LightInTheBox Reports Fourth Quarter and Full Year 2024 Financial Results
LightInTheBox (NYSE: LITB) reported its Q4 and full year 2024 financial results, marking a strategic shift towards margin preservation over market share. Q4 revenues declined 57% YoY to $58 million, while achieving profitability with net income of $0.5 million compared to a $4.3 million loss last year. Gross margin improved to 59% from 56% in Q4.
For full year 2024, revenues decreased 59% to $255 million, while gross margin increased to 60% from 57%. The company narrowed its net loss to $2.5 million from $9.6 million in 2023. Operating expenses declined 58% to $156 million through cost management initiatives.
The company launched two new apparel brands: Ador, targeting women aged 35-55, and a golf apparel brand for female golfers 35+. This brand matrix strategy aims to cover different market segments while creating business synergies in design, marketing, and operations. LITB plans to potentially launch another apparel brand in the coming year.
LightInTheBox (NYSE: LITB) ha riportato i risultati finanziari del Q4 e dell'intero anno 2024, segnando un cambiamento strategico verso la preservazione dei margini piuttosto che la quota di mercato. I ricavi del Q4 sono diminuiti del 57% su base annua, raggiungendo i 58 milioni di dollari, mentre ha ottenuto la redditività con un utile netto di 0,5 milioni di dollari rispetto a una perdita di 4,3 milioni di dollari dell'anno scorso. Il margine lordo è migliorato al 59% rispetto al 56% del Q4.
Per l'anno intero 2024, i ricavi sono diminuiti del 59% a 255 milioni di dollari, mentre il margine lordo è aumentato al 60% dal 57%. L'azienda ha ridotto la sua perdita netta a 2,5 milioni di dollari rispetto ai 9,6 milioni di dollari del 2023. Le spese operative sono diminuite del 58% a 156 milioni di dollari grazie a iniziative di gestione dei costi.
L'azienda ha lanciato due nuovi marchi di abbigliamento: Ador, rivolto a donne di età compresa tra i 35 e i 55 anni, e un marchio di abbigliamento da golf per golfiste over 35. Questa strategia di matrice di marchi mira a coprire diversi segmenti di mercato creando sinergie aziendali nel design, nel marketing e nelle operazioni. LITB prevede di lanciare potenzialmente un altro marchio di abbigliamento nel prossimo anno.
LightInTheBox (NYSE: LITB) reportó sus resultados financieros del Q4 y del año completo 2024, marcando un cambio estratégico hacia la preservación de márgenes en lugar de la cuota de mercado. Los ingresos del Q4 disminuyeron un 57% interanual a 58 millones de dólares, logrando rentabilidad con un ingreso neto de 0,5 millones de dólares en comparación con una pérdida de 4,3 millones de dólares el año pasado. El margen bruto mejoró al 59% desde el 56% en el Q4.
Para el año completo 2024, los ingresos disminuyeron un 59% a 255 millones de dólares, mientras que el margen bruto aumentó al 60% desde el 57%. La empresa redujo su pérdida neta a 2,5 millones de dólares desde 9,6 millones de dólares en 2023. Los gastos operativos disminuyeron un 58% a 156 millones de dólares gracias a iniciativas de gestión de costos.
La empresa lanzó dos nuevas marcas de ropa: Ador, dirigida a mujeres de 35 a 55 años, y una marca de ropa de golf para golfistas mayores de 35. Esta estrategia de matriz de marcas tiene como objetivo cubrir diferentes segmentos de mercado creando sinergias empresariales en diseño, marketing y operaciones. LITB planea potencialmente lanzar otra marca de ropa en el próximo año.
LightInTheBox (NYSE: LITB)는 2024년 4분기 및 전체 연도 재무 결과를 발표하며 시장 점유율보다 마진 보존을 향한 전략적 전환을 나타냈습니다. 4분기 수익은 전년 대비 57% 감소한 5800만 달러에 달했으며, 지난해 430만 달러의 손실에 비해 50만 달러의 순이익을 달성했습니다. 총 마진은 4분기 56%에서 59%로 개선되었습니다.
2024년 전체 연도에 대해 수익은 59% 감소한 2억5500만 달러에 이르렀고, 총 마진은 57%에서 60%로 증가했습니다. 회사는 2023년 960만 달러에서 250만 달러로 순손실을 줄였습니다. 운영 비용은 비용 관리 이니셔티브를 통해 58% 감소하여 1억5600만 달러에 달했습니다.
회사는 두 개의 새로운 의류 브랜드를 출시했습니다: Ador, 35세에서 55세 사이의 여성을 대상으로 하며, 35세 이상의 여성 골퍼를 위한 골프 의류 브랜드입니다. 이 브랜드 매트릭스 전략은 디자인, 마케팅 및 운영에서 비즈니스 시너지를 창출하면서 다양한 시장 세그먼트를 커버하는 것을 목표로 합니다. LITB는 내년에 또 다른 의류 브랜드를 출시할 계획입니다.
LightInTheBox (NYSE: LITB) a annoncé ses résultats financiers pour le 4ème trimestre et l'année complète 2024, marquant un changement stratégique vers la préservation des marges plutôt que la part de marché. Les revenus du 4ème trimestre ont diminué de 57% par rapport à l'année précédente, atteignant 58 millions de dollars, tout en réalisant un bénéfice net de 0,5 million de dollars par rapport à une perte de 4,3 millions de dollars l'année dernière. La marge brute s'est améliorée à 59% contre 56% au 4ème trimestre.
Pour l'année complète 2024, les revenus ont diminué de 59% à 255 millions de dollars, tandis que la marge brute a augmenté à 60% contre 57%. L'entreprise a réduit sa perte nette à 2,5 millions de dollars contre 9,6 millions de dollars en 2023. Les dépenses d'exploitation ont diminué de 58% à 156 millions de dollars grâce à des initiatives de gestion des coûts.
L'entreprise a lancé deux nouvelles marques de vêtements : Ador, ciblant les femmes âgées de 35 à 55 ans, et une marque de vêtements de golf pour les golfeuses de 35 ans et plus. Cette stratégie de matrice de marques vise à couvrir différents segments de marché tout en créant des synergies commerciales en matière de design, de marketing et d'opérations. LITB prévoit de lancer potentiellement une autre marque de vêtements l'année prochaine.
LightInTheBox (NYSE: LITB) hat seine finanziellen Ergebnisse für das 4. Quartal und das gesamte Jahr 2024 veröffentlicht und dabei einen strategischen Wandel hin zur Margenerhaltung anstelle von Marktanteilen vollzogen. Die Umsätze im Q4 sanken im Jahresvergleich um 57% auf 58 Millionen Dollar, während ein Nettogewinn von 0,5 Millionen Dollar erzielt wurde, im Vergleich zu einem Verlust von 4,3 Millionen Dollar im letzten Jahr. Die Bruttomarge verbesserte sich von 56% auf 59% im Q4.
Für das gesamte Jahr 2024 sanken die Umsätze um 59% auf 255 Millionen Dollar, während die Bruttomarge von 57% auf 60% anstieg. Das Unternehmen verringerte seinen Nettoverlust auf 2,5 Millionen Dollar von 9,6 Millionen Dollar im Jahr 2023. Die Betriebskosten sanken um 58% auf 156 Millionen Dollar durch Kostenmanagement-Initiativen.
Das Unternehmen hat zwei neue Bekleidungsmarken eingeführt: Ador, die sich an Frauen im Alter von 35 bis 55 Jahren richtet, und eine Golfbekleidungsmarke für Golfspielerinnen über 35. Diese Markenmatrixstrategie zielt darauf ab, verschiedene Marktsegmente abzudecken und gleichzeitig Geschäftssynergien in Design, Marketing und Betrieb zu schaffen. LITB plant, möglicherweise im kommenden Jahr eine weitere Bekleidungsmarke einzuführen.
- Achieved Q4 2024 net profit of $0.5M vs $4.3M loss year-over-year
- Improved gross margin to 60% from 57% in 2023
- Reduced operating expenses by 58% to $156M through effective cost management
- Narrowed full-year net loss to $2.5M from $9.6M in 2023
- Successfully launched two new proprietary apparel brands with higher margins
- Q4 2024 revenue declined 57% YoY to $58M
- Full-year 2024 revenue decreased 59% YoY to $255M
- Full-year adjusted EBITDA remained negative at -$0.1M
- Gross profit decreased to $153M from $360M in 2023
Insights
LightInTheBox's Q4 and full year 2024 results reveal a significant strategic pivot from market share growth to margin preservation. While
Q4 shows a crucial return to profitability with
The company has aggressively reduced operating expenses by
The launch of two proprietary brands (Ador for women 35-55 and a golf apparel brand) creates potential for more sustainable margins and customer loyalty. Management's claim that these brands outperform their e-commerce business in both gross margin and customer repurchase rates suggests the strategy is gaining traction, though the significant revenue decline remains a short-term concern against the backdrop of a challenging e-commerce environment.
Fourth Quarter 2024 Financial Highlights:
- Total Revenues were
$58 million , a57% decrease year over year, primarily due to the Company's strategic focus on margin preservation rather than market share in a highly competitive e-commerce environment. - Gross Profit was
$34 million , compared with$75 million - Gross Margin improved to
59% from56% in the same quarter last year, driven by the Company's higher-margin proprietary product lines. - Operating Expenses declined by
59% year over year to$33 million , mainly attributable to reduced revenue along with effective cost management and operational efficiency enhancements. - Fulfillment Expenses decreased by
50% year over year to$4 million . - Selling and Marketing Expenses declined by
65% year over year to$23 million , while ROI improved with the Company's efficient marketing of new product lines. - General and Administrative Expenses decreased by
8% year over year to$6 million . Of this total, Research and Development expenses were$4 million - Net Income reached
$0 $4.3 million - Adjusted EBITDA was an income of
$1 $3.3 million
Full Year 2024 Financial Highlights:
- Total Revenues were
$255 million , a59% decrease year over year, primarily due to the Company's pivot to margin preservation rather than market share in a highly competitive e-commerce environment. - Gross Profit was
$153 million , compared with$360 million - Gross Margin improved to
60% from57% in 2023, driven by the successful introduction of higher-margin proprietary product lines. - Operating Expenses declined by
58% year over year to$156 million , mainly attributable to reduced revenue along with effective cost management and operational efficiency enhancements. - Fulfillment Expenses decreased by
46% year over year to$19 million . - Selling and Marketing Expenses declined by
63% year over year to$112 million , while ROI improved with the Company's efficient marketing of new product lines. - General and Administrative Expenses decreased by
24% year over year to$26 million . Of this total, Research and Development expenses were$16 million - Net loss narrowed to
$2.5 million , compared with$9.6 million - Adjusted EBITDA was a loss of
$0 $6
CEO Commentary:
Jian He, CEO of LightInTheBox, stated, "2024 was a year of transformation for LITB, as we strategically prioritized profitability over growth and transitioned from e-commerce retail into brand-focused apparel design with the launch of our new brands. Through strong strategic execution, we enhanced our margins and overall profitability amid an intensely competitive market.
"Looking ahead to 2025, we remain committed to maximizing operational efficiency to safeguard our profitability. At the same time, we will strategically allocate resources to our new brands, strengthening our design capabilities, expanding distribution channels, and boosting brand awareness to deepen customer loyalty, driving our long-term sustainable growth.
"So far, we have seen our new brands outperform our e-commerce business in both gross margin and customer repurchase rates, withstanding fierce market competition. Additionally, these new brands have received multiple invitations to expand into physical retail stores, demonstrating our products' strong appeal in both design and pricing.
"We are excited about our new brands' growth potential and firmly believe that this strategic transformation will help us navigate the highly competitive market and uncertain economic environment. By strengthening our business operations and improving profitability, we aim to create greater value for our shareholders," Mr He concluded.
Apparel Brands Business Update
Brand Matrix Strategy
In light of 2024's intense market competition and overall economic uncertainty, the Company has adopted a brand matrix strategy, launching two apparel brands in quick succession to cover different market segments, expand market share, and enhance the Company's risk resistance. Through multi-brand operations, the Company can meet diverse consumer needs, increase customer retention, and maximize brand value.
The first brand is Ador, a women's fashion brand targeting women aged 35-55. The second is a golf apparel brand focusing on female golfers aged 35 and above. With overlapping target audiences, the two brands will share similar customer profiles, such as body characteristics, family structure and income level, creating business synergies and driving efficiency across product design, photography style, marketing channels, pricing strategies and more.
Building on this experience, the Company may launch another new brand this year in apparel to further strengthen our brand matrix. We intend to leverage the infrastructure we established in 2024, such as design studios, photography capabilities, and supply chain resources, to more efficiently develop and launch new brands going forward.
About LightInTheBox Holding Co., Ltd.:
LightInTheBox is a global specialty retail company, providing a diverse range of affordable lifestyle products directly to consumers worldwide since 2007. In 2024, the Company shifted its focus to apparel design and launched its first proprietary brand, Ador.com, to meet the growing global demand for accessible higher-end fashion. Ador.com specializes in designer-quality clothing for women aged 35-55 at competitive prices and operates design studios and sample shops in both the
For more information, please visit https://ir.ador.com.
Non-GAAP Financial Measure
In evaluating the business, the Company considers and uses a non-GAAP measure, Adjusted EBITDA, as a supplemental measure to review and assess operating performance. The presentation of this non-GAAP financial measure is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with accounting principles generally accepted in
The Company presents this non-GAAP financial measure because it is used by management to evaluate operating performance and formulate business plans. The Company believes that the non-GAAP financial measure helps identify underlying trends in its business. The Company also believes that the non-GAAP financial measure could provide further information about the Company's results of operations and enhance the overall understanding of the Company's past performance and future prospects.
The non-GAAP financial measure is not defined under
For more information on the non-GAAP financial measure, please see the table captioned "Unaudited and Unreviewed Reconciliations of GAAP and Non-GAAP Results" set forth at the end of this press release.
Safe Harbor Statement:
This press release contains forward-looking statements that involve risks and uncertainties. These statements are made under the "safe harbor" provisions of the
LightInTheBox may also make written or oral forward-looking statements in its periodic reports to the
Investor Relations Contact
Investor Relations
LightInTheBox Holding Co., Ltd.
Email: ir@ador.com
Jenny Cai
Piacente Financial Communications
Email: ador@tpg-ir.com
Brandi Piacente
Piacente Financial Communications
Tel: +1-212-481-2050
Email: ador@tpg-ir.com
LightInTheBox Holding Co., Ltd. Unaudited and Unreviewed Condensed Consolidated Balance Sheets ( | ||||||||
As of December 31, | As of December 31, | |||||||
2023 | 2024 | |||||||
ASSETS | ||||||||
Current Assets | ||||||||
Cash and cash equivalents | 66,425 | 17,945 | ||||||
Restricted cash | 5,279 | 1,800 | ||||||
Accounts receivable, net of allowance for credit losses | 634 | 976 | ||||||
Inventories | 5,767 | 3,641 | ||||||
Prepayments and other current assets | 6,875 | 2,610 | ||||||
Total current assets | 84,980 | 26,972 | ||||||
Property and equipment, net | 2,789 | 2,185 | ||||||
Intangible assets, net | 3,604 | 2,745 | ||||||
Goodwill | 27,393 | 26,663 | ||||||
Operating lease right-of-use assets | 6,559 | 9,930 | ||||||
Long-term rental deposits | 392 | 806 | ||||||
Long-term investments | - | 73 | ||||||
Other non-current assets | 592 | - | ||||||
TOTAL ASSETS | 126,309 | 69,374 | ||||||
LIABILITIES AND STOCKHOLDERS' DEFICIT | ||||||||
Current Liabilities | ||||||||
Short-term borrowings | - | 685 | ||||||
Accounts payable | 15,846 | 10,378 | ||||||
Advance from customers | 17,001 | 8,357 | ||||||
Operating lease liabilities | 5,046 | 4,047 | ||||||
Accrued expenses and other current liabilities | 94,622 | 54,091 | ||||||
Total current liabilities | 132,515 | 77,558 | ||||||
Operating lease liabilities | 1,915 | 4,780 | ||||||
Deferred tax liabilities | 154 | 101 | ||||||
Unrecognized tax benefits | 107 | 107 | ||||||
TOTAL LIABILITIES | 134,691 | 82,546 | ||||||
STOCKHOLDERS' DEFICIT | ||||||||
Ordinary shares | 17 | 17 | ||||||
Additional paid-in capital | 283,137 | 282,766 | ||||||
Treasury shares | (30,359) | (30,880) | ||||||
Statutory reserves | - | 390 | ||||||
Accumulated other comprehensive loss | (1,856) | (3,265) | ||||||
Accumulated deficit | (259,321) | (262,200) | ||||||
TOTAL STOCKHOLDERS' DEFICIT | (8,382) | (13,172) | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT | 126,309 | 69,374 | ||||||
LightInTheBox Holding Co., Ltd. Unaudited and Unreviewed Condensed Consolidated Statements of Operations ( | ||||||||||||||||
Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||||||
2023 | 2024 | 2023 | 2024 | |||||||||||||
Revenues | ||||||||||||||||
Product sales | 130,905 | 55,093 | 617,240 | 243,700 | ||||||||||||
Services and others | 4,651 | 2,657 | 12,188 | 11,587 | ||||||||||||
Total revenues | 135,556 | 57,750 | 629,428 | 255,287 | ||||||||||||
Cost of revenues | ||||||||||||||||
Product sales | (58,597) | (22,711) | (265,964) | (98,926) | ||||||||||||
Services and others | (1,574) | (1,122) | (3,532) | (2,869) | ||||||||||||
Total Cost of revenues | (60,171) | (23,833) | (269,496) | (101,795) | ||||||||||||
Gross profit | 75,385 | 33,917 | 359,932 | 153,492 | ||||||||||||
Operating expenses | ||||||||||||||||
Fulfillment | (8,050) | (4,016) | (34,916) | (18,932) | ||||||||||||
Selling and marketing | (65,785) | (23,135) | (302,694) | (111,919) | ||||||||||||
General and administrative | (6,758) | (6,189) | (34,078) | (25,735) | ||||||||||||
Other operating income | 353 | 48 | 1,361 | 876 | ||||||||||||
Total operating expenses | (80,240) | (33,292) | (370,327) | (155,710) | ||||||||||||
(Loss) / income from operations | (4,855) | 625 | (10,395) | (2,218) | ||||||||||||
Interest income | 116 | 3 | 350 | 90 | ||||||||||||
Interest expense | (1) | - | (4) | - | ||||||||||||
Other income / (expense), net | 466 | (220) | 499 | (400) | ||||||||||||
Total other income / (expense) | 581 | (217) | 845 | (310) | ||||||||||||
(Loss) / income before income taxes | (4,274) | 408 | (9,550) | (2,528) | ||||||||||||
Income tax benefit / (expense) | 8 | 44 | (40) | 39 | ||||||||||||
Net (loss) / income | (4,266) | 452 | (9,590) | (2,489) | ||||||||||||
Net (loss) / income attributable to | (4,266) | 452 | (9,590) | (2,489) | ||||||||||||
Weighted average numbers of shares used in | ||||||||||||||||
-Basic | 224,236,751 | 220,658,110 | 225,940,602 | 221,126,969 | ||||||||||||
-Diluted | 224,236,751 | 221,012,821 | 225,940,602 | 221,126,969 | ||||||||||||
Net (loss) / income per ordinary share | ||||||||||||||||
-Basic | (0.02) | 0.00 | (0.04) | (0.01) | ||||||||||||
-Diluted | (0.02) | 0.00 | (0.04) | (0.01) | ||||||||||||
Net (loss) / income per ADS (12 ordinary | ||||||||||||||||
-Basic | (0.23) | 0.02 | (0.51) | (0.14) | ||||||||||||
-Diluted | (0.23) | 0.02 | (0.51) | (0.14) | ||||||||||||
LightInTheBox Holding Co., Ltd. Unaudited and Unreviewed Reconciliations of GAAP and Non-GAAP Results ( | ||||||||||||||||
Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||||||
2023 | 2024 | 2023 | 2024 | |||||||||||||
Net (loss) / income | (4,266) | 452 | (9,590) | (2,489) | ||||||||||||
Less: Interest income | 116 | 3 | 350 | 90 | ||||||||||||
Interest expense | (1) | - | (4) | - | ||||||||||||
Income tax benefit / (expense) | 8 | 44 | (40) | 39 | ||||||||||||
Depreciation and amortization | (756) | (510) | (3,177) | (2,198) | ||||||||||||
EBITDA | (3,633) | 915 | (6,719) | (420) | ||||||||||||
Less: Share-based compensation | (326) | (49) | (415) | (345) | ||||||||||||
Adjusted EBITDA* | (3,307) | 964 | (6,304) | (75) | ||||||||||||
* Adjusted EBITDA represents net (loss) / income before share-based compensation expense, interest income, interest |
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SOURCE LightInTheBox Holding Co., Ltd.
FAQ
What caused LITB's revenue decline in Q4 2024?
How did LITB's gross margin improve in 2024?
What new brands did LITB launch in 2024?
How much did LITB reduce its operating expenses in 2024?
What is LITB's financial outlook for 2025?
