UPDATE: LightInTheBox Holding (LITB) Reports 1Q18 EPS of -0.12, Miss on Revenues
(Updated - June 29, 2018 4:11 PM EDT)
(Updated - June 29, 2018 4:09 PM EDT)
LightInTheBox Holding (NYSE: LITB) reported Q4 EPS of ($0.12). Revenue for the quarter came in at $70.1 million versus the consensus estimate of $78.49 million.
First Quarter 2018 Financial Results
- Net revenues decreased 3.6% year-over-year to $70.1 million from $72.7 million in the same quarter of 2017. Net revenues from product sales were $66.0 million, compared with $64.8 million in the same quarter of 2017. Net revenues from service and others were $4.1 million, compared with $7.9 million in the same quarter of 2017. As a percentage of net revenues, service and others accounted for 5.8% during the first quarter of 2018.
- Total orders of product sales were 1.3 million during the first quarter of 2018, compared with 1.6 million in the same quarter of 2017. Total number of product sales customers was 1.0 million, compared with 1.2 million in the same quarter of 2017.
- Product sales in the apparel category were $19.9 million for the first quarter of 2018, compared with $21.2 million in the same quarter of 2017. As a percentage of product sales, apparel revenues accounted for 30.2%, compared with 32.8% in the same quarter of 2017. Product sales from other general merchandise were $46.1 million for the first quarter of 2018.
- Product sales from Europe were $33.9 million for the first quarter of 2018, compared with $33.5 million in the same quarter of 2017, representing 51.4% of total product sales for the first quarter of 2018. Product sales from North America were $13.8 million, compared with $17.4 million in the same quarter of 2017, representing 20.9% of total product sales for the first quarter of 2018. Product sales from GCC were $2.6 million for the first quarter of 2018, compared with $0.3 million in the same quarter of 2017, representing 4.0% of total product sales for the first quarter of 2018, while product sales from other countries were $15.7 million, representing 23.7% of total product sales for the same quarter.
- Total cost of revenues was $49.6 million in the first quarter of 2018, compared with $48.5 million in the same quarter of 2017. Cost for product sales was $45.9 million in the first quarter of 2018, compared with $41.0 million in the same quarter of 2017. Cost for service and others was $3.7 million in the first quarter of 2018, compared with $7.5 million in the same quarter of 2017.
- Gross profit for the first quarter of 2018 was $20.5 million, compared with $24.2 million in the same quarter of 2017. Gross margin was 29.2% in the first quarter of 2018, compared with 33.3% in the same quarter of 2017.
- Total operating expenses in the first quarter of 2018 were $28.6 million, compared with $26.8 million in the same quarter of 2017.
- Fulfillment expenses in the first quarter of 2018 were $4.5 million, compared with $3.8 million in the same quarter of 2017. As a percentage of total net revenues, fulfillment expenses were 6.4%, compared to 5.2% in the same quarter of 2017 and 5.5% for the fourth quarter of 2017.
- Selling and marketing expenses in the first quarter of 2018 were $16.1 million, compared with $15.2 million in the same quarter of 2017. As a percentage of total net revenues, selling and marketing expenses were 23.0%, compared to 20.9% in the same quarter of 2017 and 19.4% for the fourth quarter of 2017.
- General and administrative (G&A) expenses in the first quarter of 2018 were $8.0 million, compared with $7.8 million in the same quarter of 2017. As a percentage of total net revenues, G&A expenses were 11.4%, compared with 10.8% in the same quarter of 2017 and 8.7% for the fourth quarter of 2017. G&A expenses in the first quarter of 2018 included $3.0 million in technology investments, compared with $2.5 million in the same quarter of 2017.
- Loss from operations was $8.1 million in the first quarter of 2018, compared with a loss from operations of $2.6 million in the same quarter of 2017.
- Net loss was $7.9 million in the first quarter of 2018, compared with a net loss of $2.4 million during the same quarter of 2017.
- Net loss per American Depository Share ("ADS") was $0.12 in the first quarter of 2018, compared with net loss per ADS of $0.03 in the same quarter of 2017. Each ADS represents two ordinary shares.
Share Repurchase Program
On June 15, 2017, the Company announced the extension of its existing share repurchase program for an additional twelve month period from June 15, 2017 through June 14, 2018 to continue to repurchase up to the remaining balance of the $10 million of its American Depositary Shares ("ADSs"). As of March 31, 2018, the Company had repurchased a total of $6.8 million of its ADSs.
For earnings history and earnings-related data on LightInTheBox Holding (LITB) click here.