December 31,

March 31,

2009

2009

(UNAUDITED)

ASSETS

Current assets:

   Cash and cash equivalents

$

56,601,631 

$

30,126,041 

   Accounts receivable, less allowance for doubtful

      accounts of $24,066 and $58,525, respectively

1,181,931 

2,881,085 

   Inventories - finished goods

19,025,264 

26,778,096 

   Prepaid expenses and other current assets

784,653 

753,602 

   Deferred tax assets

1,150,445 

724,561 

   Prepaid income taxes

1,801,818 

361,743 

          Total current assets

80,545,742 

61,625,128 

   Long term investments

12,312,500 

14,430,250 

   Property and equipment, net

4,644,969 

5,057,561 

   Intangible assets

850,000 

850,000 

Total assets

$

98,353,211 

$

81,962,939 

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

   Accounts payable

$

3,477,508 

$

4,817,097 

   Accrued expenses and other current liabilities

2,010,330 

2,177,838 

          Total current liabilities

5,487,838 

6,994,935 

   Deferred tax liabilities

544,016 

- 

Total liabilities

6,031,854 

6,994,935 

Commitments and contingencies

Shareholders' equity:

   Preferred stock, $.001 par value, 5,000,000 shares authorized;

      2,500 convertible shares issued and outstanding with a

      liquidation preference of $4 per share

8,898 

8,898 

   Common stock, $.001 par value, 40,000,000 shares authorized;

      22,846,686 and 22,686,836 shares issued and outstanding, respectively

22,847 

22,687 

   Additional paid-in capital

1,957,983 

- 

   Retained earnings

90,519,129 

75,156,169 

   Accumulated other comprehensive loss

(187,500)

(219,750)

          Total shareholders' equity

92,321,357 

74,968,004 

Total liabilities and shareholders' equity

$

98,353,211 

$

81,962,939 

 Three Months Ended

 Nine Months Ended

 December 31,

 December 31,

 2009

 2008

 2009

 2008

 Sales

$

48,353,607 

$

43,405,846 

$

187,969,366 

$

171,341,670 

 Cost of sales

29,525,562 

26,088,572 

116,172,990 

105,375,803 

 Gross profit

18,828,045 

17,317,274 

71,796,376 

65,965,867 

 Operating expenses:

      General and administrative

4,929,385 

5,019,183 

17,199,443 

16,448,431 

      Advertising

5,176,965 

4,899,893 

22,800,595 

23,619,602 

      Depreciation and amortization

336,834 

185,649 

981,647 

503,277 

 Total operating expenses

10,443,184 

10,104,725 

40,981,685 

40,571,310 

 Income from operations

8,384,861 

7,212,549 

30,814,691 

25,394,557 

 Other income:

      Interest income, net

46,091 

297,017 

164,678 

958,735 

      Other, net

1,162 

(27,616)

3,829 

301,835 

 Total other income

47,253 

269,401 

168,507 

1,260,570 

 Income before provision for income taxes

8,432,114 

7,481,950 

30,983,198 

26,655,127 

 Provision for income taxes

2,841,964 

2,597,182 

11,053,267 

9,328,053 

 Net income

$

5,590,150 

$

4,884,768 

$

19,929,931 

$

17,327,074 

 Net income per common share:

       Basic

$

0.25 

$

0.21 

$

0.88 

$

0.74 

       Diluted

$

0.25 

$

0.21 

$

0.88 

$

0.73 

 Weighted average number of common shares outstanding:

       Basic

22,649,491 

23,333,025 

22,596,204 

23,446,990 

       Diluted

22,789,731 

23,542,120 

22,742,196 

23,627,969 

 Cash dividends declared per common share

$

0.10 

 $

- 

$

0.20 

 $

- 

 Nine Months Ended

 December 31,

2009

2008

 Cash flows from operating activities:

    Net income

$

19,929,931 

$

17,327,074 

    Adjustments to reconcile net income to net cash

     provided by operating activities:

        Depreciation and amortization

981,647 

503,277 

        Share based compensation

1,158,015 

1,089,889 

        Deferred income taxes

118,132 

313,094 

        Bad debt expense

28,928 

48,656 

        (Increase) decrease in operating assets

           and increase (decrease) in liabilities:

             Accounts receivable

1,670,226 

(549,255)

             Inventories - finished goods

7,752,832 

(1,745,221)

             Prepaid income taxes

(1,440,075)

(4,000,000)

             Prepaid expenses and other current assets

(31,051)

30,283 

             Accounts payable

(1,055,672)

119,499 

             Income taxes payable

- 

2,500,771 

             Accrued expenses and other current liabilities

(205,446)

146,009 

 Net cash provided by operating activities

28,907,467 

15,784,076 

 Cash flows from investing activities:

    Net change in investments

2,150,000 

(1,620,000)

    Purchases of property and equipment

(852,972)

(1,747,889)

    Purchase of intangible asset

- 

(485,000)

 Net cash provided by (used in) investing activities

1,297,028 

(3,852,889)

 Cash flows from financing activities:

    Dividends paid

(4,529,033)

- 

    Purchases of treasury stock

- 

(6,776,696)

    Proceeds from the exercise of stock options

573,918 

1,535,035 

    Tax benefit related to stock options exercised

226,210 

233,188 

 Net cash used in financing activities

(3,728,905)

(5,008,473)

 Net increase in cash and cash equivalents

26,475,590 

6,922,714 

 Cash and cash equivalents, at beginning of period

30,126,041 

20,267,829 

 Cash and cash equivalents, at end of period

$

56,601,631 

$

27,190,543 

 Supplemental disclosure of cash flow information:

    Cash paid for income taxes

$

12,149,000 

$

10,281,000 

    Retirement of treasury stock

$

- 

$

6,810,973 

    Property and equipment purchases in accounts payable

$

487,842 

$

1,801,026 

    Dividends payable in accrued expenses

$

37,938 

$

-