LightInTheBox (LITB) Q1 2025 earnings summary

Executive summary

• Achieved four consecutive quarters of profitability, with Q1 2025 net income of $0.1 million versus a $3.8 million loss year-over-year.

• Strategic shift to high-margin proprietary apparel brands drove improved gross margin and sustained profitability despite a 34% revenue decline.

• CEO highlights successful brand transformation, higher repurchase rates, and invitations for new brands to enter physical retail.

Financial highlights

• Q1 2025 total revenues were $47.0 million, down 34% year-over-year, reflecting a focus on margin over market share.

• Gross profit was $30.6 million, down from $41.4 million, but gross margin improved to 65.2% from 58.2% year-over-year.

• Operating expenses declined 33% to $30.5 million, with fulfillment, selling/marketing, and G&A all down by similar percentages.

• Adjusted EBITDA was $0.6 million income, compared to a $3.1 million loss in Q1 2024.

• Net income per ADS was $0.01, compared to a loss of $0.21 per ADS in the prior year period.

Outlook and guidance

• Plans to expand distribution channels, enhance brand awareness, and deepen customer loyalty to support sustainable growth.

• Management expresses confidence in transformation and brand initiatives to drive long-term value.