Weyco Group, Inc., owner of Bogs, announced net sales for the second quarter ended June 30 were $60.3 million, an increase of 7 percent from 2011 sales of $56.6 million, due in part to improved sales in its wholesale segment.
Operating earnings for the second quarter of 2012 were $3.4 million, compared to $2.7 million in 2011. Net earnings attributable to the company were $2.2 million, compared to $1.9 million in 2011. Diluted earnings per share increased to 20 cents per share in 2012 from 17 cents per share in the second quarter of 2011.
Net sales in the North American wholesale segment, which include North American wholesale sales and licensing revenues, were $43.6 million for the second quarter of 2012, compared with $39.4 million in 2011. Wholesale product sales were $43.1 million in the second quarter of 2012, up from $38.8 million in 2011. Wholesale sales of Stacy Adams, Nunn Bush, Florsheim and Bogs were up 13 percent, 9 percent, 5 percent and 34 percent, respectively, for the quarter. Umi sales were down 4 percent. Licensing revenues were $539,000 in the second quarter of 2012 and $557,000 in 2011. Operating earnings for the segment were $2.1 million in the second quarter of 2012, compared to $1.0 million in 2011.
Net sales in the North American retail segment, which include sales from the Company's Florsheim retail stores in the United States and its Internet business, were $5.6 million in the second quarter of 2012, compared with $5.9 million in 2011. Same store sales increased 5 percent for the quarter. There were five fewer domestic retail stores as of June 30, 2012 compared to 2011. Operating earnings for the segment decreased approximately $165,000 for the quarter.
Other net sales, which include the wholesale and retail sales of Florsheim Australia and Florsheim Europe, were $11.1 million in the second quarter of 2012, compared to $11.3 million in 2011. The majority of other net sales are generated by Florsheim Australia. Florsheim Australia's net sales increased 3 percent, or $285,000, but that gain was offset by a sales decrease of $445,000 at Florsheim Europe. Collectively, the operating earnings of the company's other businesses were $1.3 million in the second quarter of 2012 compared with $1.5 million in the same period last year.
“We are pleased with the sales volume increases that our major brands attained this quarter,” stated Thomas W. Florsheim, Jr., chairman and CEO of Weyco Group. “While the current retail market remains unpredictable, we feel our overall business is well positioned going into the second half of the year.”
On July 30, the company's Board of Directors declared a quarterly cash dividend of 17 cents per share to all shareholders of record September 3, 2012, payable October 1, 2012.
