Rent the Runway Names Nordstrom Veteran Paige Thomas as CEO

Quick Facts

Paige Thomas, former President and CEO of Saks Off 5TH, becomes CEO, President, and board member of Rent the Runway effective Sept. 14, 2026.
Rent the Runway posted a record $97.7 million in Q2 2026 net revenue, up 20.8% year over year, but still reported a $12.9 million net loss.
Thomas joins a growing cohort of Nordstrom alumni in Rent the Runway leadership, including interim CEO Teri Bariquit and interim CFO Dave Loretta.

Rent the Runway named Paige Thomas as its new CEO, President, and board member, the company announced Sept. 11. Thomas assumes the role Sept. 14, replacing interim CEO Teri Bariquit, who transitions to non-executive Chair of the Board.

Thomas brings deep off-price and luxury retail experience. She spent more than a decade at Nordstrom, including five years at Nordstrom Rack. She later served as Chief Merchant and Product Innovation Officer at Signet Jewelers and most recently as President and CEO of Saks Off 5TH, before that business shut down its e-commerce operations earlier this year amid Saks Global’s bankruptcy.

Her ties to Rent the Runway predate her hire. During her time at Saks Off 5TH, she oversaw a partnership that allowed customers to purchase once-rented designer items through the Saks Off 5TH website. Nordstrom Rack also began selling Rent the Runway garments in 2020.

A Company in Transition

Thomas takes the helm after a period of significant leadership turnover. Co-founder Jennifer Hyman stepped down as CEO in May 2026, after nearly 17 years. Hyman told Fortune she had committed to staying until the company’s debt was restructured and bankruptcy was no longer a threat. That moment came in late 2025, when Rent the Runway recapitalized its debt, handing majority control to a private equity group.

Under the terms of her exit, Hyman received a $1.6 million transaction bonus and acceleration of 103,047 restricted stock units. CFO Siddharth Thacker departed around June 3, 2026, following Q1 results. Dave Loretta, another Nordstrom veteran, stepped in as interim CFO.

Dhiren Fonseca, who served as executive chairman, steps down from that role but remains a board member.

Financial Momentum, Persistent Losses

Thomas steps in as the business shows genuine revenue momentum. Rent the Runway reported $97.7 million in net revenue for Q2 2026, an all-time quarterly record and a 20.8% jump year over year. Gross profit margin reached 36.1%, up 609 basis points from 30% in Q2 2025. Adjusted EBITDA came in at $12.6 million, or 12.9% of revenue, compared to $3.6 million and 4.4% of revenue a year earlier.

The company still posted a net loss of $12.9 million in the quarter, though that narrowed from a $26.4 million loss in Q2 2025. Over its history, Rent the Runway has accumulated more than $1.1 billion in total losses.

Active subscribers slipped 3.8% year over year to 140,826 as the company pulled back on promotions to chase more profitable customers. The add-on business offset some of that pressure, with add-on bookings rising 81% year over year in Q2. One-third of subscribers used an add-on during the quarter, up from 29% a year earlier.

The company reaffirmed full-year guidance of double-digit revenue growth and a 4% to 7% adjusted EBITDA margin. Q3 revenue is projected at $87 million to $90 million. To shore up liquidity, Rent the Runway secured a $10 million term loan and plans a $15 million rights offering.

What Comes Next

Thomas inherits a business that posted its first annual profit in 2025, with revenue of $329.8 million and net earnings of $22.6 million. The subscriber base remains a pressure point, and the company faces the challenge of growing its customer count without reverting to the promotional spending that historically eroded margins.

With Thomas, Bariquit, and Loretta all carrying Nordstrom experience, the company is making a clear bet that traditional retail expertise can translate to its subscription fashion model.