Gems TV Holdings, the television home shopping retailer of genuine gemstone jewellery, says net loss in 2Q10 narrowed to US$6.3 million ($8.9 million) (Q109: US$18.5 million net loss), a 66% improvement as a result of effective cost control measures undertaken across the group.

Overall product revenue fell 15% to US$40.2 million in 2Q10 (2Q09: US$47.4 million). Revenue from shipping and services decreased 11% to US$3.2 million in 2Q10 (2Q09: US$3.6 million), in line with the reduction in product revenue.

Product revenues in the US increased by 2% to US$29.5 million in 2Q10. In the UK, product revenues decreased by 45% but gross margin increased to 36% from –15% in 2Q09. Gems TV’s Japan business declined 4% from US$3 million in 2Q09 to US$2.8 million in 2Q10, owing to the lacklustre market for jewellery.

Gross profit margin improved from 25% in 2Q09 to 38% in 2Q10. This improvement is the result of revised sales strategies and effective changes in product mix.