OLATHE, KS -- Elecsys reported fiscal first-quarter contract electronics assembly sales fell 24% year-over-year as the company eliminated its lower-margin programs.

For the first quarter ended July 31, the company's Electronic Manufacturing Services  business had sales of $2.55 million. The firm said it experienced reduced sales to certain existing customers combined with the elimination of certain lower margin customers stemming from its focus on enhancing EMS gross margins.

Overall sales for the quarter were $4.3 million, down 25%. The operating loss $228,000, compared to operating income of $389,000 for the same quarter in the prior year. The net loss was $161,000, versus net income of $213,000.