TAL Education Group

Thank you for standing by and welcome to the Taal Education Group first fiscal quarter 2020 earnings conference call. At this time, all participants are in a listen-only mode. There will be a presentation followed by a question and answer session, at which time, if you wish to ask a question, you will need to press star 1 on your telephone. I must advise you that this conference is being recorded today, Thursday, 25th of July, 2019. I would now like to hand the conference over to your first speaker today, Mr. Yachao Yan, IR Director of TAL. Thank you. Please go ahead.

Thanks, operator. Thank you all for joining us today for TAL Education Group's first physical quarter 2020 earnings conference call. The earnings release was distributed earlier today, and you may find a copy on the company's IR website or through the newswares. During this call, you will hear from Chief Financial Officer Mr. Rong Luo, Linda He, Vice President of Finance, and myself, IR of TAL. Following the prepared remarks, Mr. Luo and Ms. He will be available to answer your questions. Before we continue, please note that the discussions today will contain forward-looking statements made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995 Overlooking statements are subject to risks and uncertainties that may cause actual results to differ materially from our current expectations. Potential risks and uncertainties include, but are not limited to, those outlined in public findings with the SEC. For more information about these risks and uncertainties, please refer to our findings with the SEC, also our earnings release in this call. include discussions of certain non-GAAP financial measures. Please refer to our earnings release, which contains a reconciliation of the non-GAAP measures to the most directly comparable GAAP measures. I would like now to turn the call over to Mr. Rong Luo. Rong, please.

Thank you, Yachao. Good evening and good morning to you all. Thank you for joining us today on this earnings call. Our first quarter revenue performance was based on the heritage growth of small class business in the cities we currently cover and the scaling of our online courses. Revenue growth in the first quarter was 27.6% year-over-year in U.S. dollar terms to U.S. dollar 702.8 million and 36.3% in IMB terms. Total student enrollments of normal-priced long-term courses increased by 40.6% year-over-year, mostly driven by bolstered growth in online enrollments, as well as stressed pay of small class. Gap income from operations decreased by 23.6% to US$57.3 million in the first quarter. Non-gap income from operations decreased by 7.3% to US$83.4 million The decrease was mainly due to the increasing in sales and marketing and R&D investment in our online business as well as other initiatives. I will now turn the call over to Linda He, our Vice President of Finance. She will give you an update on our operational progress in the first quarter. Next, Echo Yan, our AI Director, will reveal the first quarter financials. After that, I will update you on our new business strategy execution and discuss our business outlook. Linda, please.