Good morning, everyone and welcome to the Second Quarter 2020 Earnings Conference Call for LightInTheBox Holding Company, Ltd. Today’s conference is being recorded. At this time, I would like to turn the call over to Mr. Rene Vanguestaine for opening remarks and introduction. Please go ahead, sir.

Thank you, Rachel. Hello, everyone and welcome to LightInTheBox second quarter 2020 earnings conference call. The company’s earnings results were released earlier today and are available on the company’s IR website as well as through PR Newswire. 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. Yuan Jun Ye, the company’s Chief Financial Officer, who will go over financial results. Together with them today is Ms. Wenyu Liu, the company’s Chief Growth Officer. All will be available for the Q&A after the prepared remarks. Before we proceed, I would like to remind you of our Safe Harbor statement. Please note that the discussion today may contain certain 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 May 1, 2020. We do not assume any obligation to update any forward-looking statements, except as required under applicable law. At this point, I would like to turn the call over to Mr. He. Mr. He, please go ahead.

Thanks, Rene and thank you everyone for joining us today. Despite the continued macroeconomic uncertainty, we are proud of achieving a significant milestone in the second quarter in relation to our operational and financial performance. Total revenues were $113.9 million in the second quarter nearly doubling that of the second quarter in 2019 driven by the increase in new customers and more orders from existing customers across our core operating margins like North America, Europe and certain Asian countries. Gross margin was improved year-over-year, as a result, our ability to optimize our product mix and the leverage the depth of our relationships with the suppliers. At the same time, we achieved a net income of $8.5 million in comparison with net income of $0.7 million net income in the preceding quarter and a net loss of $7.3 million in the same period of last year, mainly due to our economies of scale that and the disciplined management of costs. These results reflected the success of our revamped strategy, which is to focus on optimizing product and the category mix, enhancing supply chain management and the driving customer engagement. In the past few quarters, we made significant progress in implementing other growth strategies by not only responding to their immediate needs of our customers, but also consistently improving our operations. To ensure that our strategy can be successfully excluded, we focused on a number of key areas. First, we utilized our underlying technology-driven infrastructure to optimize our supply chain management although we have always benefited from longstanding relationships with suppliers and we have managed to strengthen those partnerships during the second quarter. It was our ability to use our expertise to find suitable suppliers for each merchandise category and our use of real-time data to inform suppliers of changes in demand…

Thank you, Mr. He and thank you everyone for joining the call. I will now review our financial results of the second quarter. Let me remind you that all numbers quoted are in U.S. dollars. As Mr. He mentioned, we continue to implement our strategies and demonstrated strong execution, which led to significantly improved top and bottom line performance. Not only are our strategic decisions enabling to fully navigate the adverse impact of COVID-19, but they are positioning us well for sustainable growth beyond the crisis. We are confident that our current operations and growth trajectory will yield further increase in profitability when taking seasonality into account. Now, let me walk you through the key financial results for the second quarter. Total revenue was $113.9 million, up 95.9% year-over-year from $58.1 million in the same quarter of 2019. This was mainly driven by strong growth of product sales, which were $107.2 million versus $57.1 million the same period in 2019 and growth in services and others, which was $6.7 million increased more than 5x year-over-year. Gross profit was $49.6 million compared with $24.4 million during the same period last year. Gross margin was 43.5% compared with 41.9% in the same quarter of 2019 primarily due to our continued efforts to drive revenue growth from categories with higher gross margins. Total operating expenses in the second quarter was $41.4 million compared with $26.9 million during the same quarter of 2019. The increase was primarily due to an increase in selling and marketing expenses. Of operating expenses, fulfillment expenses were $7.4 million compared with $4.9 million in the same quarter of 2019. As a percentage of total revenues, fulfillment expenses were 6.5% compared with 8.4% in the same quarter of 2019 and 9.8% in the first quarter of 2020. Selling and marketing…

Thank you, Rachel. This concludes our second quarter 2020 earnings conference call. Thank you all for your participation and ongoing support of LightInTheBox. We look forward to providing you with updates of our business in the weeks and months ahead. Have a good day or good night. Thank you all.

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