What moves the needle: Operating margin has run around −3.1% through the cycle on a 44% gross margin, the operating line in the red even at its best — so the lever is whether the spending below the gross line can come down enough to clear a profit: revenue growth against the cost curve, and the cash runway until it does. The cash cycle has run negative through the cycle (a median of −19 days): the operation is paid before it pays, so working capital releases cash as the business grows rather than tying it up. On its own account, the filing leans hardest on pricing power & competition, set against the numbers in what the filing emphasizes, below.

Every line is arithmetic on the company's filings, shown in full in the sections below.

Where the money comes from

read the 20-F →

Revenue spreads across 3 regions, the largest North America at 59%.

Revenue by geography, FY2025

North America59%$133M
Europe28%$63M
Other regions13%$29M

From the segment footnote of the company's own 20-F. Shares are of total revenue; the profit bar shows each segment's share of segment operating profit, before unallocated corporate costs.

The record

Ten years of arithmetic, read across the cycle.

The record, 2016–2025

realized figures from each filing · older years to the left

2016’16	2017’17	2018’18	2019’19	2020’20	2021’21	2022’22	2023’23	2024’24	2025’25	TTMTTMDec 2025
											Income statement
$292M	$320M	$228M	$244M	$398M	$446M	$504M	$629M	$255M	$224M	$224M	RevenueRevenue
35%	33%	27%	40%	44%	46%	55%	57%	60%	65%	65%	Gross marginGross mgn
($9M)	($10M)	($37M)	($16M)	$4M	($16M)	($14M)	($10M)	($2M)	$8M	$8M	Operating incomeOp. inc.
−3.1%	−3.2%	−16.5%	−6.6%	1.0%	−3.6%	−2.8%	−1.7%	−0.9%	3.6%	3.6%	Operating marginOp. mgn
($9M)	($10M)	($60M)	$1M	$13M	$13M	($57M)	($10M)	($2M)	$8M	$8M	Net incomeNet inc.
—	—	—	10%	20%	42%	—	—	—	-1%	-1%	Effective tax rateTax rate
											Cash flow & returns
($15M)	($15M)	($30M)	$2M	$29M	($2M)	$36M	($21M)	($48M)	$6M	$6M	Operating cash flowOp. cash
$1M	$764K	$572K	$1M	$1M	$1M	$1M	$1M	$1M	$944K	$2M	DepreciationDeprec.
($8M)	($6M)	$29M	($430K)	$15M	($16M)	$91M	($12M)	($47M)	($3M)	($4M)	Working capital & otherWC & other
$334K	$556K	$387K	$917K	$2M	$1M	$817K	$1M	$782K	$42K	$42K	CapexCapex
0.1%	0.2%	0.2%	0.4%	0.6%	0.2%	0.2%	0.2%	0.3%	0.0%	0.0%	Capex / revenueCapex/rev
($16M)	($15M)	($30M)	$965K	$28M	($3M)	$35M	($22M)	($49M)	$6M	$6M	Owner earningsOwner earn.
−5.4%	−4.8%	−13.3%	0.4%	7.1%	−0.6%	7.0%	−3.5%	−19.2%	2.8%	2.8%	Owner earnings marginOE mgn
($16M)	($15M)	($30M)	$965K	$27M	($3M)	$35M	($22M)	($49M)	$6M	$6M	Free cash flowFCF
−5.4%	−4.8%	−13.3%	0.4%	6.8%	−0.6%	7.0%	−3.5%	−19.2%	2.8%	2.8%	Free cash flow marginFCF mgn
$810K	$3M	$3M	$251K	$3M	$0	$0	$2M	$1M	$724K	—	BuybacksBuybacks
-13%	-17%	—	—	—	—	—	—	—	—	15%	Return on equityROE
−13%	−17%	—	—	—	—	—	—	—	—	15%	Retained to equityRetained/eq
											Balance sheet
$90M	$68M	$39M	$38M	$61M	$56M	$89M	$66M	$18M	$24M	$24M	Cash & investmentsCash+inv
$2M	$3M	$1M	$1M	$1M	$2M	$695K	$634K	$976K	$1M	$1M	ReceivablesReceiv.
$11M	$12M	$8M	$7M	$10M	$12M	$14M	$6M	$4M	$5M	$5M	InventoryInvent.
$23M	$22M	$13M	$18M	$17M	$24M	$27M	$16M	$10M	$12M	$12M	Accounts payablePayables
($10M)	($7M)	($3M)	($9M)	($6M)	($10M)	($12M)	($9M)	($6M)	($6M)	($6M)	Operating working capitalOper. WC
$114M	$101M	$56M	$57M	$85M	$84M	$116M	$85M	$27M	$34M	$34M	Current assetsCur. assets
$52M	$53M	$110M	$72M	$97M	$110M	$154M	$133M	$78M	$74M	$74M	Current liabilitiesCur. liab.
2.2×	1.9×	0.5×	0.8×	0.9×	0.8×	0.8×	0.6×	0.3×	0.5×	0.5×	Current ratioCurr. ratio
$690K	$690K	$28M	$28M	$30M	$30M	$28M	$27M	$27M	$28M	$28M	GoodwillGoodwill
$118M	$109M	$104M	$113M	$158M	$195M	$165M	$126M	$69M	$72M	$72M	Total assetsAssets
($90M)	($68M)	($39M)	($38M)	($61M)	($56M)	($89M)	($66M)	($18M)	($24M)	($24M)	Net debt / (cash)Net debt
—	—	-7496.2×	-243.2×	41.9×	-1239.4×	-2848.0×	-2598.8×	—	468.6×	1991.5×	Interest coverageInt. cov.
$66M	$55M	—	—	—	—	—	—	—	—	$55M	Shareholders’ equityEquity
											Per share
127M	138M	134M	224M	226M	227M	226M	226M	221M	220M	217M	Shares out (diluted)Shares
$2.30	$2.32	$1.69	$1.09	$1.76	$1.97	$2.23	$2.79	$1.15	$1.02	$1.03	Revenue / shareRev/sh
$-0.07	$-0.07	$-0.44	$0.00	$0.06	$0.06	$-0.25	$-0.04	$-0.01	$0.04	$0.04	EPS (diluted)EPS
$-0.12	$-0.11	$-0.22	$0.00	$0.13	$-0.01	$0.15	$-0.10	$-0.22	$0.03	$0.03	Owner earnings / shareOE/sh
$-0.12	$-0.11	$-0.22	$0.00	$0.12	$-0.01	$0.15	$-0.10	$-0.22	$0.03	$0.03	Free cash flow / shareFCF/sh
$0.00	$0.00	$0.00	$0.00	$0.01	$0.00	$0.00	$0.01	$0.00	$0.00	$0.00	Cap. spending / shareCapex/sh
$0.52	$0.40	—	—	—	—	—	—	—	—	$0.26	Book value / shareBVPS

The diluted share count moved ×1.66 into 2019 — shares issued, not a split the totals corroborate — and the per-share figures carry the counts as filed.

Per-share growththe realized rate an owner's share compounded

	9-yr	5-yr
Revenue / share	−8.6%/yr	−10.3%/yr
Owner earnings / share	—	−25.8%/yr
EPS	—	−8.6%/yr
Capital spending / share	−25.3%/yr	−54.6%/yr
Book value / share	−22.1%/yr (1-yr)	−22.1%/yr (1-yr)

The record, charted

FY2016–2025

Each measure over its full record; the current point and the worst year marked.

Share count

220Mpeak FY2021

Gross margin

65%low FY2018

Owner earnings vs. net income

Owner earningsNet income

The accountant's number, and the cash an owner can take; the gap is the tell.

$6Mowner earningsvs.$8Mnet incomelow FY2024

Where the cash went

ReinvestBuybacksDividendsAcquisitionsRetained

Each year's operating cash, by what management did with it: the mix, and how it drifts.

FY2019FY2025

Owner-earnings bridge

FY2021–FY2025cash-flow statement, SEC EDGAR →

Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.

In fiscal 2025 the business reported $8M of profit but $6M of owner earnings: $2M less than the profit line, taken out by capital spending and the timing of cash.

Reported net income$8M

Owner earnings$6M · 3% of revenue

	FY2025	FY2024	FY2023	FY2022	FY2021
Reported net income	$8M	($2M)	($10M)	($57M)	$13M
Depreciation & amortizationnon-cash charge added back	+$944K	+$1M	+$1M	+$1M	+$1M
Working capital & othertiming of cash in and out, other non-cash items	−$3M	−$47M	−$12M	+$91M	−$16M
Cash from operations	$6M	($48M)	($21M)	$36M	($2M)
Capital expenditurecash put back in to keep running and to grow	−$42K	−$782K	−$1M	−$817K	−$1M
Owner earnings	$6M	($49M)	($22M)	$35M	($3M)
Owner-earnings marginowner earnings ÷ revenue	3%	-19%	-3%	7%	-1%

Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position .

Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.

III

Quality & stewardship

Returns, the balance sheet, capital allocation, and pay.

Owner’s Scorecard

FY2025 20-F · source on SEC EDGAR →

Will it survive?

Can it pay its interest? 1991.5×

Comfortable

Operating income $8M ÷ interest expense $4K

What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
How heavy is the debt, net of cash? +$24M

Net cash, debt-free

Cash $24M − debt $0

What this means
Cash and short-term investments exceed every dollar of debt by $24M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
How long is cash tied up? -32d

Negative, funded by others

DSO 2 + DIO 23 − DPO 57 days

What this means
Days cash is tied up between paying suppliers and collecting from customers. A negative cycle is a quiet moat: suppliers and customers fund the operation (Buffett's “float”), the company grows on other people's money.

Is it a good business?

Return on invested capital —

Not enough data

Industry peers: median -23%

What this means
The filing data didn't include the inputs for this check.
Owner-earnings margin 3%

Positive this year, negative across the cycle

latest $6M = operating cash $6M − maintenance capex $42K (positive this year), after an earlier loss stretch (10-yr median -3%)

Industry peers: median 1%

What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 3% of revenue this year, a -3% median across 10 years.
Are earnings backed by cash? 0.75×

Mostly cash-backed

Cash from ops $6M ÷ net income $8M

What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.

How is the cash used?

Where do the earnings go? 12%

Reinvests most of it

Dividends + buybacks $724K ÷ Owner Earnings $6M

What this means
Of $6M Owner Earnings, $724K (12%) went back to shareholders, $0 dividends, $724K buybacks. Returning most of it is the mark of a mature business with little left to reinvest at a high return; reinvesting most could mean a long runway, or empire-building. The split doesn't say which; the return earned on it (see ROIC) does.
Investing or harvesting? 0.02×

Harvesting

Capex $42K ÷ depreciation $2M

What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.

Graham’s defensive tests · 0 of 4 met

Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.

Adequate size Miss

Revenue ≥ $2B · $224M

What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
Strong liquidity Miss

Current ratio ≥ 2× · 0.46×

What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
Earnings stability Miss

A profit every year (10-yr record) · 6 loss years

What this means
Graham wanted earnings in each of the past ten years, the stability a defensive owner leans on.
Dividend record Miss

Uninterrupted dividends · none paid

What this means
An unbroken dividend was Graham's mark of durability. He wanted twenty years; the filings show about ten, and a single suspension breaks the streak. Non-payers, many fine modern compounders, fall outside his defensive net by design.
Earnings growth —

Earnings +33% over the record · —

What this means
Earnings were negative early in the record, a growth rate isn't meaningful.
Moderate price —

P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price

What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $-0.01/share (latest year $0.04), the averaged base the calculator's gate runs on, and book value is $0.26/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.

Durability & moat, 2016–2025

Whether the record’s returns held, and what the capital reinvested earned.

Profitable years 4 of 10

What this means
Lost money in 6 year(s), look at what happened there before trusting the average.
Operating margin −8% → 0% (3-yr avg ends)

What this means
Through the cycle the operating margin widened — about −8% early to 0% lately, median −3% — pricing power intact or improving.
Worst year 2018 · −16.5% op. margin

What this means
Operations went underwater in 2018, understand why before trusting the good years.
Share count +6.3%/yr

What this means
The share count is rising, dilution works against you on a per-share basis.

Does AI threaten the moat?

Moderate contestability

AI is likely to reshape costs and some products here without clearly contesting or sparing the core moat; how the company itself frames it is the tell.

The question is whether a moat the record shows as durable outlasts a technology that lowers the cost of part of what the firm sells. The durability is read in the record above, the filing's own framing of AI beside it; the industry label decides nothing on its own.

Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.

All figures as filed; the source filing is linked above.

Current Position

as of fiscal year-end, Dec 31, 2025

Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.

Current assets$34M

Cash & short-term investments$24M
Receivables$1M
Inventory$5M
Other current assets$4M

Current liabilities$74M

Accounts payable$12M
Other current liabilities$62M

Current ratio0.46×all current assets ÷ what's due · Graham looked for 2×

Quick ratio0.39×stricter: inventory excluded

Cash ratio0.32×strictest: cash alone against what's due

Working capital($40M)the cushion left after near-term bills

Its current ratio is below 1, which usually reads as strain; here it is likely structural strength. This business collects from customers before it pays suppliers (a negative cash-conversion cycle), so the balance sheet is funded by that float, the way Costco's and Amazon's are. The low ratio can be the edge, not the risk; the cash-conversion cycle and the debt due above say which.

Deeper floors

Tangible book value$25Mequity stripped of goodwill & intangibles

Net current asset value($42M)Graham's net-net: current assets less all liabilities

Debt incl. operating leases$3M$3M of it operating leases

Deferred revenue$9Mcustomer cash collected before delivery; operating float

From the company's latest filing.

Acquisitions & goodwill

from the balance sheet & the 10-year cash-flow record

Goodwill grows only when a company acquires and falls only when it concedes it overpaid. The size of that bet, the cash put into buying rather than building, and how much has already been written off.

Goodwill & intangibles$30M42% of all assets; the premium carried on the balance sheet for businesses acquired

Against book equity50%goodwill is this share of book equity; the rest is the company’s own retained and paid-in capital

Cash spent acquiring$0over 10 years buying other businesses, against $8M of capital spent building

None written down over the record; the goodwill is still carried at full cost. That is the deals holding their value on the books so far; whether they keep doing so is the test an owner watches, since the write-down, when it comes, is the admission the price was too high.

Goodwill, acquired intangibles and equity from the latest balance sheet; acquisition spend and write-downs summed across the 10-year record, from the company's own filings.

Peers, E-Commerce & Marketplaces

The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.

Company	Revenue	Gross margin	Op. margin	ROIC	Owner earn. margin
GCTGigaCloud Technology Inc	$1.3B	—	11.2%	84%	13%
SFIXStitch Fix Inc.	$1.3B	44%	-3.0%	-35%	3%
RVLVRevolve Group	$1.2B	53%	6.6%	39%	4%
BBBYBed Bath & Beyond Inc.	$1.0B	23%	-4.3%	-201%	-3%
HNSTThe Honest Company Inc.	$371M	33%	-11.3%	-23%	-4%
TDUPThredUp Inc.	$311M	71%	-22.5%	-54%	-13%
ELAEnvela Corporation	$241M	22%	5.1%	24%	1%
LITBLightInTheBox Holding Co. Ltd.	$224M	45%	-3.0%	25%	-2%
Group median	—	44%	-3.0%	1%	-0%

The price

What a price has to assume.

What the price implies

reverse-DCF

Enter the home-market price, not the US ADR quote. LightInTheBox Holding Co. Ltd. reports in USD, and every figure here (owner earnings, book value, the share count) is on that ordinary-share basis. Enter the price on the same basis: the local-exchange quote per ordinary share. A US ADR price in dollars bundles the ADR-to-ordinary ratio, so it will not reconcile with these figures and would throw the multiple off.

Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what LightInTheBox Holding Co. Ltd. has delivered.

Today’s price $

Base Normalize · through-cycle (($22M)) Net of stock comp

—

The assumptions Required return 9% Years of high growth 10 Terminal growth 2.5%

9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.

Enter a price above to run it.

Implied by the price—

Owner-earnings growth, delivered—

Owner-earnings yield—

P/E (3-yr earnings ’23–’25)—

P/B—

Graham’s price gate—

Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.

Against a high-grade bond: Graham’s yardstick bond yield%

Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.

Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.

Owner earnings $6M on 217M shares outstanding, per the 20-F cover, as of 2025-12-31; net cash $24M. The base is the latest year by default; Normalize values it on the through-cycle median owner-earnings margin (to avoid paying on a peak year). Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.

Weigh LITB against another business →

Cite: Owner Scorecard, "LightInTheBox Holding Co. Ltd. (LITB), the owner's record," https://ownerscorecard.com/c/LITB, data as of 2026-07-09.

Manual order: ← LICN its page in the Manual LKFT →

Industry order: ← JMIA the E-Commerce & Marketplaces chapter LUXE →