Alan Yu: Jian, do you have like a breakdown, the forecast on that numbers, because I can go over the process and the strategy, but the actual numbers, I think you have the projected numbers. So Michael, let me go over the strategy in that part. The first quarter of 2023 versus 2022, we see a decline, because the first quarter, that was when the market was short of everything. So everyone was trying to grab a whole container, and they were stocking up, they were worried about everything. So I think we were selling out everything that we had on the floor. So we started to really increase our inventory that which all came in the second quarter of 2022, which really kind of a €“ it’s actually decreased our operational, because we were €“ you couldn’t move anything in our warehouses.
And we immediately, we added new warehouse facilities in California, and that helped a lot for a third and fourth quarter, so we eliminated the warehouse space issues. And in the second quarter, that’s why we’re seeing a decline, year-over-year decline, because we actually normalized this share well with the price coming down. But we see that this is a continuing issue for 2023, that’s why we started to look for additional spaces early in the last year. In January we finalized the Chicago, and we’re looking to finalize Houston, so we wanted to make sure we have them operational by May of this year, because we see a bulk of our new accounts that are coming onboard. They need the product, we need to stock for them by April, May of this year, and that’s where we really see the increasing need of South Carolina space to increase; New Jersey warehouse need to increase the space.
Texas need to increase the space, Seattle. Every one of our facilities need to increase our existing space by racking up the entire warehouse, adding additional 15% to 25% additional spaces, plus the two additional warehouses. That will help us for the growth of facilitating the growth for the new account that we’re signing up, which we already signed up. It’s just that the product will start to come in from overseas, and also domestic we have to increase the stockpile 60 to €“ 30 to 60 days inventory on the floors for them to start to take on the product, and that’s where we’re seeing the number is.
Michael Hoffman: Okay, and then Michael Sorry.
Jian Guo: No, you’re fine. Just maybe to provide a little more color on the €“ from the numbers perspective to answer your question on the breakdown by quarters in 2023, so this is what we have in mind. For Q1 ’23, we already discussed in the previous prepared remarks that we were currently expecting the revenue to be down about 10%, and I think Alan provided a lot of great color on operationally what’s driving that. From overall the percent perspective, I think that’s going to €“ we talked about that trend is going to revert, and then we’re going to see that revenue growth is going to accelerate towards the end of the year. So we do currently expect continued momentum in our revenue growth, primarily in the second half of 2023, probably around 20% or above in the fourth quarter. So over €“ when we’re looking at the full year 2023, that’s how we come up with the high single digit year-over-year growth.
Michael Hoffman: So if I’m playing this out, negative 10% in the first low to mid-single digits in 2Q, you know teens in 3Q, over 20% and 4Q and that’s how you get a blend into that 8%.
Jian Guo: That’s just the overall trend, is we’re going to start a little, but it’s going to continue to accelerate throughout the year, yeah.