Weyco Posts Q4 & Full-Year Earnings

Florsheim Kids
Florsheim Kids.
Courtesy of brand.

Milwaukee-based footwear maker Weyco Group Inc. reported declines in both its sales and profit in Q4.

After market close Wednesday, the company posted its fourth-quarter and full-year financials, which showed an 8.3 percent year-over-year slide in net sales in Q4, to $87.4 million, from $95.3 million in the comparable quarter. Net earnings attributable to the company were $7 million, or 65 cents per diluted share, a 13.6 percent decline from net earnings of $8.1 million, or 75 cents per diluted share, in the prior year’s fourth quarter.

“Overall, our 2015 results were adversely impacted by the appreciation of the U.S. dollar against the Canadian and Australian currencies,” Weyco Chairman and CEO Thomas Florsheim Jr. said in a release. “Our North American wholesale segment had an excellent year, with sales, gross margins and operating earnings all increasing. As we look ahead, we remain confident in the strength of our brands worldwide and are committed to making the necessary investment in our brands and business to secure profitable growth in 2016 and beyond.”

Weyco said its North American wholesale sales advanced 3.3 percent year-over-year, to $251.4 million in 2015.

Overall, the company said net sales were flat at $320.6 million in 2015, while net earnings slid to $18.2 million, compared to $19 million in the prior year. Diluted earnings per share were $1.68 in 2015, compared to $1.75 per share in 2014.

When Weyco, which has brands such as Bogs, Stacy Adams and Florsheim in its portfolio, reported Q3 last Novemeber, it posted year-over-year gains in revenue while profit stayed flat.