RENT (Rent the Runway) Operating Income: $-57.5 Mil (TTM As of Apr. 2026)


RENT Rent the Runway Inc RENT
51 GF Score
Price $3.37
GF Value $3.54
Valuation Fairly Valued
! 5 Warning Signs
View Full Analysis

What is Rent the Runway Operating Income?

Rent the Runway RENT -1.46% 51 Operating Income is $-57.5 Mil as of Apr. 2026. GuruFocus rates RENT with a GF Score™ of 51/100 and a GF Value™ of $3.54 (Fairly Valued). The stock has 5 warning signs investors should review.

Rent the Runway's Operating Income for the three months ended in Apr. 2026 was $-19.7 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 was $-57.5 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Rent the Runway's Operating Income for the three months ended in Apr. 2026 was $-19.7 Mil. Rent the Runway's Revenue for the three months ended in Apr. 2026 was $89.9 Mil. Therefore, Rent the Runway's Operating Margin % for the quarter that ended in Apr. 2026 was -21.91%.

Good Sign:

Rent the Runway Inc operating margin is expanding. Margin expansion is usually a good sign.

Rent the Runway's 5-Year average Growth Rate for Operating Margin % was 29.40% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Rent the Runway's annualized ROC % for the quarter that ended in Apr. 2026 was -43.34%. Rent the Runway's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 was -55.77%.


Rent the Runway  (NAS:RENT) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Rent the Runway's annualized ROC % for the quarter that ended in Apr. 2026 is calculated as:

ROC % (Q: Apr. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jan. 2026 ) + Invested Capital (Q: Apr. 2026 ))/ count )
=-78.8 * ( 1 - 0% )/( (178.9 + 184.7)/ 2 )
=-78.8/181.8
=-43.34 %

where

Note: The Operating Income data used here is four times the quarterly (Apr. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Rent the Runway's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Apr. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jan. 2026  Q: Apr. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-78.8/( ( (139.3 + max(-40.9, 0)) + (143.3 + max(-49.4, 0)) )/ 2 )
=-78.8/( ( 139.3 + 143.3 )/ 2 )
=-78.8/141.3
=-55.77 %

where Working Capital is:

Working Capital(Q: Jan. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 16.3) - (38.6 + 12 + 6.6)
=-40.9

Working Capital(Q: Apr. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 17.6) - (46.1 + 14.5 + 6.4)
=-49.4

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Apr. 2026) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Rent the Runway's Operating Margin % for the quarter that ended in Apr. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Apr. 2026 )/Revenue (Q: Apr. 2026 )
=-19.7/89.9
=-21.91 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Rent the Runway Operating Income Related Terms


Rent the Runway Operating Income Historical Data

* Premium members only.

The historical data trend for Rent the Runway's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Rent the Runway Operating Income Chart

Rent the Runway Annual Data
Trend Jan20 Jan21 Jan22 Jan23 Jan24 Jan25 Jan26
Operating Income
Get a 7-Day Free Trial -125.90 -95.90 -76.90 -47.30 -57.50

Rent the Runway Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -19.70 -20.10 -16.20 -1.50 -19.70
RENT
51GF Score
Rent the Runway Inc RENT
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Rent the Runway Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $-57.5 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of $-57.5 Mil mean?
Rent the Runway (RENT) has a Operating Income of $-57.5 Mil as of Apr. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Rent the Runway and its competitors.
Is Rent the Runway's Operating Income too high?
Rent the Runway's current Operating Income is $-57.5 Mil. Overall, Rent the Runway has a GF Score™ of 51/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Rent the Runway's Operating Income compare to AKA and TLYS?
Rent the Runway's Operating Income of $-57.5 Mil can be compared against companies in the Retail - Cyclical industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for a Retail - Cyclical company?
A good Operating Income depends on the Retail - Cyclical industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Rent the Runway and its competitors. Rent the Runway's current Operating Income is $-57.5 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rent the Runway stock overvalued right now?
Based on GuruFocus' analysis, Rent the Runway (RENT) is currently considered Fairly Valued. The stock's GF Value™ is $3.54, compared to a current price of $3.37 — trading 4.8% below its estimated fair value. The current Operating Income is $-57.5 Mil. Rent the Runway's overall GF Score™ is 51/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For Rent the Runway (RENT), the current Operating Income is $-57.5 Mil as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Rent the Runway (RENT) Overvalued in 2026?

Based on GuruFocus' analysis, Rent the Runway stock appears to be undervalued. The current stock price of $3.37 is trading 4.8% below its estimated GF Value™ of $3.54. GuruFocus considers Rent the Runway to be Fairly Valued.

Key valuation signals for RENT:

  • Operating Income: $-57.5 Mil
  • GF Value™: $3.54 vs. price of $3.37 (4.8% below fair value)
  • GF Score™: 51/100 with 5 warning signs

No single metric tells the full story. See the RENT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rent the Runway Business Description

Address 10 Jay Street, Brooklyn, NY, USA, 11201
Rent the Runway Inc is an e-commerce platform that allows users to rent, subscribe to, or buy designer apparel and accessories. The company gives customers access to its unlimited closet through its subscription offering (Subscription) or the ability to rent a-la-carte through its reserve offering (Reserve). The company also gives its subscribers and customers the ability to buy its products through its Resale offering. The Closet in the Cloud offers a wide assortment of items for every occasion, from evening wear and accessories to ready-to-wear, workwear, denim, casual, maternity, outerwear, blouses, knitwear, loungewear, jewelry, handbags, activewear, and ski wear.
51GF Score

Get the complete analysis for RENT

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$3.37
Price
$3.54
GF Value