Rent the Runway revenue climbs 29% as firm announces interim executive appointments

Rent the Runway (NASDAQ:RENT) delivered a strong start to the fiscal year, reporting first-quarter revenue that outpaced corporate guidance even as the company moves through a high-level executive transition.

The platform reported revenue of $89.9 million for the period, a 29.2% increase compared to the same quarter last year, driven significantly by a 70.4% surge in add-on services.

The company’s gross margin for the quarter stood at 25.9%, while disciplined spending efforts helped the platform narrow its net loss to $18.9 million.

These results reflect a continued scaling of the company’s core subscription and rental business models.

Management reaffirmed its full-year 2026 guidance, maintaining existing targets for top-line revenue, adjusted EBITDA margin, and capital expenditures related to the acquisition of rental inventory.

Alongside the financial results, the company announced a series of leadership changes.

Teri Bariquit has been appointed as Interim Chief Executive Officer and President.

The company also named Paige Thomas as Chief Commercial Officer and Dave Loretta as Interim Chief Financial Officer.

These appointments are intended to provide stability and operational focus as the company pursues its long-term financial objectives.

Looking ahead, the company provided an outlook for the second quarter of 2026, projecting revenue in the range of $91 million to $95 million.

Management also anticipates an adjusted EBITDA margin of 5% to 8% for the second quarter, signaling expected improvements in operating efficiency as the firm continues to prioritize margin expansion.