Footwear and apparel maker Rocky Brands Q2 sales beat estimates

Rocky Brands

29/07/2025 21:22

Overview

The footwear and apparel maker Rocky Brands Q2 net sales rise 7.5%, beating analyst expectations

Adjusted EPS for Q2 beats estimates, reflecting improved profitability

Company reduces total debt by 13.1% year-over-year

Outlook

Rocky Brands sees strong U.S. Wholesale bookings for second half of 2025

Company plans to leverage Dominican Republic, Puerto Rico facilities to mitigate tariffs

Company anticipates challenges in visibility into consumer demand

Result Drivers

BRAND DEMAND - Strong demand for XTRATUF and Muck brands in Wholesale and e-Commerce channels drove sales growth

GROSS MARGIN IMPROVEMENT - Full-price selling and pricing actions contributed to a 230-basis point increase in gross margins

OPERATING EXPENSES - Higher selling costs and increased marketing investments led to a rise in operating expenses

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Beat
$105.65 mln
$102.50 mln (2 Analysts)
Q2 Adjusted EPS
Beat
$0.55
$0.24 (2 Analysts)
Q2 Net Income
$3.61 mln
Q2 Adjusted Income From Operations
$7.16 mln
Q2 Income From Operations
$7.16 mln
Q2 Operating Expenses
$36.12 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the footwear peer group is "buy."

Wall Street's median 12-month price target for Rocky Brands Inc is $20.00, about 17.5% below its July 28 closing price of $23.50

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nBwbrNkdfa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)