Good morning. My name is Lisa and I’ll be your conference operator today. At this time I would like to welcome everyone to the Vince Holding Corp's, Third Quarter 2018 Results Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks there will be a question-and-answer session. [Operator Instructions] Thank you. Amy Levy, Vice President of Investor Relations, you may begin your conference.

Thank you, and good morning, everyone. Welcome to Vince Holding Corp's, third quarter fiscal 2018 earnings conference call. Hosting the call today is Brendan Hoffman, Chief Executive Officer; and Dave Stefko, Chief Financial Officer. Before we begin, let me remind you that certain statements made on this call may constitute forward-looking statements, which are subject to risks and uncertainties that could cause actual results to differ from those that the company expects. Those risks and uncertainties are described in today's Press Release and in the company's SEC filings, which are available on the company's website. Investors should not assume that the statements made during the call will remain operative at a later time, and the company undertakes no obligation to update any information discussed on the call. After the prepared remarks, management will be able to take your questions for as long as time permits. Now, I'll turn the call over to Brendan.

Thank you, Amy. Good morning everyone and thank you for joining us today. We are pleased with our third quarter results across all financial metrics. In our Direct-To-Consumer segment we saw continued momentum in our ecommerce business with strong growth in our mobile app. We continue to be pleased with the performance of stores we opened over the last year and we signed an additional lease for a store in midtown Manhattan due to open in the fall of 2019. In our wholesale segment we saw continued sales growth as our collections resonated with consumers, while we also achieved further market gains within existing department store doors. We were also excited to see the number of editorials on Vince in both the U.S. and international press, which we believe will help us to attract new customers to the brand. Overall it was another quarter of great results under our belt, combined with our performance through the Black Friday weekend, we are raising the low end of our guidance and we are more optimistic than ever about our future growth potential. Turning to some brief financial highlights from the third quarter. Net sales grew nearly 6%, driven primarily by growth in our Direct-To-Consumer segment which delivered a comp sales increase of 14%. While sales in our wholesale segment were flat, this was largely due to the exit of certain wholesale partners, which were offset by reduced allowances. Operating profit grew nearly 70% to $9 million and operating margin increased 400 basis points to 10.7%, reflecting both gross margin expansion and SG&A leverage. Looking at our Direct-To-Consumer segment, sales grew 17%. We remain laser focused on capturing walk away sales from partners we exited and have been serving ads on mobile, ecommerce and social channels based on geographical location, in an effort…

Thank you, Brendan. We are pleased to have delivered another quarter strong financial results. We achieved sales growth of 5.6%, while operating income grew 68.9% for the third quarter. Third quarter net sales increased 5.6% to $83.5 million, compared to $79.1 million in the same prior year period. As expected, our wholesale channel sales were flat at $53 million as shipment declines related to the exit of certain wholesale partners were offset by lower sales allowances. The reduction in allowances were related to two factors. First, we anniversary a higher level of allowances in last year's third quarter associated with the partners we existed, and second we saw reduced allowances with existing partners due to their strong sell-through. Our Direct-To-Consumer segment sales increased 17.1 % to $30.5 million in the third quarter, while comparable sales including ecommerce increased 14.1%, reflecting an increase in the number of transactions, partially offset by a lower average unit retail related to product mix. Gross profit in the third quarter was $40.8 million or 48.9% of net sales. This compares to $36.7 million or 46.4% of net sales in the third quarter last year, a 250 basis point increase. The 250 basis point increase in gross margin rate was due to the decrease in the rate of sales allowances previously discussed. Non-recurring costs incurred last year related to the exit of certain wholesale partners and lower product and supply chain costs, partially offset by an unfavorable impact from year-over-year adjustments to inventory reserves. Selling, general and administrative expenses in the quarter were $31.9 million or 38.2% of net sales as compared to $31.4 million or 39.7% of net sales for the third quarter of last year. Operating income was $9 million in the third quarter as compared to operating income of $5.3 million for the…

We have no questions in queue. I’ll turn the call back to Brendan Hoffman for closing remarks.

Great. Well thank you everyone for your continued interest in Vince and we look forward to updating you in our Q4 and year end results on our call in April.