Sales Performance - Total sales increased by 8.2% to $91.3 million in Q1 2019 compared to $84.4 million in Q1 2018, with average daily sales growing to $1.450 million from $1.341 million[101]. - Operating income improved to $5.5 million, representing 6.1% of net sales, compared to $1.8 million or 2.2% in the prior year[100]. - Net income for Q1 2019 was $4.1 million, up from $1.2 million in Q1 2018, reflecting a net income margin of 4.5% compared to 1.5%[100]. Profitability - Gross profit rose by $2.7 million to $48.9 million in Q1 2019, with a gross profit margin decreasing to 53.6% from 54.7% year-over-year[102]. - Selling expenses decreased to $21.7 million, or 23.8% of sales, down from 26.0% in Q1 2018[104]. - General and administrative expenses fell to $21.6 million, a reduction from $22.4 million in the prior year, primarily due to lower stock-based compensation[105]. Sales Force and Productivity - The number of sales representatives increased to an average of 991 in Q1 2019, with productivity per rep rising by 4.4% to $1,308[98]. - The company anticipates stable sales force size for the remainder of 2019, focusing on training to enhance productivity[98]. Cash Flow and Expenses - Cash and cash equivalents decreased to $3.6 million as of March 31, 2019, down from $11.9 million at the end of 2018[109]. - Interest expense remained stable at $0.2 million, while other income increased by $0.2 million due to currency exchange rate fluctuations[106].
DSG(DSGR) - 2019 Q1 - Quarterly Report