Rocky Brands reported double-digit sales growth and sharply higher earnings in the second quarter, which CEO Jason Brooks said was driven by strong demand across several of its footwear brands.
The footwear company’s net sales rose 12 per cent to $118.4 million in the quarter ended June 30, while net income increased to $13.9 million from $3.6 million a year earlier.
At the same time, the company’s operating income climbed to $19.7 million, from $7.2 million last year.
“Several of our brands grew strong double digits, led by Xtratuf and followed by Georgia Boot and Rocky, as well as our Lehigh safety shoe business,” Brooks continued.
“Selling was robust across channels with particular strength on our direct-to-consumer websites, while strong bookings in the quarter will provide good Wholesale segment momentum for the second half of the year.”
Wholesale sales increased 7.9 per cent to $78.8 million during the quarter, while retail sales grew 21.8 per cent to $36.2 million, supported by continued strength in the company’s direct-to-consumer channels.
Brooks said the improvement in earnings was also supported by the recovery of IEEPA (International Emergency Economic Powers Act) tariffs recognized during the quarter.
“These refunds more than offset the incremental costs incurred as a result of adjusting our initial manufacturing, sourcing, and shipping plans to meet customer demand,” he added.
Rocky Brands owns a portfolio of footwear and apparel brands, including Rocky, Georgia Boot, Durango, Lehigh, The Original Muck Boot Company, Xtratuf, and Ranger.
- Further reading: Rocky Brands sees tariff pressure ease post Q1.