Revenue during the quarter plunged 30.98 percent to $17.31 million from $25.08 million in the previous year period. Gross margin for the quarter expanded 170 basis points over the previous year period to 29.91 percent. Total expenses were 84.74 percent of quarterly revenues, down from 85.70 percent for the same period last year. This has led to an improvement of 96 basis points in operating margin to 15.26 percent.

Operating income for the quarter was $2.64 million, compared with $3.58 million in the previous year period.

"In fiscal 2017, our net income and gross profit remained solid, net income increased to 8.4% of net sales compared with 8.1% for the prior year, and our cash balance increased from a year ago, as we continued to manage our business through a period of difficult market conditions and a soft retail environment," said E. Randall Chestnut, chairman, president and chief executive officer. "While we are not satisfied with the declines in sales and net income, which were affected by previously reported factors, including the credit difficulties of a major customer and a fiscal 2016 Black Friday event that was not repeated in fiscal 2017, we remain very positive about the Company's long-term prospects, due to our consistent market leadership and strong financial position."