Filing Flows › TheRealReal (REAL) › Q1 2026
TheRealReal (REAL) Q1 2026 earnings results (first quarter 2026)
10-Q filed May 7, 2026
TheRealReal (REAL) reported revenue of $190M for the first quarter 2026 (Q1 2026), +19% from a year earlier and -2% from the quarter before. Operating margin was -1.2%, net earnings $38.9M (20.5% of revenue).
TheRealReal, Q1 2026: revenue $190M (+18% year over year), operating margin -1.2%, net earnings $38.9M, operating cash flow −$16.6M. The chart follows the revenue to costs, profit and cash.
| Q1 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $190M | -2% | +19% |
| Operating profit | −$2.3M | -136% | — |
| Net earnings | $38.9M | — | -38% |
| Operating cash flow | −$16.6M | -134% | — |
What changed
Revenue was $189.7M in Q1 2026, up 19% year over year and down 2% from the previous quarter. Consignment revenue was the largest line at 77% of revenue. Consignment revenue added $22.1M year over year (up 18%), 74% of the total change.
Gross margin was 74.5%, down 0.5 points from Q1 2025. Operating costs exceeded revenue by $2.3M, an operating margin of -1.2%. Operating expenses grew 8% against revenue growth of 19%. The fastest-growing cost line was Other operating costs (+10%). Net earnings were $38.9M, down 38% year over year. The effective tax rate was 0.3%. Non-operating items added $41.3M, 106% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was −$16.6M. Non-cash charges added back $8.1M of depreciation and amortization and $6.3M of share-based compensation. Working capital and other items used $69.9M. Capital expenditures of $7.5M exceeded it, leaving free cash flow of −$24.1M.
Questions
What was TheRealReal's revenue in the first quarter 2026?
TheRealReal (REAL) reported revenue of $190M for the first quarter 2026 (Q1 2026), +19% from a year earlier and -2% from the quarter before.
Was TheRealReal profitable in the first quarter 2026?
Operating loss was $2.3M (-1.2% of revenue) and net earnings $38.9M.
Source: TheRealReal 10-Q on SEC EDGAR.