Xunlei Limited (XNET) Q1'19 results were not spectacular, however what is important to note is that the loss was significantly lower Q/Q. The company lost $8.6M for the quarter, but that is down significantly from the net loss of $32.4M in Q4'18. Despite this, gross profit was $21.2M for the quarter, up by 13% sequentially, and gross margins also edged higher from 44.3% to 51.2% Q/Q.
Online advertising revenue decreased 30.8% Q/Q to $4.1M. The company attributed this decline to a decrease in demand for its online advertising services, primarily in mobile gaming.