Vinted, the popular online marketplace for second-hand fashion, has announced its first-ever annual profit.
The milestone follows a strong 2023, reaching €596.3mn in revenue — a 61% increase compared to the previous year (€370.2mn).
With an adjusted EBITDA at €76.6mn, Vinted turned a €20.4mn net loss in 2022 into a €17.8mn net profit in 2023.
The startup attributes its profitability to significant growth, starting with increased penetration in existing markets and its expansion to Romania, Denmark, and Finland.
In addition, the company continued its expansion into luxury fashion with verification, and further developed Vinted Go, its own shipping service.
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“Second-hand fashion is still a relatively immature market and only a tiny proportion of fashion overall,” Thomas Plantenga, CEO of Vinted, said in a statement.
“Our performance in 2023 was not only proof that we can deliver strong growth but that we are at the forefront of a market with huge potential.”
The startup also increased its workforce last year and now counts 2,000 employees, with the majority based in Lithuania.
Vinted is the first unicorn of Lithuania, which is the fastest-growing startup ecosystem in the Baltics and Central and Eastern Europe (CEE) region, following a seven-fold increase in enterprise value between 2018 and 2023.
According to Inga Langaite, CEO at startup association Unicorns Lithuania, Vinted's profitability marks a significant milestone not only for the company, but also for the entire ecosystem.
“This achievement highlights the potential within our tech landscape and also proves the potential of Lithuanian startups to current and future investors,” Langaite told TNW.
Update (20:10PM CEST, April 30, 2024): The article has been updated to include the comment from Inga Langaite.