Greetings and welcome to the Natural Health Trends Corporation Fourth Quarter and Full Year 2019 Earnings Conference Call. At this time, all participants are in a listen-only mode. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Ariel Papermaster with ADDO Investor Relations. Thank you. You may begin.

Thank you and welcome to Natural Health Trends' fourth quarter and full year 2019 earnings conference call. During today's call, there may be statements made relating to the future results of the company that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results, performance, or achievements could differ materially from those anticipated in such forward-looking statements due to results of certain factors, including those set forth in the company's filings with the Securities and Exchange Commission. It should also be noted that today's call will be webcast live and can be found on the Investors section of the company's corporate website at naturalhealthtrendscorp.com. Instructions can be found for accessing the archived version of the conference call and today's financial results press release, which was issued at approximately 9:00 A.M. Eastern Time. At this time, I'd like to turn the call over to Chris Sharng, President of Natural Health Trends.

Thank you Ariel, and thanks to everyone for joining us. With me today is Scott Davidson, our Senior Vice President and Chief Financial Officer. 2019 was a challenging year for our business, amid a host of macroeconomic and industry-specific factors that created a highly difficult operating environment. As a result, total revenue declined to $77.6 million from $191.9 million in 2018. In addition to China's 100-day campaign announced last January, in which we voluntarily suspended member activities and negative sentiment stemming from social media as it relates to health products companies in China, additional developments such as ongoing global trade tensions, China's slowing economy, and civil unrest in Hong Kong further contributed to the decline in total revenue. While these factors were beyond our control, I am pleased that we have continued to execute our strategy and run our operations efficiently to ensure the retention of our top leaders who are key to our success. As our business has been under pressure, we have been applying what we learned from our experience in this uncertain and evolving environment to help support our affected market. I'd like to also highlight the strength of our balance sheet that has enabled us to weather the adverse market conditions and ensure our inventory levels are sufficient to fulfill orders in a timely fashion, because of the persistent slowdown we have implemented a strategy to more effectively manage elements within our control including: number one, making sure our incentives remain attractive to retain our leaders and member base; number two, continuing to expand our operations into new geographies; and number three, further reducing our cost structure. I'll now walk through each of these in detail. Our members maintained solid order volume throughout 2019 and continued to react positively to the incentives we put into place.…

Thank you, Chris. Total revenue for the fourth quarter was $17.8 million, a decline of 57% compared to $41.6 million in the fourth quarter of 2018 and an increase of 5% compared to $17 million in the third quarter of 2019. The decrease year-over-year was primarily due to the macroeconomic challenges Chris discussed, which have continued to adversely impact our business. For the full year of 2019, total revenue was $77.6 million compared to $191.9 million in 2018. Our Active Member base decreased 16% to approximately 57,400 at December 31 from 68,000 at September 30 and was down 41% from 97,800 at December 31 last year. Turning to our cost and operating expenses. Gross profit margin of 71.4% declined from 78.8% in the fourth quarter last year, primarily as a result of special product promotions designed for the quarter and higher logistics costs. For the full year, our gross profit margin was 74.1% compared to 79.5% in 2018. Commissions' expense as a percent of total revenue for the fourth quarter declined to 40.9% from 48.6% in the prior year quarter, due to lower incentive costs. On a full year basis, commissions expense was 45.8% of total revenue, roughly in line with 45.6% for 2018. Selling, general and administrative expenses for the quarter increased 1% to $6.9 million from $6.8 million a year ago. For the full year, SG&A was $27.2 million, a decrease of 13% from $31.3 million for 2018. The decrease in full year SG&A versus 2018 was primarily due to a decrease in both employee-related costs and credit card fees, which were partially offset by higher professional fees. Our total operating expenses for the quarter also included a goodwill impairment charge of $1.8 million due to the early adoption of a new accounting standard pertaining to goodwill that…