This article first appeared on GuruFocus .
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Revenue:$52 million, up 11% year-over-year.
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Gross Profit:$34 million, up 10% year-over-year.
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Gross Margin:Stable at 65%.
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Operating Expenses:Increased 7% year-over-year to $33 million.
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Fulfillment Expenses:Increased by 5% to $4 million.
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Selling and Marketing Expenses:Increased by 13% to $25 million.
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General and Administrative Expenses:Decreased by 15% to $4 million.
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Operating Expenses as a Percentage of Revenue:Decreased from 65% to 63%.
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Net Income:$1.2 million, compared to $0.1 million in the same quarter last year.
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Branded Apparel Revenue:Grew over 81% year-over-year, accounting for 24% of total revenue.
Release Date: May 12, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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LightInTheBox Holding Co Ltd ( NYSE:LITB ) achieved its eighth consecutive profitable quarter with a record first-quarter profit of $1.2 million.
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The company reported a second consecutive quarter of year-over-year revenue growth, with revenues increasing by 11% to $52 million.
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Branded apparel business grew over 81% year-over-year, now accounting for 24% of total revenue, up from 15% in the first quarter of 2025.
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Gross profit increased by 10% year-over-year to $34 million, with a stable gross margin of 65%.
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Total operating expenses as a percentage of revenue decreased from 65% to 63%, indicating improved cost efficiency.
Negative Points
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Q1 is typically the weakest period for LightInTheBox Holding Co Ltd ( NYSE:LITB ) due to business seasonality.
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Selling and marketing expenses increased by 13% to $25 million, which could impact future profitability if not managed.
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Fulfillment expenses rose by 5% to $4 million, reflecting increased costs associated with revenue growth.
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Despite revenue growth, total operating expenses increased by 7% year-over-year to $33 million.
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The company did not provide specific guidance for future quarters, leaving uncertainty about sustained growth.
Q & A Highlights
Q: Can you provide an overview of LightInTheBox's financial performance in Q1 2026? A: He Jian, CEO, reported that LightInTheBox achieved its eighth consecutive profitable quarter with a record first-quarter profit of $1.2 million, compared to $0.1 million in the same quarter last year. Revenue grew by 11% year-over-year to $52 million, marking the second consecutive quarter of revenue growth. The branded apparel business saw significant growth, increasing by 81% year-over-year and accounting for 24% of total revenue.
Q: What were the key factors contributing to the revenue growth in Q1 2026? A: He Jian, CEO, attributed the revenue growth to the successful execution of the company's strategy to evolve into a consumer lifestyle company. This includes offering highly customized products for festivals and special occasions, and implementing a brand matrix strategy across women's fashion, golf apparel, and light party jerseys, which has driven stronger customer engagement and loyalty.
Q: How did LightInTheBox manage its operating expenses in Q1 2026? A: Suhai Ji, CFO, stated that total operating expenses increased by 7% year-over-year to $33 million. Fulfillment expenses rose by 5% to $4 million, while selling and marketing expenses increased by 13% to $25 million. However, general and administrative expenses decreased by 15% to $4 million. Overall, operating expenses as a percentage of revenue decreased from 65% to 63%.
Q: What is the outlook for LightInTheBox for the rest of 2026? A: He Jian, CEO, expressed confidence in continued revenue and profit growth throughout 2026, supported by sustained profitability, disciplined cost control, and an ongoing share repurchase program. The company is well-positioned to enhance shareholder value.
Q: How did LightInTheBox's gross profit and margin perform in Q1 2026? A: Suhai Ji, CFO, reported that the gross profit for Q1 2026 was $34 million, up 10% year-over-year. The gross margin remained relatively stable at 65%, reflecting the company's effective cost management and revenue growth strategies.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
