Revolve Group Q2 results: Sales up 12 percent, net income rises

US fashion retailer Revolve Group, Inc. (Revolve Group) reported its financial results for the second quarter ended June 30, 2026 with net sales reaching 347.40 million dollars, up 12 percent year-over-year (YoY).

Revolve Group co-founder and co-chief executive officer Michael Mente added: “We're encouraged by the top-line momentum across our business and especially the breadth of initiatives underway that we believe will support continued profitable growth for years to come.” Mente highlighted physical retail investments, the development of the Revolve namesake label within its owned brand portfolio, and beauty product launches in partnership with Cardi B as key growth drivers.

Gross profit and net income benefit from IEEPA tariff refunds

Gross profit rose 18 percent YoY to 196.70 million dollars, up from 167.10 million dollars in the second quarter of 2025. Gross margin expanded by 254 basis points YoY to 56.6 percent. The gross profit and margin performance were positively impacted by 5.60 million dollars in International Emergency Economic Powers Act (IEEPA) tariff refunds received during the quarter, contributing a 162 basis points benefit to gross margin. Excluding tariff refunds, gross margin increased approximately 90 basis points YoY compared to 54.1 percent in the prior-year period.

Net income for the quarter reached 18.60 million dollars, compared to 10 million dollars in the second quarter of 2025. The net income figure benefited by 5.90 million dollars, or 4.40 million dollars net of tax effects, from the IEEPA tariff refunds. Diluted earnings per share increased to 0.26 dollars from 0.14 dollars, with tariff refunds contributing 0.06 dollars per diluted share. Adjusted EBITDA increased 17 percent YoY to 26.80 million dollars.

Revolve Group co-founder and co-chief executive officer Mike Karanikolas said: “We delivered a very solid quarter, highlighted by double-digit net sales growth across REVOLVE, FWRD, domestic and international for the third consecutive quarter and accelerated growth in active customers that reflects increasing engagement with next-generation consumers.”

Divisional performance across brand segments and geographical markets

Performance across operating divisions and geographical markets recorded growth across the board: Revolve segment net sales increased 13 percent to 302.50 million dollars and Fwrd segment net sales grew 11 percent to 44.90 million dollars.

Domestic net sales expanded 11 percent to 269.10 million dollars in the US, while international net sales increased 16 percent to 78.40 million dollars.

Trailing 12-month active customers increased 11 percent to reach 3,041,000 as of June 30, 2026, marking the highest YoY customer growth rate for the company in nearly three years. Sales momentum accelerated further into the third quarter, with net sales in July 2026 increasing by approximately 18 percent.

For the full year ending December 31, 2026, Revolve Group expects gross margin to settle between 53.5 percent and 54 percent, unchanged from prior guidance, and assumes no additional IEEPA tariff refunds, while for the third quarter of 2026, gross margin is projected to remain between 53.5 percent and 54 percent.