Unidentified Analyst: I’d say you’re pretty underpenetrated, but okay.
Dr. Iman Schrock: Exactly. So lots of runway ahead of us.
Unidentified Analyst: Okay. All right. That’s great. What about the variability introduced by shipping rates to margins?
Dr. Iman Schrock: David?
David Lau: Yes. I think if you look closely to our financials, you will see that ocean shipping rates was at all-time high first half of 2022. If you look at closely at our financials, we still maintain a profit. Obviously, there is a positive correlation between the 2, right? So when you see ocean shipping rates rising, it hurts our profitability. But I would say that’s not the single factor that can push us in and out of profit. So while that’s a big cost factor for us but I believe that we’ve gone through and navigated through the worst of times, and we still maintain a profit during that time. So I hope that kind of clears out what you had in mind.
Unidentified Analyst: Okay. And if I just may add one more. Can you just discuss who you see competitively out there and maybe 1 or 2 that you see day to day and who you think your biggest competitors are in an idea of why your clientele is choosing you over them?
Larry Wu: So if you focus on what we do, the core value that we deliver, I don’t think there is any part of a competitor for us because we’re doubling in big and bulky on the wholesale end. And that is quite an advantage for us across the board. As far as the competitive landscape, there is a privately owned company based in Silicon Valley by the name of Fair.com, that is kind of similar in the concept but they don’t dabble in anything big and bulky. They do smaller lighter stuff. But we believe all the value and the competitive advantage remains in handling the big and bulky, which is a nonstandard item. And the Fair.com, currently has a valuation of $12 billion.
Operator: [Operator Instructions] Our next question comes from the line of [Howard Tsung], private investor.
Unidentified Analyst: I just have a very quick question. I noticed that the company is bringing in 2 new U.S.-based directors to the Board. Are you guys trying to be a bit more Americanized from a governance perspective?
Larry Wu: Yes. Maybe I take that question. It’s Larry. Actually no because the majority of our Board members today are already U.S. persons. While the proposed the Board of restructuring will have all our board members to be either U.S. resident or citizens. The purpose of this restructuring was mainly from operational and diversity consideration, like John had over 19 years of work experience at Walmart and currently serving as the Vice President of Global Logistics at doTERRA International. He will definitely provide us with a lot of invaluable experience that would continue to grow in the United States and internationally. Laurie has a long history of experience in U.S. furniture industry she has established a consulting firm, providing advisory services to many top U.S. furniture companies. So we’re confident that our proposed the Board will offer a lot of fresh insight and diverse perspectives on our business.
Operator: And I’m showing no further questions at this time. I’d like to turn the conference back to Mr. David Lau for closing remarks.
David Lau: Thank you, everyone, for joining our earnings call today. If you have any questions for the management team, feel free to e-mail us. We look forward to speaking with you again. Thank you, everybody.
Operator: This concludes today’s conference call. Thank you for your participation. You may now disconnect. Everyone, have a wonderful day.