Rocky Shoes & Boots, Inc. net sales for the first quarter were $57.5 million, down 6.5% from $61.5 million for the corresponding period a year ago. The decrease in sales is primarily attributable to the decline in footwear sales to the military, which were $0.9 million in the first quarter of 2006 compared to $3.7 million in the first quarter of 2005.

Gross margin in the quarter was 43.3% of sales, down 390 basis points from 39.4% of sales last year. The decrease was primarily a result of lower shipments to the U.S. military in Q1. SG&A expenses were 37.9% of sales, up 430 points from 33.6% of sales a year ago.

Net income for the quarter was $893,230, down 18.4% from $1.1 million in the year-ago quarter.

The company expects revenues of $287 million to $292 million for the year, and diluted earnings per share of $2.35 to $2.45.