis points to 53.8 per cent in FY22.
The company’s diluted earnings per share (EPS) was $0.79, a YoY decrease of 41 per cent, Revolve Group said in a press release.
Revolve Group’s domestic net sales increased by 26 per cent YoY, while international net sales increased by 13 per cent YoY in FY22. The company’s Revolve segment net sales reached $921.7 million, representing a YoY increase of 24 per cent, and its Fwrd segment net sales were $179.7 million, a YoY increase of 23 per cent.
In the fourth quarter (Q4) of FY22, Revolve Group added 91,000 active customers, bringing its total to 2,340,000, representing a 27 per cent YoY increase. The company also achieved a YoY net sales increase of 8 per cent in Q4, reaching $259.2 million. However, gross margin decreased by 339 basis points to 51.4 per cent, primarily due to a lower mix of net sales at full price and deeper markdowns.
Net income was $7.9 million in Q4 FY22, a YoY decrease of 73 per cent. Adjusted EBITDA was $14.1 million, a YoY decrease of 59 per cent. Furthermore, the diluted EPS was $0.11, a YoY decrease of 72 per cent.
Revolve segment’s net sales rose by 9 per cent YoY to $217.1 million in Q4 FY22, while Fwrd’s net sales grew by 5 per cent YoY to $42.0 million. Domestic net sales for the quarter increased by 9 per cent YoY, while international net sales increased by 1 per cent YoY.
Fibre2Fashion News Desk (DP)