Net income rose 61% to $7,339,000 from $4,492,000 for the period ended Mar. 31 as total sales soared 90.5% to $167,025,000 from $87,667,000. But the parent of the Durango and Xtratuf brands among others admittedly has work to do cutting expenses and inventories and improving its gross margin level that it wants to increase to 40.0% by Q4. Year-over-year operating expenses were up 74% to $49.6 million from $28.6 million, a factor attributed to costs related to the acquired Muck and Xtratuf brands and higher fulfillment costs.

First quarter gross margin fell by 250 basis points to 37.6% due to higher ... Log in to view full article.