REI Co-op Releases 2024 Impact Report and Financials, Becoming First National Retailer to Achieve Zero Waste

REI Co-op today released its 2024 Impact Report and financial results, closing the year with $3.53 billion in net sales, investing over $282 million back into the co-op community and ending the year in a cash flow neutral position. The upward financial trajectory and its zero waste milestone is a direct result of the incredible achievements made by REI’s 14,000 employees to serve its growing cooperative community of over 25 million members and customers. 

“The last few years have been challenging, not just for REI but for the greater outdoor industry,” said Mary Beth Laughton, President and Chief Executive Officer, REI Co-op. “And yet I remain hopeful. The co-op is a special place made up of 14,000 passionate employees and 25 million members united by a shared sense of purpose. It’s this community, and the incredible work it does in support of our public lands and the inclusive future we seek to build that first drew me to REI.”

Pioneering efforts to achieve zero waste through collection action

All of REI’s sustainability efforts are anchored to the co-op’s wider mission to inspire and enable life outside. To do this, the outdoors needs to be healthy, protected and accessible for all.  

In 2024, REI became the first major U.S. retailer to achieve the industry definition of zero waste, diverting 90% of waste from landfills across its operations.  

“It was an enterprise effort to achieve this zero-waste milestone for the co-op,” said Andrew Dempsey, Director of Climate, REI Co-op. “But it would not have happened without the dedication of employees across all of our operations to reduce and recycle waste at every level.”  

The co-op also achieved its goal to receive certification under The Change Climate Project’s new Climate Label standard, furthering its commitment to directly reduce emissions while investing in and advocating for solutions that will help accelerate decarbonization at scale. REI has also made Climate Label certification a preferred attribute in the 2025 version of its Product Impact Standards to encourage partners to consider whether the certification is right for their brand.  

As part of REI’s commitment to invest in climate solutions and drive greater access to renewable energy, the co-op expanded the reach of its Clean Energy Procurement Academy (CEPA) to provide new manufacturing suppliers with the skills and knowledge to procure clean energy, and launched a digital portal to complement in-person training sessions. In addition to inviting its private label suppliers to participate, REI also brought CEPA’s world-class educational materials to other outdoor brands and their value chain partners to advance the wider industry—together.  

In support of its broader sustainability goals, the co-op purchased carbon credits with City Forest Credits to sequester carbon and protect access to recreation in the metro Atlanta area, and signed a multiyear agreement with Sol Systems for clean energy generated from solar projects at REI stores in the state of Florida. Also in 2024, REI celebrated its 12th year of powering U.S. operations with 100% renewable electricity and continued working to make local renewable energy more accessible everywhere it operates.

Expanding access to nature 

The right to easily and safely enjoy time in nature is out of reach for many and we see our role in enabling champions and decision-makers to prioritize easy access to nature for everyone. In 2024, the REI Cooperative Action Fund launched The Nature & Health Alliance as a platform designed to unite researchers, scientists, and practitioners to conduct cross-collaborative research and scientific foundation that nature is essential for human health and well-being.   

REI also worked with a vast and diverse array of outdoor recreation advocates to successfully pass the EXPLORE Act, which included bills like the Outdoors for All Act, and Military & Veterans in Parks Act, and support for the Every Kid Outdoors program. The legislation collectively supports access to nature for nature-deprived communities, Veterans, youth and seniors.  

Protecting close-to-home public lands is vitally important to expanding access. Across the country, the co-op garnered over 100,000 petition signatures to establish and expand national monuments like the San Gabriel Mountains and Berryessa Snow Mountain national monuments, with REI employees testifying at public hearings in support of public lands protections. As we look ahead to future threats to our public lands, REI remains steadfast in its commitment to stand strong in the fight to protect these monuments.  

Working to make the outdoors more accessible and inclusive for everyone—together  

Thinking outside the activewear binary, the co-op took action to make outdoor gear and clothing more inclusive. A highlight of the year was the launch of Active Pursuits, REI’s first-ever nongendered apparel collection—designed with real input from the people who wear it.  

As part of this initiative, the co-op’s best-selling Magma down and Zephyr synthetic backpacking sleeping bag lines were redesigned to be more inclusive—developed after 150,000 body scans—to accommodate all bodies exploring the outdoors.  

Full audited financials for 2024 are available here. Explore the co-op’s full Impact Report at rei.com/impact.  

2024 by the numbers:  

• Invested $84.8 million in incentives and profit sharing for employees, a 48.5% increase from 2023  

• Added over a million new members and distributed $189 million to members through Co-op Member Rewards  

• Invested $8.9 million in over 300 nonprofit partners working to make the outdoors more accessible and inclusive for everyone. 

• Achieved our commitment to reach zero waste across all U.S. operations, becoming the first national retailer to do so  

• Reduced 2024 emissions by 7% when compared with 2023 emissions, and 12% when compared with REI’s 2019 baseline year 

• Opened 10 new stores, including our first in the state of Kentucky 

• The co-op reported $3.53 billion in revenue in 2024, a 6.2% decrease from 2023. The co-op reported a gross margin of 40.4% in 2024, a 1.7% increase from 2023. The co-op reported a $156.4 million net loss in 2024. That loss was largely driven by REI’s commitment to giving back to members in the form of member rewards, to society in the form of giving, and to our employees in the form of performance incentives and retirement contributions.   

• There is a $209.4 million noncash valuation allowance reserve against REI’s future tax credits and attributes. This reserve is required under current accounting guidance, however, the co-op continues to believe it will be able to use the majority of these tax credits and attributes in the future when it returns to profitability. At such time as the co-op returns to profitability, the co-op can use these deferred tax assets and reverse the related valuation allowance accordingly.  

• Mobilizing our community to send half a million messages to decision-makers across federal, state and local levels, and securing $25 million in funding for the outdoors through the Cooperative Action Network 

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