LightInTheBox has announced the Q1 2020 financial results of the company. According to the details shared by the company, the company has generated the total revenue up to $51.5 million in the first quarter of 2020. The gross margin of the company expanded from 40.4% to 46.4% in the Q1 2020 as compared to the 34.8% of the previous quarter of 2019.
The company has reported adjusted EBITDA of $1.4 million in the Q1 2020 as compared to the loss of $7.9 million in the previous quarter of 2019. The GAAP profitability of the company significantly affects due to the recent Covid-19 pandemic and reaches $0.7 million in the Q1 2020 as compared to the previous quarter of 2019.
Chief Executive Officer of LightInTheBox, Mr. Jian He said, “We responded quickly and decisively to the outbreak of COVID-19 by implementing a number of strategic initiatives to provide us with the flexibility needed to adapt to a challenging global economic environment. Seasonally, the first quarter is generally the slowest quarter of the year, so the COVID-19 induced economic disruption made the operating environment even more difficult.”
“We took advantage of the temporary slowdown to deepen relationships with high-quality suppliers, optimize our product portfolio and category mix, and improve order fulfillment speed. We also prioritized the health and safety of our employees to ensure business continuity and adequately prepare for the resumption of normal operations while demonstrating our commitment to corporate social responsibility by including free medical face masks in numerous orders shipped to markets that were being impacted heavily by the pandemic,” Mr. Jian He further added.
“Despite the challenging operational environment, our financial results this quarter are a reflection of our ability to adapt and is highlighted by our third and consecutive quarter of GAAP profitability which I believe demonstrates the long-term growth trajectory we are on. We remain focused on executing our strategy and are very encouraged by our improvements to date,” Mr. Jian concluded.