What is Rent the Runway?
Designer fashion rental platform offering subscription, one-time rentals, resale, and brand-partner marketplace services.
- Category
- Fashion rental
- Headquarters
- Brooklyn, NY
- Founded
- 2009
- Employees
- 1,000+
- Total funding
- Public; IPO/capital history
- Status
- NASDAQ: RENT
What is Rent the Runway?
Rent the Runway is a fashion rental and resale platform that gives customers access to designer clothing, accessories, and occasionwear without buying every item. It reported Q1 2026 revenue of $89.9 million, up 29.2% year over year, with 155,692 active subscribers.
Rent the Runway pioneered the consumer fashion-rental category with a 'closet in the cloud' model: customers rent rotating apparel and accessories through subscriptions or one-time rentals, then return items to RTR's reverse-logistics network. The company also sells resale items and uses brand relationships, inventory data, and fulfillment operations to monetize designer supply.
The business entered 2026 with better subscriber growth and a more diversified strategy. FY2025 revenue was $329.8 million and Q1 2026 revenue rose to $89.9 million, while total subscribers including paused accounts reached 196,147. The major June 2026 context is leadership transition: co-founder Jennifer Hyman stepped down in May and board member Teri Bariquit became interim CEO.
What does Rent the Runway offer?
Rent the Runway offers designer subscription rentals, one-time rentals, resale, fulfillment, and brand-partner inventory programs.
- Monthly fashion subscriptions· Subscription
- One-time event rentals· Rental
- Designer dresses and apparel· Inventory
- Handbags and accessories· Inventory
- Resale / buy used items· Marketplace
- Add-on shipments and items· Subscription expansion
- Reverse logistics and dry cleaning· Operations
How does Rent the Runway make money?
Rent the Runway makes money from monthly subscriptions, one-time rentals, add-on items or shipments, resale purchases, and brand-related marketplace/media programs.
The main consumer product is subscription. Current public pricing starts at $129 per month for one 5-item shipment, $164 per month for two 5-item shipments, and $275 per month for four 5-item shipments, with promotions frequently lowering the first month. One-time rentals and resale purchases monetize customers who do not want a subscription.
The unit economics depend on inventory utilization, cleaning and repair cost, shipping speed, customer retention, and add-on revenue. Q1 2026 results highlighted revenue growth, subscriber gains, and add-on revenue growth, which matter because each incremental shipment has to cover logistics while increasing lifetime value.
Who leads Rent the Runway?
Rent the Runway is led by interim CEO and president Teri Bariquit after co-founder Jennifer Hyman stepped down in May 2026.
- Teri BariquitInterim CEO and PresidentAppointed May 2026Former Nordstrom merchandising leader and RTR board member guiding the CEO transition.
- Jennifer HymanCo-founder and advisorCo-founded in 2009; advisor through Jan 2027Built the company and stepped down as CEO in May 2026.
- Scarlett O'SullivanChief Financial OfficerCFO during 2026 reporting periodOwns finance, reporting, and capital-structure execution.
- Dhiren FonsecaExecutive ChairmanExecutive chair during transitionSupports the interim CEO and board during the leadership change.
How do you contact Rent the Runway's leadership?
Rent the Runway does not publish a verified personal executive email format. Use investor relations, customer support, or public company contact paths instead of guessed personal addresses.
Personal format not verified; use public RTR contact channels- Scarlett O'SullivanChief Financial OfficerUse https://investors.renttherunway.com/investor-relations/
How much funding has Rent the Runway raised?
Rent the Runway is a public company, so the useful funding view is its 2021 IPO, post-IPO balance-sheet work, debt load, and liquidity rather than a new VC round list.
Rent the Runway raised venture capital before its October 2021 IPO, when it listed on Nasdaq as RENT. The public-company period has been defined less by growth rounds and more by liquidity management, debt, and restructuring after pandemic and post-IPO demand volatility.
By fiscal 2025 the company said it had transformed its balance sheet and reported $329.8 million of annual revenue, adjusted EBITDA of $24.9 million, and $50.4 million of cash at January 31, 2026. Q1 2026 showed stronger revenue growth but the company still carried meaningful leverage and a net loss, so sellers should expect budget scrutiny.
How did Rent the Runway get here?
Rent the Runway built a category-defining rental model, went public, restructured, and entered 2026 with subscriber growth and a CEO transition.
- 2009FoundedJennifer Hyman and Jennifer Fleiss launch Rent the Runway.
- 2016Subscription expansionRTR extends beyond event rentals into recurring fashion subscription behavior.
- 2020Cloud migrationThe company chooses Google Cloud and GKE to modernize its platform.
- Oct 2021IPORent the Runway lists on Nasdaq under RENT.
- FY2025Revenue recoveryFY2025 revenue reaches $329.8M, with Q4 revenue at a company high of $91.7M.
- May-Jun 2026CEO transition and Q1 growthTeri Bariquit becomes interim CEO; Q1 revenue rises 29.2% year over year.
Who are Rent the Runway's competitors?
Rent the Runway competes with rental subscription services, resale marketplaces, and retailers capturing flexible apparel spend.
- NuulyURBN-owned clothing rental subscription with a lower everyday-fashion price point.
- ArmoirePersonalized styling and rental subscription focused on workwear and curated wardrobes.
- VivrelleLuxury handbag and accessory membership rather than broad apparel rental.
- ThredUpLarge resale marketplace competing for circular-fashion wallet share.
- The RealRealLuxury resale marketplace with consignment and authentication focus.
Rent the Runway — frequently asked questions
