Stock Track | Revolve Group Soars 6.11% After Hours on Strong Q3 Earnings Beat

Stock Track11-05

Shares of Revolve Group, LLC (RVLV) jumped 6.11% in after-hours trading on Tuesday, following the release of the company's impressive third-quarter 2025 financial results. The fashion e-commerce retailer significantly outperformed earnings expectations, despite a slight miss on revenue.

Revolve reported quarterly earnings of $0.29 per share, more than doubling the analyst consensus estimate of $0.12. This represents a substantial 93.33% increase from the $0.15 per share reported in the same period last year. While the company's quarterly sales of $295.631 million fell slightly short of the estimated $297.923 million, it still marked a 4.41% year-over-year increase.

Investors were particularly encouraged by Revolve's improved profitability metrics. The company's gross profit surged 11.5% to $161.5 million, with gross margin expanding to 54.6% from 51.2% in the prior year. Net income nearly doubled to $21.2 million, while adjusted EBITDA rose 45% to $25.3 million, significantly exceeding the $13.9 million estimate. The strong bottom-line performance, coupled with positive sales growth and margin expansion, likely fueled the after-hours stock rally as investors responded favorably to Revolve's ability to drive profitability in a challenging retail environment.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment