LightInTheBox Holding Co., Ltd. reported its third‑quarter 2025 results, posting a net income of $2.8 million—an increase from $0.3 million in the same quarter a year earlier and the sixth consecutive profitable quarter for the company.
Revenue for the quarter fell 3% year‑over‑year to $57 million, but the nine‑month revenue for the period ended September 30, 2025, declined 18% to $161.4 million. The decline is a significant moderation from the 34% drop in Q1 2025 and the 15% drop in Q2 2025, reflecting a stabilizing legacy e‑commerce business while the direct‑to‑consumer apparel and services initiatives continue to drive profitability.
Gross margin improved to 66.9% in Q3 2025 from 61.1% in Q3 2024, driven by a higher mix of high‑margin proprietary brands such as Ador.com and lower fulfillment costs. Operating expenses remained flat, supporting the margin expansion.
The board authorized a share‑repurchase program up to $0.7 million; as of November 10, 2025, 340,333 ADSs had been repurchased for approximately $0.67 million, underscoring management’s confidence in the company’s valuation and its commitment to returning value to shareholders.
CEO Jian He said the company remains on track for overall revenue growth in 2026, citing momentum in the direct‑to‑consumer strategy and the expansion of its e‑commerce services platform. He highlighted that the shift to high‑margin DTC apparel and bespoke legacy offerings is unlocking scalable growth.
While specific consensus estimates are limited, the company beat expectations on net income, reflecting disciplined cost control and a favorable product mix. The guidance for 2026 revenue growth signals confidence in the transformation strategy.
Headwinds include intense competition in the e‑commerce sector and the need to reverse the year‑to‑date revenue decline, but operational efficiencies and margin expansion provide resilience to the company’s business model.
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