Good morning, everyone, and welcome to the Third Quarter 2019 Earnings Conference Call for LightInTheBox Holding Co., Ltd. Today's conference is being recorded. At this time, I would like to turn the call over to Mr. Christian Arnell for opening remarks and introductions. Please go ahead, sir.

Thank you. Hello, everyone, and welcome to LightInTheBox's third quarter 2019 earnings conference call. The company's results were released earlier today and are available on the IR website as well as through PR Newswire services. Today, you will hear from LightInTheBox's CEO, Mr. Jian He, who will give an overview of the company's strategies and recent developments; followed by Ms. Wenyu Liu, the company's acting Chief Financial Officer, who will go over financial results in more detail. Before we proceed, I'd like to remind you of our Safe Harbor statement. Please note that the discussions today may contain forward-looking statements made under the Safe Harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from our current expectations. To understand the factors that could cause results to materially differ from those in the forward-looking statements, please refer to our Form 20-F filed with the Securities and Exchange Commission on April 29, 2019. We do not assume any obligation to update any forward-looking statements, except as required under applicable law. At this point, I'd now like to turn the call over to Mr. He. Please go ahead.

Thanks, Christian, and thank you, everyone, for joining us today. Our results this quarter are a strong reflection of the significant progress we have made. Since we began implementing our strategy to turn the business around, following the acquisition of Ezbuy, I'm pleased to report that we are beginning to see the tangible benefits of the changes we have been making to improving operational efficiency, product optimization and cost controls, which resulted in our first quarter of GAAP profitability since 2014. Revenue growth accelerated during the quarter, increasing 34.3% year-over-year to $59.9 million. This also marks the second consecutive quarter increase in revenue since the acquisition. Gross margin expanded significantly to 42.3% from 15.1% during the same period last year, once again driven by our continuous efforts to drive revenues from categories with higher margin as part of the company’s optimization strategy around product mix. Adjusted EBITDA was positive for the second consecutive quarter, increasing to earnings of $0.5 million from a loss of $17.3 million during the same period last year, which I believe demonstrates the growth trajectory we are on. Most importantly, this quarter, we posted net income of $10 million, the first time since 2014. We remain focused on executing our strategy to generate sustainable long-term growth and are very encouraged by our improvements to-date. I would like to take this opportunity to highlight three key drivers embedded within our strategy, which have been critical in turning the business around and will continue to benefit us going forward. First is product optimization. We serve a global market spanning over 140 countries. Earlier this year, we began to refine our supplier selection process to focus primarily on sourcing higher margin products from best-in-class suppliers. This quarter, we began providing suppliers with cutting edge tools to derive greater market…

Thank you, and thank you, everyone, for joining the call. As Mr. He mentioned, we are excited to see our top and bottom-line continue to grow over the past two quarters. We're confident in our current operations and growth trajectory, which we expect will support continued sustainable growth going forward when taking seasonality into account. I will now give you our financial results. Let me remind that all numbers quoted are in U.S. dollars. Total revenue was $59.9 million, up 34.6% year-over-year. Revenues from product sales were $58.1 million, up 35.5% year-over-year, reflecting the progress we have made in product optimization. Revenue from service and others were $1.8 million, up 10% year-over-year. Gross profit was $25.3 million compared with $6.7 million during the same period last year. Gross margin improved significantly to 42.3% compared with 15.1% in the same quarter of 2018, primarily due to our continued efforts to drive revenue growth from categories with higher gross margins. Total operating expenses were $25.7 million compared with $24.8 million in same quarter of 2018. The number of orders during the quarter were 1.4 million compared to 0.8 million during the same period last year. Corresponding fulfillment expenses were $6.8 million compared with $3.4 million in the same quarter of 2018. Selling and marketing expenses were $12.4 million compared with $11.3 million in the same quarter of 2018 as we continue to optimize our product selection. We have also been improving customer acquisition efficiency, which is reflected in selling and marketing expenses as a percentage of revenue falling to 20.8% from 25.4% in the same quarter of 2018. G&A expenses were $1.6 million compared with $7.5 million in the same quarter of 2018. R&D expenses were $4.9 million compared with $2.5 million in the same quarter of 2018. As a percentage of…

No questions as of the moment. Presenters, please continue.

Thank you very much everyone for joining the call tonight. That concludes the call. If you have any further questions or answers, please don't hesitate to reach out to the LightInTheBox IR Team. Thank you and have a good night.

Thank you.

Ladies and gentlemen, that does conclude our call for today. Thank you for participating. You may all disconnect.