Weyco Group, Inc. reported its Bogs outdoor boot brand saw its first sales gain in a quarter since the fourth quarter of 2021. Thomas Florsheim, Weyco’s chairman and CEO, expects Bogs sales to continue to expand in the second half due to healthy demand for its seamless-constructed rubber boots.

“The brand is well positioned for a strong second half,” said Florsheim, on an analyst call. “In a market with many rubber boot options, Bogs’ seamless construction provides a meaningful point of differentiation. It is significantly lighter and more durable than the traditional vulcanized construction used by many competing brands. We are continuing to educate both retailers and consumers about the advantages of seamless construction, and we are seeing solid growth across this product line. While we believe we are still in the early stages of a Bogs turnaround, we are encouraged by the brand’s performance this quarter.

Bogs sales grew 10 percent on a wholesale basis in the second quarter.

In reporting first-quarter results, Weyco said it anticipated Bogs would have a “strong” second half of the year, as cold weather and precipitation last winter in the Midwest and East Coast helped clear excess inventory of weather boots. Weyco also said it is encouraged by the launch of less insulated spring footwear, supporting a more year-round  business

Companywide, Weyco’s overall earnings in the period showed notable improvement due to tariff refunds and growth at Florsheim.

Second Quarter 2026 Overview

  • Net sales: $62.2 million (up 7 percent compared to Q2 2025)
  • Gross earnings: 70.4 percent of net sales (includes $15.3 million of tariff refunds)
  • Earnings from operations: $17.0 million (compared to $3.9 million in Q2 2025)
  • Net earnings: $13.3 million (up from $2.3 million in Q2 2025)
  • Diluted earnings per share: $1.39 (up from $0.24 in Q2 2025)

North American Wholesale Segment
Wholesale net sales were $48.8 million for the quarter, up 7 percent from $45.6 million in the second quarter of 2025. Sales of the Florsheim brand were up 12 percent, due to its continued growth in the dress shoe category. Bogs sales were up 10 percent for the quarter, driven by increased sales volumes across most major channels. Sales of the Stacy Adams brand increased 4 percent for the quarter, primarily due to favorable pricing. Nunn Bush sales were down 3 percent for the quarter.

Wholesale gross earnings as a percent of net sales were 70.0 percent and 37.6 percent in the second quarters of 2026 and 2025, respectively. The increase was primarily due to the recognition of $14.3 million in tariff refunds, discussed below, as well as the benefit of selling price increases implemented in the second half of 2025. Wholesale selling and administrative expenses totaled $18.1 million, or 37 percent of net sales, for the quarter versus $13.1 million, or 29 percent of net sales, last year. The increases in 2026 were primarily due to higher employee costs. Wholesale operating earnings were $16.0 million for the quarter, up from $4.1 million in 2025, due mainly to tariff refunds partially offset by higher employee costs.

North American Retail Segment
Net sales in the retail segment totaled $7.0 million for the quarter, up 4 percent from $6.8 million in 2025. The increase was primarily due to higher sales on the Florsheim website. Retail gross earnings as a percent of net sales increased to 79.2 percent in the second quarter of 2026, up from 66.6 percent in the second quarter of 2025, driven mainly by the recognition of $1.0 million in tariff refunds. Retail operating earnings reached $1.0 million for the quarter, compared to $0.1 million in last year’s second quarter, driven mainly by the tariff refunds.

Other Operations
Other operations consist of the retail and wholesale businesses in Australia and South Africa (collectively, “Florsheim Australia”). Net sales of Florsheim Australia were $6.4 million in the second quarter of 2026, up 10 percent from $5.8 million in 2025. The increase was due to the appreciation of the Australian dollar relative to the U.S. dollar, as Florsheim Australia’s net sales in local currency were down 1 percent for the quarter. Florsheim Australia’s gross earnings as a percent of net sales were 63.1 percent and 60.9 percent in the second quarters of 2026 and 2025, respectively. Its second quarter operating earnings were break-even in 2026 versus operating losses of $0.2 million last year.

Incremental Tariffs
In early 2025, the U.S. imposed tariffs on certain imported goods under the International Emergency Economic Powers Act (“IEEPA”). During 2025 and the first quarter of 2026, we paid approximately $19.8 million in IEEPA tariffs. In February 2026, the U.S. Supreme Court invalidated IEEPA tariffs, and in April 2026, U.S. Customs and Border Protection (“CBP”) commenced a phased process for accepting refund claims. Accordingly, in April, Weyco submitted refund claims for Phase 1 entries totaling $18.6 million, substantially all of which were approved during the second quarter. As a result, during the quarter Weyco recognized: $15.3 million in tariff refunds as a reduction to cost of sales ($14.3 million in the Wholesale segment and $1.0 million in the Retail segment), $3.3 million as a reduction of inventory, and $0.7 million of interest income.

Weyco’s remaining entries, totaling $1.2 million (now classified as Phase 3 entries), have not yet been assigned a claim submission timeline. No refunds related to Phase 3 entries have been recognized, as the timing and amount of these recoveries remain uncertain and subject to execution by CBP.

Following the U.S. Supreme Court’s ruling in February, the Administration imposed a 10 percent incremental tariff under a separate statutory authority, which remained in effect throughout the second quarter. On July 24th, the Administration increased the incremental tariff on imports from China, Dominican Republic, and Vietnam to 12.5 percent. U.S. trade policies continue to evolve and remain unpredictable, creating near‑term gross margin uncertainty. Weyco  said it has mitigation strategies in place and will continue to adjust, as appropriate, in response to future policy developments.

Interest Income
Interest income totaled $1.5 million compared to $0.8 million in last year’s second quarter. This year included $0.7 million of interest income on tariff refunds recognized in the second quarter.

Provision for Income Taxes
Weyco’s effective tax rates for the second quarters of 2026 and 2025 were 28.4 percent and 51.1 percent respectively. The higher effective tax rate in 2025 was primarily due to the establishment of a $1.1 million valuation allowance on deferred tax assets at Florsheim Australia.

CEO Commentary 
“We are pleased with our performance this quarter, with three of our brands posting solid wholesale sales growth, led by our Florsheim brand, as well as gains in Florsheim’s e-commerce business,” stated Florsheim, Jr., in a press release. “This sales growth led to strong second-quarter earnings, which were further bolstered by the recovery of previously paid IEEPA tariffs. Overall, we are encouraged by our current momentum and believe we are well positioned for a strong second-half.”

Image courtesy Bogs/Weyco Group, Inc.