Three Months Ended May 31,

Six Months Ended May 31,

 

2004

2003

2004

2003

Net sales

$

2,093,956

$

2,632,683

$

3,464,666

$

4,957,005

 

 

 

 

 

Cost of sales

733,681

1,122,542

1,258,310

2,023,761

Gross profit

1,360,275

1,510,141

2,206,356

2,933,244

 

 

 

 

 

Operating expenses:

 

 

 

 

Selling expenses

1,592,803

1,606,692

2,641,218

3,173,826

General and administrative expenses

1,110,866

662,365

2,364,291

1,435,434

Depreciation and amortization

95,172

72,654

154,611

130,044

Total operating expenses

2,798,841

2,341,711

5,160,120

4,739,304

Loss from operations

(1,438,566

)

(831,570

)

(2,953,764

)

(1,806,060

)

 

 

 

 

 

Other expense, primarily interest

(57,105

)

(399,751

)

(1,559,849

)

(722,918

)

Net loss

$

(1,495,671

)

$

(1,231,321

)

$

(4,513,613

)

$

(2,528,978

)

Net loss per common share (basic and diluted)

$

(0.29

)

$

(0.51

)

$

(0.93

)

$

(1.08

)

Weighted average number of shares outstanding (basic and diluted)

5,108,382

2,413,376

4,871,605

2,348,562