Yonex’ revenues went down by 44 percent to 8,200 million yen (€65.0m-$76.3m) in the first fiscal quarter ended on June 30. In Japan, which represented 40 percent of turnover, sales declined by 65 percent from the year ago quarter. However, In North America, they rose by 15 percent to represent 8 percent of turnover, while sales inched up by 1 percent in Europe to account for 8 percent of revenues, thanks to strong sales of new tennis racquets in each region. In the Rest of Asia, sales decreased by 9 percent. The gross margin tumbled by 9.0 percentage points to 32.5 percent, due to a lower absorption of fixed costs at its factories. Yonex’ net loss of ¥1,279 million (€10.1m-$11.9m) for the quarter compared with a net profit of ¥47 million last year. The company expects to post a net loss of ¥500 million(€3.9m-$4.7m) on full-year revenues of ¥50 billion (€396.5m-$469.7m).