Yonex' revenues were up by 1.6 percent in constant currencies to 14,691 million yen (€124.9m-$138.8m) in the first quarter of its financial year, ended on June 30. In Japan, which accounts for 65 percent of the company's total revenues, sales were up by 2.9 percent, driven by tennis racquets and apparel. In North America, revenues jumped by 6.7 percent on strength in badminton. However, European sales – which represent only 4 percent of turnover – declined by 3 percent due to the weakening euro and lower sales of tennis products. Asia was also down, by 1.4 percent, due to restructuring. The gross margin contracted by 1.5 percentage points to 41.6 percent due to changes in the sales mix. Yonex' comprehensive net income tumbled by 43 percent to ¥169 million (€1.4m-$1.5m), as the company faced a difficult comparison base with the year-ago quarter, which benefited from a gain on the sale of fixed assets. For the full year ending in March 2020, the company forecasts revenues to increase by 4 percent and net income by 1.5 percent, as its business in Asia is expected to recover.