August 8, 2011- Nautilus, Inc. (NYSE: NLS) reported today its unaudited operating results for the second quarter ended June 30, 2011. All information regarding the Company's operating results, unless otherwise noted, pertains to its continuing operations, which include the Direct and Retail fitness segments. The Company's former commercial fitness business is reported as a discontinued operation. Net sales for the second quarter ended June 30, 2011 rose 13.3% to $34.7 million, as compared to net sales of $30.6 million for the same quarter in 2010. For the six months ended June 30, 2011, net sales totaled $83.0 million, an increase of 8.8%, or $6.7 million, over net sales of $76.3 million for the same period in 2010. Loss from continuing operations was $2.2 million for the second quarter ended June 30, 2011, an improvement of 68.6%, or $4.8 million, over loss from continuing operations of $7.0 million for the same quarter in 2010. Diluted loss per share from continuing operations for the second quarter of 2011 was $(0.07), compared to $(0.23) for the same quarter a year ago. The significant reduction in loss from continuing operations was primarily due to a 14.9% reduction in operating expenses achieved through more effective advertising expenditures, as well as higher sales and the associated gross margin. Selling and marketing expenses for the 2011 second quarter, as a percent of net sales, declined to 35.2% from 47.8% for the comparable 2010 period. Bruce M. Cazenave, Chief Executive Officer, stated, "Our management team is pleased with this quarter's marked improvement in operating results during our most seasonally challenging quarter. We continue to see improvement on a number of key internal metrics, such as credit approval rates, media efficiency and operating leverage. After just two months with Nautilus, I am encouraged with our prospects and have confidence in our ability to continue building on the positive momentum we have established."