Franklin Wireless Corp. reported earnings results for the first quarter ended March 31, 2012. For the quarter, the company reported net sales of $2.6 million compared with $9.4 million in net sales for the corresponding period of 2011. Net loss was $635,000 or $0.05 per basic and diluted share, compared with net income of $1.5 million, or $0.13 per basic and diluted share, for the same quarter last year. The decrease in net sales year-over-year was due to several factors including increased competition in the dual-mode (3G and 4G) USB modem market, as well as competition from other similar products, which negatively affected volume and price. The company reaffirm what was indicated before regarding its upcoming quarter and that revenues are expected to ramp up in the fourth quarter of the fiscal year of 2012.