Rent The Runway Results Presentation Deck
Target Margin Profile
Rental
Product
Depreciation
Cash
Consumption²
Revenue Scenarios:
Near Term
(At ~$400M)
Adj. EBITDA
Margin¹
~15%
Covers rental
product
depreciation
~$30M before
interest expense
Medium
Term
Adj. EBITDA
Margin
-30%
~15% margin
after covering
rental product
depreciation
FCF positive
ILLUSTRATIVE
Restructuring Impact
$25-$27M reduction in
costs in FY23 (relative to
Q2'22 run rate) from
restructuring plan
Significantly improves
Adjusted EBITDA and
cash burn
At ~$400M in Revenue
Can fund existing
subscriber capital needs
Only remaining funding is
for growth and interest
expense
Medium Term
Attractive margin profile
FCF positive while
funding strong growth²
¹ Reconciliation of Adjusted EBITDA and Adjusted EBITDA margin guidance and our Adjusted EBITDA after product depreciation margin and free cash flow targets to the closest corresponding GAAP measure is not available without unreasonable efforts on a
forward-looking basis due to the high variability, complexity, and low visibility with respect to the charges excluded from these non-GAAP measures, in particular, share-based compensation expense and non-recurring expenses which can have unpredictable
fluctuations based on unforeseen activity that is out of our control and/or cannot reasonably be predicted.
2 Illustrative and assumes 20% growth in subscribers to calculate growth capital.
RENT THE RUNWAY
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