Rent the RunwayIt suffered a larger fiscal third quarter loss than 2020 as sales jumped 66% in the first financial report since its IPO in late October.

On the news, shares fell by around 2%. Since its debut in October, the market capitalization of fashion rental platforms has almost been reduced by half. Its valuation was more than $1.7 billion. The shares have dropped roughly half off since trading began at $23 per share on October 27th. The stock was down 10% on Wednesday to $11.50

Rent the Runway still hasn’t turned a profit, which is causing concern among investors. Profits were also affected by the recent public offering of the company and repayment of debt. Rent the Runway is expecting a larger return of Americans to office, weddings, concerts and other venues in 2022.

Rent the Runway saw a net loss of $87.8m, $6.72 per share in the three months ended October 31. This is a nearly doubled loss from the loss of $44.3m, $3.98 per shared, one year ago.

From $35.5 million, revenue grew 66% and reached $59million.

With 116,833 active subscriptions, the company closed quarter, which excludes those who put their memberships on hold, an increase 78% from last year. Rent the Runway stated that this accounts for 87% of the company’s active subscribers as of 2019.

In the third quarter of 2018, there were 150,075 subscribers total, with paused accounts included. This is an increase of 45% over last year.

Rent the Runway reported that the United States has seen a return to 90% of pre-pandemic subscriber numbers, except in New York City, Washington D.C. and San Francisco. The report stated that the subscriber activity in markets in the South, Mountain and Western regions is significantly higher than it was in 2019.

In the meantime, Rent the Runway launched an at home pickup service in five major cities. This makes it easier for customers to return orders, and saves Rent the Runway money on shipping, according to Chief Executive Jenn Hyman, in Zoom.

Hyman stated that it is less costly than the other methods of returning items. It’s an advantage for both our customers and our fulfillment margins.

Rent the Runway anticipates that active subscribers will be 121,000-122,000 for the fourth quarter. Revenue will range between $62.8 million and $68.3million.

The company expects to sell between $202.0 million to $202.5 million for the whole year.

Hyman said, “We witnessed resilience in spite of the fact that the year has been affected by Covid.” “And we believe that our ramp may have even been higher had there been more big events happening — had there been more women returning to offices.”

Rent the Runway is optimistic that the macro environment will normalize, she said.

Rent the Runway announced Wednesday that the company has paid about one third of its preIPO debt.

Rent the Runway’s earnings press release is available here here.

The story is still in development. Stay tuned for new updates.