Cherokee Global Brands (CHKE) swung to a net loss for the quarter ended Apr. 29, 2017. The company has made a net loss of $3.26 million, or $ 0.25 a share in the quarter, against a net profit of $2.58 million, or $0.29 a share in the last year period. On an adjusted basis, net loss for the quarter stood at $0.89 million, or $0.07 a share compared with a net profit of $3.04 million, or $0.34 a share in the last year period.

Revenue during the quarter grew 4.07 percent to $11.11 million from $10.68 million in the previous year period. Operating margin for the quarter stood at negative 18.72 percent as compared to a positive 40.04 percent for the previous year period.

Operating loss for the quarter was $2.08 million, compared with an operating income of $4.28 million in the previous year period.

However, the adjusted operating income for the quarter stood at $0.09 million compared to $5 million in the prior year period. At the same time, adjusted operating margin contracted 4603 basis points in the quarter to 0.85 percent from 46.87 percent in the last year period.

"Operationally, fiscal 2018 is off to a solid start," said Henry Stupp, chief executive officer of Cherokee Global Brands. "During the first quarter, we continued to make progress in diversifying our global points of distribution and building upon the relevance of our high-equity brands through category expansion and new format initiatives. Today, our business model is more balanced and demonstrative of our go-forward strategy whereby revenue contribution will be more evenly split across brand, product category and geography."