SHANGHAI, Dec. 2, 2021 /PRNewswire/ -- LightInTheBox
Holding Co., Ltd. (NYSE: LITB) ("LightInTheBox" or the
"Company"), a cross-border e-commerce platform that delivers
products directly to consumers around the world, today announced
its unaudited financial results for the third quarter ended
September 30, 2021.
Third Quarter and First Nine Months 2021 Financial
Highlights
|
|
Three
Months Ended
|
|
Year-over-
Year %
Change
|
|
Nine Months
Ended
|
|
Year-over-
Year %
Change
|
In
millions, except percentages
|
|
September
30,
|
|
September
30,
|
|
|
September
30,
|
|
September
30,
|
|
2020
|
|
2021
|
2020
|
|
2021
|
|
Total
revenues
|
|
$
|
100.0
|
|
$
|
98.7
|
|
-1.3%
|
|
$
|
265.4
|
|
$
|
333.0
|
|
25.5%
|
- Apparel
sales
|
|
$
|
44.4
|
|
$
|
61.9
|
|
39.6%
|
|
$
|
95.7
|
|
$
|
196.3
|
|
105.1%
|
Gross
margin
|
|
43.1%
|
|
44.5%
|
|
|
|
43.9%
|
|
46.0%
|
|
|
Net income /
(loss)
|
|
$
|
7.3
|
|
$
|
(6.1)
|
|
|
|
$
|
16.5
|
|
$
|
4.7
|
|
-71.5%
|
Adjusted
EBITDA
|
|
$
|
12.7
|
|
$
|
(5.1)
|
|
|
|
$
|
23.3
|
|
$
|
11.7
|
|
-49.8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31,
|
|
As of September 30,
|
|
|
In
millions
|
|
2020
|
|
2021
|
|
|
Cash, cash
equivalents and restricted cash
|
|
$
|
65.5
|
|
$
|
50.2
|
|
|
Mr. Jian He, Chief Executive Officer of LightInTheBox,
commented, "We experienced certain cost pressures and challenging
global economic conditions this quarter, which caused our results
to be materially affected by external factors including higher than
anticipated digital advertising cost, new European laws on VAT and
market regulation on certain products, and changes in consumer
sentiment and spending. Our operational costs were also affected by
rising shipping and delivery cost, and fluctuation in foreign
exchange rates. Despite the challenging economic environment, we
are always optimizing our product mix especially for the higher
margin apparel categories compared to standard categories like
electronics. Our strength and experience in apparel has given us
the capabilities to quickly respond to market uncertainties and
meet the demand of evolving fashion trends. We remain committed to
our proven growth strategy that capitalizes on our advantages in
value-added services for online purchases and provides consumers
with a well curated variety of globally sourced quality products.
Total revenues for the third quarter were $98.7 million, compared with $100.0 million in the same quarter of 2020, while
gross margin improved to 44.5 percent. During the third
quarter, apparel sales represented 64.5% of our total product
sales, up by 39.6% to $61.9 million
in the third quarter of 2021 compared with $44.4 million of the same quarter in the prior
year, which was largely attributed to our continuous efforts in
R&D to provide trending fashion insights to our designers and
suppliers. We remain firmly on course with our growth momentum and
our values and are always reaching beyond our customers'
expectations as their comprehensive and reliable shopping
destination of choice."
Third Quarter 2021 Financial Results
Total revenues remained relatively stable year-over-year,
which were $98.7 million and
$100.0 million in the third quarter
of 2021 and 2020, respectively. Revenues generated from product
sales were $96.0 million, compared
with $95.4 million in the same
quarter of 2020. Revenues from service and others were $2.7 million, compared with $4.6 million in the same quarter of 2020.
Included in product sales, revenues from apparel increased by 39.6%
to $61.9 million in the third quarter
of 2021, compared with $44.4 million
in the same quarter of 2020. Revenues from apparel represented
64.5% of total product sales in the third quarter of 2021, and
46.5% in the same quarter of 2020.
Total cost of revenues was $54.8
million in the third quarter of 2021, compared with
$56.9 million in the same quarter of
2020. Cost for product sales was $54.0
million in the third quarter of 2021, compared with
$53.9 million in the same quarter of
2020. Cost for service and others was $0.8
million in the third quarter of 2021, compared with
$3.1 million in the same quarter of
2020.
Gross profit in the third quarter of 2021 was
$43.9 million, compared with
$43.1 million in the same quarter of
2020. Gross margin was 44.5% in the third quarter of 2021, compared
with 43.1% in the same quarter of 2020. The increase in gross
margin was a result of the Company's continuous efforts to optimize
our product mix.
Total operating expenses in the third quarter of 2021
were $50.5 million, compared with
$41.5 million in the same quarter of
2020.
- Fulfillment expenses in the third quarter of 2021 were
$7.2 million, compared with
$6.7 million in the same quarter of
2020. As a percentage of total revenues, fulfillment expenses were
7.3% in the third quarter of 2021, compared with 6.7% in the same
quarter of 2020 and 6.2% in the second quarter of 2021.
- Selling and marketing expenses in the third quarter of
2021 were $34.0 million, compared
with $26.9 million in the same
quarter of 2020. As a percentage of total revenues, selling and
marketing expenses were 34.4% for the third quarter of 2021,
compared with 26.9% in the same quarter of 2020 and 35.6% in the
second quarter of 2021.
- G&A expenses in the third quarter of 2021 were
$9.3 million, compared with
$7.9 million in the same quarter of
2020. As a percentage of total revenues, G&A expenses were 9.4%
for the third quarter of 2021, compared with 7.9% in the same
quarter of 2020 and 7.8% in the second quarter of 2021. Included in
G&A expenses, R&D expenses in the third quarter of 2021
were $5.5 million, compared with
$3.5 million in the same quarter of
2020 and $5.1 million in the second
quarter of 2021.
Loss from operations was $6.6
million in the third quarter of 2021, compared with income
from operations of $1.6 million in
the same quarter of 2020.
Other income, net in the third quarter of 2021 was
$0.4 million, compared with
$9.0 million in the same quarter of
2020. Included in other income, net in the third quarter of 2020,
$8.9 million was derived from change
in fair value on our equity investment. The gain in fair value
change on our equity investment, after respective income tax of
$3.2 million, was $5.7 million.
Net loss was $6.1 million
in the third quarter of 2021, compared with net income of
$7.3 million in the same quarter of
2020.
Net loss per American Depository Share ("ADS") was
$0.05 in the third quarter of 2021,
compared with net income per ADS of $0.07 in the same quarter of 2020. Each ADS
represents two ordinary shares.
In the third quarter of 2021, the Company's basic weighted
average number of ADSs used in computing the net income per ADS was
112,160,252.
Adjusted EBITDA, which represents income / (loss) from
operations before share-based compensation expense, interest
income, interest expense, income tax expense and depreciation and
amortization expenses, was negative $5.1
million in the third quarter of 2021, compared with
$12.7 million in the same quarter of
2020.
As of September 30, 2021, the
Company had cash and cash equivalents and restricted cash of
$50.2 million, compared with
$65.5 million as of December 31, 2020.
First Nine Months of 2021 Financial Results
Total revenues increased by 25.5% year-over-year to
$333.0 million from $265.4 million in the same period of 2020.
Revenues generated from product sales were $324.7 million, compared with $252.6 million in the same period of 2020.
Revenues from service and others were $8.2
million, compared with $12.8
million in the same period of 2020. Included in product
sales, revenues from apparel increased by 105.1% to $196.3 million in the first nine months of 2021,
compared with $95.7 million in the
same period of 2020. Revenues from apparel represented 60.5% of
total product sales in the first nine months of 2021, and 37.9% in
the same period of 2020.
Total cost of revenues was $179.6
million in the first nine months of 2021, compared with
$148.9 million in the same period of
2020. Cost for product sales was $177.0
million in the first nine months of 2021, compared with
$139.7 million in the same period of
2020. Cost for service and others was $2.6
million in the first nine months of 2021, compared with
$9.2 million in the same period of
2020.
Gross profit in the first nine months of 2021 was
$153.3 million, compared with
$116.5 million in the same period of
2020. Gross margin was 46.0% in the first nine months of 2021,
compared with 43.9% in the same period of 2020. The increase in
gross margin was a result of the Company's continuous efforts to
drive revenues from product categories with higher margins.
Total operating expenses in the first nine months of 2021
were $161.9 million, compared with
$110.0 million in the same period of
2020.
- Fulfillment expenses in the first nine months of 2021
were $22.1 million, compared with
$19.1 million in the same period of
2020. As a percentage of total revenues, fulfillment expenses were
6.6% in the first nine months of 2021, compared with 7.2% in the
same period of 2020.
- Selling and marketing expenses in the first nine months
of 2021 were $113.1 million, compared
with $68.2 million in the same period
of 2020. As a percentage of total revenues, selling and marketing
expenses were 34.0% for the first nine months of 2021, compared
with 25.7% in the same period of 2020.
- G&A expenses in the first nine months of 2021 were
$27.2 million, compared with
$22.7 million in the same period of
2020. As a percentage of total revenues, G&A expenses were 8.2%
for the first nine months of 2021, compared with 8.6% in the same
period of 2020. Included in G&A expenses, R&D expenses in
the first nine months of 2021 were $15.5
million, compared with $10.4
million in the same period of 2020.
Loss from operations was $8.6
million in the first nine months of 2021, compared with
income from operations of $6.6
million in the same period of 2020.
Other income, net was $17.6
million in the first nine months of 2021, compared with
$13.2 million in the same period of
2020. Included in other income, net, change in fair value on our
equity investment was $17.1 million
in the first nine months of 2021, compared with $12.7 million in the same period of 2020. The
gain in fair value change on our equity investment, after
respective income tax of $4.3
million, was $12.8 million in
the first nine months of 2021, compared with $9.5 million after respective income tax of
$3.2 million in the same period of
2020.
Net income was $4.7 million
in the first nine months of 2021, compared with $16.5 million in the same period of 2020.
Net income per American Depository Share ("ADS") was
$0.04 in the first nine months of
2021, compared with $0.15 in the same
period of 2020. Each ADS represents two ordinary shares. The
diluted net income per ADS for the first nine months of 2021 was
$0.04, compared with $0.15 in the same period of 2020.
In the first nine months of 2021, the Company's basic weighted
average number of ADSs used in computing the net income per ADS was
112,110,030, and 113,307,665 in diluted weighted average
number.
Adjusted EBITDA, which represents income from operations
before share-based compensation expense, interest income, interest
expense, income tax expense and depreciation and amortization
expenses, was $11.7 million in the
first nine months of 2021, compared with $23.3 million in the same period of 2020.
Non-GAAP Financial Measures
To supplement our consolidated financial statements, which are
prepared and presented in accordance with U.S. GAAP, we use the
following non-GAAP financial measures to help evaluate our
operating performance:
"Adjusted EBITDA" represents income from operations before
share-based compensation expense, interest income, interest
expense, income tax expense and depreciation and amortization
expenses. Although other companies may calculate adjusted EBITDA
differently or not present it at all, we believe that the adjusted
EBITDA helps to identify underlying trends in our operating
results, and facilitate investors' understanding of the past
performance and future prospect.
Conference Call
The Company will hold a conference call to discuss the results
at 8:00 a.m. Eastern Time on December
2, 2021 (9:00 p.m. Beijing Time on the same day).
Preregistration Information
Participants can register for the conference call by navigating
to http://apac.directeventreg.com/registration/event/5878276.
Once preregistration has been completed, participants will receive
dial-in numbers, an event passcode, and a unique registrant ID.
To join the conference, simply dial the number in the calendar
invite you receive after preregistering, enter the event passcode
followed by your unique registrant ID, and you will be joined to
the conference instantly.
A telephone replay will be available two hours after the
conclusion of the conference call through December 9, 2021. The dial-in details are:
US/Canada:
|
+1-855-452-5696
|
Hong Kong:
|
800-963-117
|
International:
|
+61-2-8199-0299
|
Passcode:
|
5878276
|
Additionally, a live and archived webcast of the conference call
will be available on the Company's Investor Relations website at
http://ir.lightinthebox.com.
About LightInTheBox Holding Co., Ltd.
LightInTheBox is a cross-border e-commerce platform that
delivers products directly to consumers around the world. The
Company offers customers a convenient way to shop for a wide
selection of products at attractive prices through its
www.lightinthebox.com, www.miniinthebox.com, www.ezbuy.sg and other
websites and mobile applications, which are available in 25 major
languages and cover more than 140 countries.
For more information, please visit www.lightinthebox.com.
Investor Relations Contact
Christensen
Ms. Xiaoyan Su
Tel: +86 (10) 5900 1548
Email: ir@lightinthebox.com
OR
Christensen
Ms. Linda Bergkamp
Tel: +1-480-614-3004
Email: lbergkamp@ChristensenIR.com
Forward-Looking Statements
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates," "potential," "continue," "ongoing,"
"targets" and similar statements. Among other things, statements
that are not historical facts, including statements about
LightInTheBox's beliefs and expectations, the business outlook and
quotations from management in this announcement, as well as
LightInTheBox's strategic and operational plans, are or contain
forward-looking statements.
LightInTheBox may also make written or oral forward-looking
statements in its periodic reports to the U.S. Securities and
Exchange Commission (the "SEC"), in press releases and other
written materials and in oral statements made by its officers,
directors or employees to fourth parties. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward- looking statement, including but not
limited to the following: LightInTheBox's goals and strategies;
LightInTheBox's future business development, results of operations
and financial condition; the expected growth of the global online
retail market; LightInTheBox's ability to attract customers and
further enhance customer experience and product offerings;
LightInTheBox's ability to strengthen its supply chain efficiency
and optimize its logistics network; LightInTheBox's expectations
regarding demand for and market acceptance of its products;
competition; fluctuations in general economic and business
conditions and assumptions underlying or related to any of the
foregoing. Further information regarding these and other risks is
included in LightInTheBox's filings with the SEC. All information
provided in this press release and in the attachments is as of the
date of this press release, and LightInTheBox does not undertake
any obligation to update any forward-looking statement, except as
required under applicable law.
LightInTheBox
Holding Co., Ltd.
|
Unaudited
Condensed Consolidated Balance Sheets
|
(U.S. dollars in
thousands, or otherwise noted)
|
|
|
|
|
|
|
|
As of December 31,
|
|
As of September 30,
|
|
|
2020
|
|
2021
|
ASSETS
|
|
|
|
|
Current
Assets
|
|
|
|
|
Cash and cash
equivalents
|
|
61,477
|
|
47,325
|
Restricted
cash
|
|
4,052
|
|
2,870
|
Accounts receivable,
net of allowance for doubtful accounts
|
|
1,302
|
|
497
|
Amounts due from
related parties
|
|
2,882
|
|
2,762
|
Inventories
|
|
9,919
|
|
11,156
|
Prepaid expenses and
other current assets
|
|
5,176
|
|
6,411
|
Total current
assets
|
|
84,808
|
|
71,021
|
Property and
equipment, net
|
|
3,812
|
|
3,461
|
Intangible assets,
net
|
|
9,416
|
|
8,657
|
Goodwill
|
|
29,745
|
|
30,113
|
Operating lease
right-of-use assets
|
|
12,243
|
|
8,530
|
Long-term rental
deposits
|
|
707
|
|
781
|
Long-term
investments
|
|
17,297
|
|
34,730
|
TOTAL
ASSETS
|
|
158,028
|
|
157,293
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
Current
Liabilities
|
|
|
|
|
Accounts
payable
|
|
16,953
|
|
17,444
|
Amounts due to
related parties
|
|
167
|
|
167
|
Advance from
customers
|
|
33,279
|
|
23,114
|
Operating lease
liabilities
|
|
4,269
|
|
2,941
|
Accrued expenses and
other current liabilities
|
|
42,183
|
|
44,648
|
Total current
liabilities
|
|
96,851
|
|
88,314
|
|
|
|
|
|
Operating lease
liabilities
|
|
8,118
|
|
5,817
|
Long-term
payable
|
|
124
|
|
89
|
Deferred tax
liability
|
|
3,558
|
|
7,907
|
TOTAL
LIABILITIES
|
|
108,651
|
|
102,127
|
|
|
|
|
|
EQUITY
|
|
|
|
|
Ordinary
shares
|
|
17
|
|
17
|
Additional paid-in
capital
|
|
282,260
|
|
282,515
|
Treasury shares, at
cost
|
|
(30,207)
|
|
(29,992)
|
Accumulated other
comprehensive income
|
|
1,795
|
|
2,489
|
Accumulated
deficit
|
|
(204,571)
|
|
(199,986)
|
Non-controlling
interests
|
|
83
|
|
123
|
TOTAL
EQUITY
|
|
49,377
|
|
55,166
|
TOTAL LIABILITIES AND
EQUITY
|
|
158,028
|
|
157,293
|
LightInTheBox
Holding Co., Ltd.
|
Unaudited
Condensed Consolidated Statements of Operations
|
(U.S. dollars in
thousands, except per share data, or otherwise
noted)
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
Nine
Months Ended
|
|
|
September
30,
|
|
September
30,
|
|
September
30,
|
|
September
30,
|
2020
|
|
2021
|
2020
|
|
2021
|
Revenues
|
|
|
|
|
|
|
|
|
Product
sales
|
|
95,426
|
|
95,961
|
|
252,597
|
|
324,720
|
Services
and others
|
|
4,584
|
|
2,744
|
|
12,809
|
|
8,233
|
Total
revenues
|
|
100,010
|
|
98,705
|
|
265,406
|
|
332,953
|
Cost of
revenues
|
|
|
|
|
|
|
|
|
Product
sales
|
|
(53,857)
|
|
(54,018)
|
|
(139,726)
|
|
(177,051)
|
Services
and others
|
|
(3,081)
|
|
(784)
|
|
(9,157)
|
|
(2,592)
|
Total Cost of
revenues
|
|
(56,938)
|
|
(54,802)
|
|
(148,883)
|
|
(179,643)
|
Gross
profit
|
|
43,072
|
|
43,903
|
|
116,523
|
|
153,310
|
Operating
expenses
|
|
|
|
|
|
|
|
|
Fulfillment
|
|
(6,661)
|
|
(7,196)
|
|
(19,124)
|
|
(22,061)
|
Selling
and marketing
|
|
(26,880)
|
|
(33,991)
|
|
(68,159)
|
|
(113,113)
|
General
and administrative
|
|
(7,908)
|
|
(9,310)
|
|
(22,693)
|
|
(27,220)
|
Other
operating income
|
|
(56)
|
|
37
|
|
16
|
|
445
|
Total operating
expenses
|
|
(41,505)
|
|
(50,460)
|
|
(109,960)
|
|
(161,949)
|
Income / (Loss) from
operations
|
|
1,567
|
|
(6,557)
|
|
6,563
|
|
(8,639)
|
Interest
income
|
|
4
|
|
27
|
|
57
|
|
47
|
Interest
expense
|
|
(35)
|
|
(3)
|
|
(78)
|
|
(11)
|
Other income,
net*
|
|
8,960
|
|
368
|
|
13,174
|
|
17,577
|
Total other
income
|
|
8,929
|
|
392
|
|
13,153
|
|
17,613
|
Income / (Loss)
before income taxes
|
|
10,496
|
|
(6,165)
|
|
19,716
|
|
8,974
|
Income tax benefit /
(expense)
|
|
(3,188)
|
|
29
|
|
(3,187)
|
|
(4,260)
|
Net income /
(loss)
|
|
7,308
|
|
(6,136)
|
|
16,529
|
|
4,714
|
Less: Net (loss) /
income attributable to non-controlling
interests
|
|
(98)
|
|
(121)
|
|
20
|
|
40
|
Net income / (loss)
attributable to LightInTheBox
Holding Co., Ltd.
|
|
7,406
|
|
(6,015)
|
|
16,509
|
|
4,674
|
|
|
|
|
|
|
|
|
|
Weighted average
numbers of shares used in calculating
income / (loss) per ordinary share
|
|
|
|
|
|
|
|
|
—Basic
|
|
220,599,987
|
|
224,320,504
|
|
217,124,431
|
|
224,220,060
|
—Diluted
|
|
223,820,121
|
|
224,320,504
|
|
224,779,416
|
|
226,615,330
|
|
|
|
|
|
|
|
|
|
Net income / (loss)
per ordinary share
|
|
|
|
|
|
|
|
|
—Basic
|
|
0.03
|
|
(0.03)
|
|
0.08
|
|
0.02
|
—Diluted
|
|
0.03
|
|
(0.03)
|
|
0.07
|
|
0.02
|
|
|
|
|
|
|
|
|
|
Net income / (loss)
per ADS (2 ordinary shares equal to
1 ADS)
|
|
|
|
|
|
|
|
|
—Basic
|
|
0.07
|
|
(0.05)
|
|
0.15
|
|
0.04
|
—Diluted
|
|
0.07
|
|
(0.05)
|
|
0.15
|
|
0.04
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*Other income, net
mainly includes change in fair value on our equity
investment.
|
LightInTheBox
Holding Co., Ltd.
|
Unaudited
Reconciliations of GAAP and Non-GAAP Results
|
(U.S. dollars in
thousands, or otherwise noted)
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
Nine
Months Ended
|
|
|
September
30,
|
|
September
30,
|
|
September
30,
|
|
September
30,
|
2020
|
|
2021
|
2020
|
|
2021
|
|
|
|
|
|
|
|
|
|
Net income /
(loss)
|
|
7,308
|
|
(6,136)
|
|
16,529
|
|
4,714
|
|
|
|
|
|
|
|
|
|
Less: Interest
income
|
|
4
|
|
27
|
|
57
|
|
47
|
Interest
expense
|
|
(35)
|
|
(3)
|
|
(78)
|
|
(11)
|
Income tax
benefit / (expense)
|
|
(3,188)
|
|
29
|
|
(3,187)
|
|
(4,260)
|
Depreciation and amortization
|
|
(633)
|
|
(990)
|
|
(1,770)
|
|
(2,482)
|
EBITDA
|
|
11,160
|
|
(5,199)
|
|
21,507
|
|
11,420
|
|
|
|
|
|
|
|
|
|
Less: Share-based
compensation
|
|
(1,525)
|
|
(57)
|
|
(1,754)
|
|
(255)
|
Adjusted
EBITDA*
|
|
12,685
|
|
(5,142)
|
|
23,261
|
|
11,675
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Adjusted EBITDA
represents income from operations before share-based compensation
expense, interest income, interest expense, income tax expense and
depreciation and
amortization expenses.
|
View original
content:https://www.prnewswire.com/news-releases/lightinthebox-reports-third-quarter-2021-financial-results-301436026.html
SOURCE LightInTheBox Holding Co., Ltd.