The RealReal, Inc. reported a total revenue of $173.6 million for the third quarter of 2025, marking a 17.4% increase from $147.8 million in the same period last year. The growth was primarily driven by a 15% rise in consignment revenue, which reached $134.4 million, up from $116.9 million in the prior year. Direct revenue also saw a significant increase of 47%, totaling $22.9 million compared to $15.6 million in the previous year. Shipping services revenue increased by 7%, amounting to $16.2 million, reflecting a growing number of orders processed.
Despite the revenue growth, The RealReal reported a net loss of $54.1 million for the quarter, compared to a loss of $17.9 million in the same quarter of 2024. The increase in losses was attributed to higher operating expenses, which rose to $136.5 million from $125.3 million year-over-year. The company’s operating expenses included a 22% increase in marketing costs and a 7% rise in operations and technology expenses, reflecting ongoing investments in growth and technology enhancements. The loss per share attributable to common stockholders was $(0.47) for the quarter, compared to $(0.16) in the prior year.
In terms of operational metrics, The RealReal reported a gross merchandise value (GMV) of $519.8 million for the third quarter, up from $433.1 million in the same period last year. The average order value (AOV) increased to $584 from $522, and the number of active buyers remained stable at approximately 1.02 million. The company also noted that repeat consignors accounted for over 80% of gross merchandise volume, indicating strong customer loyalty.
Strategically, The RealReal has been focusing on enhancing its technology and operational capabilities. The company has invested in automation and technology to improve efficiency in its authentication and fulfillment processes. Additionally, The RealReal has been actively managing its debt, having exchanged portions of its convertible notes in recent months, which has resulted in a significant reduction of its principal debt balance. As of September 30, 2025, the company had cash and cash equivalents of $108.4 million, down from $172.2 million at the end of 2024, reflecting ongoing investments and operational cash flow challenges.
Looking ahead, The RealReal anticipates continued revenue growth driven by its expanding customer base and enhanced operational efficiencies. However, the company also acknowledges the potential for ongoing operating losses and cash flow challenges as it invests in scaling its operations and technology. The management remains focused on optimizing its business model to achieve profitability in the long term while navigating the complexities of the luxury resale market.
About TheRealReal, Inc.
The RealReal is a leading online marketplace for authenticated, pre-owned luxury goods across categories like fashion, jewelry, and watches. It offers a curated selection from top brands, leveraging proprietary technology, data analytics, and rigorous authentication to build trust. The company operates both online and retail stores, focusing on sustainable recirculation of luxury items and expanding its global, omni-channel presence.
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