NASDAQ$RCKY

Rocky Brands Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Announced third quarter results with a decrease in net sales but an increase in retail sales and gross margin.

Rocky Brands reported a decrease in net sales by 8.8% to $114.6 million, while retail sales increased by 9.2%. The gross margin improved to 38.1%. Net income was reported at $5.3 million, or $0.70 per diluted share.

  • Net sales decreased by 8.8% to $114.6 million.
  • Retail sales increased by 9.2%.
  • Gross margin improved to 38.1%.
  • Net income was $5.3 million, or $0.70 per diluted share.

Headline financials

Total Revenue

$115M

Previous: $126M-8.8%
EPS

$0.70

Previous: $1.09-35.8%
Gross Margin

38.1%

Previous: 37.0%+3.0%
OpEx % of Sales

29.3%

No prior period
Operating Margin

8.8%

No prior period
Inventories

$172M

Previous: $195M-11.7%
Capital Expenditures

-$3.17M

Previous: -$2.93M-8.2%
Free Cash Flow

$2.11M

Previous: $3.9M-45.9%
Net Income

$5.28M

Previous: $6.83M-22.7%
Operating Income

$10.1M

Previous: $14.3M-29.5%
Gross Profit

$43.6M

Previous: $46.5M-6.2%
Cash & Equivalents

$3.71M

Previous: $4.24M-12.6%
Total Assets

$475M

Previous: $533M-10.8%
Stock-Based Comp

$314K

Previous: $282K+11.3%

Revenue & EPS history

Rocky Brands · Revenue · Quarterly

$115M

Q3 2024-8.8%vs Q3 2023
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Rocky Brands · $126M total across 3 segments · Q3 2023

  • Wholesale
    $99.7M-17.4%
  • Retail
    $24.5M+4.7%
  • Contract Manufacturing
    $1.4M-57.6%

Forward guidance

The company believes that the softness in consumer spending is transitory and that recent brand and marketing investments, along with an improved capital structure, have the Company well positioned to drive sustainable, profitable growth and long-term shareholder value.

Tailwinds

  • Underlying strength of the business remains intact
  • Benefits of multi-brand, multi-channel model evident
  • Double digit sales growth in Durango brand
  • Double digit sales growth in Lehigh CustomFit safety footwear platform
  • Improved capital structure

Headwinds

  • Cautious consumer spending outside of peak shopping periods
  • Warm, dry weather acted as headwinds
  • Wholesale declines primarily within work, outdoor and commercial military categories
  • Net sales decreased 8.8% compared to Q3 2023
  • Income from operations decreased from $14.3 million to $10.1 million

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+3.0%

Avg return

Earnings day

+6.3%

Avg return

5 days after

+6.7%

Avg return

30 days after

62%

40 / 65 earnings

Positive

+53.3%

Q1 2025

Best reaction

-26.6%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.4%+3.1%+2.6%
Q4 2025+37.8%+35.3%+13.2%
Q3 2025-2.0%-4.7%+1.5%
Q1 2025+53.3%+34.6%+63.1%
Q4 2024-10.9%-19.6%-25.4%
Q3 2024-26.6%-25.1%-21.7%
Q2 2024-2.8%-16.7%-10.7%
Q1 2024+22.2%+29.7%+37.4%
Q4 2023-18.4%-14.4%-11.3%
Q3 2023+47.5%+78.8%+135.2%
Q2 2023+2.4%+1.6%-11.7%
Q1 2023-26.6%-26.7%-33.6%
Q4 2022+1.4%-2.2%-15.9%
Q3 2022+11.4%+14.5%+42.3%
Q2 2022-15.7%-18.0%-23.5%
Q1 2022+1.9%-5.5%-4.8%
Q4 2021+23.2%+19.5%+7.9%
Q3 2021-23.2%-24.8%-38.1%
Q2 2021-14.0%-7.9%-15.0%
Q1 2021+13.5%+18.9%-0.7%
Q4 2020+13.6%+35.2%+39.8%
Q3 2020+4.5%+11.1%+27.1%
Q2 2020+49.7%+27.3%+30.2%
Q1 2020+4.0%-6.5%+1.6%
Q4 2019+5.6%-1.4%-24.3%
Q3 2019-13.6%-13.3%-15.4%
Q2 2019+4.8%+9.0%-2.7%
Q1 2019+7.5%+5.9%+6.0%
Q4 2018+5.3%+8.5%-12.4%
Q3 2018+3.0%+7.8%-0.9%
Q2 2018+22.0%+15.3%+13.8%
Q1 2018+6.2%+10.0%+21.6%
Q4 2017+9.4%+12.1%+25.2%
Q3 2017+1.4%+24.9%+34.4%
Q2 2017+13.4%+10.6%+6.3%
Q1 2017+10.6%+27.2%+27.6%
Q4 2016-0.9%+1.8%-2.2%
Q3 2016+2.9%+4.4%+8.7%
Q2 2016-9.1%-12.9%-13.8%
Q1 2016-11.6%
Q4 2015-6.2%
Q3 2015-15.8%
Q2 2015-10.6%
Q1 2015+0.6%
Q4 2014+29.4%
Q3 2014-1.7%
Q2 2014+4.0%
Q1 2014-0.8%
Q4 2013+0.5%
Q3 2013-21.2%
Q2 2013+13.6%
Q1 2013+3.3%
Q4 2012-10.0%
Q3 2012-1.5%
Q2 2012-10.6%
Q1 2011+3.1%
Q1 2012+1.9%
Q4 2011-0.8%
Q3 2010-2.0%
Q3 2011-2.0%
Q2 2011+3.4%
Q2 2010+3.4%
Q4 2009+3.4%
Q4 2010+3.4%
Q1 2010+3.6%

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