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Second-hand fashion marketplace leader Vinted has announced its financial results for 2023, posting a profit for the first time since its launch in 2008.
The company achieved €596.3m (US$642.8m) in revenue, an increase of 61% compared with 2022, and a net profit of €17.8m (US$19.2m) compared with a net loss in 2022 of €20.4m (US$21.9m).
Despite an uncertain macroeconomic backdrop, Vinted said it outpaced its planned growth during 2023 with continued growth in existing markets, expansion into Denmark, Finland and Romania, and continued expansion into luxury fashion through verification. At the same time, the group accelerated the development of shipping services with Vinted Go and made initial steps to deepen the value chain with payment services.
Second-hand a first choice
Thomas Plantenga, Vinted Group’s CEO, said, “Second-hand fashion is still a relatively immature market and only a tiny proportion of fashion overall. Our performance in 2023 was proof not only that we can deliver strong growth but that we are at the forefront of a market with huge potential. More importantly, growing C2C second-hand fashion is an impactful way to mitigate the harm of the fashion industry, and the reason behind our mission to make second-hand the first choice.
“We have been deploying capital with high ROI for many years, constantly taking into account the financial sustainability of our investments, so I am pleased we are able to now share that we are operating profitably and posted positive EBITDA for 2023. It’s a great testament to our team’s dedication and hard work in making Vinted a success for our members. And it is a strong foundation to continue to build on, as we see many opportunities on the horizon.”
Further expansion
In Q4 2023, Vinted secured a €50m (US$53.9m) revolving credit facility from BNP Paribas and ING Bank for potential future investment or expansion opportunities, including mergers and acquisitions.
“During 2023, our core marketplace performed strongly, we accelerated the development of delivery services with Vinted Go, and we made steps into the payments part of our value chain,” Plantenga added. “For 2024, we will continue on this mission, delivering against multiple growth vectors including geographic expansion and category development. We see many opportunities ahead, so we’ll continue to balance profitability against investment opportunities to accelerate toward our mission.”
The company has also announced several partnerships in recent months, including with smart locker provider Bloq.it in France, InPost in the UK, and at Evri’s ParcelShops.
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