Rent the Runway falls on dour Q2 revenue forecast

Rent the Runway

07/06/2023 21:32

** Shares of clothing rental firm Rent the Runway  RENT.O 
down ~7% at $2.60 aftermarket
    ** Co forecasts Q2 revenue below Wall Street estimates and
reiterates annual revenue forecast despite strong quarterly
results 
    ** Expects Q2 revenue between $77 mln and $79 mln, compared
to analysts' average estimate of $81 mln, per Refinitiv data
    ** However, RENT reports Q1 revenue rise of 10.6% to $74.2
mln, while analysts expected $73.2 mln, per Refinitiv data
    ** Also, net loss narrowed to $30.1 mln, or 46 cents, in Q1,
from a loss of $42.5 mln, or 67 cents per share a year ago
    ** Analysts on an average expected co to report a loss of 49
cents per share in Q1
    ** Up to today's close, stock had fallen 8.2% in 2023

 (Reporting by Anne Florentyna Gnanaraja Sekar in Bengaluru)
 ((AnneFlorentyna.GnanarajaSekar@thomsonreuters.com;))