Revenue during the quarter went down marginally by 0.69 percent to $11.68 million from $11.76 million in the previous year period. Gross margin for the quarter contracted 61 basis points over the previous year period to 36.05 percent. Total expenses were 96.20 percent of quarterly revenues, up from 94.64 percent for the same period last year. That has resulted in a contraction of 155 basis points in operating margin to 3.80 percent.

Operating income for the quarter was $0.44 million, compared with $0.63 million in the previous year period.

"We continued to make progress on our strategic initiatives in 2016," stated Larry Dyne, Talon's chief executive officer. "Though our revenues were flat versus the prior year, we produced higher margins and improved income from operations, as we had a more favorable product mix and worked to improve our operational costs. To remain focused on serving our customers, we've expanded geographically in order to locate near their manufacturing facilities, and are working closely with our specialty brand retail customers to offer Fit for Purpose items that meet our innovation and profitability standards. We continue to make significant investments in our product segments, particularly in the Trim business, as we experienced revenue growth and momentum this year."

Debt moves up
Talon International, Inc. has witnessed an increase in total debt over the last one year. It stood at $4.10 million as on Dec. 31, 2016, up 14.73 percent or $0.53 million from $3.58 million on Dec. 31, 2015. Total debt was 19.39 percent of total assets as on Dec. 31, 2016, compared with 18.56 percent on Dec. 31, 2015. Debt to equity ratio was at 0.55 as on Dec. 31, 2016, down from 0.58 as on Dec. 31, 2015.