U.S.-based LED lighting company Energy Focus announced its 1Q20 financial resulted and posted a 19.1% YoY revenue growth despite the economic headwinds resulted from the COVID-19 pandemic.

In 1Q20, the net sales of Energy Focus came to US$3.8 million, increased by 19% YoY compared to US$3.2 million in 1Q19. Commercial products accounted for 45.9% of the revenue and 54.1% of its sales came from military and maritime products, increased from 37.6% in the first quarter of 2019. Gross profit was US$1 million with a gross margin of 27.3%, which increased by 24.2 p.p. compared to 3.1% in 1Q19.

Loss from operations was US$1.3 million for the first quarter of 2020 compared to an operating loss of US$2.8 million in the 1Q19. Net loss, inclusive of income of US$873 thousand related to the fair value of warrants, was US$541 thousand, or $(0.04) per basic and diluted share.

The company expects that gross margins to be in the mid-20s in the near-term and begin to approach the high-20s percent range as it is introducing new products and makes further improvements to its supply chain.

“Despite the uncertain business environment posed by COVID-19, we remain excited and optimistic about our growth strategies and R&D initiatives, and we expect continued revenue growth and operating margin improvement during the second quarter of 2020 and into the foreseeable future,” concluded Mr. Tu.