11Street reports improved Q1 earnings

[Courtesy of 11Street Co.]

South Korean e-commerce platform 11Street Co. reported an operating loss of 19.5 billion won ($14.4 million) in the first quarter of 2024, down 38.7 percent from a loss of 31.8 billion won in the same period a year ago, the company said Friday.

The net loss for the period improved 19.4 percent to 20 billion won, while sales fell 20.9 percent to 171.2 billion won from 216.3 billion won.

Monthly results showed that the open market business achieved a second consecutive month of operating profit in April 2024, which contributed to the overall improvement in performance. It also achieved positive earnings before interest, taxes, depreciation, and amortization (EBITDA) cumulatively from January to April 2024.

The company attributed these improvements to efforts focused on solidifying internal strengths, such as expanding sales of profitable product categories via vertical services and specialty sections and streamlining marketing operations.

The company aims to achieve operating profitability in its open market business in 2024 and an overall annual profit turnaround the following year, 11Street said.

“Performance improvement is gaining momentum by securing profitability in the open market business and improving the retail business structure,” Chief Executive Officer Ahn Jung-eun said, adding that the company aims to increase profitability further in the second quarter of 2024 via investment and business restructuring.