Quarterly report pursuant to Section 13 or 15(d)

Consolidated Statements of Operations (Unaudited)

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Consolidated Statements of Operations (Unaudited) (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2014
Jun. 30, 2013
Jun. 30, 2014
Jun. 30, 2013
Net sales $ 34,189 $ 10,598 $ 57,351 $ 19,249
Cost of sales 7,509 2,570 12,761 4,798
Gross profit 26,680 8,028 44,590 14,451
Operating expenses:        
Distributor commissions 15,458 4,443 25,881 8,117
Selling, general and administrative expenses (including stock-based compensation expense of $23 and $9 during the three months ended June 30, 2013 and 2014, respectively, and $53 and $34 during the six months ended June 30, 2013 and 2014, respectively) 5,031 2,609 9,378 5,054
Depreciation and amortization 23 28 44 40
Total operating expenses 20,512 7,080 35,303 13,211
Income from operations 6,168 948 9,287 1,240
Other income (expense), net 1 (28) (8) (21)
Income before income taxes 6,169 920 9,279 1,219
Income tax provision 59 16 98 28
Net income 6,110 904 9,181 1,191
Preferred stock dividends (3) (4) (7) (8)
Net income available to common stockholders $ 6,107 $ 900 $ 9,174 $ 1,183
Income per common share:        
Basic (in Dollars per share) $ 0.51 $ 0.08 $ 0.78 $ 0.11
Diluted (in Dollars per share) $ 0.49 $ 0.08 $ 0.76 $ 0.11
Weighted-average number of common shares outstanding:        
Basic (in Shares) 11,821 11,131 11,592 11,100
Diluted (in Shares) 12,305 11,269 12,050 11,265
Cash dividends declared per share:        
Common (in Dollars per share) $ 0.005   $ 0.010