Mecox Lane Cuts Q3 2012 Loss to USD 6.5 Mln
Mecox Lane, 11/21/12
Chinese B2C mail-order e-commerce company Mecox Lane (Nasdaq: MCOX) has announced its financial results for the three months ended September 30, 2012. Q3 2012 net revenues were USD 36.0 mln, down 32.3% YoY from USD 53.1 mln in the third quarter of 2011.
Loss from operations was USD 6.5 mln, as compared to a loss from operations of USD 12.8 mln in the third quarter of 2011.
The decrease in revenue was primarily attributed to the decrease in net revenues from the company's Internet platform, as well as lower revenues from the company's call center and stores.
Net revenues from the company's Internet platform were USD 17.2 mln in the third quarter of 2012, representing a decrease of 42.8% YoY from USD 30.0 mln in the third quarter of 2011. The decrease was primarily attributed to a 46% decrease in the number of average monthly unique visitors as a result of the company's decision to limit its online advertising.
Net revenues from the company's call center were USD 11.0 mln in the third quarter of 2012, representing a decrease of 8.2% YoY from USD 12.0 mln in the third quarter of 2011. The decrease was primarily attributed to a decline in orders placed through the call center, which is consistent with the continuing market-wide trend in consumer behavior in China toward e-commerce shopping, along with a reduction in the company's catalog circulation.
Net revenues from directly operated stores were USD 3.8 mln in the third quarter of 2012, representing a decrease of 33.9% YoY from USD 5.8 mln in the third quarter of 2011. The decrease was primarily due to a decline in the number of directly operated stores from an average of 115 stores in the third quarter of 2011 to an average of 85 stores in the third quarter of 2012, as well as a decrease in average store sales.
Net revenues from franchised stores were USD 4.0 mln in the third quarter of 2012, representing a decrease of 25.0% YoY from USD 5.3 mln in the third quarter of 2011. The decrease in net revenues was primarily due to a decline in the number of franchised stores from an average of 300 stores in the third quarter of 2011 to an average of 265 stores in the third quarter of 2012, as well as a decrease in average store sales.
To view the complete report please see here.
Keywords: e-commerce m18.com Internet loss revenue B2C MCOX Mecox Lane Q3 2012 fiscal report
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