Rocky Brands sales down 4.6% in 2012

Net sales for the fourth quarter were $58.0 million compared to $64.0 million a year ago. Wholesale sales for the fourth quarter were $46.0 million compared to $51.7 million for the same period in 2011. Retail sales for the fourth quarter increased to $12.0 million compared to $11.8 million for the same period last year. There were no military segment sales for the fourth quarter compared to $0.4 million in the fourth quarter of 2011.

Gross margin in the fourth quarter of 2012 was $20.7 million, or 35.7% of sales, compared to $22.5 million, or 35.1% of sales, for the same period last year. The 60 basis point increase was driven by higher retail gross margins versus the year ago period. Selling, general and administrative (SG&A) expenses were $16.8 million, or 28.9% of net sales, for the fourth quarter of 2012 compared to $16.7 million, or 26.2% of net sales, a year ago.

Income from operations was $3.9 million, or 6.8% of net sales, compared to $5.7 million, or 8.9% of net sales, excluding the aforementioned charge associated with the termination of the defined benefit pension plan, in the prior year period. Interest expense was $0.2 million for the fourth quarter of 2012, versus $0.2 million for the same period last year.

The Company’s funded debt decreased 33.0% to $23.5 million at December 31, 2012 versus $35.0 million at December 31; 2011.Inventory increased 3.3% to $67.2 million at December 31, 2012 compared with $65.0 million on the same date a year ago.

About Rocky Brands, Inc.

Rocky Brands, Inc. is a leading designer, manufacturer and marketer of premium quality footwear and apparel marketed under a portfolio of well recognized brand names including Rocky, Georgia Boot, Durango and Lehigh and the licensed brands Michelin and Mossy Oak. Rocky Brands is proud to supply footwear to the United States military. 

Rocky Brands, Inc