"Looking ahead, we remain steadfast in our strategy of lowering costs and improving efficiency in order to stay competitive in the apparel and accessories retail industry. With the formation of our new joint venture Giosis Mecoxlane, we will refocus on our core strength of providing fashionable, value-for-money branded apparel, as well as health and beauty and other products, to consumers across China. We will also continue to pursue multiple retail channels to increase sales, while also selling through the new M18.com website, redesigned as a brand-neutral online marketplace and operated by our joint venture. Although we expect this transitional period to present short-term challenges, we are confident our strategic refocusing will ultimately enhance Mecox Lane's brand recognition and deliver value to our shareholders."
Fourth Quarter 201 2 Results
Due to the seasonal nature of its business, the Company presents its financial results on a year-over-year basis between the fourth quarter of 2012 and the fourth quarter of 2011, as in the following paragraphs.
Total Net RevenuesTotal net revenues were $39.7 million in the fourth quarter of 2012, representing a decrease of 31.5% from $58.0 million in the fourth quarter of 2011.The decrease was primarily due to the decrease in net revenues from the Company's Internet platform, as well as the decrease in net revenues from the Company's directly operated and franchised stores. Internet Platform Net revenues from the Company's Internet platform were $17.9 million in the fourth quarter of 2012, representing a decrease of 39.1% from $29.4 million in the fourth quarter of 2011. The decrease was primarily attributed to a 36.6% decrease in the number of average monthly unique visitors as a result of the Company's decision to limit its online advertising. Call Center Net revenues from the call center were $14.5 million in the fourth quarter of 2012, representing a slight increase of 0.3% from $14.5 million in the fourth quarter of 2011.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV