Nautilus blames high gasoline prices in the USA for weary consumer spending. The company’s sales in the 2nd quarter, ended June 30, rose by 6 percent to $137.6 million, but its profits fell to $1,671,000, as compared to $3,330,000 one year ago. The quarter is seasonally slow for the fitness equipment company, and the result was in line with expectations, but sales were lower than Nautilus had anticipated. Nautilus believes that its business is now in a good position after investing in R&D, revamping its manufacturing operations and developing a multi-channel, multi-brand strategy. The high cost of fuel has also been affecting the company’s operational costs, prompting Nautilus to pass a price increase to cover the extra costs, although the company says it is ahead of schedule on a $11.5 million cost saving initiative. Nautilus’ turnover outside of the USA increased by 25 percent to $14.9 million. Apparel sales grew by 11 percent to $13.8 million. For the 3rd quarter, Nautilus projects sales of $165-180 million and earnings of $6.6 million.