Revolve Group Third Quarter 2021 Results Presentation

Q3 2021

FINANCIAL HIGHLIGHTS

November 3, 2021

PAGE

2

Note on Forward-Looking Statements

Information in this presentation contains forward-looking statements as defined within the meaning of U.S. federal securities laws, including, but not limited to, statements regarding our expectations around the continued impact of the COVID-19 pandemic on our business, operations and financial results. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," "would," or similar expressions and the negatives of those terms.

Forward-looking statements are based on information available at the time those statements are made and on our current expectations and projections about future events, and are subject to risks and uncertainties. If any of these risks or uncertainties materialize or if any assumptions prove incorrect, actual performance or results may differ materially from those expressed in or suggested by the forward-looking statements. These risks and uncertainties include, without limitation, risks related to the continued impact of the COVID-19 pandemic on our business, operations and financial results; demand for our products; general economic conditions; our fluctuating operating results; seasonality in our business; our ability to acquire products on reasonable terms; our online business model; our ability to attract customers in a cost effective manner; the strength of our brand; competition; fraud; system interruptions; our ability to fulfill orders; and other risks and uncertainties included under the caption "Risk Factors" and elsewhere in our filings with the Securities and Exchange Commission, or SEC, including, without limitation, our Annual Report on Form 10-K for the year ended December 31, 2020 and our subsequent Quarterly Reports on Form 10-Q, including for the quarter ended September 30, 2021, which we expect to file with the SEC on November 4, 2021.

We undertake no obligation to update any forward-looking statements made in this presentation to reflect events or circumstances after the date of this presentation or to reflect new information or the occurrence of unanticipated events, except as required by law. We may not actually achieve the plans, intentions, or expectations disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements.

Unless otherwise indicated, all references in this presentation to "REVOLVE", "we", "our", "us", or similar terms refer to REVOLVE and Revolve Group, Inc. and its subsidiaries.

Use of Non-GAAP Financial Measures

In addition to U.S. GAAP financials, this presentation includes certain non-GAAP financial measures, including Adjusted EBITDA, Adjusted EBITDA margin, and free cash flow. These non-GAAP measures are in addition to, not a substitute for or superior to, measures of financial performance prepared in accordance with U.S. GAAP. The non-GAAP financial measures used by REVOLVE may differ from the non-GAAP financial measures used by other companies. We use these non-GAAP financial measures to evaluate our operating performance, generate future operating plans and make strategic decisions regarding the allocation of capital. Our management believes that these non-GAAP financial measures provide meaningful supplemental information regarding our performance and liquidity by excluding certain expenses that may not be indicative of our ongoing core operating performance. We believe that both management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when analyzing historical performance and liquidity and when planning, forecasting, and analyzing future periods.

For a reconciliation of these non-GAAP financial measures to GAAP measures, please refer to the Appendix.

PAGE

Q3 2021 SUMMARY	3

				NET SALES ($MM)
							$244.1
	$154.2	$151.0				+62% YOY
										+58% vs Q3 19
		Q3 19		Q3 20	Q3 21

GROSS MARGIN

53.6% 55.3% 55.1%

Q3 19	Q3 20	Q3 21
	NET INCOME ($MM)
	$19.4	$16.7
$9.6

(16 BPs) YOY

+148 BPs vs Q3 19

2 YR CAGR:

NET SALES GROWTH VS COMPARABLE 2019 QUARTERS

		+ 58%
	+ 41%
+ 30%
Q1 21	Q2 21	Q3 21

Growth vs 2019: +17 Pts QOQ

		Q3 19		Q3 20		Q3 21
		ADJUSTED EBITDA(1) ($MM)
				$24.0		$21.7
	$14.4
	Q3 19	Q3 20	Q3 21

+32%

2 YR CAGR:

+22%

Note:

1. See the Appendix for a definition of Adjusted EBITDA and reconciliations to its corresponding GAAP financial measure.

PAGE

NET SALES BY GEOGRAPHY AND SEGMENT	4

YOY GROWTH IN

Q3 2021 NET SALES

BY SEGMENT

	+ 95%
+ 56%
REVOLVE	FWRD

YOY GROWTH IN	INTERNATIONAL MIX
Q3 2021 NET SALES	OF TOTAL NET SALES IN Q3 21
BY GEOGRAPHY	Down 1 Percentage Point YoY

+ 65%		19%
	+ 49%
		INTERNATIONAL NET SALES
U.S.	INTERNATIONAL	U.S. NET SALES

			PAGE
	COST AND MARGIN STRUCTURE		5

GAAP OPERATING INCOME MARGIN

	14.4%				11.3%
			8.3%	10.1%
8.3%		7.9%
Q3 19	Q3 20	Q3 21	9 MOS 19	9 MOS 20	9 MOS 21

	ADJUSTED EBITDA MARGIN
	15.9%				12.3%
9.4%		8.9%	9.3%	11.5%
Q3 19	Q3 20	Q3 21	9 MOS 19	9 MOS 20	9 MOS 21

AS A % OF NET SALES	Q3 21	Q3 20	CHANGE	OBSERVATIONS
Gross Margin				Healthy inventory and strong consumer demand again led to a very high % of net sales
55.1%	55.3%	(16 BPs)	at full price and shallower markdowns YoY, partially offset by reduced owned brands
				contribution YoY consistent with commentary on recent investor conference calls.
Fulfillment	(2.4%)	(2.8%)	(39 BPs)	Efficiencies gained via our continued automation efforts and resulting from additional
volume and scale, partially offset by a higher return rate YoY.
Selling and Distribution	(15.7%)	(13.8%)	+190 BPs	Higher return rate YoY, consistent with commentary on recent investor conference calls,
and higher shipping rates.
				We made increased investments in brand marketing during Q3 21, consistent with
Marketing	(19.2%)	(12.5%)	+672 BPs	commentary on recent investor conference calls, and marketing in Q3 20 was low due
to COVID-19 circumstances. We expect marketing to return to historical levels as a %
				of net sales in Q4 21.
General and Administrative	(9.9%)	(11.7%)	(184 BPs)	Driven primarily by the strong 62% YoY growth in net sales that more than offset
				the $6.4M, or 36%, YoY increase in G&A expense.
GAAP Operating Income Margin(1)	7.9%	14.4%	(656 BPs)

Note:

1. Due to rounding, some numbers presented may not add up precisely to the totals provided.