Orange 21's consolidated net sales for the 1st quarter were flat at $9.4 million. The parent company of Spy Optics reported a gross margin improvement of 4.1 percentage points to 52.2 percent, thanks to inventory write-downs and better efficiencies at its L.E.M manufacturing arm. The net loss was $1.8 million, as compared to $1.7 million in the year-ago period.