Rocky Brands Q1 profit falls, hurt by tariffs impact

Rocky Brands

28/04/2026 21:27

Corrects adjusted income from operations in Key Details table to $4.33 million from $3.64 million

Overview

U.S. footwear and apparel maker's Q1 net sales rose 9.1% yr/yr

Adjusted EPS for Q1 fell sharply from prior year

Profitability impacted by higher tariffs, partly offset by price hikes and sourcing changes

Outlook

Company expects tariff impact to lessen beginning in second qtr

Rocky Brands sees a path back to gross margins in the low 40% range

Company anticipates improved profitability over the second half of the yr

Result Drivers

BRAND AND ONLINE DEMAND - Co said sales growth was driven by continued strength in XTRATUF and Muck brands across channels and robust online demand

HIGHER TARIFFS - Co attributed lower gross margin and profitability to increased tariff-related sourcing costs of about $7.1 mln in Q1

PRICE HIKES AND SOURCING CHANGES - Co said impact of tariffs was partially offset by price increases, channel mix, and sourcing diversification, including leveraging own manufacturing facilities

Company press release: ID:nBw6Xqhfra

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Beat
$124.40 mln
$122.40 mln (2 Analysts)
Q1 Net Income
$1.26 mln
Q1 Adjusted Income From Operations
$4.33 mln
Q1 Income From Operations
$3.64 mln
Q1 Operating Expenses
$41.80 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "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 $53.00, about 22.6% above its April 27 closing price of $43.22

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 9 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

 (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.)